beat analysts' first-quarter expectations as sales more than doubled from a year ago, and the company said it expects to top Wall Street's estimates for the second quarter, as well.
The company, a provider of electronics manufacturing and supply-chain management services, also said the constricted supply of components in the electronics industry began to ease in the late stages of the quarter. Solectron said "while some component categories remain constrained, overall lead times became shorter in recent weeks. We are taking advantage of the changing conditions, and we expect to realize the full benefits of the improving components environment going forward."
For the first quarter, the company earned 31 cents a diluted share, compared with 19 cents in the same period a year ago, excluding amortization of goodwill and other intangibles and one-time items. Analysts expected the company to earn 28 cents a share, according to
First Call/Thomson Financial
Sales for the first quarter rose to $5.7 billion from $2.8 billion in the year-earlier period.
Solectron expects second-quarter sales of $5.4 billion to $5.7 billion and income of 29 cents to 30 cents a share before any one-time charges and other costs. For fiscal 2001, the company expects sales of more than $23 billion and income before items of $1.22 to $1.25 a share. Analysts expect Solectron to earn 28 cents in the second quarter and $1.15 for the year.
Shares of Solectron fell $1.32, or 4.7%, to end the regular session at $26.72 on the
New York Stock Exchange
. Solectron was bid at $27 in after-hours