0000008858false00000088582023-05-032023-05-03

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

__________________

FORM 8-K

CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

__________________

Date of Report (Date of earliest event reported)    May 3, 2023

AVNET, INC.

(Exact name of registrant as specified in its charter)

New York

 

1-4224

 

11-1890605

(State or other jurisdiction

 

(Commission

 

(IRS Employer

of incorporation)

 

File Number)

 

Identification No.)

2211 South 47th Street, Phoenix, Arizona

 

85034

(Address of principal executive offices)

 

(Zip Code)

(480) 643-2000

(Registrant’s telephone number, including area code.)

N/A

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered or to be registered pursuant to Section 12(b) of the Act:

Title of each class

 

Trading Symbol

 

Name of each exchange on which registered:

Common stock, par value $1.00 per share

 

AVT

 

NASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02     Results of Operations and Financial Condition.

On May 3, 2023, Avnet, Inc. (the “Company”) issued a press release announcing its third quarter results of operations for fiscal 2023. A copy of the press release is attached hereto as Exhibit 99.1.

The information in this Current Report on Form 8-K and the exhibit attached hereto are being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933 except as shall be expressly set forth in such filing.

Item 9.01     Financial Statements and Exhibits.

(d) Exhibits.

The following materials are attached as exhibits to this Current Report on Form 8-K:

Exhibit
Number

   

Description

 

 

 

99.1

 

Press Release, dated May 3, 2023.

104

Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: May 3, 2023

AVNET, INC.

By:

/s/ Kenneth A. Jacobson

Name: Kenneth A. Jacobson

Title: Chief Financial Officer

Exhibit 99.1

Graphic

Avnet Reports Third Quarter Fiscal 2023 Financial Results

Third quarter sales of $6.5 billion and diluted EPS of $2.03 exceeded guidance

Electronic Components achieved operating margin of 5.0%

PHOENIX – May 3, 2023 Avnet, Inc. (Nasdaq: AVT) today announced results for its third quarter ended April 1, 2023.

Commenting on the Company’s financial results, Avnet Chief Executive Officer Phil Gallagher stated, “I am pleased with our results this quarter as our team delivered another quarter of year-over-year sales and operating margin growth. We delivered record quarterly operating income in our Electronic Components business to help us achieve our stated goal of 5% operating margin. I am proud of our team’s dedication and commitment to continuously execute and deliver value to our customer and supplier partners.”

Fiscal Third Quarter Key Financial Highlights:

Sales of $6.5 billion up 0.4% year over year from $6.5 billion.
oOn a constant currency basis, sales increased 3.4% year over year.
Diluted earnings per share increased to $2.03, compared with $1.84 in the prior year quarter.
oAdjusted diluted earnings per share of $2.00, compared with $2.15 in the prior year quarter.
oHigher interest expense and foreign currency exchange rates negatively impacted year over year adjusted diluted earnings per share by $0.37 and $0.09, respectively.
Operating income margin of 4.8%, increased 58 basis points year over year.
oAdjusted operating income margin of 4.8%, increased 15 basis points year over year.
oYear over year adjusted operating income grew more than two times greater than sales in constant currency.
Electronic Components operating income margin of 5.0%, increased 64 basis points year over year, and increased 34 basis points sequentially.
Farnell operating income margin of 9.0% was flat sequentially.
Generated $18.3 million of cash flow from operations during the quarter.
Returned $26.5 million to shareholders in dividends during the quarter.


Key Financial Metrics

($ in millions, except per share data)

Third Quarter Results (GAAP)

Mar – 23

   

Mar – 22

   

Change Y/Y

   

Dec – 22

   

Change Q/Q

Sales

$

6,514.6

$

6,488.1

0.4

%

$

6,717.5

(3.0)

%

Operating Income

$

313.6

$

274.4

14.3

%

$

299.0

4.9

%

Operating Income Margin

4.8

%

4.2

%

58

bps

4.5

%

36

bps

Diluted Earnings Per Share (EPS)

$

2.03

$

1.84

10.3

%

$

2.63

(22.8)

%

Third Quarter Results (Non-GAAP)(1)

Mar – 23

   

Mar – 22

   

Change Y/Y

   

