Strong second quarter for German components distribution
43% increase in turnover and still high incoming orders characterises the second quarter of the German components distribution, reports FBDi.
A strong second quarter of 2022 continues to let the German component distribution dream of a “record” year. The turnover of the distributors reporting in the FBDi grew by 43% to EUR 1.12 billion, incoming orders increased at least by 21% to EUR 1.71 billion, almost as high as in Q1. Although the book-to-bill rate could not reach the absolute record level of last year, it still remains above "normal" at 1.52. The first half of the year thus ended with a turnover of just under EUR 2.3 billion and new orders of almost EUR 3.5 billion.
The development in the product segments was much more diverse. While Semiconductors grew by 47% to EUR 756 million, Passives lagged behind somewhat with a 34.7% plus to EUR 135 million. Electromechanics "normalised" to +28.4% and EUR 139 million turnover.
Other products such as Power Supplies, Sensors, Displays and Assemblies & Systems ranged between +31% (Assemblies) and +75% (Sensors). The differences in incoming orders were more significant than in sales: Semiconductors +26%, Passives -2.3% and Electromechanics +10.4%.
However, the basis of comparison for 2021 was much higher than for turnover. Q2 revenue distribution by product area differed slightly from Q1: Semiconductors 68%, Passives and Electromechanics 12% each, Power Supplies just under 4% and 4% for the remaining products (Power Supplies, Sensors, Displays and Assemblies & Systems).
"What is most surprising about the second quarter is the fact that bookings have so far remained drastically above a healthy level. Traditionally, the market starts to talk about shortages at a book-to-bill rate of 1.2, and we have remained above 1.5 since the beginning of 2021. Looking at it in a more differentiated way, however, you can already see normalisation tendencies in almost all product areas outside of semiconductor components. What this means for the rest of the year or for next year is open to speculation – bets are already out on a slowdown as early as this year or a continuing structural shortage in individual product segments until next year," says FBDi Chairman Georg Steinberger, in a press release.
