Lisle, Illinois, United States
Molex Incorporated (NASDAQ: MOLX)(NASDAQ: MOLXA), a global electronic components company, announced that it is revising its revenue and earnings per share outlook for the quarter ending September 30, 2008.
Molex now expects September quarter revenue in the range of $840 million to $845 million, compared with its prior outlook of $860 million to $880 million. Revenue in the prior year September quarter was $792.6 million. The Company now expects earnings per share in the range of $0.25 to $0.29. The current outlook includes an estimated restructuring charge of approximately $0.06, which is subject to revision prior to the scheduled earnings release on October 28, 2008. The prior outlook of $0.35 to $0.40 included an estimated restructuring charge of $0.01 per share. The increase in the estimated restructuring charge is due to the Company accelerating a portion of the restructuring program. Earnings per share in the prior year September quarter was $0.29.
These changes are due to reduced demand primarily from the telecom / data infrastructure and automotive markets. The industrial and consumer electronic markets are also below the Company's original outlook as customers remain cautious in their procurement and forecasting given the significant uncertainty in the global economy.
The Company will provide final results and comments on the outlook beyond the September quarter in its scheduled release on October 28, 2008.
Forward-Looking Statements
Statements in this release that are not historical are forward-looking and are subject to various risks and uncertainties that could cause actual results to vary materially from those stated. Forward-looking statements are based on currently available information and include, among others, the discussion under "Outlook for September Quarter." These risks and uncertainties include those associated with the operation of our business, including the risk that customer demand will decrease either temporarily or permanently, whether due to the Company's actions or the demand for the Company's products, and that the Company may not be able to respond through cost reductions in a timely and effective manner; price cutting, new product introductions and other actions by our competitors; fluctuations in the costs of raw materials that the Company is not able to pass through to customers because of existing contracts or market factors; the challenges attendant to plant closings and restructurings, including the difficulty of predicting plant closing and relocation costs, the difficulty of commencing or increasing production at existing facilities, and the reactions of customers, governmental units, employees and other groups, the challenges attendant to plant construction; and the ability to realize cost savings from restructuring activities, as well as difficulty implementing the transition to a product-focused organization structure.
Other risks and uncertainties are set forth in Item 1A "Risk Factors" of the Company's Form 10-K for the year ended June 30, 2008, which is incorporated by reference and in reports that Molex files or furnishes with the Securities and Exchange Commission. This release speaks only as of its date and Molex disclaims any obligation to revise these forward-looking statements or to provide any updates regarding information contained in this release resulting from new information, future events or otherwise.
Molex Incorporated is a 70-year-old global manufacturer of electronic, electrical and fiber optic interconnection systems. Based in Lisle, Illinois, USA, the company operates 45 manufacturing locations in 17 countries. The Molex website is www.molex.com.
Editor's note: Molex is traded on the NASDAQ Global Select Market (MOLX and MOLXA) in the United States and on the London Stock Exchange. The Company's voting common stock (MOLX) is included in the S&P 500 Index.
Source: Business Wire (Business Wire India)