Bell slides to $5m loss in Q1 ahead of Avnet acquisition

Bell Microproducts managed to push up its sales by double digits during the first quarter but slid to a substantial loss in what is likely to be its last quarter reported under the current ownership. Revenues for the period ended 31 March climbed 12% year-on-year to $800.6m, a sequential decrease of

Bell Microproducts managed to push up its sales by double digits during the first quarter but slid to a substantial loss in what is likely to be its last quarter reported under the current ownership.

Revenues for the period ended 31 March climbed 12% year-on-year to $800.6m, a sequential decrease of 4% as it swung to a $5m loss compared to $12.9m profits last quarter and a $4m loss in the comparable quarter in 2009.

Due to the pending acquisition by Avnet - which cost $1.7m in professional fees during Q1 - Bell provided no management statements to accompany the results but revealed that global distribution sales grew 17% to $716.4m or 11% excluding the forex impact.

In North America, total sales grew 14% to $330.7m and fell 7% sequentially in line with seasonal trends; distribution turnover climbed 30% while its SI business ProSys declined 16%.

Closer to home net sales went up 12% in Europe to $337.8m, "fuelled by sales of computer platforms and disk drives together with the positive effects of currency rate changes...partially offset by a reduction in sales of software due to the timing of certain vendor promotions."

The relatively smaller Latin American operation grew 8% to $132.1m, propelled by sales of semiconductors and forex conversions.

Split into divisions, components and peripherals (51% of total sales) grew 33% year-on-year driven by HDD and semiconductors. The solutions unit decreased 4% on the same quarter a year ago and was down 13% sequentially.

The outstanding debt grew 11% to $389m due to the payment of trade liabilities related to year-end inventory purchases.

MicroScope+

Content

Find more MicroScope+ content and other member only offers, here.

Read more on Finance and Credit

Start the conversation

Send me notifications when other members comment.

By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

Please create a username to comment.

-ADS BY GOOGLE

ComputerWeekly

SearchITChannel

Close