Premier Farnell hit by sluggish growth

City A.M. Reporter
ELECTRONIC parts distributor Premier Farnell said strong emerging markets demand and increased market share would see it return to growth this year after it posted profit below expectations in a tough global industrial sector.

Premier Farnell, which in July issued a profit warning after sales were hit by the global economic slowdown, said adjusted pre-tax profit for the year to 29 January was £88.5m, down 1.3 per cent on last year and below consensus expectations of £90.7m.

Revenues for the year rose 1.6 per cent to £973.1m, the firm said.

The firm is one of two exclusive distributors of a popular British designed credit card-sized computer named Raspberry Pi, which is seeing increasing demand from around the globe.

“We have delivered pretty much the same level of profit this year in markets much tougher than last year,” said chief executive Harriet Green yesterday.

The firms’s FTSE 250-listed shares slipped 3.5 per cent yesterday to close at 220.9p.