RAISES FISCAL 2026 REVENUE GUIDANCE TO A RECORD $3 BILLION
TEMPE, AZ, July 29, 2026 – Benchmark Electronics, Inc. (NYSE: BHE) today announced financial results for the second quarter ended June 30, 2026.
Second quarter 2026 results:
•
Revenue of $756 million, up 18% year-over-year
•
Diluted GAAP earnings per share of $0.55
•
Diluted non-GAAP earnings per share of $0.75, up 36% year-over-year
•
Operating cash flow of $35 million with free cash flow of $22 million
"Our second quarter results reflect continued momentum across the business, highlighted by revenue and earnings above the high end of our prior guidance along with another record quarter of bookings,” said David Moezidis, Benchmark’s President and CEO.
Moezidis continued, “Strengthening demand across our end markets, growing customer engagement, and disciplined execution are contributing to broad‑based improvement throughout the portfolio. As a result, we are again raising our full year outlook and now expect revenue growth of approximately 13%, positioning Benchmark to achieve $3 billion in annual revenue for the first time in the company’s history.”
Three Months Ended
Summary GAAP Items
June 30,
March 31,
June 30,
(in millions, except per share data)
2025
2026
2026
Revenue
$
642
$
677
$
756
Gross Margin
10.1
%
10.2
%
10.4
%
Operating Margin
3.2
%
3.2
%
4.0
%
Diluted EPS
$
0.03
$
0.36
$
0.55
Three Months Ended
Summary Non-GAAP Items(1)
June 30,
March 31,
June 30,
(in millions, except per share data)
2025
2026
2026
Revenue
$
642
$
677
$
756
Gross Margin
10.2
%
10.3
%
10.5
%
Operating Margin
4.7
%
4.8
%
5.2
%
Diluted EPS
$
0.55
$
0.58
$
0.75
(1) A reconciliation of non-GAAP results to the most directly comparable GAAP measures and a discussion of why management believes these non-GAAP results are useful are included below.
1
Second Quarter Revenue by Sector
Three Months Ended
June 30,
March 31,
June 30,
(in millions)
2025
2026
2026
Semi-Cap
$
190
30
%
$
191
28
%
$
223
29
%
Industrial
142
22
133
20
161
21
A&D
126
20
120
18
111
15
Medical
110
17
128
19
134
18
AC&C
74
11
105
15
127
17
Total
$
642
100
%
$
677
100
%
$
756
100
%
Cash Conversion Cycle
Three Months Ended
June 30,
March 31,
June 30,
2025
2026
2026
Days in accounts receivable
52
50
54
Days in contract asset
25
25
23
Days in inventory
83
75
72
Days in accounts payable
(55
)
(67
)
(73
)
Days in advance payments from customers
(20
)
(16
)
(17
)
Days in cash conversion cycle
85
67
59
Third Quarter 2026 Guidance
•
Revenue between $755 million and $795 million
•
Diluted GAAP earnings per share between $0.51 and $0.57
•
Diluted non-GAAP earnings per share between $0.76 and $0.82
•
Non-GAAP earnings per share guidance excludes stock-based compensation expense of approximately $8.4 million and other non-operating expenses of $3.5 million to $4.0 million, which includes restructuring, amortization of intangibles and other expenses
Second Quarter 2026 Earnings Conference Call
The Company will host a conference call to discuss the results today at 5:00 p.m. Eastern Time. The live webcast of the call and accompanying reference materials will be accessible by logging on to the Company’s website at www.bench.com. A replay of the broadcast will also be available on the Company’s website.
About Benchmark Electronics, Inc.
Benchmark provides comprehensive solutions across the entire product lifecycle by leading through its innovative technology and engineering design services, leveraging its optimized global supply chain, and delivering world-class manufacturing services in the following industries: advanced computing and communications, aerospace and defense, industrial, medical, and semiconductor capital equipment. Benchmark’s global operations include facilities in eight countries and its common shares trade on the New York Stock Exchange under the symbol BHE.
