Business
Sanmina Reports Fourth Quarter And Fiscal Year End Financial Results
SAN JOSE, Calif., Oct. 28, 2019 /PRNewswire/ -- Sanmina Corporation ("Sanmina" or the "Company") (NASDAQ: SANM), a leading integrated manufacturing solutions
About this update from Sanmina Corporation
[{"type":"text","content":"SAN JOSE, Calif., Oct. 28, 2019 /PRNewswire/ -- Sanmina Corporation (\"Sanmina\" or the \"Company\") (NASDAQ: SANM), a leading integrated manufacturing solutions company, today reported financial results for the fourth quarter and fiscal year ended September 28, 2019.\n\"We delivered good financial results per our plan for the fourth quarter. The team did an excellent job driving operational efficiency and mix improvements which led to better than expected operating margin, non-GAAP earnings per share and free cash flow,\" stated Jure Sola, Executive Chairman.\n\"Our focus on operational execution and financial excellence is evident in our strong fiscal 2019 results. Revenue grew 16 percent, operating margin expanded 110 basis points to 4.1 percent, non-GAAP earnings per share increased 60 percent to $3.40 compared to fiscal 2019 and we delivered strong free cash flow of $256 million. I am proud of our team for delivering solid results in fiscal 2019,\" concluded Sola. \nBalance Sheet and Cash Flow \nEnding cash and cash equivalents: $454.7 million Cash flow from operations: Q4 $190.2 million and FY'19 $383.0 million Free cash flow: Q4 $161.0 million and FY'19 $255.8 million Expanded Share Repurchase Program In line with Sanmina's capital allocation priorities and confidence in our future cash generation, the Board of Directors has authorized the repurchase of up to an additional $200 million of Sanmina's common stock. The new stock repurchase program has no expiration date. As of September 28, 2019, $100.8 million remained available under the current program approved in September 2017. This brings the outstanding Board authorized common stock repurchase amount to $300.8 million. Since the beginning of fiscal 2014, the Company has repurchased approximately 26.4 million shares for approximately $649 million. The Company continues to view its share repurchase program as opportunistic. \nCompany-wide Right-sizing Plan On October 28, 2019, the Company adopted a company-wide right-sizing plan. Under this plan, the Company expects to incur restructuring charges of approximately $10 million to $20 million, consisting primarily of cash severance costs. \nFirst Quarter Fiscal 2020 OutlookThe following outlook is for the first fiscal quarter ending December 28, 2019. These statements are forward-looking and actual results may differ mater...