SAN JOSE – Flextronics reported a 23% rise in second-quarter net sales from continuing operations of $4.7 billion, a record. GAAP net income was a record $185 million for the second quarter ended Sept. 30, compared to a loss of $2 million a year ago.
Sales were up 16% sequentially. Operating margins at its EMS business improved by 10 basis points year-over-year and gross margin improved sequentially by 10 basis points.
In a statement, chief executive and president John Gilbertson said, "After a good first quarter, we have seen continued growth in demand throughout the second quarter in all market segments."
For the quarter ended Sept. 30, the company reported a gain of $274 million in proceeds from the sale of discontinued businesses. Those units include electronics OEM notables Universal Instruments, Vitronics-Soltec and Hover-Davis, among others. In the second quarter, Dover took a $106.5 million writedown against the carrying values of the discontinued businesses.
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BANNOCKBURN, IL – When it comes to lead-free readiness, North American OEMs trail their counterparts in Asia and Europe. However, barely half the Asian OEMs declared themselves “fully engaged” in lead-free assembly.
That’s according to “Report
on IPC Lead-Free Preparedness Study,” released by IPC this month. The study looked
at the level of lead-free implementation at 196 OEMs and 94 EMS
companies worldwide. IPC did not break out the number of respondents in each
region.