Sanmina – SCI Corporation Earnings Cheat Sheet: Profit Down
Sanmina – SCI Corporation (NASDAQ:SANM) reported its results for the third quarter. Sanmina-SCI Corporation is provider of customized, integrated electronics manufacturing services. It provides these services to original equipment manufacturers, in the communications, enterprise computing and storage, multimedia etc.
Sanmina – SCI Earnings Cheat Sheet for the Third Quarter
Results: Net income for Sanmina – SCI Corporation fell to $7.2 million (9 cents per share) vs. $21.6 million (26 cents per share) a year earlier. This is a decline of 66.8% from the year earlier quarter.
Revenue: Rose 3% to $1.67 billion from the year earlier quarter.
Actual vs. Wall St. Expectations: SANM reported adjusted net income of 42 cents per share. By that measure, the company beat the mean estimate of 30 cents per share. Analysts were expecting revenue of $1.65 billion.
Quoting Management: “We delivered nice growth in the third quarter and are pleased with our ability to expand our margins despite continued softness in the defense and aerospace market. Based on our customer forecasts, we believe demand in the short-term remains stable,” stated Jure Sola, Chairman and Chief Executive Officer. “We are confident our strategy focused on higher value added services, diversified markets and innovative technologies will continue to allow us to capitalize on opportunities with new and existing customers, and positions Sanmina-SCI for long-term growth and margin expansion.”
Revenue has risen the past four quarters. Revenue increased 2.7% to $1.57 billion in the second quarter. The figure rose 12.5% in the first quarter from the year earlier and climbed 24.7% in the fourth quarter of the last fiscal year from the year-ago quarter.
The company topped expectations last quarter after falling short of forecasts in the second quarter with net income of 20 cents versus a mean estimate of net income of 26 cents per share.
Margins rose in the second quarter after falling the quarter before. Gross margin rose 0.2 percentage point to 7.9% from the quarter earlier quarter. In the first quarter, the figure rose 0.2 percentage point to 7.4% from the year earlier quarter.
Competitors to Watch: Jabil Circuit, Inc. (NYSE:JBL), TTM Technologies, Inc. (NASDAQ:TTMI), Benchmark Electronics, Inc. (NYSE:BHE), DDi Corp. (NASDAQ:DDIC), SigmaTron International (NASDAQ:SGMA), Celestica Inc. (NYSE:CLS), SMTC Corporation (NASDAQ:SMTX), Flextronics Intl. Ltd. (NASDAQ:FLEX), CTS Corporation (NYSE:CTS), and Kimball International (NASDAQ:KBALB).
(Source: Xignite Financials)