CTS's EMS Sales Down 8%
Published: 29 October 2008
by Mike Buetow
The EMS division, one of the world's 40 largest, saw strength in defense and aerospace, medical and communications.
Overall sales fell 2.7% to $170 million and net earnings slid 2.6% to $7.6 million in the quarter. During the quarter, CTS eliminated approximately 60 positions.
In a press release, CTS president and CEO Vinod M. Khilnani said, “Our third quarter earnings were in line with our expectations and analyst consensus, despite an increasingly challenging economic environment. Positive year-over-year growth in our sensor and actuator sales was very encouraging, notwithstanding the severe downturn in the automotive industry. We continue to win new sensor programs supporting future growth and remain committed to investing in research and development activities to launch new products. Our year-to-date design wins in wireless infrastructure applications are also up a healthy 23%."
CTS guided for a sequential 3 to 5% drop in fourth quarter sales. The company revised its full year 2008 sales to be essentially flat from 2007, compared to previously guidance of 5 to 8% growth.