Dec – 22

   

Change Q/Q

Adjusted Operating Income

$

314.5

$

303.7

3.5

%

$

300.5

4.7

%

Adjusted Operating Income Margin

4.8

%

4.7

%

15

bps

4.5

%

36

bps

Adjusted Diluted Earnings Per Share (EPS)

$

2.00

$

2.15

(7.0)

%

$

2.00

-

%

Segment and Geographical Mix

Mar – 23

   

Mar – 22

   

Change Y/Y

Dec – 22

   

Change Q/Q

Electronic Components (EC) Sales

$

6,059.6

$

6,019.1

0.7

%

$

6,309.5

(4.0)

%

EC Operating Income Margin

5.0

%

4.4

%

64

bps

4.7

%

34

bps

Farnell Sales

$

455.0

$

469.0

(3.0)

%

$

408.0

11.5

%

Farnell Operating Income Margin

9.0

%

14.9

%

(589)

bps

9.0

%

(5)

bps

Americas Sales

$

1,714.9

$

1,627.2

5.4

%

$

1,681.2

2.0

%

EMEA Sales

$

2,393.4

$

2,185.7

9.5

%

$

2,255.9

6.1

%

Asia Sales

$

2,406.3

$

2,675.2

(10.1)

%

$

2,780.4

(13.5)

%


(1)A reconciliation of non-GAAP financial measures to GAAP financial measures is presented in the “Non-GAAP Financial Information” section of this press release.

Outlook for the Fourth Quarter of Fiscal 2023 Ending on July 1, 2023

    

Guidance Range

    

Midpoint

Sales

$6.10B – $6.40B

$6.25B

Adjusted Diluted EPS

$1.60 – $1.70

$1.65

The above guidance is based upon current market conditions and implies a sequential growth rate range of down 1% to 6% and assumes below seasonal changes in sales across all regions.

The above guidance also excludes restructuring, integration and other expenses, amortization of intangibles, gains on legal settlements and certain income tax adjustments. The above guidance assumes similar interest expense to the third quarter and an effective tax rate of between 22% and 26%. The above guidance assumes 93 million average diluted shares outstanding and average currency exchange rates as shown in the table below:

Q4 Fiscal

2023

Q3 Fiscal

Q4 Fiscal

Guidance

    

2023

    

2022

Euro to U.S. Dollar

$1.10

$1.07

$1.06

GBP to U.S. Dollar

$1.25

$1.21

$1.26



Today’s Conference Call and Webcast Details

Avnet will host a conference call and webcast today at 1:30 p.m. PT / 4:30 p.m. ET to discuss its financial results, provide a business update and answer questions.

Live conference call: 877-407-8112 (domestic) or 201-689-8840 (international)
Conference call replay available through May 10, 2023: 877-660-6853 or 201-612-7415 and using Conference ID: 13737419
Live and archived webcast can be accessed via Avnet’s Investor Relations web page at: https://ir.avnet.com

Forward-Looking Statements

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the financial condition, results of operations and business of the Company. You can find many of these statements by looking for words like “believes,” “projected”, “plans,” “expects,” “anticipates,” “should,” “will,” “may,” “estimates” or similar expressions. These forward-looking statements are subject to numerous assumptions, risks and uncertainties. The following important factors, in addition to those discussed elsewhere in the Company’s Annual Report on Form 10-K for the fiscal year ended July 2, 2022 and subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, could affect the Company’s future results of operations, and could cause those results or other outcomes to differ materially from those expressed or implied in the forward-looking statements: geopolitical events and military conflicts; pandemics and other health-related crises, including COVID-19; competitive pressures among distributors of electronic components; an industry down-cycle in semiconductors, including supply shortages; relationships with key suppliers and allocations of products by suppliers, including increased non-cancellable/non-returnable orders; accounts receivable defaults; risks relating to the Company’s international sales and operations, including risks relating to the ability to repatriate cash, foreign currency fluctuations, inflation, duties and taxes, sanctions and trade restrictions, and compliance with international and U.S. laws; risks relating to acquisitions, divestitures and investments; adverse effects on the Company’s supply chain, operations of its distribution centers, shipping costs, third-party service providers, customers and suppliers, including as a result of issues caused by military conflicts, terrorist attacks, natural and weather-related disasters, pandemics and health related crises, warehouse modernization, and relocation efforts; risks related to cyber security attacks, other privacy and security incidents and information systems failures, including related to current or future implementations, integrations and upgrades; general economic and business conditions (domestic, foreign and global) affecting the Company’s operations and financial performance and, indirectly, the Company’s credit ratings, debt covenant compliance, liquidity and access to financing; constraints on employee retention and hiring; and legislative or regulatory changes.


