Segment information

12 Months Ended

Jun. 28, 2025

Segment information

Segment information

16. Segment information

Avnet has two primary operating groups — Electronic Components (“EC”) and Farnell (“Farnell”). Both operating groups have operations in each of the three major economic regions of the world: (i) the Americas, (ii) EMEA, and (iii) Asia. Each operating group has its own management team, who manage various functions within each operating group. Each operating group also has distinct financial reporting to the executive level, which informs operating decisions, strategic planning, and resource allocation for the Company as a whole.

Avnet’s EC operating group primarily supports high and medium-volume customers. It markets, sells, and distributes electronic components from many of the world’s leading electronic component manufacturers, including semiconductors, IP&E components (interconnect, passive and electromechanical components), and other integrated and embedded components. EC serves a variety of markets ranging from industrial to automotive to defense and aerospace. It offers an array of customer support options throughout the entire product lifecycle, including both turnkey and customized design, supply chain, programming, logistics, and post-sales services. Within the EC operating group for 2025, net sales of approximately $17.00 billion consist of semiconductor products, approximately $3.30 billion consist of interconnect, passive, and electromechanical components, and approximately $371.8 million consist of computers, and approximately $85.6 million consists of other products and services.

Avnet’s Farnell operating group primarily supports lower-volume customers that need electronic components quickly to develop, prototype, and test their products. It distributes a comprehensive portfolio of kits, tools, electronic components, industrial automation components, and test and measurement products to both engineers and entrepreneurs, primarily through an e-commerce channel. Farnell also distributes new product introductions for its suppliers across their various product categories. Within the Farnell operating group for 2025, net sales of approximately $206.9 million consists of semiconductor products, approximately $680.3 million consists of interconnect, passive, and electromechanical components, approximately $157.0 million consists of single-board computers, and approximately $401.6 million consists of other products and services, including test and measurement and maintenance, repair, and operations products.

The Company has identified its Chief Executive Officer (“CEO”) as the chief operating decision maker (“CODM”). The CODM evaluates the performance of both reportable segments based on operating income. Sales, net gross profit, and operating expenses are also monitored closely. This information is used to monitor operating margins, measure segment profitability, allocate resources, and make budgeting and forecasting decisions about the reportable segments. The CODM also uses these measures to monitor trends in year over year performance comparisons, sequential quarter performance comparisons, and to compare actual results to forecasts.

	Years Ended
	June 28,		June 29,		July 1,
	2025		2024		2023
	(Millions)
Sales:
Electronic Components	$	20,755.0	$	22,160.0	$	24,802.6
Farnell		1,445.8		1,597.1		1,734.3
	$	22,200.8	$	23,757.1	$	26,536.9
Significant Segment Expenses and Operating Income:
Electronic Components
Gross profit	$	2,008.3	$	2,312.4	$	2,612.4
Selling, general and administrative expenses		1,300.1		1,364.9		1,432.8
Electronic Components operating income	$	708.2	$	947.5	$	1,179.6
Farnell
Gross profit	$	376.7	$	454.0	$	569.8
Selling, general and administrative expenses		343.8		389.2		404.3
Premier Farnell operating income	$	32.8	$	64.8	$	165.5
Total reportable segment operating income	$	741.0	$	1,012.4	$	1,345.1
Corporate
Corporate expenses	$	(116.9)	$	(112.3)	$	(124.2)
Restructuring, integration, and other expenses		(108.3)		(52.6)		(28.0)
Amortization of acquired intangible assets and other		(1.5)		(3.1)		(6.1)
Total Avnet operating income	$	514.3	$	844.4	$	1,186.8
Assets:
Electronic Components	$	9,984.9	$	10,162.8	$	10,375.4
Farnell		1,742.4		1,707.9		1,659.0
Corporate		391.2		338.4		442.8
	$	12,118.6	$	12,209.1	$	12,477.2
Capital expenditures:
Electronic Components	$	90.6	$	176.5	$	153.4
Farnell		21.4		49.9		41.2
Corporate		35.5		0.1		0.1
	$	147.5	$	226.5	$	194.7
Depreciation & amortization expense:
Electronic Components	$	51.7	$	60.6	$	63.6
Farnell		19.8		26.0		24.8
Corporate		0.1		0.1		0.2
	$	71.6	$	86.7	$	88.6
Sales, by geographic area:
Americas	$	5,300.0	$	5,919.2	$	6,807.7
EMEA		6,409.6		8,395.0		9,229.4
Asia		10,491.2		9,442.9		10,499.8
	$	22,200.8	$	23,757.1	$	26,536.9
Property, plant and equipment, net, by geographic area:
Americas	$	154.9	$	109.7	$	105.3
EMEA		489.7		435.3		310.9
Asia		22.6		23.2		25.4
	$	667.2	$	568.2	$	441.6

Sales by country are as follows:

		Years Ended
		June 28,		June 29,		July 1,
		2025		2024		2023
		(Millions)
Sales:
Taiwan	$	4,676.1	$	4,032.4	$	4,233.3
China (including Hong Kong)		3,520.5		3,206.7		3,395.8
Germany		2,242.2		3,240.3		3,892.2
Singapore		1,360.0		1,298.4		1,497.0
Belgium		1,233.8		1,422.6		1,549.6
Other		4,151.8		5,030.8		5,623.8
Total foreign	$	17,184.4	$	18,231.2	$	20,191.7
United States	$	5,016.4	$	5,525.9	$	6,345.2
Total	$	22,200.8	$	23,757.1	$	26,536.9

Property, plant and equipment, net, by country are as follows:

		Years Ended
		June 28,		June 29,		July 1,
		2025		2024		2023
		(Millions)
Property, plant and equipment, net:
Germany	$	366.5	$	307.7	$	196.0
United Kingdom		104.4		105.7		92.6
Belgium		13.5		14.0		15.5
Other		35.8		33.7		35.6
Total foreign	$	520.2	$	461.1	$	339.7
United States	$	147.0	$	107.1	$	101.9
Total	$	667.2	$	568.2	$	441.6