Sanmina Corporation (SANM) has reported 68.04 percent plunge in profit for the quarter ended Oct. 01, 2016. The company has earned $100.80 million, or $1.30 a share in the quarter, compared with $315.38 million, or $3.78 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $55.68 million, or $0.72 a share compared with $47.70 million or $0.57 a share, a year ago. Revenue during the quarter went up marginally by 1.79 percent to $1,665.82 million from $1,636.58 million in the previous year period. Gross margin for the quarter expanded 20 basis points over the previous year period to 7.64 percent. Total expenses were 96.70 percent of quarterly revenues, down from 96.78 percent for the same period last year. This has led to an improvement of 9 basis points in operating margin to 3.30 percent.
Operating income for the quarter was $55.05 million, compared with $52.69 million in the previous year period.
However, the adjusted operating income for the quarter stood at $69.26 million compared to $61.67 million in the prior year period. At the same time, adjusted operating margin improved 39 basis points in the quarter to 4.16 percent from 3.77 percent in the last year period.
"We delivered solid financial results for the fourth quarter. Operating margin, EPS and cash flow from operations exceeded our expectations in spite of flat revenue," stated Jure Sola, chairman and chief executive officer of Sanmina Corporation.
For the first-quarter, Sanmina Corporation forecasts revenue to be in the range of $1,675 million to $1,725 million. On an adjusted basis, the company expects diluted earnings per share to be in the range of $0.65 to $0.70 for the first-quarter.
Debt comes down
Sanmina Corporation has recorded a decline in total debt over the last one year. It stood at $462.48 million as on Oct. 01, 2016, down 13.94 percent or $74.89 million from $537.36 million on Oct. 03, 2015. Total debt was 12.76 percent of total assets as on Oct. 01, 2016, compared with 15.38 percent on Oct. 03, 2015. Debt to equity ratio was at 0.29 as on Oct. 01, 2016, down from 0.35 as on Oct. 03, 2015. Interest coverage ratio improved to 8.78 for the quarter from 8.28 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
