FOUNTAIN INN, S.C.--(BUSINESS WIRE)--AVX Corporation (NYSE: AVX) today reported preliminary unaudited results for the first quarter ended June 30, 2018.
Chief Executive Officer and President, John Sarvis, stated, “We completed the first quarter of our fiscal year with net sales of $454.1 million, reflecting an increase over both the previous quarter and the same quarter in the prior year. Overall orders in the industry remained strong, reflecting a continuing robust demand for our passive components, antennas, sensors and interconnect solutions. Our gross profit of $108.3 million, or 23.9 percent, reflects solid operating performance and improved pricing in the market. Our various distribution channels continue to experience favorable trends and we are maintaining a positive outlook for succeeding quarters. Our operational efficiency programs continue to positively impact our manufacturing cost. We continue to be optimistic that the evolution of new electronic devices and content will create strong demand for our components and interconnect, sensing and control devices and provide growth opportunities during the remainder of the fiscal year.”
For the quarter ended June 30, 2018, net sales were $454.1 million compared to net sales of $331.4 million for the same period last year, reflecting increased sales of $97.8 million in our Interconnect, Sensing and Control segment attributable to our acquisition of the AB Electronic sensing and control business and $31.9 million in our Electronic Components segment attributable to our acquisition of Ethertronics. The increased sales were partially offset by the loss of KED sales which were $17.2 million for the quarter ended June 30, 2018 as compared to $76.7 million for the same period last year.
Operating profit for the three month period ended June 30, 2018 was $68.0 million compared to $42.4 million for the three month period ended June 30, 2017.
Net income for the quarter ended June 30, 2018 was $56.0 million, or $0.33 per diluted share compared to net income for the quarter ended June 30, 2017 of $31.5 million, or $0.19 per diluted share.
During the quarter, AVX completed its purchase of KUMATEC Sondermaschinenbau & Kunststoffverarbeitung GmbH (“Kumatec”) for $12.3 million in cash, net of cash acquired and debt assumed. Kumatec develops, constructs and manufactures automation equipment and plastic components.
Chief Financial Officer, Michael Hufnagel, stated, “We are continuing our long-term strategy to maintain our financial position in order to allow flexibility for investments in acquisitions, materials, equipment and people to support the long-term growth of the Company. As of June 30, 2018, we had cash, cash equivalents and short-term investments in securities of approximately $846.2 million and no debt. We continued to use our resources to provide value to our stockholders during the quarter by paying $19.4 million in dividends to stockholders, using $0.8 million to repurchase shares of AVX stock on the open market, and spending $12.3 million for acquisitions.”
AVX, headquartered in Fountain Inn, South Carolina, is a leading manufacturer and supplier of a broad line of passive electronic components and related products.
Please visit our website at www.avx.com.
Consolidated Condensed Statements of Income
(in thousands, except per share data)
|Three Months Ended|
|Cost of sales||257,508||345,783|
|Selling, general & admin. expense||31,415||40,316|
|Profit from operations||42,431||68,017|
|Other income, net||1,913||2,753|
|Income before income taxes||44,344||70,770|
|Provision for taxes||12,860||14,807|
|Basic income per share||$||0.19||$||0.33|
|Diluted income per share||$||0.19||$||0.33|
|Weighted average common shares outstanding:|
Consolidated Condensed Balance Sheets
|March 31,||June 30,|
|Cash and cash equivalents||$||547,415||$||457,935|
|Short-term investments in securities||279,787||388,217|
|Accounts receivable, net||284,514||271,377|
|Other current assets||73,231||76,628|
|Total current assets||1,701,724||1,708,066|
|Property, plant and equipment, net||418,286||422,719|
|Goodwill and other intangibles||444,910||452,608|
Liabilities and Stockholders’ Equity
|Income taxes payable and accrued expenses||178,517||217,062|
|Total current liabilities||294,563||314,108|
TOTAL STOCKHOLDERS’ EQUITY
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
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