A return to its vertical focus on electronics manufacturing services continues to pay off for Flextronics. The Singapore-based company Thursday reported sales levels for its fourth quarter and fiscal year 2007 reached record levels, rising 32 percent and 23 percent, respectively, compared to 2006.
Net sales for the fourth quarter, which ended March 31, were $4.7 billion, while adjusted net income for the quarter was $122 million, a 24 percent increase from the year-ago quarter.
For the fiscal year, net sales grew to $18.9 billion, while adjusted net income was $478 million, up 15 percent over fiscal 2006.
In a released statement, Flextronics CEO Mike McNamara thanked employees for their hard work in achieving the company's growth and profit goals amid a tough market environment for large EMS companies.
"We are very pleased with our record-breaking fourth quarter and fiscal
year results, which reflect our intense focus on growth acceleration,
vertical integration and expanding our service offering to increase our
market share and profitability," he said.
For the June-ending quarter, Flextronics is projecting revenue growth of 18 to 23 percent, and adjusted earnings growth of 11 to 22 percent, both compared to the year-ago period.
For the 2008 fiscal year, revenue is expected to grow 10 to 15 percent over fiscal 2007 and adjusted earnings is expected to grow 15 to 20 percent. GAAP earnings are expected to be lower, however, reflecting quarterly intangible amortization and stock-based compensation expense.