KNOWLES CORPORATION (KN) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $19.30 million, or $ 0.22 a share in the quarter, against a net loss of $187 million, or $2.11 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $32.30 million, or $0.35 a share compared with $26 million or $0.29 a share, a year ago.
Revenue during the quarter grew 7.65 percent to $240.60 million from $223.50 million in the previous year period. Gross margin for the quarter expanded 278 basis points over the previous year period to 39.07 percent. Operating margin for the quarter period stood at positive 11.76 percent as compared to a negative 0.27 percent for the previous year period.
Operating income for the quarter was $28.30 million, compared with an operating loss of $0.60 million in the previous year period.
"We delivered Q4 revenue growth of 8 percent that was at the high end of our guidance range, and record cash flow," said Jeffrey Niew, president and chief executive officer of Knowles. "Mobile consumer sales were better than expected driven by stronger MEMS microphone demand from North American and Chinese OEMs, and specialty components revenues were in line with expectations. Overall, I am pleased with our financial performance in 2016 as well as our ability to deliver on our prior full year financial targets; including year over year revenue growth, non-GAAP gross margins of 39 percent, and exiting 2016 at a non-GAAP SG&A run rate of less than $140 million per year."
For the first-quarter, Knowles Corporation projects revenue to be in the range of $180 million to $200 million. It projects adjusted revenue to be in the range of $180 million to $200 million. On an adjusted basis, the company forecasts diluted earnings per share to be in the range of $0.08 to $0.14.
Operating cash flow improves significantlyKnowles Corporation has generated cash of $107.50 million from operating activities during the year, up 37.12 percent or $29.10 million, when compared with the last year. Cash flow from investing activities was $5.90 million from investing activities during the year as against cash outgo of $95.20 million in the last year. It has incurred net capital expenditure of $36.70 million on net basis during the year, down 42.30 percent or $26.90 million from year ago.
The company has spent $109.90 million cash to carry out financing activities during the year as against cash inflow of $26.10 million in the last year period.
Cash and cash equivalents stood at $66.20 million as on Dec. 31, 2016, up 4.58 percent or $2.90 million from $63.30 million on Dec. 31, 2015.
Debt comes down significantlyKnowles Corporation has recorded a decline in total debt over the last one year. It stood at $298.20 million as on Dec. 31, 2016, down 30.46 percent or $130.60 million from $428.80 million on Dec. 31, 2015. Total debt was 19.68 percent of total assets as on Dec. 31, 2016, compared with 25.26 percent on Dec. 31, 2015. Debt to equity ratio was at 0.30 as on Dec. 31, 2016, down from 0.43 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
