Ingram Micro Posts Lower Q3 Sales

TWICE Staff -- TWICE, 10/30/2009

Santa Ana, Calif. - Ingram Micro reported 11 percent lower sales and relatively flat net income for its third quarter which ended Oct. 3.

The distributor reported worldwide sales for the third quarter of $7.38 billion, an 11 percent decrease from $8.28 billion in the 2008 third quarter. On a sequential basis, worldwide sales increased 12 percent from the 2009 second quarter. The translation impact of foreign currencies had an approximate three percent negative effect on the year-over-year comparison and a three percent positive impact on the sequential quarterly comparison.

Net income for the quarter was $42.3 million compared with the prior year's net income of $46.4 million.

Regionally third-quarter sales continued to be impacted by the weakened global economies coupled with internal efforts to adjust the business mix toward more profitable accounts. On a sequential basis, however, sales in every region performed better than historical seasonal norms due to a more favorable demand environment, the translation impact of stronger foreign currencies, and our efforts to expand market opportunities, the distributor said.

North America sales were $3.22 billion (44 percent of total sales) vs. $3.59 billion reported a year ago, reflecting a 10 percent decrease. On a sequential basis, North American sales increased 17 percent.