Despite a strong fourth quarter, mega distributor Tech data sales didn’t meet analysts’ expectations, and the company saw its shares fall by six percent.
Tech Data CEO Rich Hume described his company’s latest financial report as extremely strong, adding to what he called an excellent year.
Hume said he was proud of what his team had accomplished.
“We brought a lot of value to our customers and vendors along the way”, he said. “Win-win for all of our stakeholders.”
Tech Data’s sales climbed four percent to $10.47 billion in the quarter that ended in January. Profits soared to $117 million, up from $1.6 million in the same period a year earlier.
Sales for the company’s fiscal year, which also ended Jan. 31, rose 11 percent to $37.2 billion. Profits nearly tripled, topping $340 million.
The company expects sales in the three months that ended April 30 to range between $8.3 billion to $8.6 billion.
In Europe, Net sales were $5.9 billion (56 percent of worldwide net sales), mostly flat compared to the prior-year quarter. On a constant currency basis, net sales increased five percent.
