Avnet reported second-quarter earnings per share of $1.05, outperforming consensus estimates by $0.10. Quarterly revenue amounted to $6.32 billion, surpassing the analyst forecast of $6.03 billion and representing an 11.6% increase versus the year-ago period. The company achieved a net margin of 1.04% and returned 5.91% on equity, underscoring both top-line growth and disciplined cost management across its global distribution and embedded solutions segments.

Management set third-quarter earnings guidance in a range of $1.20 to $1.30 per share, aligning with Street expectations, while projecting revenue between $6.2 billion and $6.5 billion—well above the consensus forecast of approximately $5.8 billion. This upwardly revised revenue outlook reflects sustained demand in semiconductor components and IoT services, and it played a pivotal role in driving a nearly 14% rally in the company’s shares following the earnings release.

Avnet declared a quarterly dividend of $0.35 per share, equivalent to an annualized yield of 2.3% and a payout ratio of 52.24%. Institutional investors further reinforced their conviction, with Vanguard Group increasing its holding by 2.0% to over 10.7 million shares and Pzena Investment Management adding more than 200,000 shares during the latest reporting period. Combined, hedge funds and other institutions now own approximately 95.8% of the company’s outstanding common stock.