SAN JOSE, CA – Sanmina reported fiscal fourth quarter revenue of $1.76 billion, up 2.9% year-over-year.

For the quarter ended Sept. 30, GAAP net income was $25.8 million, down 74.4% compared to the same period a year ago. GAAP operating income was $43.1 million, or 2.5% of revenue, compared to $55.1 million, or 3.3% of revenue, for the same period a year ago.

Cash flow from operations for the quarter was $49.3 million.

"Our fourth quarter revenue and cash generation were in line with our expectations.  However, our margins and non-GAAP EPS were a disappointment,” said Bob Eulau, CEO of Sanmina. “We have made significant investments for new business and programs, and these are taking longer to ramp than we expected.”

Revenue for fiscal 2017 was $6.87 billion, up 6% compared to fiscal 2016. GAAP net income for fiscal 2017 was $138.8 million, down 26.1%. GAAP operating income was $226.5 million, up 0.8%.  

Cash flow from operations for the fiscal year was $251 million.

"Overall, fiscal year 2017 was a good year, with revenue growth of 6% and non-GAAP EPS growth of 13%. We delivered another solid year of cash flow from operations, which provides us the flexibility to support our longer-term growth objectives.  Additionally, we further demonstrated our commitment to return value to our shareholders by repurchasing 4.3 million shares for $160 million in fiscal 2017.

"Looking forward to fiscal year 2018, we are excited about the new business programs and look forward to leveraging the structure we have put in place.  As always, our focus is on profitable growth and EPS expansion, while controlling our spending."

The firm expects revenue between $1.75 billion and $1.8 billion for the fiscal first quarter ending Dec. 30.