Farnell sets new revenue record of $1.8 billion
Avnet announced results for its fourth quarter ending 2 July 2022, reporting "a robust" quarter of year-over-year sales and operating margin growth. The results were strengthened by a "record-setting" fiscal year revenue from Farnell totalling USD 1.8 billion.
Farnell’s performance, with full year revenue increasing 20.2% year-over-year, was the result of notable increases in demand from the electronics, energy, security and transportation sectors, a press release reads.
Farnell reported fourth quarter revenues of USD 442 million and an operating income margin of 14.2%, which was an increase of 597 basis points year-over-year.
Farnell’s ongoing investment in stock is stated to have had a positive impact with more than 18,000 new products added in the fourth quarter alone. Farnell was central to Avnet’s solid operating margin of 4.5% in the quarter.
"We are pleased with this strong performance, particularly given that it was achieved amidst ongoing market uncertainties, supply chain challenges and increased lead times associated with high customer demand. We expect to build upon this momentum as we continue to make investments in our inventory, digital marketing and our e-commerce platform," said Rob Rospedzihowski, President Sales, EMEA, Farnell, in the press release.
Nearly 56% of Farnell’s total sales and 72% of total orders transacted were placed through the company’s e-commerce platform this quarter.