Fri, Aug 2, 12:11 PM (88 days ago)
Plexus Corp. reported a decline in net sales for Q3 2024, down 6.0% to $960.8 million compared to Q3 2023. The year-to-date net sales also fell 8.7% to $2.91 billion. The decrease was attributed to reduced customer demand, inventory corrections, and lower component pricing. Despite the sales drop, gross profit slightly increased by 0.9% to $94.4 million, with a gross margin improvement to 9.8%. Operating income rose significantly by 39.0% to $39.2 million, driven by reduced restructuring charges. However, net income for the nine months ended June 29, 2024, decreased by 28.5% to $70.6 million. The company achieved a Free Cash Flow of $147.5 million, a notable improvement from the previous year's negative $3.8 million. Plexus anticipates potential tax rate impacts from global minimum tax implementations in fiscal 2025. The balance sheet remains strong with $270 million in cash and equivalents, and $349 million in debt.