Ingram revenue gain defies downturn
- 09 July, 2009 22:00
Ingram Micro’s New Zealand business has posted a 15 percent increase in revenue to nearly $584 million, for the year ended last December.
The distributor’s gross profit also increased year on year for the period, up 14 percent to $51 million, with the bottom line holding steady at only a 1 percent decrease to just under $16 million, Companies Office records show.
Managing director Gary Bigwood says business was steady throughout the year, with a particularly successful fourth quarter on the back of strong consumer buying in the lead up to Christmas.
“Overall, given what’s happening in the economy, we’re happy with how we’re doing.”
Bigwood says the company is struggling in some categories, but overachieving in others. He didn’t provide detail on the performance of different categories, but says the mix of products being bought by customers is changing.
“Resellers are having more success with products where they can demonstrate a return on investment or a productivity gain, at the moment.
“Some customers out there have had staff reductions or aren’t replacing staff, and are looking for these to give productivity to remaining staff.” This year the distributor has made two business acquisitions, picking up Value Added Distributors in April and Vantex a month later.
These buyouts present significant new opportunities in the high-end servers and storage market, as well as point of sale/data capture products, Bigwood says.
In May, Ingram Micro reported a 24 percent drop in Asia Pacific region sales to US$1.38 billion, according to a recent report in Australian Reseller News.