Segment information

3 Months Ended

Sep. 27, 2025

Segment information

Segment information

12. 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, and logistics 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.

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, cost of goods sold, 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.

	First Quarters Ended
	September 27,		September 28,
	2025		2024
	(Thousands)
Sales
Electronic Components	$	5,499,690	$	5,257,058
Farnell		398,882		347,094
Avnet Sales	$	5,898,572	$	5,604,152
Significant Segment Expenses and Operating Income:
Electronic Components
Cost of goods sold	$	4,992,639	$	4,740,029
Selling, general and administrative expenses		348,037		319,660
Operating income	$	159,014	$	197,369
Farnell
Cost of goods sold	$	291,168	$	256,757
Selling, general and administrative expenses		90,617		88,478
Operating income	$	17,097	$	1,859
Total reportable segment operating income	$	176,111	$	199,228
Corporate
Corporate expenses	$	(25,424)	$	(30,284)
Restructuring, integration, and other expenses		(8,291)		(26,351)
Amortization of acquired intangible assets and other		(364)		(368)
Avnet operating income	$	142,032	$	142,225
Capital expenditures:
Electronic Components	$	20,730	$	30,641
Farnell		3,857		1,133
Corporate		2		2
	$	24,589	$	31,776
Depreciation & amortization expense:
Electronic Components	$	11,873	$	13,842
Farnell		4,954		6,031
Corporate		12		10
	$	16,839	$	19,883
Sales, by geographic area:
Americas	$	1,369,920	$	1,329,884
EMEA		1,665,879		1,668,169
Asia		2,862,773		2,606,099
Avnet Sales	$	5,898,572	$	5,604,152

Assets by segment and property, plant and equipment, net, by geographic area as follows:

	September 27,		June 28,
	2025		2025
	(Thousands)
Assets:
Electronic Components	$	10,318,401	$	9,984,932
Farnell		1,749,027		1,742,437
Corporate		346,929		391,184
	$	12,414,357	$	12,118,553
Property, plant and equipment, net:
Americas	$	157,172	$	154,927
EMEA		487,508		489,664
Asia		21,300		22,656
Total	$	665,980	$	667,247