Benchmark Electronics (BHE), a provider of integrated electronic manufacturing services, has posted a 2.62 times surge in profit for the quarter ended Jun. 30, 2014. The company earned $22.15 million or $0.41 a share in the second-quarter compared with $8.46 million or $0.16 a share a year ago. Non-GAAP earnings per share came in at $0.43 when analysts expected $0.38.
Revenue during the second-quarter grew 18 percent to $716.87 million from $607.52 million in the last year period.
Gross margin expanded by 75 basis points over the previous year period to 8.06 percent. Total expenses as a percentage of revenues decreased to 96.21 percent from 97.90 percent in the same period last year. That has resulted in improvement of 168 basis points in operating margins to 3.79 percent.
The company disclosed operating income of $27.14 million compared with $12.78 million in the last year period.
''We executed very well during the quarter. Our continued focus on operational excellence enabled results for the second quarter to exceed our expectations as we convert our robust pipeline of new programs,'' said Gayla J. Delly, president and CEO.
For third quarter 2014, the company expects revenue to be in the range of $670 and $700 million. While it expects diluted earnings per share between $0.38 and $0.42.
Cash Position
As on Jun. 30, 2014, the company's cash balance stood at $401.87 million, up 0.74 percent or $2.97 million from Jun. 30, 2013.
Working Capital
Benchmark Electronics has witnessed an increase in the working capital over the last one year. The company's working capital stood at $987.56 million as at Jun. 30, 2014, up $89.27 million or 9.94 percent from $898.28 million on Jun. 30, 2013. It registered an increase in current ratio to 3.61 as at Jun. 30, 2014 from 3.49 on Jun. 30, 2013.
Debt Position
Benchmark Electronics has witnessed a decline in the total debt over the last one year. As on Jun. 30, 2014, total debt stood at $9.82 million, down 5.19 percent or $0.54 million, from Jun. 30, 2013.
The company's total debt was 0.58 percent of total assets as on Jun. 30, 2014, compared with 0.67 percent on Jun. 30, 2013.
Interest coverage ratio, which determines how easily a company can pay interest expenses on outstanding debt, has improved to 57.39 from 27.61 in the same period last year.
Shares of Benchmark Electronics gained $0.93 or 3.88 percent to settle at $24.89 on Friday.