Revenue during the quarter dropped 4.88 percent to $6,008.52 million from $6,316.76 million in the previous year period. Gross margin for the quarter contracted 106 basis points over the previous year period to 5.22 percent. Total expenses were 99.21 percent of quarterly revenues, up from 97.40 percent for the same period last year. That has resulted in a contraction of 180 basis points in operating margin to 0.79 percent.

Operating income for the quarter was $47.76 million, compared with $163.99 million in the previous year period.

However, the adjusted operating income for the quarter was almost stable at $196.94 million when compared with the prior year period. At the same time, adjusted operating margin improved 17 basis points in the quarter to 3.28 percent from 3.11 percent in the last year period.

“Our Sketch-to-Scale strategy remains firmly on track as reflected in our second quarter performance which is inline with guidance,” said Mike McNamara, chief executive officer at Flex. “We remain focused on value creating activities such as a structural mix shift to a higher margin business, generating sustainable free cash flow and consistently returning value to our shareholders.”

The company has spent $412.84 million cash to meet investing activities during the first six months as against cash outgo of $946.45 million in the last year period. It has incurred net capital expenditure of $279.38 million on net basis during the first six months, down 4.98 percent or $14.64 million from year ago period.

The company has spent $215.75 million cash to carry out financing activities during the first six months as against cash inflow of $343.69 million in the last year period.

Cash and cash equivalents stood at $1,537.06 million as on Sep. 30, 2016, down 7.87 percent or $131.37 million from $1,668.43 million on Sep. 30, 2015.