In This Article:
-
Revenue: $632 million, down 4% sequentially and 6% year over year.
-
Non-GAAP EPS: $0.52, within guidance range of $0.48 to $0.54.
-
Non-GAAP Gross Margin: 10.1%, a 30-basis-point decrease quarter over quarter and a 10-basis-point increase year over year.
-
Non-GAAP Operating Margin: 4.6%, down 50 basis points sequentially and 30 basis points year over year.
-
Free Cash Flow: $27 million in Q1, totaling over $140 million on a trailing 12-month basis.
-
Cash Balance: $355 million as of March 30, a year-over-year increase of $59 million.
-
Debt: $121 million outstanding on term loan and $155 million on revolver, with $391 million available to borrow.
-
Liquidity Ratio: 0.6, down from 0.9 in the prior year period.
-
CapEx: $4 million in Q1, primarily for Malaysia and Thailand facilities.
-
Dividends and Share Repurchase: $6.1 million in dividends paid and $8 million in shares repurchased.
-
Cash Conversion Cycle: 86 days, improving 3 days sequentially and 8 days year over year.
-
Semi-Cap Revenue: Up 18% year over year, despite a 2% quarter-over-quarter decrease.
-
A&D Revenue: Up 15% year over year, with a 4% quarter-over-quarter increase.
-
Medical Revenue: Down 12% quarter over quarter due to demand softness.
-
AC&C Revenue: Decreased 12% quarter over quarter due to timing-related weaknesses.
Release Date: April 29, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Benchmark Electronics Inc (NYSE:BHE) reported first-quarter revenue of $632 million, led by double-digit growth in the Semi-Cap and A&D sectors.
-
The company achieved its sixth consecutive quarter of greater than 10% non-GAAP gross margin and eighth quarter of positive free cash flow.
-
Non-GAAP earnings per share of $0.52 was above the midpoint of the guidance range, demonstrating strong profitability management.
-
Benchmark Electronics Inc (NYSE:BHE) generated $27 million in free cash flow in the quarter, totaling over $140 million on a trailing 12-month basis.
-
The company is well-positioned to help customers optimize their supply chain with a significant US manufacturing footprint, representing over 55% of its total global manufacturing capacity.
Negative Points
-
First-quarter revenue of $632 million was down 4% sequentially and 6% year over year.
-
Non-GAAP operating margin decreased sequentially and year over year due to a lower revenue base.
-
The medical sector experienced a 12% revenue decline versus the prior quarter, with continued demand softness.
-
AC&C revenue decreased 12% quarter over quarter, driven by timing-related weaknesses in both HPC and communications businesses.
-
The company faces challenges from global tariff uncertainties, impacting customer decisions and potentially elongating the cycle for new bookings.