AMEYA360:Avnet Fiscal Q3 <span style='color:red'>Sale</span>s Up 0.4%
  Avnet, Inc. (Nasdaq: AVT)  announced results for its third quarter ended April 1, 2023.  Commenting on the Company’s financial results, Avnet Chief Executive Officer Phil Gallagher stated, “I am pleased with our results this quarter as our team delivered another quarter of year-over-year sales and operating margin growth. We delivered record quarterly operating income in our Electronic Components business to help us achieve our stated goal of 5% operating margin. I am proud of our team’s dedication and commitment to continuously execute and deliver value to our customer and supplier partners.”  Fiscal Third Quarter Key Financial Highlights:  Sales of $6.5 billion up 0.4% year over year from $6.5 billion.  On a constant currency basis, sales increased 3.4% year over year.  Diluted earnings per share increased to $2.03, compared with $1.84 in the prior year quarter.  Adjusted diluted earnings per share of $2.00, compared with $2.15 in the prior year quarter.  Higher interest expense and foreign currency exchange rates negatively impacted year over year adjusted diluted earnings per share by $0.37 and $0.09, respectively.  Operating income margin of 4.8%, increased 58 basis points year over year.  Adjusted operating income margin of 4.8%, increased 15 basis points year over year.  Year over year adjusted operating income grew more than two times greater than sales in constant currency.  Electronic Components operating income margin of 5.0%, increased 64 basis points year over year, and increased 34 basis points sequentially.  Farnell operating income margin of 9.0% was flat sequentially.  Generated $18.3 million of cash flow from operations during the quarter.  Returned $26.5 million to shareholders in dividends during the quarter.  The full release and tables can be found here. 
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Release time:2023-05-11 10:59 reading:3057 Continue reading>>
AMEYA360:Arrow Q1 <span style='color:red'>Sale</span>s Decline 4%
  Arrow Electronics, Inc.   reported first-quarter 2023 sales of $8.74 billion, a decrease of 4 percent year over year, and a decrease of 2 percent year over year on a constant currency basis1. First-quarter net income was $274 million, or $4.60 per share on a diluted basis, compared with net income of $365 million, or $5.31 per share on a diluted basis, in the first quarter of 2022. Non-GAAP net income1 was $274 million, or $4.60 per share on a diluted basis, in the first quarter of 2023, compared with non-GAAP net income of $373 million, or $5.43 per share on a diluted basis, in the first quarter of 2022. In the first quarter of 2023, changes in foreign currencies reduced sales by $203 million, and reduced earnings per share on a diluted basis by $0.13, compared to the first quarter of 2022.  “The company delivered solid first-quarter results with revenue and earnings per share beating the midpoint of our guidance,” said Sean Kerins, Arrow’s president and chief executive officer. “Our dedicated team performed well in a challenging environment for both our suppliers and customers.”  Global components first-quarter sales of $6.86 billion reflected a decrease of 5 percent year over year, and a decrease of 3 percent year over year on a constant currency basis. Asia-Pacific components first-quarter sales decreased 19 percent year over year. Americas components first-quarter sales decreased 5 percent year over year. Europe components first-quarter sales increased 17 percent year over year, and increased 23 percent year over year on a constant currency basis. Global components first-quarter operating income was $418 million, and first-quarter non-GAAP operating income was $424 million.  “We are pleased with the overall performance of the global components business given the current market conditions, led by strength in the EMEA region. We were encouraged by the momentum of our design engagement in several of our markets,” said Mr. Kerins.  Global enterprise computing solutions (ECS) first-quarter sales of $1.88 billion were flat year over year and reflected an increase of 3 percent year over year on a constant currency basis. Europe enterprise computing solutions first-quarter sales increased 7 percent year over year and increased 13 percent year over year on a constant currency basis. Americas enterprise computing solutions first-quarter sales decreased 5 percent year over year. Global enterprise computing solutions first-quarter operating income was $81 million, and first-quarter non-GAAP operating income was $82 million.  “Our ECS business continues to perform in line with the overall market for enterprise IT, with better momentum in Europe, and a softer backdrop in the Americas. Additionally, we’re pleased to see signs of an improving supply environment,” said Mr. Kerins.  “Enhancing shareholder value remains a top priority,” said Raj Agrawal, senior vice president and chief financial officer. “Our strong financial returns and the effective management of our balance sheet have enabled us to return cash to shareholders by repurchasing $300 million of shares during the first quarter. Returning cash to shareholders through our stock repurchase plan remains one of our priorities. As of the end of the first quarter, our remaining repurchase authorization stands at approximately $1 billion.”
