Editor's Note: A previous version of this article incorrectly compared TE Connectivity's fully-reported quarterly EPS of 46 cents to analyst expectations. Excluding special items, the company earned 79 cents, compared to expectations of 78 cents.
TE Connectivity's (NYSE:TEL) net income fell in the third quarter.
Earnings and Revenue The company's adjusted EPS of 79 cents a share topped Wall Street's estimates by a penny. Meanwhile, revenues of $3.5 billion came in slightly short of the $3.56 billion expected.
The company's net income for the quarter came in at $199 million, compared to $355 million in the same period the year before.
Official Comment: "We executed well in Q3 delivering EPS at our guidance level, increasing adjusted operating margins to 14% and generating free cash flow of $414 million," said TE Connectivity Chief Executive Officer Tom Lynch. "Sales were up 8% sequentially although slightly below our expectations due to a weaker Euro and softness in our Network Solutions segment. Based on current order trends, we expect fourth quarter sales of approximately $3.4 billion with adjusted operating margins holding around 14%. We expect to generate in excess of $1.3 billion of free cash flow in fiscal 2012 and plan to restart our share repurchase program in the fourth quarter."
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.