Avnet Inc. started its 2026 fiscal year with renewed momentum, posting stronger sales across key markets even as profits eased from a year ago.
The technology distributor reported revenue of $5.9 billion for the quarter ending Sept. 27, up 5.3% from $5.6 billion in the same period last year. Growth was fueled by a 10% sales increase in Asia and a 15% jump in its Farnell business, which sells electronic components to engineers and hobbyists. Sales in the Americas rose 3%, while Europe, the Middle East, and Africa were flat.
Chief executive officer Phil Gallagher said the company’s performance outpaced expectations despite a volatile market. He credited Avnet’s broad supplier network and global reach to help it capture new demand as conditions improved. “While uncertainty continues to impact the market, we remain optimistic about the increasingly positive signs of recovery,” Gallagher said in a statement.
Profit margins remained steady, though net income slipped to $51.7 million from $59 million a year earlier.
The company has now logged five consecutive quarters of sales growth in Asia and two straight quarters of gains at Farnell, signaling a gradual rebound in global electronics demand after a period of softness.
Looking ahead, Avnet expects revenue to climb again in the second quarter, forecasting sales between $5.85 billion and $6.15 billion. Management anticipates continued growth in the Americas and Asia and steady performance in Europe.
The quarter marked a step forward for the Phoenix-based distributor, which serves thousands of manufacturers worldwide with electronic components and supply-chain services. While profits remain under pressure, Avnet’s leadership emphasized that its diversified operations and long-term investments position the company for sustained recovery in 2026.
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