Any forward-looking statement speaks only as of the date on which that statement is made. Except as required by law, the Company assumes no obligation to update any forward-looking statement to reflect events or circumstances that occur after the date on which the statement is made.

About Avnet

As a leading global technology distributor and solutions provider, Avnet has served customers’ evolving needs for an entire century. We support customers at each stage of a product’s lifecycle, from idea to design and from prototype to production. Our unique position at the center of the technology value chain enables us to accelerate the design and supply stages of product development so customers can realize revenue faster. Decade after decade, Avnet helps its customers and suppliers around the world realize the transformative possibilities of technology. Learn more about Avnet at www.avnet.com. (AVT_IR)

Investor Relations Contact

InvestorRelations@Avnet.com

Media Relations Contact

Jeanne Forbis, 480-643-7499

Jeanne.Forbis@Avnet.com


AVNET, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(UNAUDITED)

Third Quarters Ended

Nine Months Ended

 

    

April 1,

    

April 2,

    

April 1,

    

April 2,

 

2023

2022

2023

2022

 

(Thousands, except per share data)

 

Sales

$

6,514,619

$

6,488,143

$

19,982,273

$

17,938,055

Cost of sales

 

5,702,771

 

5,675,110

 

17,618,151

 

15,752,295

Gross profit

 

811,848

 

813,033

 

2,364,122

 

2,185,760

Selling, general and administrative expenses

 

498,219

 

512,364

 

1,460,984

 

1,499,904

Russian-Ukraine conflict related expenses

 

26,261

 

 

26,261

Restructuring, integration and other expenses

 

 

 

 

5,272

Operating income

 

313,629

 

274,408

 

903,138

 

654,323

Other income (expense), net

 

1,653

 

(469)

 

3,452

 

858

Interest and other financing expenses, net

 

(71,695)

 

(25,914)

 

(175,813)

 

(70,388)

Gain on legal settlements

 

 

61,705

 

Income before taxes

 

243,587

 

248,025

 

792,482

 

584,793

Income tax expense

 

56,161

 

64,608

 

176,910

 

139,237

Net income

$

187,426

$

183,417

$

615,572

$

445,556

Earnings per share:

Basic

$

2.05

$

1.86

$

6.67

$

4.50

Diluted

$

2.03

$

1.84

$

6.58

$

4.44

Shares used to compute earnings per share:

Basic

 

91,436

 

98,659

 

92,226

 

99,113

Diluted

 

92,456

 

99,486

 

93,616

 

100,296

Cash dividends paid per common share

$

0.29

$

0.26

$

0.87

$

0.74


AVNET, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

    

April 1,

    

July 2,

 

2023

2022

 

(Thousands)

 

ASSETS

Current assets:

Cash and cash equivalents

$

185,937

$

153,693

Receivables

 

4,670,636

 

4,301,002

Inventories

 

5,354,009

 

4,244,148

Prepaid and other current assets

 

232,956

 

177,783

Total current assets

 

10,443,538

 

8,876,626

Property, plant and equipment, net

 

400,320

 

315,204

Goodwill

 

770,906

 

758,833

Operating lease assets

222,852

227,138

Other assets

 

271,694

 

210,731

Total assets

$

12,109,310

$

10,388,532

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:

Short-term debt

$

76,335

$

174,422

Accounts payable

 

3,136,862

 

3,431,683

Accrued expenses and other

704,684

591,020

Short-term operating lease liabilities

 

51,869

 

54,529

Total current liabilities

 

3,969,750

 

4,251,654

Long-term debt

 

3,032,864

 

1,437,400

Long-term operating lease liabilities

192,519

199,418

Other liabilities

 

278,576

 