For More Information, Please Contact:
Benchmark Investor Relations at investor.relations@bench.com
2
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are identified as any statement that does not relate strictly to historical or current facts and may include words such as “anticipate,” “believe,” “intend,” “plan,” “project,” “forecast,” “strategy,” “position,” “continue,” “estimate,” “expect,” “may,” “will,” “could,” “predict,” and similar expressions of the negative or other variations thereof. In particular, statements, expressed or implied, concerning the Company’s outlook and guidance for third quarter and fiscal year 2026 results, future operating results or margins, the ability to generate sales and income or cash flow, expected revenue mix, the Company’s business strategy and strategic initiatives, the Company’s expectations regarding enterprise AI opportunities, anticipated growth in bookings, and repurchases of shares of its common stock, the Company’s expectations regarding restructuring activity and charges, stock-based compensation expense, amortization of intangibles, award or extension of any tax incentives and capital expenditures, the Company’s intentions concerning the payment of dividends, the Company’s expectations regarding the impact of inflation, tariffs and trade policies, and the Company’s positions and strategies with respect to ongoing or threatened litigation and expected outcomes, among others, are forward-looking statements. Although the Company believes these statements are based on and derived from reasonable assumptions, they involve risks, uncertainties and assumptions, that are beyond the Company’s ability to control or predict, relating to operations, markets and the business environment generally, including those discussed under Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, and in any of the Company’s subsequent reports filed with the Securities and Exchange Commission. Risks and uncertainties relating to the possibility of customer demand fluctuations, supply chain constraints, continuing inflationary pressures, the effects of foreign currency fluctuations and high interest rates, geopolitical uncertainties including continuing hostilities and tensions in the Middle East and elsewhere, trade restrictions and sanctions, tariffs and retaliatory countermeasures, the ability to utilize the Company’s manufacturing facilities at sufficient levels to cover its fixed operating costs, or write-downs or write-offs of obsolete or unsold inventory, may have resulting impacts on the Company’s business, financial condition, results of operations, and the Company’s ability (or inability) to execute on its plans. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes, including the future results of the Company’s operations, may vary materially from those indicated. Undue reliance should not be placed on any forward-looking statements. Forward-looking statements are not guarantees of performance. All forward-looking statements included in this document are based upon information available to the Company as of the date of this document, and the Company assumes no obligation to update.
Non-GAAP Financial Measures
Management discloses certain non‐GAAP information to provide investors with additional information to analyze the Company’s performance and underlying trends. These non-GAAP financial measures exclude restructuring charges, stock-based compensation expense, amortization of intangible assets acquired in business combinations, certain legal and other settlement losses (gains), customer insolvency losses (recoveries), asset impairments, other significant non-recurring costs and the related tax impacts, including discrete tax items, and other non-GAAP tax adjustments, of all of the above. A detailed reconciliation between GAAP results and results excluding certain items (“non-GAAP”) is included in the following tables attached to this document. In situations where a non-GAAP reconciliation has not been provided, the Company was unable to provide such a reconciliation without unreasonable effort due to the uncertainty and inherent difficulty predicting the occurrence, the financial impact and the periods in which the non-GAAP adjustments may be recognized. Management uses non‐GAAP measures that exclude certain items in order to better assess operating performance and help investors compare results with our previous guidance. This document also references “free cash flow”, a non-GAAP measure, which the Company defines as cash flow from operations less additions to property, plant and equipment and purchased software. The Company’s non‐GAAP information is not necessarily comparable to the non‐GAAP information used by other companies. Non‐GAAP information should not be viewed as a substitute for, or superior to, net income or other data prepared in accordance with GAAP as a measure of the Company’s profitability or liquidity. Readers should consider the types of events and transactions for which adjustments have been made.
3
Benchmark Electronics, Inc. and Subsidiaries
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
2025
2026
2025
2026
Sales
$
642,335
$
755,980
$
1,274,099
$
1,433,260
Cost of sales
577,563
677,580
1,146,147
1,285,626
Gross profit
64,772
78,400
127,952
147,634
Selling, general and administrative expenses
40,569
46,132
79,369
88,541
Amortization of intangible assets
1,204
1,204
2,408
2,408
Restructuring charges and other costs
2,513
811
13,930
4,558
Income from operations
20,486
30,253
32,245
52,127
Interest expense
(6,348
)
(3,751
)
(11,643
)
(7,400
)
Interest income
3,135