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Release time:2023-05-10 11:06 reading:3072 Continue reading>>
Global Car <span style='color:red'>Sale</span>s Projected to Rebound in 2023
  Global car sales dipped by 0.1% year-on-year (YoY) to 81.05 million vehicles for 2022, showing almost no change from the 2021 figure, according to TrendForce analysis.  However, there is a chance for the global car market to return to positive growth this year. TrendForce currently projects that global car sales will increase by 3.8% YoY to 84.1 million vehicle units for 2023.  TrendForce data reveal that car sales in China totaled 26.9 million vehicle units for 2022, reflecting a YoY growth of 3.7%. China’s demand has been the key pillar that supports the entire global market for new cars. Conversely, the annual car sales figures from the US and Western Europe both came to a decade low for 2022.  The United States posted just 13.7 million vehicle units, reflecting a YoY decline of 8.1%. Western Europe posted just 11.8 million vehicle units, reflecting a YoY decline of 4.6%. The new car market of Eastern Europe recorded a YoY drop of 27.3% as well for 2022.  Due to the impact of its military conflict with Ukraine, Russia saw a contraction of around 1 million vehicle units in new car sales compared with 2021. Turning to the emerging markets, their performances were relatively strong in 2022. With an annual sales figure of 4.3 million vehicle units, India overtook Japan to become the world’s third largest car market for the first time. Also, car sales in Indonesia registered a positive growth for the second consecutive year and returned to the pre-pandemic level.  TrendForce points out that carmakers still sit on a certain amount of unfulfilled vehicle orders that have been carried over from last year. Therefore, a part of the projected sales growth in 2023 will be attributed to this demand. By region, China’s new car market will show a small or flat YoY growth for 2023 mainly because of the change in the vehicle purchase tax on cars that run on fossil fuels. This tax was halved last year, thereby encouraging Chinese consumers to purchase new cars in advance. Consequently, car sales in this country cannot be easily drummed up this year. A stronger policy incentive might be needed in order to effectively stimulate demand.  Turning to the US, there is a potential for growth in 2023 because its sales figure for 2022 is a low base for comparison. Furthermore, there are signs that consumer confidence has returned in the country. On other hand, the average price for new cars in the US has been on a very sharp upward climb, and the recent hikes in interest rates have created an unfavorable situation for people that want to obtain auto loans. The effects of these trends on the US car market cannot be ignored.  As for Western Europe, its sales figure for 2022 is also a low base for comparison. However, the Russia-Ukraine military conflict continues, and the challenges associated with the region-wide energy shortage have yet to be resolved. These factors will influence the growth of the Western European market during 2023.
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Release time:2023-02-14 14:42 reading:1898 Continue reading>>
Ameya360:YAGEO Reported 2022 December Consolidated <span style='color:red'>Sale</span>s of NT$ 9.001 Billion
Ameya360:Global Chip <span style='color:red'>Sale</span>s Down Almost 3% in November
  Global semiconductor industry sales reached $45.5 billion in November 2022, a decrease of 2.9% compared to the October 2022 total of $46.9 billion and 9.2% less than the November 2021 total of $50 billion, according to the Semiconductor Industry Association (SIA).  Monthly sales are compiled by the World Semiconductor Trade Statistics (WSTS) organization and represent a three-month moving average. SIA represents 99% of the U.S. semiconductor industry by revenue and nearly two-thirds of non-U.S. chip firms.  “Global semiconductor sales decreased in November, largely due to market cyclicality and macroeconomic headwinds,” said John Neuffer, SIA president and CEO. “Sales into the Americas were up compared to November 2021, while sales into China decreased sharply on a year-to-year basis.”  Regionally, year-to-year sales increased in November in the Americas (5.2%), Europe (4.5%), and Japan (1.2%), but decreased in Asia Pacific/All Other (-13.9%) and China (-21.2%). Month-to-month sales were down across all regions: Europe (-1.0%), Japan (-1.2%), the Americas (-1.4%), Asia Pacific/All Other (-3.0%), and China (-5.3%).  Additionally, a recent World Semiconductor Trade Statistics Organization (WSTS) industry forecast—endorsed by SIA—projects annual global sales will increase 4.4% in 2022 and decrease 4.1% in 2023. The forecast projects the industry’s worldwide sales will be $580.1 billion in 2022, up from the 2021 sales total of $555.9 billion.  In 2023, global sales are projected to reach $556.5 billion. WSTS tabulates its semi-annual industry forecast by gathering input from an extensive group of global semiconductor companies that provide accurate and timely indicators of semiconductor trends.
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Release time:2023-01-16 11:47 reading:1771 Continue reading>>
onsemi Completes <span style='color:red'>Sale</span> of Japan Fab
  onsemi has completed of the divestment of its Niigata, Japan facility to JS Foundry.  onsemi has completed of the divestment of its Niigata, Japan facility to JS Foundry K.K. The sale aligns with onsemi’s fab-liter strategy to expand gross margin and improve its financial results by reducing fixed cost footprint.  JS Foundry was founded through a partnership between Mercuria Investment Co. Ltd and Sangyo Sosei Advisory Corp. Inc. Mercuria, a subsidiary of Mercuria Holdings Co. Ltd, is one of the leaders in the Japanese alternative investment space, with its investments covering different industries including manufacturing and service industries. SSA is the first financial advisor in Japan specializing in the technology, media and telecommunications (TMT) industry. Through their partnership, they established JS Foundry to be a Japanese-owned foundry company to supply semiconductors to Japanese customers.  “After an in-depth search for a buyer for the last two years, we are confident to have found the right partner for the facility in JS Foundry,” said Hassane El-Khoury, president and chief executive officer of onsemi. “As always, when making decisions about our manufacturing structure and facilities across the globe, we consider the well-being of employees and seek to create a smooth transition for everyone involved. We look forward to a bright future for JS Foundry K.K. and Niigata employees, who we thank for their hard work and commitment to onsemi.”  JS Foundry is planning to use the site as the foundation for its new foundry business in Japan. To ensure continuity of supply to its existing customers, onsemi has entered into a wafer supply agreement with JS Foundry K.K. to continue existing wafer fabrication at the site.