307,300

Total liabilities

7,473,709

6,195,772

Shareholders’ equity

 

4,635,601

 

4,192,760

Total liabilities and shareholders’ equity

$

12,109,310

$

10,388,532


AVNET, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

Nine Months Ended

 

    

April 1, 2023

    

April 2, 2022

 

(Thousands)

 

Cash flows from operating activities:

Net income

$

615,572

$

445,556

Non-cash and other reconciling items:

Depreciation

 

59,870

 

65,719

Amortization

 

5,169

 

12,034

Amortization of operating lease assets

39,962

 

40,298

Deferred income taxes

 

(11,053)

 

1,423

Stock-based compensation

 

30,057

 

28,638

Other, net

 

7,986

 

47,667

Changes in (net of effects from businesses acquired and divested):

Receivables

 

(320,097)

 

(880,957)

Inventories

 

(1,033,381)

 

(549,999)

Accounts payable

 

(331,352)

 

628,822

Accrued expenses and other, net

 

(10,974)

 

141,381

Net cash flows used for operating activities

 

(948,241)

 

(19,418)

Cash flows from financing activities:

Issuance of notes, net of discounts

498,615

Borrowings under accounts receivable securitization, net

 

261,000

 

57,400

Borrowings under senior unsecured credit facility, net

 

763,991

 

Borrowings (repayments) under bank credit facilities and other debt, net

(90,256)

117,982

Repurchases of common stock

 

(221,282)

 

(88,952)

Dividends paid on common stock

 

(79,807)

 

(73,253)

Other, net

(9,814)

(16,853)

Net cash flows provided by (used for) financing activities

 

1,122,447

 

(3,676)

Cash flows from investing activities:

Purchases of property, plant and equipment

 

(137,804)

 

(33,679)

Proceeds from liquidation of Company owned life insurance policies

84,343

Other, net

 

(16,326)

 

724

Net cash flows (used) provided by investing activities

 

(154,130)

 

51,388

Effect of currency exchange rate changes on cash and cash equivalents

 

12,168

 

(28,528)

Cash and cash equivalents:

— increase (decrease)

32,244

(234)

— at beginning of period

 

153,693

 

199,691

— at end of period

$

185,937

$

199,457


Non-GAAP Financial Information

In addition to disclosing financial results that are determined in accordance with generally accepted accounting principles in the United States (“GAAP”), the Company also discloses certain non-GAAP financial information including (i) adjusted operating income, (ii) adjusted operating expenses, (iii) adjusted other income (expense), (iv) adjusted income before income taxes, (v) adjusted income tax expense (benefit), and (vi) adjusted diluted earnings per share.

There are also references to the impact of foreign currency in the discussion of the Company’s results of operations. When the U.S. Dollar strengthens and the stronger exchange rates of the current year are used to translate the results of operations of Avnet’s subsidiaries denominated in foreign currencies, the resulting impact is a decrease in U.S. Dollars of reported results. Conversely, when the U.S. Dollar weakens and the weaker exchange rates of the current year are used to translate the results of operations of Avnet’s subsidiaries denominated in foreign currencies, the resulting impact is an increase in U.S. Dollars of reported results. In the discussion of the Company’s results of operations, results excluding this impact are referred to as “constant currency.” Management believes sales in constant currency is a useful measure for evaluating current period performance as compared with prior periods and for understanding underlying trends. In order to determine the translation impact of changes in foreign currency exchange rates on sales, income or expense items for subsidiaries reporting in currencies other than the U.S. Dollar, the Company adjusts the average exchange rates used in current periods to be consistent with the average exchange rates in effect during the comparative period.

Management believes that operating income and operating expenses adjusted for restructuring, integration and other expenses, and amortization of acquired intangible assets and other, are useful measures to help investors better assess and understand the Company’s operating performance. This is especially the case when comparing results with previous periods or forecasting performance for future periods, primarily because management views the excluded items to be outside of Avnet’s normal operating results or non-cash in nature. Management analyzes operating income and operating expenses without the impact of these items as an indicator of ongoing margin performance and underlying trends in the business. Management also uses these non-GAAP measures to establish operational goals and, in most cases, for measuring performance for compensation purposes. Management measures operating income for its reportable segments excluding restructuring, integration and other expenses, Russian-Ukraine conflict related expenses and amortization of acquired intangible assets and other.