1,990
5,867
3,890
Other (expense) income , net
(666
)
223
(1,468
)
(1,480
)
Income before income taxes
16,607
28,715
25,001
47,137
Income tax expense
15,635
8,833
20,385
14,232
Net income
$
972
$
19,882
$
4,616
$
32,905
Earnings per share:
Basic
$
0.03
$
0.55
$
0.13
$
0.92
Diluted
$
0.03
$
0.55
$
0.13
$
0.91
Weighted-average number of shares outstanding:
Basic
35,991
35,898
36,021
35,833
Diluted
36,258
36,397
36,427
36,341
4
Benchmark Electronics, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(in thousands)
(unaudited)
December 31,
June 30,
2025
2026
Assets
Current assets:
Cash and cash equivalents
$
322,064
$
314,836
Restricted cash
336
377
Accounts receivable, net
391,101
451,612
Contract assets
182,870
196,420
Inventories
482,544
544,261
Prepaid expenses and other current assets
69,226
77,471
Total current assets
1,448,141
1,584,977
Property, plant and equipment, net
223,784
232,856
Operating lease right-of-use assets
102,664
101,398
Goodwill and other long-term assets
297,126
295,140
Total assets
$
2,071,715
$
2,214,371
Liabilities and Shareholders’ Equity
Current liabilities:
Current installments of long-term debt
$
3,750
$
3,750
Accounts payable
403,222
552,671
Advance payments from customers
115,545
124,320
Accrued liabilities
113,060
114,578
Total current liabilities
635,577
795,319
Long-term debt, net of current installments
206,826
177,234
Operating lease liabilities
98,689
96,329
Other long-term liabilities
30,820
29,206
Total liabilities
971,912
1,098,088
Shareholders’ equity
1,099,803
1,116,283
Total liabilities and shareholders’ equity
$
2,071,715
$
2,214,371
5
Benchmark Electronics, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
Six Months Ended
June 30,
2025
2026
Cash flows from operating activities:
Net income
$
4,616
$
32,905
Depreciation and amortization
23,785
23,885
Stock-based compensation expense
9,732
11,611
Accounts receivable
46,794
(61,891
)
Contract assets
(7,523
)
(13,550
)
Inventories
26,087
(62,686
)
Accounts payable
(3,727
)
150,471
Advance payments from customers
(17,150
)
8,775
Other changes in working capital and other, net
(53,934
)
(7,817
)
Net cash provided by operating activities
28,680
81,703
Cash flows from investing activities:
Additions to property, plant and equipment and software
(16,460
)
(31,192
)
Other investing activities, net
62
2,108
Net cash used in investing activities
(16,398
)
(29,084
)
Cash flows from financing activities:
Share repurchases
(15,995
)
(5,799
)
Net debt activity
(50,430
)
(29,875
)
Other financing activities, net
(18,990
)
(20,478
)
Net cash used in financing activities
(85,415
)
(56,152
)
Effect of exchange rate changes
9,753
(3,654
)
Net decrease in cash and cash equivalents and restricted cash
(63,380
)
(7,187
)
Cash and cash equivalents and restricted cash at beginning of year
328,027
322,400
Cash and cash equivalents and restricted cash at end of period
$
264,647
$
315,213
6
Benchmark Electronics, Inc. and Subsidiaries
Reconciliation of GAAP to Non-GAAP Financial Results
(in thousands, except per share data)
(unaudited)
Three Months Ended
Six Months Ended
June 30,
Mar 31,
June 30,
June 30,
2025
2026
2026
2025
2026
Income from operations (GAAP)
$
20,486
$
21,874
$
30,253
$
32,245
$
52,127
Restructuring charges and other costs
1,939
3,747
1,126
3,281
4,873
Stock-based compensation expense
5,335
5,401
6,210
9,732
11,611
Amortization of intangible assets
1,204
1,204
1,204
2,408
2,408
Legal and other settlement loss (recovery)
799
154
(107
)
11,074
47
Other
311
—
261
311
261
Non-GAAP income from operations
$
30,074
$
32,380
$
38,947
$
59,051
$
71,327
GAAP operating margin
3.2
%
3.2
%
4.0
%
2.5
%
3.6
%
Non-GAAP operating margin
4.7
%
4.8
%
5.2
%
4.6
%
5.0
%
Gross profit (GAAP)
$
64,772
$
69,234
$
78,400
$
127,952
$
147,634
Stock-based compensation expense
514
559
636
945
1,195
Non-GAAP gross profit
$
65,286
$
69,793
$
79,036
$
128,897
$
148,829
GAAP gross margin
10.1
%
10.2
%
10.4
%
10.0
%
10.3
%
Non-GAAP gross margin
10.2
%
10.3
%
10.5
%
10.1
%
10.4
%
Selling, general and administrative expenses
$
40,569
$
42,409
$
46,132
$
79,369
$
88,541
Stock-based compensation expense
(4,821
)
(4,842
)
(5,574
)
(8,787
)
(10,416
)
Legal and other settlement loss
(225
)
(154
)
(208
)
(425
)
(362
)
Other
(311
)
—
(261
)
(311
)
(261
)
Non-GAAP selling, general and administrative expenses
$
35,212
$
37,413
$
40,089
$
69,846
$
77,502
Net income (GAAP)
$
972
$
13,023
$
19,882
$
4,616
$
32,905
Restructuring charges and other costs
1,939
3,747
1,126
3,281
4,873
Stock-based compensation expense
5,335
5,401
6,210
9,732
11,611
Amortization of intangible assets
1,204
1,204
1,204
2,408
2,408
Legal and other settlement loss (recovery)
799
154
(107
)
11,074
47
Refinancing of Credit Facilities
224
—
—
224
—
Other
311
—
261
311
261
Income tax adjustments(1)
9,208
(2,525
)
(1,135
)
7,563
(3,660
)
Non-GAAP net income
$
19,992
$
21,004
$
27,441
$
39,209
$
48,445
Diluted earnings per share:
Diluted (GAAP)
$
0.03
$
0.36
$
0.55
$
0.13
$
0.91
Diluted (Non-GAAP)
$
0.55
$
0.58
$
0.75
$
1.08
$
1.33
Weighted-average number of shares used in calculating diluted earnings per share:
Diluted (GAAP)
36,258
36,276
36,397
36,427
36,341
Diluted (Non-GAAP)
36,258
36,276
36,397
36,427
36,341
Net cash provided by (used in) operations
$
(2,823
)
$
47,028
$
34,675
$
28,680
$
81,703
Additions to property, plant and equipment and software
(12,304
)
(18,270
)
(12,922
)
(16,460
)
(31,192
)
Free cash flow (used)
$
(15,127
)
$
28,758
$
21,753
$
12,220
$
50,511
(1)
This amount represents the tax impact of the non-GAAP adjustments, including discrete tax items, using the applicable effective tax rates.