Feeds

Stead walks the plank following Ingram profit warning

But he's only jumping when new CEO is found, and he still gets to be chairman of distie which tried to raise its prices. Incredible isn't it, one rule for fat cats and another...

  • alert
  • submit to reddit

Internet Security Threat Report 2014

Ingram Micro today issued a profit warning and announced the exit of CEO Jerre Stead. The US distributor said it expected profit of between $15 million and $21 million for the third quarter ending 2 October. It forecast earnings of 10 to 15 cents per share, well below analysts polled by First Call who had predicted 41 cents. This compares to a year ago, when Ingram posted $60 million net income or 40 cents per share. Stead, who has been at the distributor for three years, will keep his position as CEO until a successor is found. He will then continue as chairman. The company, which will announce its third quarter results on 27 October, saw shares drop this morning by 28 per cent to 13 7/8 cents. Stead said competitive pricing, along with greater cuts in vendor rebates and incentives, had damaged Ingram’s gross margins. "In addition, its [Ingram's] efforts to raise prices in selected market segments prompted customers to evaluate other sources for their product purchases, negatively impacting Ingram Micro’s sales," the company stated. Net sales were still expected to rise, it added. "We should not let the short-term difficulties obscure the long-term potential of Ingram Micro," Stead warned. "We continue to see healthy demand for the services we provide, both in our core business as well as in our emerging businesses for reseller and vendor logistics outsourcing and for Internet retail stores." ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
How the FLAC do I tell MP3s from lossless audio?
Can you hear the difference? Can anyone?
4chan outraged by Emma Watson nudie photo leak SCAM
In the immortal words of Shaggy, it wasn't me us ... amirite?
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.