Additional non-GAAP metrics management uses is adjusted operating income margin, which is defined as adjusted operating income (as defined above) divided by sales.

Management also believes income tax expense (benefit), net income and diluted earnings per share adjusted for the impact of the items described above, gain on legal settlements, and certain items impacting other income (expense) and income tax expense (benefit) are useful to investors because they provide a measure of the Company’s net profitability on a more comparable basis to historical periods and provide a more meaningful basis for forecasting future performance. Adjustments to income tax expense (benefit) and the effective income tax rate include the effect of changes in tax laws, certain changes in valuation allowances and unrecognized tax benefits, income tax audit settlements and adjustments to the adjusted interim effective tax rate based upon the expected annual adjusted effective tax rate. Additionally, because of management’s focus on generating shareholder value, of which net profitability is a primary driver, management believes net income and diluted earnings per


share excluding the impact of these items provides an important measure of the Company’s net profitability for the investing public.

Any analysis of results and outlook on a non-GAAP basis should be used as a complement to, and in conjunction with, results presented in accordance with GAAP.

Fiscal

Quarters Ended

Year to Date

April 1,

December 31,

October 1,

 

2023*

  

2023

  

2022

  

2022

($ in thousands, except per share amounts)

GAAP selling, general and administrative expenses

$

1,460,984

$

498,219

$

485,127

$

477,636

Amortization of intangible assets and other

(5,175)

(876)

(1,541)

(2,759)

Adjusted operating expenses

1,455,809

497,343

483,586

474,877

GAAP operating income

$

903,138

$

313,629

$

298,973

$

290,537

Amortization of intangible assets and other

5,175

876

1,541

2,759

Adjusted operating income

908,313

314,505

300,514

293,296

GAAP income before income taxes

$

792,482

$

243,587

$

303,134

$

245,762

Amortization of intangible assets and other

5,175

876

1,541

2,759

Gain on legal settlements

(61,705)

-

(61,705)

-

Adjusted income before income taxes

735,952

244,463

242,970

248,521

GAAP income tax expense

$

176,910

$

56,161

$

59,248

$

61,501

Amortization of intangible assets and other

1,153

203

345

605

Gain on legal settlements

(14,539)

-

(14,539)

-

Income tax expense items, net

10,870

3,529

12,287

(4,946)

Adjusted income tax expense

174,394

59,893

57,341

57,160

GAAP net income

$

615,572

$

187,426

$

243,886

$

184,261

Amortization of intangible assets and other (net of tax)

4,022

673

1,196

2,154

Gain on legal settlements (net of tax)

(47,166)

-

(47,166)

-

Income tax expense items, net

(10,870)

(3,529)

(12,287)

4,946

Adjusted net income

561,558

184,570

185,629

191,361

GAAP diluted earnings per share

$

6.58

$

2.03

$

2.63

$

1.93

Amortization of intangible assets and other (net of tax)

0.04

0.01

0.01

0.02

Gain on legal settlements (net of tax)

(0.50)

-

(0.51)

-

Income tax expense items, net

(0.12)

(0.04)

(0.13)

0.05

Adjusted diluted EPS

6.00

2.00

2.00

2.00


* May not foot/cross foot due to rounding.


Quarters Ended

Fiscal Year

July 2,

April 2,

January 1,

October 2,

 

2022*

  

2022*

2022*

2022*

2021*

($ in thousands, except per share amounts)

GAAP selling, general and administrative expenses

$

1,994,847

$

494,943

$

512,364

$

501,363

$

486,178

Amortization of intangible assets and other

(15,038)

(2,929)

(3,074)

(3,796)

(5,239)

