Spokane Valley,
WA— August 23, 2011 -- Key Tronic Corporation
(Nasdaq: KTCC), a provider of electronic manufacturing services (
For the fourth quarter of fiscal 2011, Key Tronic
reported total revenue of $66.0 million, up 7% from $61.9 million in the same
period of fiscal 2010. For the full
year of fiscal 2011, total revenue was $253.8 million, up 27% from $199.6
million in fiscal 2010.
Net income for the fourth quarter of fiscal 2011 was
$1.5 million or $0.15 per diluted share, compared to $2.3 million or $0.22 per
diluted share for the same period of fiscal 2010.
For the full year of fiscal 2011, net income was $5.7 million or $0.55
per diluted share, compared to $8.7 million or $0.85 per diluted share for
fiscal 2010.
“We’re pleased with our strong year-over-year
revenue growth for fiscal 2011, driven by the production ramp ups of new
programs for both our longstanding and new customers,” said Craig Gates,
President and Chief Executive Officer. “Due to increasing industry awareness
that our customers are benefiting from our unique blend of multinational
facilities and centralized management, we continue to see our market share grow.
During the fourth quarter, we continued to extend our customer portfolio
across a wide range of industries, winning new programs involving solar power
controllers, energy monitors and electronic whiteboards.
“During most of the year, our operating performance was adversely affected as we absorbed the costs associated with bringing many new programs into production while dealing with industry-wide supply chain constraints. By the fourth quarter, the component shortages were behind us and we made good progress in optimizing the product designs, production processes and supply chains of our new programs. As a result, we saw marked improvement in our margins in the fourth quarter and achieved another year of solid profitability.
“We move into fiscal 2012 with strong business
momentum and a highly diversified customer base, and anticipate more of our new
programs moving into production and gradually ramping up.
Despite the current macroeconomic uncertainty, we expect to continue to
capture market share and capitalize on emerging opportunities.”
Business
Outlook
For the first quarter of fiscal 2012, the Company
expects to report revenue in the range of $65 million to $69 million, and
earnings in the range of $0.10 to $0.15 per diluted 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
877-941-8609 or +1 480-629-9818. A 48-hour replay will be available by
calling 800-406-7325 or +1 303 590 3030 (Access Code: 4452261).
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
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 2012. 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 future
of the global economic environment and its impact on our customers and
suppliers, the availability of parts from the supply chain, 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.
