B2B electronics distributor Avnet reported its 2016 first quarter financials on Thursday for the period ended Oct. 3, highlighted by modest year-over-year gains in sales and profit.
The company posted Q1 sales of $6.97 billion, up 1.9 percent from Q1 2014 and up 8.4 percent in constant currency. Profit of $130.2 million was up 1.8 percent from last year. Adjusted profit of $152.9 million increased 6.1 percent.
Avnet's Electronics Marketing segment had Q1 sales of $4.47 billion, up 2.2 percent from last year and up 8.7 percent in constant currency. Operating income increased 5.1 percent to $213 million.
Avnet's Technology Solutions segment had Q1 sales of $2.50 billion, up 1.3 percent from last year and up 7.8 percent in constant currency. The company noted that excluding the estimated sales for the extra week in the first quarter, year-over-year organic sales in constant currency would have declined 1.4 percent and organic sales would have declined 7.8 percent.
"While we continue to navigate a global marketplace with mixed economic signals and a stronger dollar, we will continue to focus on expanding margins and returns while maintaining our disciplined approach to capital allocation," said Rick Hamada, Avnet CEO.
The company says Q2 sales are expected to be between $6.9 billion and $7.5 billion.