Synnex's(2347TW) consolidated revenue reached NT$29bn in June, up 14% YoY and 21% MoM

  Synnex today announced its preliminary consolidated revenue in June 2020 was NT$29 billion, an increase of 14% from the same period last year, and also an increase of 21% from May, showing a month-to-month growth trend for two consecutive months.


  The epidemic in Asia has continued to slowdown, countries gradually loosened lockdown restrictions and increased the strength of economic revitalization, and market conditions in the second quarter have improved month by month. In June, Synnex’s various regions showed explosive growth on both annual and monthly growth. Among them, the annual growth rate of China is 21%, and that of Australia, New Zealand, Indonesia and Hong Kong is more than 30%~50% annual growth, and set a record high in June during the same period.


  Consolidated revenue in the second quarter was NT$76.1 billion, an increase of 11% from the first quarter and a slight decrease of 2% from last year. However, if the exchange rate effect is excluded, there would be a 2% increase from last year.


  From a regional perspective, Australia and New Zealand have grown significantly by more than 40% over the previous year and set a record high for the same period; China has also grown by 4% over the same period last year, and the quarterly increase has reached 27%. The rest of regions declined slightly compared to last year.


  From a product perspective, products related to work from home, study at home, remote communication, and stay-at-home economy, such as laptops, data centers, Internet/security, cloud services, e-sports/gaming, etc., are all in strong demand, all of which have reached double digit or even more than doubled annual growth. In the second quarter, CE product category has increased by 40% quarterly and 55% annually. The other categories of products still declined compared with the same period last year; but if compared with the first quarter, except for the mobile phone market is still weak with 17% declined, IT related and IC component products increased by 6% and 20% respectively.


  While the COVID-19 situation around the world remains uncertain, countries are continuing to ease restrictions to get their economies moving again which is expected to boost enterprise investments and consumer confidence. Coupled with the launch of many heavyweight new products in Q4, Synnex is cautiously optimistic about the market outlook for the second half of 2020.