8-KEarnings & ResultsRegulation FDExhibits & Filings

TE Connectivity plc 8-K Report, Financial Results (May 1, 2008)

Filed May 1, 2008For Securities:TEL

Summary

TE Connectivity Ltd. (formerly Tyco Electronics Ltd.) filed an 8-K on May 1, 2008, to disclose financial information and update on a strategic divestiture. The company announced its decision to pursue the divestiture of its Radio Frequency Components and Subsystem business, which met the criteria for "held for sale" and "discontinued operations" as of March 2008. Consequently, historical financial statements for all periods presented have been reclassified to reflect this business as a discontinued operation, previously part of the Wireless Systems segment. This filing also provides unaudited financial data, including statements of operations, segment results, and adjusted statements, for several fiscal quarters and years leading up to March 28, 2008. The company emphasizes the use of non-GAAP measures such as "Adjusted Income from Operations" and "Adjusted Earnings Per Share," which exclude unusual items like separation costs, legal settlements, and restructuring charges. Management utilizes these non-GAAP metrics for internal performance assessment and compensation, and presents them to investors as a means to better reflect underlying operating results and trends, offering a more comparable view across periods. Investors are cautioned to consider these non-GAAP measures alongside their GAAP counterparts.

Key Highlights

  • 1Tyco Electronics Ltd. (now TE Connectivity plc) is pursuing the divestiture of its Radio Frequency Components and Subsystem business.
  • 2The Radio Frequency Components and Subsystem business has been classified as "held for sale" and "discontinued operations" as of March 2008.
  • 3Historical financial statements for all periods presented have been restated to reflect this business as a discontinued operation.
  • 4The filing includes unaudited financial statements (Statements of Operations, Segment Results, Adjusted Statements) for fiscal quarters and years up to March 28, 2008.
  • 5The company utilizes and presents Non-GAAP financial measures, including "Adjusted Income from Operations" and "Adjusted Earnings Per Share."
  • 6These Non-GAAP measures exclude unusual items such as separation costs, legal settlements, and restructuring charges to provide a clearer view of core operating performance.
  • 7Investors are advised to consider these Non-GAAP measures in conjunction with the most comparable GAAP measures.

Frequently Asked Questions

The primary purpose of this 8-K filing is to disclose financial information, particularly unaudited statements of operations and segment results, and to announce the company's decision to divest its Radio Frequency Components and Subsystem business, reclassifying it as a discontinued operation.

The business met the criteria for "held for sale" and "discontinued operations" as authorized by the board of directors in March 2008. This means it is being accounted for separately from the ongoing operations of the company.

These are Non-GAAP financial measures that exclude unusual or non-recurring items such as costs related to separation from Tyco International, legal settlements, and restructuring charges. The company presents them to offer investors a clearer view of the underlying operating performance and trends, which are considered more comparable across periods, and to align with internal performance assessments.

Investors should note the reclassification of a business segment as discontinued operations and the use of Non-GAAP measures. While these adjusted measures aim to provide better insight into core performance, it is crucial to analyze them alongside the standard GAAP financial results to understand the full financial picture.