UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 28, 2024

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File #1-4224

AVNET, INC.

(Exact name of registrant as specified in its charter)


New York				11-1890605
(State or other jurisdiction				(IRS Employer
of incorporation or organization)				Identification No.)


2211 South 47th Street, Phoenix, Arizona		85034
(Address of principal executive offices)		(Zip Code)

(480) 643-2000

(Registrant’s telephone number, including area code.)

N/A

(Former name, former address and former fiscal year, if changed since last report.)

Securities registered pursuant to Section 12(b) of the Act:


Title of Each Class	Trading Symbol	Name of Each Exchange on Which registered:
Common stock, par value $1.00 per share	AVT	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☑ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes þ No ◻

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer ☑		Accelerated Filer ☐
Non-accelerated Filer ☐		Smaller Reporting Company ☐
Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☑

As of October 25, 2024, the total number of shares outstanding of the registrant’s Common Stock was 86,940,948 shares, net of treasury shares.

Table of Contents

AVNET, INC. AND SUBSIDIARIES

INDEX

	Page No.
PART I. FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

Consolidated Balance Sheets at September 28, 2024, and June 29, 2024	2

Consolidated Statements of Operations for the first quarters ended September 28, 2024, and September 30, 2023	3

Consolidated Statements of Comprehensive Income for the first quarters ended September 28, 2024, and September 30, 2023	4

Consolidated Statements of Shareholders’ Equity for the first quarters ended September 28, 2024, and September 30, 2023	5

Consolidated Statements of Cash Flows for the first quarters ended September 28, 2024, and September 30, 2023	6

Notes to Consolidated Financial Statements	7

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	16

Item 3. Quantitative and Qualitative Disclosures About Market Risk	23

Item 4. Controls and Procedures	23

PART II. OTHER INFORMATION

Item 1. Legal Proceedings	23

Item 1A. Risk Factors	24

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	24

Item 6. Exhibits	25

Signature Page	26

Table of Contents

PART I

FINANCIAL INFORMATION

Item 1.

Financial Statements

AVNET, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Unaudited)


	September 28,		June 29,
	2024		2024

	(Thousands, except share
	amounts)
ASSETS
Current assets:
Cash and cash equivalents	$	267,521	$	310,941
Receivables		4,575,854		4,391,187
Inventories		5,614,102		5,468,730
Prepaid and other current assets		221,767		199,694
Total current assets		10,679,244		10,370,552
Property, plant and equipment, net		584,119		568,169
Goodwill		818,858		780,984
Operating lease assets		211,736		208,971
Other assets		303,607		280,471
Total assets	$	12,597,564	$	12,209,147
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt	$	524,055	$	492,711
Accounts payable		3,588,033		3,345,510
Accrued expenses and other		580,257		573,055
Short-term operating lease liabilities		55,538		53,993
Total current liabilities		4,747,883		4,465,269
Long-term debt		2,430,730		2,406,629
Long-term operating lease liabilities		175,330		173,886
Other liabilities		205,886		237,859
Total liabilities		7,559,829		7,283,643
Commitments and contingencies (Note 6)
Shareholders’ equity:
Common stock $1.00 par; authorized 300,000,000 shares; issued 87,253,739 shares and 89,045,996 shares, respectively		87,254		89,046
Additional paid-in capital		1,736,027		1,721,369
Retained earnings		3,533,854		3,601,812
Accumulated other comprehensive loss		(319,400)		(486,723)
Total shareholders’ equity		5,037,735		4,925,504
Total liabilities and shareholders’ equity	$	12,597,564	$	12,209,147

See notes to consolidated financial statements.

Table of Contents

AVNET, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)


	First Quarters Ended
	September 28,		September 30,
	2024		2023

	(Thousands, except per share amounts)
Sales	$	5,604,152	$	6,335,648
Cost of sales		4,996,785		5,587,542
Gross profit		607,367		748,106
Selling, general and administrative expenses		438,791		487,286
Restructuring, integration, and other expenses		26,351		7,051
Operating income		142,225		253,769
Other (expense) income, net		(3,043)		5,960
Interest and other financing expenses, net		(64,444)		(70,796)
Gain on legal settlements and other		—		86,499
Income before taxes		74,738		275,432
Income tax expense		15,782		66,164
Net income	$	58,956	$	209,268

Earnings per share:
Basic	$	0.67	$	2.29
Diluted	$	0.66	$	2.25

Shares used to compute earnings per share:
Basic		88,092		91,495
Diluted

SEC Form 10-Q filed by Avnet Inc.