PART I—FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents the unaudited condensed consolidated financial statements for Q1 2022, including balance sheets, income, comprehensive income, equity, and cash flow statements with explanatory notes [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$2.00 billion** from **$1.90 billion** at year-end 2021, driven by higher inventories and long-term debt growth Condensed Consolidated Balance Sheets Highlights (in thousands) | Account | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $244,935 | $271,749 | | Inventories | $608,347 | $523,240 | | Total current assets | $1,451,018 | $1,348,144 | | **Total assets** | **$2,002,556** | **$1,903,880** | | **Liabilities & Equity** | | | | Accounts payable | $457,252 | $426,555 | | Long-term debt, less current installments | $201,510 | $129,289 | | Total current liabilities | $684,465 | $654,382 | | **Total shareholders' equity** | **$976,405** | **$973,802** | [Condensed Consolidated Statements of Income](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Sales rose **25.8%** year-over-year to **$636.1 million**, net income grew **38.4%** to **$11.0 million**, and diluted EPS reached **$0.31** Condensed Consolidated Statements of Income (in thousands, except per share data) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Sales | $636,083 | $505,721 | | Gross profit | $57,602 | $42,227 | | Income from operations | $15,407 | $11,934 | | Net income | $10,960 | $7,917 | | Diluted EPS | $0.31 | $0.22 | [Condensed Consolidated Statements of Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) Comprehensive income for Q1 2022 significantly increased to **$12.2 million** from **$6.6 million** in Q1 2021, driven by higher net income and unrealized derivative gains Comprehensive Income Summary (in thousands) | Component | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Net income | $10,960 | $7,917 | | Other comprehensive income (loss) | $1,271 | $(1,336) | | **Comprehensive income** | **$12,231** | **$6,581** | [Condensed Consolidated Statements of Shareholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Shareholders%27%20Equity) Shareholders' equity increased to **$976.4 million**, driven by net income, partially offset by share repurchases and dividend payments - Key changes in shareholders' equity for Q1 2022 included: - Net income: +**$11.0 million** - Dividends declared: -**$5.8 million** - Shares repurchased and retired: -**$5.5 million**[11](index=11&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating activities used **$68.0 million** cash, driven by an **$85.8 million** inventory increase, with financing providing **$59.1 million** from credit borrowings Cash Flow Summary (in thousands) | Activity | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Net cash (used in) provided by operations | $(68,025) | $36,613 | | Net cash used in investing activities | $(16,645) | $(6,409) | | Net cash provided by (used in) financing activities | $59,134 | $(23,760) | | **Net (decrease) increase in cash** | **$(26,814)** | **$4,438** | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, revenue by sector and geography, debt, leases, stock compensation, restructuring, and segment performance Revenue by Market Sector (in thousands) | Market Sector | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Industrials | $137,146 | $95,452 | | A&D | $81,187 | $89,381 | | Medical | $116,873 | $108,190 | | Semi-Cap | $183,437 | $113,110 | | Computing | $55,056 | $43,686 | | Telecommunications | $62,384 | $55,902 | | **Total** | **$636,083** | **$505,721** | - The company recognized **$2.3 million** in restructuring charges in Q1 2022, primarily related to site closures in the Americas, and recorded an additional **$2.0 million** loss on assets held for sale[78](index=78&type=chunk)[82](index=82&type=chunk) Segment Performance (in thousands) | Segment | Net Sales Q1 2022 | Income from Operations Q1 2022 | Net Sales Q1 2021 | Income from Operations Q1 2021 | | :--- | :--- | :--- | :--- | :--- | | Americas | $305,580 | $10,365 | $276,838 | $8,234 | | Asia | $287,246 | $27,806 | $188,304 | $17,352 | | Europe | $70,341 | $4,638 | $60,880 | $5,238 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=23&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2022 financial results, including a **26%** revenue increase, COVID-19 impacts, supply chain constraints, segment performance, and liquidity [COVID Pandemic Update](index=24&type=section&id=COVID%20Pandemic%20Update) The COVID-19 pandemic continues to negatively impact operations through supply chain constraints and inefficiencies, limiting customer demand fulfillment, while the company utilized CARES Act provisions - Revenue in 2021 and Q1 2022 was negatively impacted by operational inefficiencies and supply chain constraints, affecting the ability to support customer demand[121](index=121&type=chunk) - The company deferred employer social security tax payments under the CARES Act and determined it was entitled to employee retention credits for 2020[123](index=123&type=chunk) [First Quarter 