Procurement Pro takes a look at the top news stories from May 2025.
Arrow outperforms estimates in Q1
Arrow Electronics Q1 revenues came in ahead of forecast at $6.81 billion, a decline of 2% year on year.
“I am pleased we delivered both consolidated and segment revenue, as well as earnings per share, that exceeded our guidance ranges,” said Sean Kerins (pictured), Arrow’s President and Chief Executive Officer. “The relative outperformance was primarily driven by EMEA’s momentum in both segments, a healthy contribution from our value-added offerings, and continued performance in our ECS business.”
In Arrow’s global components business, “all three regions performed ahead of normal seasonal trends. Additionally, we saw sequential improvement in industrial markets, resilience in transportation, and solid IP&E results,” added Kerins.
Arm tops $1 billion in record quarter
Arm revenues topped $1 billion in a quarter for the first time in its history.
“It marked a record breaking close to a strong year for Arm, driven by strong demand for power efficient AI compute from Cloud to Edge,” said Rene Haas, ARM’s CEO (pictured).
For the full year, Arm’s revenue topped $4 billion and royalty revenue surpassed $2 billion also a first.
“We delivered record royalty of $670 million this quarter, reflecting the growing value of every chip shipped with ARM inside.”
Licensing revenue hit an all-time high of $634,000,000 driven by new deals, including a multi-year AI partnership.
US & China suspend majority of tariffs in 90-day deal
The United States and China announced a bilateral agreement to ease trade tensions by suspending a substantial portion of recently imposed tariffs, marking a step toward stabilising relations between the world’s two largest economies.
In a joint statement, the two governments acknowledged the global importance of their economic ties and committed to a “sustainable, long-term, and mutually beneficial” trade relationship. The deal followed a series of discussions aimed at addressing long-standing concerns on both sides.
Avnet Abacus announces new President
Avnet Abacus announced that Mario Merino will be appointed as President of Avnet Abacus, effective 1st July 2025. He will succeed Rudy Van Parijs, who is set to retire at the end of Avnet’s 2025 fiscal year after more than three decades with the company.
Rudy Van Parijs has played a pivotal role in Avnet Abacus’ success since taking on the presidency in 2018. Under his leadership, the company doubled its revenue and strengthened its position in the market, expanding its network share among key suppliers. His strategic vision and dedication have left the company in an excellent position for continued growth.
Wolfspeed prepares to file for bankruptcy
US semiconductor manufacturer Wolfspeed is reportedly preparing to file for Chapter 11 bankruptcy protection within weeks, as the company contends with a mounting $6.5 billion debt burden.
The development, reported by The Wall Street Journal, has prompted a sharp market response, with Wolfspeed shares falling by more than 57% in after-hours trading.
The North Carolina-based company has been under sustained pressure from softening demand in the industrial and automotive sectors, compounded by tariff-related uncertainty. According to the report, Wolfspeed is working to finalise a bankruptcy plan that would include the backing of a majority of its creditors.
NVIDIA reports $44.1 billion in Q1 revenue
NVIDIA posted revenue of $44.1 billion for the first quarter. This represented a 12% increase on the previous quarter and a 69% jump compared to the same period last year.
However, the quarter was not without significant challenges. On 9th April 2025, the US government informed NVIDIA that exports of its H20 AI products to China would require a new licence. This development led to a substantial $4.5 billion charge associated with excess inventory and purchase obligations for H20, following a sharp drop in demand. Prior to the restrictions, NVIDIA reported $4.6 billion in H20-related sales during the quarter, but the new controls prevented the shipment of an additional $2.5 billion in revenue.
