Avnet, Inc.
Company Profile
About Avnet
Information
Avnet is a FORTUNE 500 company and one of the world’s largest global distributors
of electronic components, computer products and embedded technology serving
customers in more than 120 countries. We are at the heart of the technology supply
chain, collaborating with our customers and suppliers at every stage of the technology
lifecycle, assisting them in solving business problems, creating clear roadmaps for
growth and providing cost-effective, value-added services and solutions.
Avnet key facts
•$
27.5 billion in FY14
annual revenue
» Avnet EM – $16.54B
» Avnet TS – $10.96B
Avnet’s two operating groups –
•N
amed to the FORTUNE
“World’s Most Admired
Companies®” 2015 list, our
ninth year in a row
Electronics Marketing (EM) and
•R
anked #108 on the
FORTUNE 500 in 2015
of the world: the Americas; Europe, the
Technology Solutions (TS), operate
in the three major economic regions
Middle East and Africa; and Asia Pacific.
•R
anked #1021 on the Forbes
2015 list of the World’s
Biggest Public Companies
•N
amed as a 2015 World’s
Most Ethical Company by
Ethisphere Institute
• 96 acquisitions since 1991
• 100,000+ customers
• More than 800 suppliers
• 400+ locations worldwide
•S
hips more than 30,000 line
items per day
Avnet Electronics Marketing serves electronics
Avnet Technology Solutions collaborates with
original equipment manufacturers and electronic
customers and suppliers to create and deliver
manufacturing services providers globally,
services, software and hardware solutions
distributing electronic components and embedded
that address the business needs of end-user
systems from leading manufacturers and
customers locally and around the world.
providing design-chain and supply-chain services.
Q3 Fiscal Year 2015 Financial Results
Avnet‘s executive
leadership team
• Sales increased 0.8% Y/Y (up 7.0% in CC*), to $6.7 billion with both operating
groups contributing toward this growth.
Avnet, Inc.:
• Adjusted operating income increased 3.0% Y/Y to $230.4 million and operating
income margin increased 7 basis points to 3.4%.
• Adjusted diluted earnings per share increased 1.0% Y/Y to $1.04.
Rick Hamada
• Avnet’s ROWC increased 75 basis points Y/Y and ROCE was up 36 basis points
primarily due to an increase at TS.
Chief Executive Officer
• Cash generated from operations was $60.1 million in FQ3 and $318.1 million for
the trailing twelve months.
• Paid a quarterly cash dividend of $0.16 per share or $21.7 million, and has paid
$65.6 million fiscal year to date.
Kevin Moriarty
• Repurchased $38.8 million worth of stock or 925,000 shares and through the first
nine months of the fiscal year, the Company has repurchased $147.6 million worth
of stock. At the end of the quarter, the Company had approximately $318 million
remaining in the authorized share repurchase program.
Chief Financial Officer
Gerry Fay
• Sales grew 2.1% Y/Y to $4.2 billion (up 8.7% in CC) with all three regions
contributing toward this growth in constant currency.
Avnet
Electronics
Marketing:
President, Avnet
Electronics Marketing
• Sequential organic sales decreased 1.9% in CC; below normal seasonality of +4%
to +7% primarily due to the expected decline in select high volume supply chain
engagements in Asia.
• Operating income margin of 4.7% was essentially flat from the year ago quarter
primarily due to the geographic mix shift as the higher margin EMEA region
represented a lower percentage of total EM after translating their results in U.S.
Dollars and the negative impact of higher mix of sales from select high volume
supply chain engagements in Asia. OI% increased 36 basis points sequentially
primarily due to an improvement in EMEA.
Patrick Zammit
President, Avnet
Technology Solutions
MaryAnn Miller
• Sales decreased 1.3% Y/Y to $2.5 billion (up 4.3% in CC). The decline was primarily
due to the translation impact of the strong U.S. Dollar and a decline in the
computing components business.
Avnet
Technology
Solutions:
Chief Human Resources Officer
and Corporate Communications
• Operating income margin increased 32 basis points Y/Y to 2.7% primarily due to
improvements in the Americas.
Erin Lewin
• Y/Y growth in software, storage, and networking and security, was offset by
declines in computing components.
General Counsel
See CFO report at http://ir.avnet.com/results.cfm for complete details.
*CC = Constant Currency
Steve Phillips
Chief Information Officer
FQ3 2015
FQ3 2014
% Change
4,220
2,517
$6,737
4,133
2,551
$6,684
2.1%
-1.3%
0.8%
Operating Income*
EM
TS
Corporate
Total
197
68
- 35
$230
193
61
- 30
$224
2.0%
11.8%
–
3.0%
Net Income*
Diluted Earnings Per Share
143
$1.04
144
$1.03
-0.4%
1.0%
Revenue*
EM
TS
Total
Mike Buseman
Chief Global Logistics
and Operations Officer
*Revenue, Op Income and Net Income in millions. Note: Op Income, Net Income and EPS do not include restructuring, integration,
amortization of intangibles and other items.
Note: Percent (%) changes may not foot due to rounding.
Key financial metrics
Revenue
($ in Billions)
$7.6
$7.0
$6.6
$6.2
$5.8
$5.4
$5.0
$4.6
$4.2
$3.8
$3.4
$3.0
GAAP EPS
Adjusted EPS
Sales by region
Q3 FY15
$1.6
$1.4
$1.2
31.0%
39.8%
Asia
$6.7
Americas
Billion
Q3
Q4
Q1
Q2
FY13
Q3
FY14
Q4
Q1
Q2
Q3
29.2%
EMEA
$1.0
$0.8
$0.6
$0.4
$0.2
$0.0
Q3
Q4
FY13
FY15
Investor Relations
Vince Keenan
Vice President and Director
Global Press Contact
Joal Redmond
Vice President, Public Relations
World Headquarters
2211 South 47th Street
Phoenix, AZ 85034
480-643-7053
[email protected]
480-643-5528
[email protected]
For additional information,
please visit www.ir.avnet.com
Q1
Q2
Q3
FY14
Q4
Q1
Q2
Q3
FY15
www.avnet.com
© 2015 Avnet, Inc. All rights reserved. REV: 4/23/15