Distributor Arrow has said it has largely overcome a number of issues, including the lingering impact of last March's Japanese tsunami, that affected the components supply chain during the back half of 2011.
Having previously warned of some oversupply issues, Arrow CEO Mike Long said that the market was stabilising in his view.
"We typically come out of the cycle after the suppliers do, and we typically go down after they do," he said. "So we kind of get it back and we're usually offset to that. Having said that, we saw out book-to-bill improve from Q3 into Q4, and now in Q1 the book-to-bill is back at parity."
The firm said it had seen little impact from the Thai floods, noting that it was not very big in HDD product sets.
Arrow posted record financial figures for 2011, making sales of $21.39bn (£13.5bn) and net profit of $598.8m, with fourth quarter revenues contributing $5.44bn and $174.1m respectively.
Global component sales in the final quarter of the year grew 3% to $3.44bn, while Enterprise Computing Solutions (ECS) saw revenues rise 5% to $2.0bn.
Setting out his stall for 2012, Long said Arrow would continue to drive its M&A programme towards services across ECS and Components, and would be working hard to increase its networking offering in particular.
"I believe as we look at the converged infrastructure play that's happening out there that storage, networking and virtualisation will continue to be leaders in 2012. So will security. All of those continue to look like pretty critical purchasing points for most companies that are building out their cloud infrastructure," he said.
Conference call transcript courtesy: Seeking Alpha