Arrow Electronics has reported second-quarter 2020 sales of $6.61 billion, a decrease of 10% from sales of $7.34 billion in the second quarter of 2019, and $230m ahead of expectations.
Q2 net income was $133 million, compared with a net loss of $(549) million in the second quarter of 2019
Global components second-quarter sales of $4.72 billion decreased 10% year over year. Asia-Pacific components sales increased 7% year over year.
Europe components sales plummeted 21% year over year. Americas components sales also fell 21% year over year.
Global components second-quarter operating income was $182 million.
“Arrow has again proven to be a source of reliability and stability for suppliers and customers amidst supply chain disruptions and an uncertain economic backdrop. Our efforts to expand our engineering and design expertise both prior to and during the COVID-19 pandemic are helping customers quickly get back to business,” said Michael J. Long, chairman, president, and chief executive officer. “In turn, our vital position in the technology ecosystem, and our ever-expanding capabilities drove results above our expectations.”
“Arrow is harnessing data from billions of transactions with thousands of customers to sell and deliver the products and solutions that our customers want when they need them,” added Long. “Sales were above the high end of our expectation driven by Asia that has seen a remarkable rebound in manufacturing activity due to earlier pandemic onset and recovery.” Global enterprise computing solutions second-quarter sales of $1.89 billion dropped 9% year over year.
Europe enterprise computing solutions sales decreased 6% year over year. Sales in the region, as adjusted, decreased 4% year over year.
Americas enterprise computing solutions sales decreased 11% year over year.
Global enterprise computing solutions second-quarter operating income was $73 million.
“In terms of product segments, demand remains strong for the software, cloud, and security solutions needed to enable business continuity and remote working,” said Long. “We continue to evolve our portfolio to areas with greater long-term growth potential.”
Arrow’s third quarter outlook is for consolidated sales of $6.325 billion to $6.925 billion, with global components sales of $4.675 billion to $4.975 billion, and global enterprise computing solutions sales of $1.65 billion to $1.95 billion.