Electrocomponents says sales will be flat when it reports its end year results.
The distribution group issued an interim statement today which showed sales growing 1% in Q4. Surprisingly given the difficult economic background Continental Europe has fared best growing sales 2% in Q4 and 1% over the full year. North America sales will be flat in Q4 having declined 3% in the year. Asia/Pacific sales are expected to be flat for the year, but declined 2% in Q4. Those numbers will leave international sales down 1% for the year and up 1% in the last quarter.
The voracious demand for the Raspberry Pi computer will drive UK sales up 4% with a 1% uptick in Q4. Stripped of the Raspberry Pi phenomenon, UK sales grew 1% in the year and fell 1% in Q4.
eCommerce sales grew 8% in the fourth quarter representing 57% of total sales.
“Our initiatives to drive sales growth and increase operating margins led to a significant improvement in performance in the second half,” commented Ian Mason Group Chief Executive.
I am pleased with the progress we have made implementing the new global organisation structure. This structure will enable the development of a truly global product offer and the formation of a single global marketing approach. Over time this should drive faster customer acquisition and allow us to accelerate the implementation of our strategic initiatives. With a strong balance sheet and leading global market positions, we believe the Group is well placed to take advantage of the structural growth opportunities that exist in our markets.”