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Release time:2023-01-04 09:45 reading:3425 Continue reading>>
Trade War Cited as TI Reports <span style='color:red'>Sale</span>s Decline
  Chipmaker Texas Instruments posted its first year-over-year decline in quarterly sales in more than two years amid what company executives characterized as semiconductor cyclicality and weaker demand in China.  “We believe that after 10 quarters of year-on-year growth, the weakness we are seeing is primarily due to the semiconductor cycle,” said Rafael Lizardi, TI’s chief financial officer, in a post-earnings conference call with analysts. “In addition, the macroenvironment — including uncertainty caused by trade tensions — could impact the depth and duration of this cycle.”  Dave Pahl, vice president and head of investor relations, said that demand in China was weaker than in other regions of the world. “We are seeing signs from our customers and the channel that this weakness is primarily from increased caution due to trade tensions,” Pahl said. “We assume that this weakness is a combination of lower local end demand, as well as reduced exports, but we do not have visibility to distinguish between the two.”  Trade tensions between the U.S. and China have been escalating for over a year, with each country imposing tariffs on products exported by the other beginning last March. However, prior to TI’s quarterly report Wednesday, chip companies have generally not reported any major effects of the trade war.  TI (Dallas) reported sales of $3.72 billion for the fourth quarter of 2018, down 1% compared to the fourth quarter of 2017. The company reported a net income for the quarter of $1.24 billion, up 260% from the fourth quarter of 2017, when non-cash charges related to tax law changes adversely affected TI’s profit.  Fourth-quarter sales came in slightly below consensus analysts’ expectations of $3.75 billion. Earnings per share of $1.27 exceeded consensus analysts’ expectations of $1.24 per share.  For the full-year 2018, TI reported sales of $15.8 billion, up 5% compared to 2017. The company reported a net income for the year of $5.6 billion, up 51% compared to 2017.  TI said that it expects sales for the first quarter of this year to be between $3.34 billion and $3.62 billion, in line with analysts’ expectations.
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Release time:2019-01-25 00:00 reading:4239 Continue reading>>
U.S. Lawmakers Propose Ban on Chip <span style='color:red'>Sale</span>s to Huawei, ZTE
  A bipartisan group of U.S. lawmakers has introduced legislation which would ban the export of U.S. chips and other components to Chinese telecommunications companies Huawei and ZTE for violating U.S. export control laws.  The Telecommunications Denial Order Enforcement Act — sponsored by Senators Tom Cotton (R-Arkansas) and Chris Van Hollen (D-Maryland) and Representatives Mike Gallagher (R-Wisconsin) and Ruben Gallego (D-Arizona) — would direct the U.S. President to impose penalties pursuant to denial orders on Chinese telecommunications companies that are in violation of the export control or sanctions laws of the U.S., among other purposes.  The U.S. Commerce Det. issued a denial order banning the sale of components to ZTE last year, following a four-year investigation into ZTE's failure to comply with U.S. export control laws banning sales to Iran. The order was rescinded in June at the direction of U.S. President Donald Trump — who said it would result in too many Chinese job losses — in the midst of trade negotiations between the U.S. and China.  Last month, Huawei Chief Financial Officer Meng Wanzhou was arrested in Canada at the request of U.S. prosecutors on charges of violating U.S. sanctions.  "Huawei is effectively an intelligence-gathering arm of the Chinese Communist Party whose founder and CEO was an engineer for the People's Liberation Army," Cotton said in a statement.  Cotton added that if Chinese companies like Huawei violate U.S. sanctions or export control laws, "they should receive nothing less than the death penalty — which this denial order would provide."  "Huawei and ZTE are two sides of the same coin," Senator Van Hollen said. "Both companies have repeatedly violated U.S. laws, represent a significant risk to American national security interests, and need to be held accountable."  The bill's introduction comes at a time of high trade tensions between the U.S. and China, with both sides imposing tariffs on products imported from the other. The Trump Administration continues to negotiate with China on a long term trade deal that would presumably end the trade war, but so far no agreement has been produced.  On Thursday, the Wall Street Journal reported that Trump Administration officials are debating the relaxation or removal of some tariffs against Chinese products in an effort to aid the trade talks between the two countries.  Also Thursday, the Wall Street Journal reported that U.S. federal prosecutors are investigating whether Huawei stole trade secrets from U.S. business partners, including T-Mobile.
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Release time:2019-01-21 00:00 reading:1204 Continue reading>>
Qualcomm posts court ordered bonds to stop iPhone sales in Germany
Apple's iPhone sales warning is crushing European chip stocks, AMS dives 19%
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Release time:2019-01-04 00:00 reading:1242 Continue reading>>

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