Benchmark Electronics Raises Full-Year Outlook as Revenue Hits $756 Million
The electronics manufacturer raised its full-year 2026 revenue growth target to approximately 13% after second-quarter results exceeded prior guidance.
Benchmark Electronics (BHE) reported second-quarter revenue of $756 million, an 18% increase from the $642 million recorded in the same period last year.
The results marked a trajectory shift for the electronics manufacturer, as the company exceeded the high end of its previous guidance range of $700 million to $740 million. This growth coincided with a significant improvement in operational efficiency, evidenced by a cash conversion cycle that dropped to 59 days from 85 days in the prior-year quarter.
Diluted non-GAAP earnings per share rose 36% year-over-year to $0.75, up from $0.55. The figure surpassed the company's previous guidance range of $0.65 to $0.71.
Profitability metrics showed steady expansion. Non-GAAP operating margin reached 5.2%, compared to 4.8% in the first quarter and 4.7% in the second quarter of 2024. Non-GAAP gross margin also rose to 10.5%, up from 10.3% in the previous quarter and 10.2% a year earlier.
Growth was distributed across most of the company's business segments. Four of five sectors posted double-digit year-over-year gains, led by AC&C at 71%, Medical at 22%, Semi-Cap at 17%, and Industrial at 13%. Aerospace & Defense was the sole outlier, with revenue declining 12% year-over-year.
Benchmark raised its full-year 2025 revenue guidance to approximately 13% growth, targeting $3 billion. This is an increase from the 9-10% growth outlook the company provided in the first quarter.