2022 Highlights](index=26&type=section&id=First%20Quarter%202022%20Highlights) Q1 2022 sales grew **26%** to **$636.1 million**, driven by strong performance in Higher-Value markets, despite ongoing supply chain constraints Year-over-Year Sales Growth by Sector (Q1 2022) | Sector | Growth Rate | | :--- | :--- | | **Higher-Value Markets** | **+28%** | | Industrials | +44% | | A&D | -9% | | Medical | +8% | | Semi-Cap | +62% | | **Traditional Markets** | **+18%** | | Computing | +26% | | Telecommunications | +12% | - Sales to the ten largest customers represented **51%** of total sales in Q1 2022, up from **44%** in Q1 2021[128](index=128&type=chunk) [Results of Operations](index=26&type=section&id=Results%20of%20Operations) Gross profit increased **36%** to **$57.6 million**, operating income rose **29%** to **$15.4 million**, and SG&A expenses grew due to compensation and IT investments - Gross profit increased **36%** to **$57.6 million** in Q1 2022 from **$42.2 million** in Q1 2021, with gross margin improving due to higher revenues[143](index=143&type=chunk) - SG&A expenses increased to **$36.3 million** in Q1 2022 from **$30.5 million** in Q1 2021, driven by higher variable compensation, medical claims, and IT infrastructure investments[148](index=148&type=chunk) - The effective tax rate for Q1 2022 was **18.8%**, slightly higher than **18.2%** in Q1 2021, mainly due to the expiration of the Malaysia tax holiday[154](index=154&type=chunk) [Liquidity and Capital Resources](index=30&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is supported by cash and credit facility, with **$68.0 million** cash used in operations, and **$5.5 million** repurchases and **$5.8 million** dividends - Cash used in operating activities was **$68.0 million** in Q1 2022, primarily due to an **$85.8 million** increase in inventories and a **$26.4 million** increase in accounts receivable[159](index=159&type=chunk) - During Q1 2022, the company repurchased **0.2 million** common shares for **$5.5 million**, with **$158.5 million** remaining under authorization as of March 31, 2022[169](index=169&type=chunk) - Cash dividends paid totaled **$5.8 million** in Q1 2022, with a quarterly dividend of **$0.165** per share declared on March 15, 2022[170](index=170&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=32&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company manages market risks from foreign currency fluctuations and variable-rate debt using forward currency exchange contracts and an interest rate swap agreement - The company uses forward currency exchange contracts to hedge transactional exposure related to foreign currency fluctuations[177](index=177&type=chunk) - An interest rate swap agreement with a notional amount of **$127.5 million** is used to convert a portion of floating-rate interest expense to a fixed rate, hedging against interest rate risk on borrowings[181](index=181&type=chunk) [Item 4. Controls and Procedures](index=32&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including CEO and CFO, concluded disclosure controls were effective as of March 31, 2022, with no material changes to internal financial reporting controls - Based on an evaluation as of the end of the period, the CEO and CFO concluded that the company's disclosure controls and procedures were effective[183](index=183&type=chunk) - No changes occurred in the company's internal control over financial reporting during the last fiscal quarter that materially affected, or are reasonably likely to materially affect, these controls[186](index=186&type=chunk) PART II—OTHER INFORMATION [Item 1. Legal Proceedings](index=34&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in ordinary legal actions, which management believes will not materially adversely affect its financial position or operations - There have been no material changes to legal proceedings, and management does not expect them to have a material adverse effect[190](index=190&type=chunk) [Item 1A. Risk Factors](index=34&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the risk factors previously disclosed in the company's 2021 Annual Report on Form 10-K were reported - No material changes to the risk factors previously disclosed in the 2021 10-K were reported[191](index=191&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=34&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **214,000** shares for **$5.5 million** in Q1 2022, with **$158.5 million** remaining under authorization Share Repurchases for Q1 2022 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January 2022 | 0 | $— | | February 2022 | 91,000 | $25.24 | | March 2022 | 123,000 | $25.88 | - As of March 31, 2022, the total remaining authorization for share repurchases was **$158.5 million**[192](index=192&type=chunk) [Item 6. Exhibits](index=35&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including corporate documents and CEO/CFO certifications under Sarbanes-Oxley Act - Exhibits filed include Section 302 and Section 1350 certifications from the CEO and CFO, along with Inline XBRL documents[194](index=194&type=chunk)

