Avnet, Inc. (Nasdaq: AVT) today announced results for its first quarter ended October 2, 2021. Highlights include:
- First quarter sales of $5.6 billion, up 18.2% year over year with diluted EPS of $1.10
- First quarter adjusted diluted EPS of $1.22
- Electronic Components and Farnell operating margins increased to 3.2% and 10.9%, respectively
Commenting on the Company’s financial results, Avnet Chief Executive Officer Phil Gallagher stated, “Building upon our solid performance in fiscal 2021, we were pleased to start off fiscal 2022 with a strong first quarter. We delivered another consecutive quarter of record sales in both our Electronic Components and Farnell businesses and reached our respective short-term operating margin targets of 3% and 10%. We are continuing to strengthen Avnet’s position through driving execution and accelerating the growth of our higher margin Farnell business, while also working closely with our supplier partners to balance supply and demand across the supply chain. We expect the current market environment to extend well into calendar year 2022 and will continue to help our customers navigate component availability challenges by serving as a vital link at the center of the technology supply chain. As we look ahead to the next quarter, we expect to benefit from continued operating improvements to our business and strong market demand to deliver results in line with our fiscal first quarter performance.”
Fiscal First Quarter Key Financial Highlights:
- Sales of $5.6 billion, up from $5.2 billion in the prior quarter and exceeding guidance.
- On a constant currency basis, sales grew 17.5% year over year and 7.6% sequentially.
- Organic sales increased by 33.7% on a year over year basis, after adjusting for the impact of TI sales and the extra week of sales in the first quarter of FY21.
- GAAP diluted earnings per share of $1.10, compared with a GAAP diluted earnings per share of $0.85 in the prior quarter.
- Non-GAAP adjusted diluted earnings per share of $1.22, compared with $1.12 in the prior quarter.
- Farnell operating margins increased sequentially 263 basis points to 10.9%.
- Electronic Components operating margins increased sequentially 8 basis points to 3.2%.
- Returned $23.9 million to shareholders in dividends and reinitiated the company’s share repurchase program.
Avnet's full release and financial tables can be found here.