The overall electronic components index reached positive sales territory in February for the first time in 21 months, according to the Electronic Component Sales Trends (ECST) survey from the Electronic Components Industry Association (ECIA).
In January, it was expected that February would be a successful month for electronic components after momentum was gained in January. The strong growth was driven by the improvements in passive components and electromechanical/connector components.
The overall ECST index moved to a score of 100.8 points. During the prior 21 months, overall sales sentiment languished in the 76 to 90 range. A 100-point sales sentiment indicates positive growth, according to the ECIA.
Semiconductor pessimism
The only disappointment in the index score came from semiconductors as it dropped by more than 17 points to a score of 93.3. This was due to the gloomy first quarter guidance reported by major chipmakers.
By comparison, passives and electromechanical/connector components jumped by 14.2 and 12.3 points, respectively.
March outlook
The ECIA forecasts that the positive momentum from January and February is expected to carry into March. The overall average of the index is expected to jump 9 points to nearly 110 points.
All three major component categories are projected to top 100 in March. Electromechanical/connector components are forecast to improve by 13.3 points to top 130 followed by passives with a 7.0-point rise to hit 109.2 points. Semiconductors are expected to increase 6.7 points to reach 100 in March as well.
Meanwhile, both distributors and manufacturers had overall scores and are both projected to top 100 index points. Manufacturer representatives are also expecting improvement with an index score of 91.7 points.
About the ECIA ECST report
The ECST survey provides highly valuable and detailed visibility on industry expectations in the near-term through the monthly and quarterly surveys. This “immediate” perspective is helpful to participants up and down the electronics components supply chain. In the long-term, ECIA shares in the optimism for the future as the continued introduction and market adoption of exciting innovative technologies should motivate both corporate and consumer demand for next-generation products over the long term.
The complete ECIA ECST report is delivered to all ECIA members as well as others who participate in the survey. All participants in the electronics component supply chain are invited and encouraged to participate in the report so they can see the highly valuable insights provided by the ECST report.
The monthly and quarterly ECST reports present data in detailed tables and figures with multiple perspectives and covering current sales expectations, sales outlook, product cancellations, product decommits and product lead times. The data is presented at a detailed level for six major electronic component categories, six semiconductor subcategories and eight end markets. Also, survey results are segmented by aggregated responses from manufacturers, distributors and manufacturer representatives.
Interested in reading the entire ECST report? Click here for more info.
