Summary
Amphenol Corporation reported a strong third quarter and nine-month performance for 2008, demonstrating robust revenue growth across its key segments, particularly in Interconnect products. Net sales saw significant increases year-over-year, driven by demand in mobile communications, military/aerospace, and data communications markets. The company also maintained healthy gross profit margins despite some increases in material costs. Strong operating cash flow generation continues to support the company's strategic initiatives, including capital expenditures and share repurchases. Despite a challenging global economic environment, Amphenol successfully navigated these conditions, evidenced by its expanding international sales and effective cost management. The company's balance sheet remains solid, with ample liquidity provided by its revolving credit facility and internally generated cash. Management expresses confidence in its ability to meet ongoing financial obligations and fund future growth opportunities.
Financial Highlights
27 data points| Revenue | $863.66M |
| Cost of Revenue | $582.41M |
| Gross Profit | $281.25M |
| SG&A Expenses | $109.93M |
| Operating Income | $171.32M |
| Interest Expense | $9.77M |
| Net Income | $112.95M |
| EPS (Basic) | $0.08 |
| EPS (Diluted) | $0.08 |
| Shares Outstanding (Basic) | 1.41B |
| Shares Outstanding (Diluted) | 1.44B |
Key Highlights
- 1Net sales increased by 18% in the third quarter and 20% year-to-date for 2008 compared to the same periods in 2007, driven by strong performance in the Interconnect segment.
- 2Operating income for the nine months ended September 30, 2008, increased to $489.8 million from $399.4 million in the prior year.
- 3The company generated $310.7 million in cash flow from operations for the first nine months of 2008, an increase from $254.9 million in the same period of 2007.
- 4Amphenol continued its share repurchase program, buying back approximately 3.8 million shares for $143.7 million in the first nine months of 2008.
- 5Gross profit margin remained stable at approximately 32.6% for both periods in 2008 and 2007.
- 6International sales showed significant growth, increasing by 27% in the third quarter and 32% year-to-date in U.S. dollars, indicating strong global demand.
- 7The company maintained compliance with all financial covenants under its $1 billion revolving credit facility.