LISLE, Ill. (AP) — Molex Inc. said Wednesday that its fiscal second-quarter net income fell 18 percent on a one-time charge and higher expenses as revenue declined due to flooding in Thailand in the fall.
The electronic components and cables maker also gave third-quarter earnings and revenue guidance below analysts' expectations.
Molex reported Wednesday that it earned $64 million, or 36 cents per share, for the period that ended Dec. 31. That's down from $78.3 million, or 45 cents per share, a year earlier.
Molex shares sank $2.25, or 8.2 percent, to $25.18 in morning trading, but that's still closer to the high end of their range over the last year, of $18.50 to $28.51.
The quarter included a one-time charge of 2 cents per share for additional income expense. Taking out this charge, Molex earned 38 cents per share.
Molex's revenue slipped 5 percent to $857.6 million from $901.5 million. Molex said the Thailand floods lowered its revenue by about $15 million.
Analysts on average expected more, according to FactSet: They forecast revenue of $890.8 million and adjusted earnings of 41 cents per share.
"The uncertain economic environment coupled with the disruption from the floods in Thailand, however, made the December quarter challenging from a booking and revenue perspective," CEO Martin Slark said in a statement.
Quarterly selling, general and administrative expenses rose to $163.1 million from $159 million.
For the third quarter, Molex anticipates revenue between $830 million and $860 million based on its current order rates, backlog and regular seasonality of its business. With this projected revenue range, the Lisle, Ill., company forecasts earnings between 32 cents and 36 cents per share. This assumes constant foreign currency rates and commodity prices, and an effective tax rate of 32 percent.
Analysts predict third-quarter earnings of 39 cents per share on revenue of $872.5 million.
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