Adjusted operating expenses

1,979,809

492,014

509,290

497,567

480,939

GAAP operating income

$

939,011

$

284,688

$

274,408

$

211,672

$

168,243

Restructuring, integration and other expenses

5,272

-

-

-

5,272

Russian-Ukraine conflict related expenses

26,261

-

26,261

-

-

Amortization of intangible assets and other

15,038

2,929

3,074

3,796

5,239

Adjusted operating income

985,582

287,617

303,743

215,468

178,754

GAAP income before income taxes

$

833,334

$

248,541

$

248,025

$

191,779

$

144,990

Restructuring, integration and other expenses

5,272

-

-

-

5,272

Russian-Ukraine conflict related expenses

26,261

-

26,261

-

-

Amortization of intangible assets and other

15,038

2,929

3,074

3,796

5,239

Other expenses

4,935

4,494

-

-

441

Adjusted income before income taxes

884,840

255,964

277,360

195,575

155,942

GAAP income tax expense

$

140,955

$

1,718

$

64,608

$

40,958

$

33,672

Restructuring, integration and other expenses

1,012

-

-

-

1,012

Russian-Ukraine conflict related expenses

6,836

-

6,836

-

-

Amortization of intangible assets and other

3,080

711

667

704

998

Other expenses

1,092

956

-

-

136

Income tax benefit (expense) items, net

40,376

49,142

(8,613)

2,917

(3,070)

Adjusted income tax expense

193,351

52,527

63,498

44,579

32,748

GAAP net income

$

692,379

$

246,823

$

183,417

$

150,821

$

111,318

Restructuring, integration and other expenses (net of tax)

4,260

-

-

-

4,260

Russian-Ukraine conflict related expenses (net of tax)

19,425

-

19,425

-

-

Amortization of intangible assets and other (net of tax)

11,958

2,218

2,407

3,092

4,241

Other expenses (net of tax)

3,843

3,538

-

-

305

Income tax (benefit) expense items, net

(40,376)

(49,142)

8,613

(2,917)

3,070

Adjusted net income

691,489

203,437

213,862

150,996

123,194

GAAP diluted earnings per share

$

6.94

$

2.51

$

1.84

$

1.50

$

1.10

Restructuring, integration and other expenses (net of tax)

0.04

-

-

-

0.04

Russian-Ukraine conflict related expenses (net of tax)

0.19

-

0.20

-

-

Amortization of intangible assets and other (net of tax)

0.12

0.02

0.02

0.03

0.04

Other expenses (net of tax)

0.04

0.04

-

-

0.00

Income tax (benefit) expense items, net

(0.40)

(0.50)

0.09

(0.03)

0.03

Adjusted diluted EPS

6.93

2.07

2.15

1.51

1.22


* May not foot/cross foot due to rounding and differences in average diluted shares between quarterly periods compared to the fiscal year.


Sales in Constant Currency

The following table presents reported sales growth rates and sales growth rates in constant currency for the third quarter and first nine months of fiscal 2023 compared to the third quarter and first nine months of fiscal 2022.

Quarter Ended

Nine Months Ended

Sales

Sales

Year-Year %

Sales Sequential %

Year-Year %

Sales

Change in

Sales

Change in

Sales

Change in

Year-Year

Constant

Sequential

Constant

Year-Year

Constant

    

% Change

    

Currency

    

% Change

    

Currency

    

% Change

    

Currency

Avnet

0.4

%

3.4

%

 

(3.0)

%

 

(5.0)

%

11.4

%

17.1

%

Avnet by region

Americas

5.4

%

5.4

%

 

2.0

%

 

2.0

%

18.6

%

18.6

%

EMEA

9.5

15.4

 

6.1

 

1.4

17.4

30.6

Asia

(10.1)

(8.0)

 

(13.5)

 

(14.4)

3.1

6.1

Avnet by segment

EC

0.7

%

3.5

%

 

(4.0)

%

 

(5.9)

%

12.8

%

18.4

%

Farnell

(3.0)

1.4

 

11.5

 

8.7

(5.6)

1.0

Historical Segment Financial Information

Quarters Ended

Fiscal

Third Quarter

Second Quarter

First Quarter

Year to Date

April 1,

December 31,

October 1,

2023*

  

2023

  

2022

  

2022

(in millions)

Sales:

Electronic Components

$

18,693.4

$

6,059.6

$

6,309.5

$

6,324.2

Farnell

1,288.9

455.0

408.0

425.9

Avnet sales

$

19,982.3

$

6,514.6

$

6,717.5

$

6,750.1

Operating income:

Electronic Components

$

869.2

$

305.2

$

296.7

$

267.3

Farnell