Jabil Circuit Inc. Earnings Cheat Sheet: Profit Increases Again

S&P 500 (NYSE:SPY) component Jabil Circuit Inc. (NYSE:JBL) reported its results for the first quarter. Jabil Circuit is an independent provider of electronic manufacturing services and solutions. It is engaged in the design, production of electronics, and it offers product management and aftermarket services to companies in a wide range of industries, such as the aerospace, defense, medical and telecommunications sectors.

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Jabil Circuit Earnings Cheat Sheet for the First Quarter

Results: Net income for the electronic equipment company rose to $112.9 million (54 cents per share) vs. $106.7 million (49 cents per share) in the same quarter a year earlier. This marks a rise of 5.8% from the year earlier quarter.

Revenue: Rose 6% to $4.3 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: JBL fell short of the mean analyst estimate of 58 cents per share. It fell short of the average revenue estimate of $4.41 billion.

Quoting Management: “Jabil posted another company record quarter in revenue and earnings per share, driven by strength in Diversified Manufacturing Services and High Velocity segments,” said Timothy L. Main, President and CEO of Jabil. “We are especially pleased with our operating margin performance in the quarter as the emphasis on operational efficiency and business diversity delivered positive results in a period of economic uncertainty.”

Key Stats:

The company has now seen net income rise in three straight quarters. In the fourth quarter of the last fiscal year, net income rose 94.7% and in the third quarter of the last fiscal year, the figure rose more than twofold.

Revenue has risen the past four quarters. Revenue increased 10.9% to $4.28 billion in the fourth quarter of the last fiscal year. The figure rose 22.3% in the third quarter of the last fiscal year from the year earlier and climbed 30.8% in the second quarter of the last fiscal year from the year-ago quarter.

The company fell short of estimates last quarter after beating the mark the quarter before with net income of 54 cents versus a mean estimate of net income of 49 cents per share.

Looking Forward: For next quarter, analysts have a more positive outlook about the company’s expected results. The average estimate for the second quarter is 51 cents per share, up from 50 cents ninety days ago. The average estimate for the fiscal year is $2.29 per share, a rise from $2.26 ninety days ago.

Competitors to Watch: Sanmina-SCI Corporation (NASDAQ:SANM), Benchmark Electronics, Inc. (NYSE:BHE), Kimball International (NASDAQ:KBALB), Plexus Corp. (NASDAQ:PLXS), Celestica Inc. (NYSE:CLS), SigmaTron International (NASDAQ:SGMA), SMTC Corporation (NASDAQ:SMTX), CTS Corporation (NYSE:CTS), Flextronics Intl. Ltd. (NASDAQ:FLEX), and Sparton Corporation (NYSE:SPA).

Stock Performance: Shares of JBL were up 5.2% from the previous close.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)