AVT AVNET INC

Overview and Growth

In fiscal 2026, AVNET INC recorded $27.63B of revenue, net income of $334.39M, and an operating cash outflow of $280.93M. The $27.63B revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. The top line expanded 24.5% from $22.20B in fiscal 2025, increasing the company’s operating scale. On a per-share basis, diluted EPS was $4.01, which connects the reported earnings outcome with the company’s diluted share count. Diluted EPS increased by 45.8% from $2.75 in fiscal 2025, showing how the earnings change reached shareholders on a per-share basis. Revenue equaled 1.79x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

The first profit layer was $2.88B of gross profit, the amount available after reported direct revenue costs to absorb operating expenses. The gross-profit relationship equaled 10.4% of revenue, quantifying the portion retained before operating expenses were recognized. Operating income was $724.78M, the earnings remaining from reported operations after the company’s recognized operating cost structure. Relative to revenue, operating income represented 2.6%, showing how efficiently sales converted into operating profit. The bottom-line result was net income of $334.39M, after the operating, financing, tax, and other items recognized for the period. Measured against reported revenue, net income produced a 1.2% margin after operating costs and the remaining recognized items. The earnings statement records $467.44M of pretax income, the profit base against which the reported tax provision can be assessed. The pretax margin was 1.7%, relating income before taxes directly to revenue. The company recognized $133.05M of income tax for the period, completing the transition from pretax income to net income. The effective relationship between income tax and positive pretax income was 28.5%, without assuming a statutory-rate comparison. Net income equaled 6.7% of period-end equity, showing the earnings generated on shareholders’ book capital. The net-income-to-assets relationship measured 2.2%, showing earnings relative to the full balance sheet.

Liquidity and Capital Structure

Total assets were $15.43B, supported by $10.40B of liabilities and $5.02B of shareholder equity. Current assets were $13.33B against $7.50B of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. At 1.78x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. Cash and equivalents totaled $155.40M, identifying the most liquid reported component available within the broader current-asset balance. Measured only with cash and equivalents, coverage of current liabilities was 2.1%, excluding receivables and other current assets. Borrowings totaled $3.21B, adding a fixed financing obligation alongside the company’s equity capital. The debt-to-equity relationship was 0.64x, showing how much debt the company carried for each unit of book equity. The debt-to-assets relationship was 20.8%, comparing borrowing with the total asset balance. The liabilities-to-assets relationship was 67.4%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 1.0%, comparing reported cash and equivalents with the full positive asset balance. The asset base changed 27.3% from $12.12B in fiscal 2025, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

The company reported an operating cash outflow of $280.93M, rather than cash generation from operations. The company spent $73.57M on capital expenditures while operations also absorbed cash, so both ongoing activity and investment drew on liquidity during the period. Negative free cash flow was $354.50M, leaving a cash deficit after capital spending and reducing financial flexibility. The free-cash-flow deficit equaled 1.3% of revenue, showing the post-investment cash shortfall relative to sales. Relative to total assets, the post-investment cash deficit measured 2.3%.

Based on the annual report for the fiscal year ending Jun 27, 2026. Analysis generated Oct 21, 2026.