Global sales at Arrow Electronics fell 2% to $3.40bn in the second quarter. European sales took a 9% downturn, the distributor citing the prospective change in the accounting for revenue related to a fulfillment contract. Sales in the Asia-Pacific region increased 10 percent year over year, driven by strong growth in China and the ASEAN region. In the Americas, sales declined 4 per cent year over year due to ongoing market weakness amid economic uncertainty.
Global ECS second-quarter sales of $1.91bn increased 12 per cent year over year. In the Americas, sales growth was 10 per cent year over year. In Europe, sales growth, including the acquisition of Altimate was 18 per cent with broad-based strength across the region.
“We executed very well in the second quarter, with revenue at the top end of our guidance and non-GAAP earnings per share well ahead of our expectations. In our components segment, we saw each of our regions post sales above the high end of normal sequential seasonality. Our enterprise computing solutions business performed especially well, with our 14th consecutive quarter of year-over-year organic growth and operating margins at the highest level in five years,” said Michael J. Long, chairman, president, and chief executive officer. “Our differentiated value-added strategy continues to drive strong financial performance.”
Arrow’s net income for the first six months of 2013 was $167.8m compared with net income of $228.0 million in the first six months of 2012.
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