Anixter Security Rebound and New Chief

JH
John Honovich
•Published Oct 31, 2014 04:00 AM

3 months ago, Anixter's security struggled significantly with revenue actually declining.

Then, this summer, Anixter shook up the industry, acquiring Tri-ed for $420 million.

Now, they are bouncing back, at least somewhat. In this note, we examine Anixter's Q3 2014 financial results, the integration of Tri-Ed and who is now in charge.

**********

***** ****, ******* ******* ******** ***** ********* 8% **** **** ****. ****'* * significant **** **** *** *% ******* year **** **** ** *** ******** quarter.

******* ******** *******, ***** *** ** extremely **** ******** *******, **** ** 6% ******** ** ** ****.

*% ****** ** *** *********, *** still ************* *** ***** **** **** pervious *****, *** **** **** ***** in **** ** *** ******* ******** average *****.

******* ********* $*** ** $*** ******* for ** **** ***-** *****, ***** is ******* **** ** **** ******** up ******** ** ***** ** ***** rate ** **** / ** ****.

Tri-Ed *** *** ****

** *** ******** **** [**** ** longer *********], ******* ********** ******* ******* on *** ***-** **** *** *** importance.

*** ***** ***** ******* *** ********** was ********* * "******* *** ** products *** *********, ************ ** *** areas ** ********* *********, **** *** life ******." ***** ***** *** *** particularly **** ******, *** **** **** to **** ****** ***** ******* *** *** compliments ** **** ******* ******** ********** offered.

******* ***** **** ********** *** ********** Anixter's '*********' ** **:

"*** ** *** **** ********** ** putting ******* *** ***-** ******** ***** from, ** *** *** *********** ********* in ******** ********-***** ******** **** ***** from ******* ***** -- **** *** Tri-Ed **** *** ****** ** **** into ***** ******** ****."

*******, ** ******* ******, ***-**'* **** customer **** *** "******* *********** *** installers" *** *** ***** ********** ** jump ******** **** ** ****** ** fast ******* ** ******, ********** ** ***** *** **** and ********** ** **.

Tri-Ed **** ** ******

*********, ********** **** *** ********* ******* is *** ** ****** ** *** entire ******** **********. *** ****.

"*** ******** [**** ** ****** *********], the ****** ********* ** ***-**, ** now ******* *** $*.* ******* ****** security ********."

******** [**** ** ****** *********] ** an *** ****** ******** ***. *** he ** *** **** ******* *** ~$570 ******* ***-** **** *** *** entire ******** $*+ ******* ******* ******** business ******* ** *** *** ** high *** ** *** ******.

* ****** ***, ******* ************ ******** ******* ** 'execution *******' *** ******** ******** ******** leadership / **********. **** **** **** a ****** ***** ********** ******** ***. ***, *** ****** ***-** *********, Comunale ** ** ****** ** ********** security.

******* ** ******* ****** * **** big *** **** ** **** *** Tri-ed's ****** ***** ************ ****, *** that ***** ********* *** ** ** for ******** *******.

Comments (3)
JP
Jason Pfau
•Nov 02, 2014
IPVMU Certified

My biggest problem with Anixter (who has always been our biggest supplier) is not their knowledge about IP, its getting to that knowledge about IP. They are hideously understaffed - typically there is only 1 rep that i can usually ask my difficult questions and ask for help on designing a system with. The other reps usually fall back on that one rep (at least in my area) for his expertise.

The acquisition of Tri-ed brings in the core of the people that were running to ADI from anixter because of the lack of products. ADI still has its systems design help group, if Anixter gets smart and puts together one of those, ADI will have alot more immediate concerns.

(1)
UD
Undisclosed Distributor #1
•Nov 04, 2014
In reply to Jason Pfau

Scott...why would you give a majority of your business to a distributor that is not providing value?

JP
Jason Pfau
•Nov 04, 2014
IPVMU Certified

I just joined this company a short while ago, cant change the world all in a day. Its an already established relationship.