Innovation Update
Jabil Sees 2Q Charges Of $705M, Affirms 3Q View
The Associated Press
04/09/09 - 11:59 AM EDT
ST. PETERSBURG, Fla. (AP) Jabil Circuit Inc. reported impairment charges totaling $705.1 million for its fiscal second quarter Thursday, but affirmed its earnings and sales forecast for the current period.
Last month the electronics parts maker posted a loss of $42.1 million, or 20 cents per share, for the quarter ended Feb. 28.
After calculating its goodwill impairment taking into account its declining stock price and customer demand the company said its loss amounted to $866.1 million, or $4.19 per share.
The charges do not affect core earnings excluding one-time costs, which topped Wall Street forecasts at $27.3 million, or 13 cents per share.
For the quarter ending in May, Jabil backed its forecast for an adjusted loss of 8 cents per share to a profit of 8 cents per share on sales of $2.5 billion to $2.7 billion.
Analysts polled by Thomson Reuters are looking for a profit of 2 cents per share and sales of $2.61 billion.
Jabil shares rose 42 cents, or 7 percent, to $6.43 in morning trading amid broader market gains Thursday. The stock is still down about 11 percent year-to-date.