Ingram Micro reported an operating loss for its Australian division of around $10 million in the first quarter, although the result was an improvement on the previous year.
In releasing its first quarter sales results, Ingram Micro said Asia Pacific sales hit an all-time first quarter high, led by double digit growth in China and India.
However, while the Australian business improved gross margins, it still recorded an operating loss but this was reduced compared with the 2011 first quarter.
In a conference call, Ingram Micro CEO Alain Monie said the "bottom is behind us" in Australia.
Monie said the efforts of the past year were paying off but there was still "work to do" in returning the Australian business to profitability and re-building customer loyalty.
Newly-appointed chief operating office Bill Humes commented that the company was making "good progress" in Australia but it was only a "small portion" of the company's global operations.
California-based Ingram Micro's first quarter global sales were slightly down at US$8.64 billion, with North America, Latin America and Asia-Pacific all growing while Europe was down four per cent.
Worldwide gross profit was US$467.6 million, compared with US$454.1 million (5.21 per cent of total sales) in the 2011 first quarter.
Monie said the company could make several acquisitions over the next 12 months, adding that that selected acquisitions were needed to accelerate Ingram Micro's development in high growth regions.
For the 2012 second quarter, Monie said sales are expected to be flat to slightly up.
New mega warehouse opens in Sydney
Meantime, Ingram Micro has revealed its new $35 million warehouse in the Sydney suburb of Eastern Creek.
The state-of-the-art warehouse is Australia's largest distribution centre, covering more than 40,000sqm. The new facility has 34 docks and can hold more than 30,000 pallets.
Ingram Micro has also installed a new automated packaging system developed by French company B+ Equipment.
