Santa Ana-based Ingram Micro Inc. reassured investors Thursday about the current quarter’s performance, saying it expects to meet its previous guidance.
The company, the world’s largest technology distributor, said it expects third-quarter sales of $7.3 billion to $7.5 billion, in line with estimates of $7.41 billion, up 6.5% compared a year ago.
Net income is expected to hit between $49 million and $56 million compared to estimates of $54.4 million, which would be down about 11% from a year ago.
Net income estimates include pre-tax expenses of about $8 million for stock-based compensation, as well as $5 million for technology upgrades. A year ago these expenses were not included in the company’s results.
“The quarter is proceeding in line with our expectations,” said Greg Spierkel, chief executive. “Demand remains stable, within historical seasonal norms, and our growth and differentiation initiatives continue to gain traction and contribute to results.”
Ingram Micro is seen as a sort of proxy for the technology space because of its vast reach into the sector through distribution.
The company’s announcement could ease investor worries about technology and the economy, which is up against a slowing housing market and high oil prices.
