Ingram Micro Inc. backed its profit and sales guidance for the first quarter, sending its shares higher on Thursday.
The Santa Ana-based distributor of technology products said it still expects net income of $54 million to $59 million in the first quarter. That includes a charge of about $8 million for stock-based compensation.
A year ago, the company posted net income of $79.2 million, which included about $19 million in benefits from a currency hedge related to the company’s purchase of Tech Pacific in Australia.
Ingram still projects sales of $7.3 billion to $7.5 billion in the quarter, versus $7.45 billion a year earlier.
“Demand is stable and our regions continue to perform well,” said Ingram Chief Financial Officer Bill Humes. “We’re expecting solid year-over-year growth, keeping in mind that sales comparisons to the prior year will be affected by the translation impact of weaker European currencies, which are approximately 7% softer than this time last year.”
The company first issued its financial guidance in mid-February, when it announced 2005 results.
Ingram’s shares were up 4% to $19.80 in midday trading Thursday.
