Phoenix, Ariz. Avnet Inc. has reported that its quarterly revenue for the fourth quarter and fiscal year 2010, ended July 3, 2010, increased 38.5 percent year-over-year reaching a record $5.21 billion, with fiscal year 2010 revenue growing by 18.1 percent year-over-year, achieving a record $19.16 billion.
“The ‘V’shaped cyclical recovery in the technology markets we serve continued this quarter with strong top line performance across both groups and all regions, resulting in 38.5 percent year-over-year growth and record revenue,” said Roy Vallee, chairman and chief executive officer, in a statement.
“The combination of record revenue, gross profit margin expansion and productivity gains drove operating income margin up sequentially and year over year at both operating groups with the EMEA region delivering the most significant improvement. Our value-based management discipline, which connects margins with working capital velocity throughout our business, resulted in return on working capital (ROWC) and return on capital employed (ROCE) above our stated financial targets,” Vallee added.
Vallee also said demand remained strong for electronic components across all three regions, resulting in year-over-year growth of 47 percent this quarter, setting a new record for Avnet Electronics Marketing (EM). “Bookings remained strong with the book-to-bill ratio continuing at well over 1.1 to 1, which would indicate that supply has still not caught up with demand throughout the industry,” he added.
Vallee said the company is set to build on its performance in fiscal 2011 as it integrates the three acquisitions. EM sales are expected to be in the range of $3.35 billion to $3.65 billion while TS sales are expected to be between $2.25 billion and $2.55 billion, for the fiscal first quarter, ending October 2, 2010.