Avnet Q1 sales edged ahead 0.7% sequentially to $5.6 billion on the back of a strong performance in the Asia region.
Sales declined 11.6% from $6.3 billion year on year.
“In the first quarter, our sales and earnings exceeded the upper end of our guidance range led by a return to growth in our Asia region. We continue to focus on improving the performance of our Farnell business and remain committed to improving its operating model and profitability,” said Avnet Chief Executive Officer Phil Gallagher (pictured). “Despite uneven market conditions, our team continues to operate effectively, and I want to thank them for their execution and for maintaining collaborative relationships with our customers and suppliers. Their efforts position us well to capitalize on profitable growth opportunities as the market recovers.”
Global electronic sales fell 11.1% year on year to $5.25 billion, but grew 1.3% sequentially.
Farnell Q1 sales dropped 17.6% year on year and 7.5% sequentially to $347 million.
Regionally Asia took the plaudits posting sales of $2.6 billion an advance of 6.2% year on year and 13.9% sequentially.
EMEA had a tougher quarter. Sales of $1.66 billion were down 27.7% year on year and 13.1% sequentially.
Sales in the Americas declined 15.5% year on year and 1.8% sequentially to $1.33 billion.
End market advances were propelled by aerospace and defence and compute sectors.
The company described lead times as “generally stable”, while the book to bill remains below parity at the end of Q1.
Avnet’s Q2 outlook is for sales between $5.4 billion to $5.7 billion.
Avnet says this implies a sequential change of sales up approximately 2% to down approximately 4%, including flattish sales in electronic components.
It also assumes Farnell’s financial performance is consistent with Q1
