Sanmina Corporation · NASDAQ:SANM
Sanmina — Q1 FY2016 Earnings Presentation
19 slides from Sanmina's earnings presentation, Jan 25, 2016
Slide 1: First Quarter Fiscal 2016 Results
First Quarter Fiscal 2016 Results Quarter Ended January 2, 2016
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements made during this presentation, including the Company's outlook for the second quarter, constitute forward-looking statements within the meaning of the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. Actual results could differ ma
Slide 3: Non-GAAP Financial Results Compared to Outlook
Non-GAAP Financial Results Compared to Outlook Q1'16 (A) Q1'16 Outlook WAS Revenue: $1.53B $1.55 - $1.60B Diluted earnings per share: $0.58 $0.56 - $0.60 3
Slide 4: Financial Results
Financial Results (Unaudited) Three M onth Periods ($ in millions, ex c ept per share data) Q1'16 Q4'15 Q1'15 GAAP: Revenue $1,535 $1,637 $1,671 Net inc ome $27 $315 $23 Diluted earnings per share (1) $0.33 $3.78 $0.26 (2) Non-GAAP : Gross profit $126 $128 $132 O perating expense $65 $67 $64 O perat
Slide 5: Non-GAAP P&L Metrics
Non-GAAP P&L Metrics ($ in Millions) Gross Profit / Margin Operating Income / Margin 5
Slide 6: Segment Reporting – Revenue and Non-GAAP Gross Margin
Segment Reporting – Revenue and Non-GAAP Gross Margin* ($ in Millions) Integrated Manufacturing Solutions Components, Products and Services Integrated Manufacturing Solutions Components, Products & Services PCB Assembly & Test Components Products Final System Assembly & Test ‒ Interconnect S
Slide 7: Summary Balance Sheet
Summary Balance Sheet ($ in Millions) 1/2/16 10/3/15 Cash and cash equivalents $398 $412 Accounts receivable, net $930 $937 Inventories $896 $919 Property, plant and equipment, net $586 $591 Deferred tax assets $485 $497 Other assets $135 $137 Total assets $3,431 $3,493 Accounts payable $1,014 $1,03
Slide 8: Balance Sheet Metrics
Balance Sheet Metrics ($ in Millions) Cash and Cash Equivalents Inventory $ / Turns Cash Cycle Days Pre-Tax ROIC 8
Slide 9: Q2'16 Outlook
Q2’16 Outlook(1) The following outlook is for the second fiscal quarter ending April 2, 2016. These statements are forward-looking and actual results may differ materially. Revenue: $1.55 - $1.65B Non-GAAP EPS: $0.55 - $0.59 (1) Outlook for the quarter ending April 2, 2016 is provided only on a non-
Slide 10: CEO Remarks
Pa wall SANMINA CEO Remarks Communications Networks e Industrial e« MedicalSystems e Defense & Aerospace « Embedded Computing & Storage What we make, makes a difference™
Slide 11: Q1'16 Revenue Breakdown By End-Market
Q1’16 Revenue Breakdown By End-Market Communications Networks 39% Industrial/Medical/ Defense 40% Embedded Computing & Storage 21% Industrial/Medical/Defense Communications Networks Embedded Computing & Storage (Industrial equipment, energy, oil and gas, (Networking, optical & wireless infrastructur
Slide 12: Q2'16 End-Market Outlook
Q2’16 End-Market Outlook Collaborative Integrated Direct Order Interconnect Mechanical Optical / RF Products and Design and Manufacturing Fulfillment Systems Systems Solutions Services Engineering Solutions and Logistics Industrial/Medical/Defense (Industrial equipment, energy, oil and gas and med
Slide 13: Summary: Continue to Create Shareholder Value
Summary Q1’16: Good results in a challenging environment Solid margin improvement on a sequential basis Q2’16: Demand is stable Growth driven by new programs Continue to generate cash Rest of FY’16: Continue to diversify with customers and end-markets Continue to Create Shareholder
Slide 14: Consolidated Financial Statements Reconciliation of GAAP vs. Non-GAAP
Consolidated Financial Statements Reconciliation of GAAP vs. Non-GAAP Quarter Ended January 2, 2016
Slide 15: GAAP Condensed Consolidated Balance Sheet
GAAP Condensed Consolidated Balance Sheet January 2, October 3, 2016 2015 ($ in thousands) (Unaudited) ASSETS Current assets: Cash and cash equivalents $ 398,447 $ 412,253 Accounts receivable, net 930,460 936,952 Inventories 896,123 918,728 Prepaid expenses and other current assets 55,409 55,047 Tot
Slide 16: GAAP Condensed Consolidated Statement of Operations
GAAP Condensed Consolidated Statement of Operations (Unaudited) Three Months Ended ($ in thousands, except per share data) Jan. 2, Dec. 27, 2016 2014 Net sales $ 1,534,714 $ 1,671,162 Cost of sales 1,411,076 1,544,816 Gross profit 123,638 126,346 Operating expenses: Selling, general and administrati
Slide 17: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Unaudited) Three Month Periods ($ in thousands, except per share data) Q1'16 Q4'15 Q1'15 GAAP Gross Profit $ 123,638 $ 121,685 $ 126,346 GAAP gross margin 8.1% 7.4% 7.6% Adjustments Stock compensation expense (1) 1,405 2,132 1,576 Amortization of intangible asset
Slide 18: Reconciliation of Non-GAAP Measures (Continued)
Reconciliation of Non-GAAP Measures (Unaudited) - Continued Three Month Periods ($ in thousands, except per share data) Q1'16 Q4'15 Q1'15 GAAP Interest and Other, net $ (5,948) $ (5,943) $ (7,676) Adjustments Loss on extinguishment of debt (3) - - 2,913 Litigation settlements (4) - - (273) Non-GAAP
Slide 19: What we make, makes a difference
What we make, makes a difference” pa wat SANMINA