Spokane Valley, WA— April 29, 2008 -- Key Tronic Corporation (Nasdaq: KTCC), a provider of electronic manufacturing services (EMS), today announced its results for the quarter ended March 29, 2008.
For the third quarter of fiscal 2008, Key Tronic reported total revenue
of $51.5 million, up 9% from $47.2 million in the same period of fiscal 2007.
For the first nine months of fiscal 2008, total revenue was $146.8
million, compared to $152.6 million in the same period of fiscal 2007.
Net income for the third quarter of fiscal 2008 was $1.2 million or
$0.11 per diluted share, up 57% from $0.7 million or $0.07 per diluted share for
the same period of fiscal 2007. For the first nine months of fiscal 2008, net
income was $3.0 million or $0.29 per diluted share, up 19% from $2.5 million or
$0.24 per diluted share for the same period of fiscal 2007.
“We are pleased with our strong year-over-year third quarter growth in
revenue and earnings, driven by increased demand from both new and established
customer programs,” said Jack Oehlke, President and Chief Executive Officer.
“We were also pleased to see the expected improvement in our gross margin and
profitability from the previous quarter.”
“During the third quarter, we continued to diversify our customer
portfolio across a wide range of industries, winning new customer programs
involving a consumer medical device, energy technology, home air filtration and
specialized touch-screen panels. We
expect these new programs to begin contributing revenue in fiscal 2009 and we
continue to pursue new opportunities for profitable growth.”
Business Outlook
For the
fourth quarter of fiscal 2008, the Company expects revenue in the range of $50
million to $54 million, with earnings in the range of $0.10 to $0.15 per share.
Conference
Call
Key Tronic
will host a conference call today to discuss its financial results at 2:00 PM
Pacific (5:00 PM Eastern). A broadcast of the conference call will be available
at www.keytronic.com under “Investor
Relations” or by calling 800-218-0204 or +1 303-262-2137. A 48-hour replay
will be available by calling 800-405-2236 or +1 303-590-3000 (Reservation No.
11111515). A replay will also be available on the Company’s Web site.
About Key Tronic
Key
Tronic is a leading contract manufacturer offering value-added design and
manufacturing services from its facilities in the United States, Mexico and
China. The Company provides its
customers full engineering services, materials management, worldwide
manufacturing facilities, assembly services, in-house testing, and worldwide
distribution. Its customers include
some of the world's leading original equipment manufacturers.
For more information about Key Tronic visit: www.keytronic.com.
Some
of the statements in this press release are forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include all passages containing verbs such as
‘aims, anticipates, believes, estimates, expects, hopes, intends, plans,
predicts, projects or targets’ or nouns corresponding to such verbs.
Forward-looking statements also include other passages that are primarily
relevant to expected future events or that can only be fully evaluated by events
that will occur in the future. Forward-looking statements in this release
include, without limitation, the Company’s statements regarding its
expectations with respect to quarterly revenue and earnings during fiscal 2008.
There are many factors, risks and uncertainties that could cause actual results
to differ materially from those predicted or projected in forward-looking
statements, including but not limited to the accuracy of customers’ forecasts;
success of customers’ programs; timing of new programs; success of new-product
introductions; acquisitions or divestitures of operations or facilities;
technology advances; changes in pricing policies by the Company, its
competitors, customers or suppliers; and the other risks and uncertainties
detailed from time to time in the Company’s SEC filings.