Benchmark Benchmark Electronics Q1-22 Earnings Results April 26, 2022 | 1 Copyright © 2022 by original author Benchmark Electronics, Inc. Not to be reproduced, distributed, or used in any means without written permission by Benchmark. Forward-Looking 2022 Statements | 2 This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are identified ...

Benchmark Electronics, Inc. (NYSE:BHE) Q1 2022 Earnings Conference Call April 26, 2022 5:00 PM ET Company Participants Paul Mansky – Investor Relations Jeff Benck – Chief Executive Officer and President Roop Lakkaraju – Chief Financial Officer Conference Call Participants Jim Ricchiuti – Needham and Company Jaeson Schmidt – Lake Street Anja Soderstrom – Sidoti Operator Good afternoon and welcome to the Benchmark Electronics Incorporated First Quarter Earnings Conference Call. All participants will be in lis ...

Benchmark Sidoti Small Cap Virtual Investor Conference Company Overview March 23, 2022 | 1 Forward-Looking 2022 Statements | 2 This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are identified as any statement that does not relate strictly to historical or current facts and may include words such as "anticipate," "believe," "intend," ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☑ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2021 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission File Number 1-10560 BENCHMARK ELECTRONICS, INC. (Exact name of registrant as specified in its charter) Texas 74-2211011 (State or other jurisdiction ...

Q4 2021 Overview - Revenue grew 21% year-over-year to $633 million[6] - Non-GAAP gross margin was 9.8% and non-GAAP operating margin was 3.8%[6] - Non-GAAP earnings increased 41% year-over-year, reaching $0.48 per share[6] Full Year 2021 Performance - Annual revenues grew 10% to $2.255 billion, exceeding the mid-term model[10, 21] - Non-GAAP earnings per share grew 42% year-over-year[10] - GAAP gross margin was 9.1%, a 60 bps increase[10, 21] - Non-GAAP diluted EPS was $1.35, a 42% increase[21] Liquidity and Capital Allocation - Positive cash net of debt of $141 million as of December 31, 2021[26] - Capital expenditures in FY21 totaled $42 million[27] - The company repurchased 1.4 million shares for $40 million in FY21[27] Q1 2022 Guidance - Net sales are expected to be between $565 million and $605 million[29] - Diluted EPS (GAAP) is projected to be $0.21 - $0.27[29] - Diluted EPS (non-GAAP) is projected to be $0.32 - $0.38[29] 2022 Sector Outlook - The company expects 10-15% growth year-over-year in the Semi-Cap sector[33] - Medical sector is anticipated to be the highest growth sector in 2022[33]

