Benchmark Electronics Inc reports results on Wednesday 28 October, after the market closes. Growth is speeding up, with revenue over the twelve months to Q2 2026 reaching $2.8 billion, an increase of 8.9% on the year before.
Source: reported quarterly EPS and aggregated third-party estimates. Historical surprises are context, not a forecast.
View chart data
| Period | Reported EPS | Analysts' estimate |
|---|---|---|
| Sep '25 | $0.62 | $0.57 |
| Dec '25 | $0.71 | $0.64 |
| Mar '26 | $0.58 | $0.55 |
| Jun '26 | $0.75 | $0.69 |
What analysts expect
Analysts have been raising their forecasts going into the report. For the quarter, the average EPS estimate stands at $0.79, in a range from $0.78 to $0.79, while the average revenue estimate is $775.5 million. The full-year picture shows an average EPS estimate of $2.94, which would be up 22.6% on last year based on 3 analysts; that figure has risen 7.0% over the past 90 days. Of the recommendations available, 2 are positive, with 0 neutral and 0 negative.
Company guidance
In its latest earnings release, management set Third Quarter 2026 Diluted GAAP earnings per share guidance at $0.51 to $0.57 and non-GAAP earnings per share guidance at $0.76 to $0.82. Revenue guidance for the quarter was set at $755.0 million to $795.0 million, while fiscal 2026 revenue guidance stands at $3.0 billion.
Earnings surprise model
The model estimates EPS could land above the analysts’ average estimate by 4.3%. Its estimated chance of an EPS beat is 75.0%, based on the last 4 quarters. The model shrinks the median recent surprise toward zero and uses a neutral prior for beat frequency; this small sample is a reference estimate, not company guidance.
Track record against estimates
The company reported EPS above the analysts’ average estimate in 4 of the last 4 quarters. Last quarter, EPS of $0.75 compared with an estimate of $0.69, exceeding it by 9.2%.
The trends going in
That growth rate was up 5.3 percentage points on the rate a quarter earlier. Margins show mixed signals: trailing gross margin stood at 10.3%, while operating margin was 3.4%, down 0.0 percentage points from a year earlier, and net margin was 1.9%. Net income over the twelve months reached $53.1 million, rising 46.7% on the year before.
Cash flow
Operating cash flow over the twelve months was $177.0 million, up 55.8% on the year before, while capital spending amounted to $54.1 million, or 1.9% of revenue. Consequently, free cash flow, defined as operating cash flow less capital spending, reached $122.8 million, an increase of 59.6% on the year before. This represented a free-cash-flow margin of 4.4%, up 1.4 percentage points from a year earlier. The average diluted share count fell 1.4% over the period.
Against its own history
Set against the company’s own record, today’s free-cash-flow margin of 4.4% is higher than 72% of past quarterly readings, which have ranged from −7.9% to 10.3%. Similarly, today’s operating margin of 3.4% exceeds 66% of past readings (0.2% to 5.1%), and the twelve-month revenue growth rate of 8.9% is higher than 79% of past readings (−17.3% to 29.2%).
Questions this report will answer
Whether the pick-up in revenue growth continues remains a key question. Investors will also watch whether results land above or below the analysts’ expectations set out above, and if margins hold at the trailing levels described previously. The next filing will show whether these trends continue, slow or reverse.
The valuation angle
Our model translates these figures into value. In this framework, growth 5 percentage points lower would reduce the value by 23.8%, while 5 percentage points higher would raise it by 30.9%. A free-cash-flow margin 1 percentage point lower would decrease the value by 20.0%.
