Plexus Corp. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 28, 2013; Provides Earnings Guidance for the Second Quarter of 2014; Revises Tax Rate Guidance and Provides Capital Spending Guidance for the Fiscal 2014
January 15, 2014 at 04:00 pm EST
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Plexus Corp. reported unaudited consolidated earnings results for the first quarter ended December 28, 2013. For the quarter, the company reported net sales of $533.905 million compared to $530.532 million a year ago. Operating income was $21.761 million compared to $21.484 million a year ago. Income before income taxes was $19.825 million compared to $17.686 million a year ago. Net income was $17.633 million or $0.51 per diluted share, compared to $16.616 million or $0.47 per diluted share, a year ago. Non-GAAP net income, before special items was $21.268 million or $0.61 per diluted share against $16.616 million or $0.47 per diluted share a year ago. Operating profit, as adjusted was $25.366 million compared to $26.767 million a year ago. Cash flow provided by operations was approximately $4 million less capital expenditures of approximately $22 million, resulting in negative free cash flow of approximately $18 million. Revenues declined approximately 6% from the prior quarter as they were impacted by the full revenue headwind of previously announced disengagement from Juniper Networks. Return on invested capital before special items was 14.5% compared to 12.6% a year ago.
For the second quarter of 2014, the company expects revenue in the range of $535 to $565 million and diluted EPS in the range of $0.57 to $0.63, excluding any restructuring charges and including approximately $0.10 per share of stock-based compensation expense. It expects operating margin of approximately 4.4% to 4.6%. Depreciation and amortization expense is expected to be approximately $12 million in the fiscal second quarter, flat with the $12 million in the fiscal first quarter.
The company is estimating a tax rate for fiscal 2014 of 10%, above fiscal 2013 tax rate of 3.2% and at the high end of previous expectations of 8% to 10%. Capital spending forecast for fiscal 2014 remains at approximately $75 million.
Plexus Corp. is specialized in providing design and development, supply chain solutions, new product introduction, manufacturing, and sustaining services. The Company offers solutions to industrial, healthcare/life sciences and aerospace/defense market sectors by comprehensive solutions throughout the products lifecycle. Its segments include Americas (AMER), Asia-Pacific (APAC) and Europe, Middle East, and Africa (EMEA) regions. Its design and development services include user-centered design (UCD), mechanical engineering, electrical engineering, quality, and compliance engineering, project management, and software engineering. Its supply chain services include design for supply chain, supply chain risk management, actionable analytics, innovative sourcing, and others. Its new product introduction includes test engineering, rapid prototyping, and transition management. Its sustaining services include aftermarket services, product lifecycle extension, and distribution management.
Plexus Corp. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended December 28, 2013; Provides Earnings Guidance for the Second Quarter of 2014; Revises Tax Rate Guidance and Provides Capital Spending Guidance for the Fiscal 2014