Stock Monitor: ADDvantage Technologies Group Post Earnings Reporting

LONDON, UK / ACCESSWIRE / May 21, 2018 / If you want access to our free earnings report on Avnet, Inc. (NASDAQ: AVT), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=AVT. On April 26, 2018, Avnet reported financial results for the third quarter of 2018 ending March 31, 2018. The Company surpassed analysts' estimates for earnings but missed revenue forecasts for Q3 FY18. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is currently working on the research report for ADDvantage Technologies Group, Inc. (NASDAQ: AEY), which also belongs to the Services sector as the Company Avnet. Do not miss out and become a member today for free to access this upcoming report at:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Avnet most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

Avnet's total revenues reached $4.8 billion for Q3 FY18, reflecting an increase of 7.95% from $4.44 billion in Q3 FY17. Excluding supplier program changes, Avnet's sales grew 7.3% on a y-o-y basis in constant currency in Q3 FY18. The reported revenue number missed analysts' consensus estimates by $30 million.

Avnet's Americas' sales decreased 3.93% to $1.28 billion on a y-o-y basis; Europe, Middle-East, and Africa (EMEA) sales jumped 12.15% to $1.81 billion on a y-o-y basis; and Asia sales increased 13.95% to $1.71 billion on a y-o-y basis in the quarter under review.

During Q3 FY18, Avnet's cost of sales was $4.14 billion, 8.65% higher than the $3.81 billion reported in Q3 FY17. The Company's gross profit advanced 3.74% to $653.54 million in the reported quarter from $629.99 million in the previous year's same quarter.

Avnet incurred selling, general, and administrative (SG&A) expenses of $501.38 million in Q3 FY18, 4.41% higher than the $480.19 million reported in Q3 FY17. The Company had goodwill impairment expenses of $181.44 million and restructuring, integration, and other expenses of $25.12 million in the reported quarter. Avnet incurred operating loss of $54.40 million in the quarter under review compared to an operating profit of $114.28 million in the previous year's corresponding quarter.

Avnet had a net loss from continuing operations of $315.60 million in the quarter ending March 31, 2018, after a net profit from continuing operations of $89.92 million in the quarter ending April 01, 2017. Besides, the Company's loss per diluted share from continuing operations was $2.64 in Q3 FY18, compared to DEPS from continuing operations of $0.69 in Q3 FY17. The reported earnings for Q3 FY18 included restructuring, integration and other expenses, goodwill impairment expense, amortization of intangible assets, and discrete income tax expense. Avnet's adjusted DEPS, excluding these non-recurring items, was $1.02 in Q3 FY18, up 15.91% from $0.88 in Q3 FY17. This was higher than analysts' consensus estimates of $0.96 per share.

Avnet's Segment Details

During Q3 FY18, the Electronic Components segment's net sales were $4.40 billion, up 7.66% on a y-o-y basis. This segment had operating income of $157.70 million in Q3 FY18 compared to $156.80 million in Q3 FY17, reflecting an increase of 0.57%.

The Premier Farnell segment reported revenues of $391 million in Q3 FY18, an increment of 11.40% from $351 million in Q3 FY17. This segment had operating income of $44.40 million in the quarter under review, 10.17% higher than the $40.30 million reported in the previous year's same quarter.

Cash Matters

Avnet had cash and cash equivalents of $430.07 million as on March 31, 2018, a decrease of 48.58% from $836.38 million as on July 01, 2017. The Company's long-term debt declined 13.91% to $1.49 billion as on March 31, 2018, from $1.73 billion as on July 01, 2017.

Avnet's cash inflow from operating activities of continuing operations was $17.87 million in the nine months ending March 31, 2018, compared to $140.47 million in the same period last year. The Company spent $112.22 million on purchases of property, plant and equipment in 9 months FY18, up 3.94% from $107.96 million in 9 months FY17.

Avnet paid $66.20 million in dividends in 9 months FY18, a slight decrease of 0.42% from as $66.48 million in 9 months FY17. The Company spent $209.47 million in common stock repurchases in the reported period, 68.11% higher than $124.60 million in the same period last year.

Outlook

For the fourth quarter of fiscal 2018 ending on June 30, 2018, Avnet expects sales to be in the range of $4.65 billion to $4.95 billion and non-GAAP DEPS to be in the range of $0.91 to $1.01. This excludes any results of discontinued operations, amortization of intangibles, accelerated depreciation, any potential restructuring, integration, and other expenses and certain income tax adjustments.

Stock Performance Snapshot

May 18, 2018 - At Friday's closing bell, Avnet's stock slightly declined 0.33%, ending the trading session at $39.05.

Volume traded for the day: 424.38 thousand shares.

Stock performance in the previous six-month period ? up 0.85%; and past twelve-month period ? up 8.59%

After last Friday's close, Avnet's market cap was at $4.62 billion.

The stock has a dividend yield of 1.95%.

The stock is part of the Services sector, categorized under the Electronics Wholesale industry.

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