Electronics Production | November 08, 2010

Mike McNamara: 'Healthy business environment remained intact

EMS-provider Flextronics saw 20% of total sales in Industrial, Automotive, Medical and Other, down from 22% last quarter, which was the fifth straight quarter this combined group achieved sequential growth, and its 30% year-over-year growth rate ranked second only behind Mobile.
"Our Industrial segment was stable during the quarter, in line with what we forecasted. We had another very successful quarter of new program wins, which totaled over $250 million and were spread across the diversified base of customers and markets", Flextronics' CEO Mike McNamara said during the last earnings call..

Flextronics' Medical segment continued a strong performance last quarter, growing sequentially in the high single-digit range. The growth was driven primarily in the medical equipment and consumer health and diabetes businesses. "We see low single-digit sequential revenue growth for Medical next quarter, which translates to a roughly 30% year-over-year growth rate", he continued.

Mobile sales expanded another 15% sequentially to USD 1.5 billion, or 21% of sales, which was ahead of expectations. "Next quarter, we see this segment growing further, increasing mid- to-high single digits sequentially", Mr McNamara stated.

In Computing, the EMS-provider posted USD 1.3 billion in sales, which accounted for 18% of revenue. This segment rose 6% sequentially, and, during the quarter, Flextronics launched two new all-in-one programs into full volume. "We also had two other mobile commuting programs ramp to full volume."

The Enterprise Server and Storage business also grew again sequentially. For the December quarter, the company is forecasting consistent levels of overall production and expects to achieve its long-term growth rates for its ODM business.

Consumer Digital rose 49% sequentially in the September quarter, a further acceleration off a 15% sequential growth in the June quarter. The segment ended at USD 1.1 billion, or 14% of total sales. "For the December quarter, we are currently forecasting modest single-digit growth, as a majority of ramp-ups took place in the September quarter in order to get products built and into the supply chain for holiday consumption", the CEO states.


Please note the following: Critical comments are allowed and even encouraged. Discussions are welcome. Verbal abuse, insults and racist / homophobic remarks are not. Such comments will be removed.
Further details can be found here.
Load more news
July 18 2018 5:55 pm V10.0.0-1