Arrow Electronics Falls After 2Q Guidance Narrowed

HARTFORD, Conn. (AP) — Shares of Arrow Electronics Inc. fell Wednesday after the manufacturer of electronic components and computer products narrowed its revenue and profit guidance for the fiscal second quarter.

Analyst Brian G. Alexander of Raymond James said in a note to investors that per-share earnings will be at the low end of the company's guidance range for the third consecutive quarter, "despite signs of stability in certain segments and accelerated restructuring actions."

In addition, the computer segment is uncertain because businesses have cut spending and seasonal demand could be weak due to Sun's agreement to be acquired by Oracle Corp., Alexander said.

Arrow Electronics, based in Melville, N.Y., said Wednesday the global economic crisis is hurting its European components business. The company expects a profit of 26 cents to 31 cents per share and revenue of $3.05 billion to $3.65 billion for the quarter ending July 4. The company previously forecast profit of 26 cents to 38 cents per share and $3.15 billion to $3.75 billion in revenue.

Analysts expect a profit of 35 cents per share and $3.51 billion in revenue on average, according to a Thomson Reuters survey.