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Electronics Production | August 30, 2006

So far so good for distribution

"2006 starts as an extremely positive year for semiconductor distribution, and we are close to the record levels of 2000 in revenues," said Georg Steinberger, chairman of DMASS.
The European chip sales were up 19.6 % during April-June compared to the same period 2005. As a result the first half of the year showed a consolidated sales growth of 18% to a level of €2.8bn.

According to electronicsweekly.com Germany was the strongest region, showing a year/year growth of 25.8% to €438m. The UK and Ireland grew by 13.7% to €158m and France grew 11.2% to €130m.

Among the smaller regions and countries, Russia, Israel, Denmark, Czech Republic and Sweden grew fastest, between 37.3% and 23.3%.

Steinberger though raised a little warning flag and said that the sales in the first half of 2006 is similar to 2004 when the sales were flatten out in the second half. "Similarities to 2004, when the 2nd quarter reached the same level as the seasonally strongest 1st quarter, are obvious. Unfortunately in 2004, the second half of the year flattened out pretty abruptly."

The sales from OEMs did not impress much.

"There, the sales trend does not come close to distribution performance at the moment, which has us worried about the sustainability of the current trend," said Steinberger.
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November 11 2018 12:47 pm V11.8.0-2