Slide 1: Third Quarter Fiscal 2016 Results
Third Quarter Fiscal 2016 Results Quarter Ended July 2, 2016
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements made during this presentation, including the Company's outlook for the fourth 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 Q3'16 (A) Q3'16 Outlook WAS Revenue: $1.67B $1.625 - $1.675B Diluted earnings per share: $0.63 $0.61 - $0.65 3
Slide 4: Financial Results
Financial Results (Unaudited) Three M onth Periods ($ in millio ns, ex c ept per share data) Q3'16 Q2'16 Q3'15 GAAP: Revenue $1,669 $1,611 $1,539 Gross profit $127 $137 $121 O perating expense $72 $76 $73 O perating inc ome $55 $61 $47 O ther expense $5 $6 $7 Taxes $20 $25 $16 Net inc ome $30 $30 $2
Slide 5: Segment Reporting – Revenue and Non-GAAP Gross Margin
Segment Reporting – Revenue and Non-GAAP Gross Margin* ($ 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 6: Non-GAAP P&L Metrics
Non-GAAP P&L Metrics ($ in Millions) Gross Profit / Margin Operating Income / Margin 6
Slide 7: Summary Balance Sheet
Summary Balance Sheet ($ in Millions) 7/2/16 4/2/16 6/27/15 Cash and cash equivalents $410 $407 $416 Accounts receivable, net 1,000 999 934 Inventories 913 923 874 Property, plant and equipment, net 616 612 565 Deferred tax assets 465 476 231 Other assets 174 182 137 Total assets $3,578 $3,598 $3,15
Slide 8: Balance Sheet Metrics
Balance Sheet Metrics ($ in Millions) Cash and Cash Equivalents Inventory $ / Turns Inventory turns (annualized are calculated as the ratio of four times cost of sales for the quarter to average inventory). Cash Cycle Days Pre-Tax ROIC Cash cycle days is calculated as days inventory on hand (ratio o
Slide 9: Q4'16 Outlook
Q4’16 Outlook(1) The following outlook is for the fourth fiscal quarter ending October 1, 2016. These statements are forward-looking and actual results may differ materially. Revenue: $1.675 - $1.725B Non-GAAP EPS: $0.64 - $0.68 (1) Outlook for the quarter ending October 1, 2016 is provided only on
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: Q3'16 Revenue Breakdown By End-Market
Q3’16 Revenue Breakdown By End-Market Communications Networks 36% Industrial/Medical/ Defense 44% Embedded Computing & Storage 20% Industrial/Medical/Defense Communications Networks Embedded Computing & Storage (Industrial equipment, energy, oil and gas, (Networking, optical & wireless infrastructur
Slide 12: Q4'16 End-Market Outlook
Q4’16 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
Summary Q3’16: Results were in line with outlook Revenue was up Q/Q and Y/Y New programs ramping in the quarter Q4’16: We see stable demand Growth driven by the ramp of new programs CY’16: Focused company Continue to drive profitable growth and shareholder value Investing in tale
Slide 14: Consolidated Financial Statements Reconciliation of GAAP vs. Non-GAAP
Consolidated Financial Statements Reconciliation of GAAP vs. Non-GAAP Quarter Ended July 2, 2016
Slide 15: GAAP Condensed Consolidated Balance Sheet
GAAP Condensed Consolidated Balance Sheet July 2, October 3, (in thousands) 2016 2015 (Unaudited) ASSETS Current assets: Cash and cash equivalents $ 409,620 $ 412,253 Accounts receivable, net 999,838 936,952 Inventories 913,110 918,728 Prepaid expenses and other current assets 58,388 55,047 Total cu
Slide 16: GAAP Condensed Consolidated Statement of Operations
GAAP Condensed Consolidated Statement of Operations (Unaudited) Three Months Ended Nine Months Ended July 2, June 27, July 2, June 27, (in thousands, except per share data) 2016 2015 2016 2015 Net sales $ 1,669,474 $ 1,539,271 $ 4,815,362 $ 4,737,963 Cost of sales 1,542,813 1,418,709 4,428,351 4,375
Slide 17: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures (Unaudited) Three Month Periods Nine Month Periods ($ in thousands, except per share data) Q3'16 Q2'16 Q3'15 FY16 FY15 GAAP Gross Profit $ 126,661 $ 136,712 $ 120,562 $ 387,011 $ 362,171 GAAP gross margin 7.6% 8.5% 7.8% 8.0% 7.6% Adjustments Stock compensation exp
Slide 18: Condensed Consolidated Cash Flow
Condensed Consolidated Cash Flow Three Month Periods Nine Month Periods Q3'16 Q3'15 FY16 FY15 GAAP Net Income $ 29,534 $ 24,475 $ 87,033 $ 61,879 Depreciation and amortization 28,785 24,658 82,228 74,189 Other, net* 16,495 8,858 50,634 43,334 Change in net working capital 6,659 54,683 66,887 (3,172)
Slide 19: What we make, makes a difference
What we make, makes a difference” pa wat SANMINA