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Flextronics International


on Thursday posted a decline in sales and profit for the fourth quarter attributable to charges and expenses.

On a GAAP basis, for the quarter ended March 31, net income fell to $43 million, or 7 cents, from net income of $74 million, or 12 cents, in the year-earlier period.

Excluding items, the electronics manufacturing services company posted a profit of $98 million, or 16 cents compared with net income of $95 million and break-even on a share basis in the year-ago quarter.

That was a penny short of analysts' estimates gathered by Thomson First Call on that basis.

Sales were $3.6 billion in the latest quarter, roughly in line with the year-ago quarter and with analysts' forecasts.

Investors sent shares down 27 cents to $11.20 in recent after-hours trading.

The Singapore-based company sees first-quarter earnings of 16 cents to 17 cents, compared with Street estimates of 16 cents, on revenue of $3.7 billion to $3.9 billion. Analysts were looking for $3.79 billion in sales for the quarter.

GAAP earnings per share are expected to be lower than the guidance provided by approximately 3 cents, reflecting quarterly intangible amortization and stock-based compensation expense.

Flextronics announced last week that it has entered into an agreement to sell its software development and related business to an affiliate of

Kohlberg Kravis Roberts & Co.

, and as a result, the software business and the semiconductor division, which was divested by Flextronics in September 2005, are being treated as discontinued operations in the accompanying financial statements.

In January, Flextronics warned that earnings would fall below analyst expectations, citing a delay in transferring the

Nortel Networks

( NT)

Shares of the company closed the regular session up 9 cents to $11.47.