Molex 1Q net income slips on economic concerns
LISLE, Ill. (AP) — Electronic components and cables maker Molex Inc. said Tuesday that its net income sank 11 percent in its fiscal first quarter because of the weak global economy.
Revenue slipped 2 percent compared to a year ago as the U.S. dollar strengthened relative to other currencies. That makes U.S. goods more expensive in other markets. However Molex said its growing faster than its competitors because of new products.
Net income fell to $71.3 million, or 40 cents per share, from $80.5 million, or 46 cents per share, a year ago. Revenue declined to $916.9 million from $936 million.
Analysts expected Molex to report income of 40 cents per share and $920 million in revenue, according to FactSet.
In the fiscal second quarter, Molex projects net income of 36 to 40 cents per share and $930 million to $970 million in revenue. That's up from $857.6 million a year ago. Analysts expect income of 41 cents per share and $940.9 million in revenue on average.
Molex shares lost 67 cents, or 2.5 percent, to $25.98 in afternoon trading as the broader markets slumped on weak corporate earnings reports.