Key Tronic Corporation (Nasdaq: KTCC), a provider of electronic manufacturing services (EMS), today announced its results for the quarter ended January 1, 2011.
For the second quarter of fiscal 2011, Key Tronic reported total revenue of $61.0 million, up 36% from $44.8 million in the same period of fiscal 2010. For the first six months of fiscal 2011, total revenue was $124.4 million, up 45% from $86.1 million in the same period of fiscal 2010.
Net income for the second quarter of fiscal 2011 was $1.7 million or $0.17 per diluted share, compared to $1.7 million or $0.17 per diluted share for the same period of fiscal 2010. Results for the second quarter of fiscal 2011 reflect increased material and operational expenses associated with the Company’s new product mix and program startups. For the first six months of fiscal 2011, net income was $3.5 million or $0.33 per diluted share, up from $2.0 million or $0.19 per diluted share for the same period of fiscal 2010.
“We’re pleased with our strong year-over-year revenue growth for the second quarter and for the first half of fiscal 2011, driven primarily by the production ramp up of new programs,” said Craig Gates, President and Chief Executive Officer, “During the second quarter of fiscal 2011, we continued to diversify our revenue base by winning new programs involving industrial motor controls, fire safety devices and power supply equipment for US military applications. We’re also seeing some gradual improvement in the global supply chain for certain electronic components.”“Moving into the second half of fiscal 2011, some of our new customers have delayed their anticipated production ramps from the third quarter to the fourth quarter. Accordingly, we have revised our previous forecasts for revenue and earnings, and now expect to see sequential growth get underway in the fourth quarter of fiscal 2011. Over the longer term, we remain well positioned to profitably grow our business, capture market share and capitalize on emerging EMS opportunities.”