Flextronics International Ltd. Announces Unaudited Consolidated Earnings Results for Third Quarter and Nine Months Ended December 31, 2013; Provides Earnings Guidance for the Fourth Quarter and Full Year Ending March 31, 2014
January 29, 2014 at 04:01 pm
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Flextronics International Ltd. announced unaudited consolidated earnings results for third quarter and nine months ended December 31, 2013. For the quarter, the company's net sales were $7,183.4 million compared with $6,123.3 million a year ago. Operating income was $174.0 million compared with $34.9 million a year ago. Income from continuing operations before income taxes was $153.7 million compared with $45.8 million a year ago. Income from continuing operations was $145.2 million or $0.23 per share compared with $54.6 million or $0.08 per share a year ago. Net income was $145.2 million or $0.23 per share compared with $47.3 million or $0.07 per share a year ago. Non-GAAP income from continuing operations earnings per share was $0.26 compared with $0.22 a year ago. Non-GAAP net income per share was $0.26 compared with $0.21 a year ago. Non-GAAP operating income was $187.2 million compared with $146.1 million a year ago. Non-GAAP income from continuing operations was $163.8 million compared with $148.2 million a year ago. Non-GAAP net income was $163.8 million compared with $140.9 million a year ago. Free cash flow of $614 million for the quarter consists of GAAP net cash flows from operating activities of $764 million less purchases of property and equipment net of dispositions of $150 million.
For the nine-months, the company's free cash flow was $657 million consisting of GAAP net cash flows from operating activities of $1.1 billion less purchases of property and equipment net of dispositions of $461 million.
For the fourth quarter ending March 31, 2014, the company's revenue is expected to be in the range of $5.9 billion to $6.3 billion and adjusted EPS is expected to be in the range of $0.18 to $0.22 per diluted share. GAAP earnings per share is expected to be lower than the guidance provided herein by approximately $0.05 to $0.06 per diluted share for the costs associated with SG&A reductions, and $0.03 per diluted share for intangible amortization and stock-based compensation expense.
The company continues to expect that operating effective tax rate will be in the 8% to 10% range, absent any discrete one-time items. Fiscal 2014 free cash flow target of approximately $400 million by over 50%. The company expects capital expenditures will be below depreciation levels beginning in fourth quarter and throughout the calendar year 2014.
Flex Ltd. is engaged in providing a portfolio of manufacturing solutions and services. The Company operates through three segments: Flex Agility Solutions (FAS), and Flex Reliability Solutions (FRS). The FAS segment is comprised of various end markets, such as Communications, Enterprise, and Cloud (CEC), including data infrastructure, edge infrastructure and communications infrastructure; Lifestyle, including appliances, consumer packaging, floorcare, micro mobility and audio; and Consumer Devices, including mobile and high velocity consumer devices. The FRS segment consists of end markets, such as Automotive, including mobility, autonomous, connectivity, electrification, and smart technologies; Health Solutions, including medical devices, medical equipment, and drug delivery; and Industrial, including capital equipment, industrial devices, and renewables and grid edge.
Flextronics International Ltd. Announces Unaudited Consolidated Earnings Results for Third Quarter and Nine Months Ended December 31, 2013; Provides Earnings Guidance for the Fourth Quarter and Full Year Ending March 31, 2014