"I'm encouraged by our order trends and significant productivity improvements," said TE's CEO, Tom Lynch.
TE Connectivity (NYSE: TEL) recently reported results for the fiscal first quarter ended December 28, 2012. The company reported net sales of $3.13 billion compared to prior year sales of $3.17 billion.
"First quarter results were in line with our expectations, as strong margin performance offset slightly weaker than expected sales, particularly in our Networks segment," commented TE Connectivity chairman and CEO Tom Lynch. "Orders strengthened through the quarter in most of our businesses primarily due to improved economic conditions in the United States and China," he added.
Company orders, excluding its Subsea Communications business, were $3.08 billion in the first quarter; the book-to-bill ratio was 1.02. Lynch added, "We also had another good free cash flow quarter, generating $304 million and returning the majority back to our shareholders."
For the second quarter, the company expects net sales of $3.2 to $3.3 billion. "I'm encouraged by our order trends and significant productivity improvements," concluded TE's CEO, Lynch. "As a result, we expect sales and adjusted earnings to increase in the second quarter and to deliver a strong second half. For the full year, we anticipate returning over $1 billion to shareholders."
For the full year, the company expects net sales of $13.3 to $13.7 billion, according to a press release. Additionally, the TE Connectivity announced that it has been recognized as a Top 100 Global Innovator by Thomson Reuters for the second consecutive year.