Financial Data and Key Metrics Changes - The company reported Q4 2021 revenue of $633 million, which was $48 million above the midpoint of guidance and represented a 21% year-over-year increase [10] - Non-GAAP gross margins were 9.8%, and operating margins were 3.8%, with earnings per share (EPS) of $0.48, reflecting a 41% increase from the previous year [11][12] - The cash conversion cycle improved to 69 days, a 2-day improvement over Q3 [12][44] Business Line Data and Key Metrics Changes - Medical revenues increased by 14% year-over-year, driven by demand in cardiac and respiratory care markets [30] - Semi-Cap revenues surged by 62% year-over-year, indicating strong demand for precision machining and electromechanical assembly services [31] - A&D revenues decreased by 15% year-over-year due to program transitions and lower demand in commercial aerospace [31] - Industrial revenues rose by 29% year-over-year, supported by demand improvements in oil and gas and building infrastructure [32] - Computing revenues increased by 28% year-over-year, while telco revenues grew by 16% year-over-year [33] Market Data and Key Metrics Changes - Higher-value markets accounted for 81% of Q4 revenue, while traditional markets represented 19% [32][40] - The top 10 customers contributed 49% of sales in Q4, with one customer, Applied Materials, exceeding 10% of total revenue for the year [33][41] Company Strategy and Development Direction - The company aims to grow revenue by securing new bookings exceeding $900 million for 2022, focusing on complex manufacturing and engineering capabilities [71] - Investments in sustainable infrastructure and talent are ongoing, with a commitment to ESG initiatives [26][66] - The company plans to increase the engineering attach rate from 50% to over 70% for 2022, reflecting a strategic focus on engineering alongside manufacturing [25][91] Management's Comments on Operating Environment and Future Outlook - Management indicated that demand continues to outpace supply, with over $100 million of unfulfilled demand expected to roll into future quarters [51][76] - The supply chain environment remains constrained, with no broad recovery anticipated in 2022 [15][101] - The company expects strong growth in the Medical sector, with Semi-Cap and Industrial revenues also projected to remain robust [58][60] Other Important Information - The company invested $42 million in capital expenditures in 2021 and plans to increase CapEx spending to between $50 million and $60 million in 2022 [47] - The cash balance at the end of Q4 was $272 million, with a positive cash net of debt of $141 million [46] Q&A Session Summary Question: What is the shelf life of the $100 million unfulfilled demand? - Management believes that most of the unfulfilled demand will roll into Q2, Q3, and the second half of the year [76][77] Question: Is the unfulfilled demand spread across verticals? - The unfulfilled demand is spread across various sectors, with no specific concentration [78] Question: How much of the unfulfilled demand relates to new bookings in Q4? - A mix of new bookings and unfulfilled demand from previous quarters contributes to the unfulfilled demand [86][87] Question: What pressures are being faced regarding labor and costs? - The company is experiencing a "war on talent" and is investing more in recruitment and managing inflationary costs [81][83] Question: Are customers more prone to increase outsourcing due to supply chain constraints? - Customers are seeking help with supply chain issues, but it is unclear if this will lead to increased outsourcing [96] Question: What needs to happen for supply chain improvements? - Additional capacity needs to be put in place to support the strong demand environment [102][106]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________________ to________________ | --- | --- | |---------------------------------------------------------------------------------|-------------------- ...

Benchmark Benchmark Electronics Q3-21 Earnings Results October 27, 2021 | 1 Copyright © 2021 by original author Benchmark Electronics, Inc. Not to be reproduced, distributed, or used in any means without written permission by Benchmark. Forward-Looking Statements | 2 This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended (Exchange Act). These forward-looking statements ar ...

Benchmark Electronics, Inc. (NYSE:BHE) Q3 2021 Earnings Conference Call October 27, 2021 5:00 AM ET Company Participants Lisa Weeks - Chief Strategy Officer & Head-Investor Relations Jeff Benck - Chief Executive Officer and President Roop Lakkaraju - Chief Financial Officer Conference Call Participants Jaeson Schmidt - Lake Street James Ricchiuti - Needham & Company Anja Soderstrom - Sidoti Disclaimer*: This transcript is designed to be used alongside the freely available audio recording on this page. Times ...