Sensata Technologies Holding N.V. (ST) has reported a 31.29 percent jump in profit for the quarter ended Sep. 30, 2016. The company has earned $69.78 million, or $0.41 a share in the quarter, compared with $53.15 million, or $0.31 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $126.31 million, or $0.74 a share compared with $123.30 million or $0.72 a share, a year ago.
Revenue during the quarter grew 8.58 percent to $789.80 million from $727.36 million in the previous year period. Gross margin for the quarter expanded 109 basis points over the previous year period to 35.56 percent. Total expenses were 84.45 percent of quarterly revenues, down from 85.31 percent for the same period last year. This has led to an improvement of 86 basis points in operating margin to 15.55 percent.
Operating income for the quarter was $122.81 million, compared with $106.88 million in the previous year period.
"We delivered strong sequential margin expansion and eleven percent year over year organic earnings growth in the third quarter despite sustained weakness in some of our markets," said Martha Sullivan, president and chief executive officer. "Our free cash flow has been strong, which has enabled us to pay down our debt and move closer toward achieving our targeted FY-16 net leverage ratio. As we enter the fourth quarter, we are well-positioned to deliver on our full year 2016 earnings guidance and continue our trend of margin expansion and strong free cash flow."
For the financial year 2016, Sensata Technologies Holding N.V. forecasts revenue to be in the range of $3,180 million to $3,220 million. The company expects adjusted net income to be in the range of $487 million to $497 million. It company expects diluted earnings per share to be in the range of $1.48 to $1.53 and diluted earnings per share to be in the range of $2.84 to $2.90 on adjusted basis.
For the fourth-quarter2016, Sensata Technologies Holding N.V. forecasts revenue to be in the range of $765 million to $805 million. The company expects adjusted net income to be in the range of $123 million to $133 million. It company expects diluted earnings per share to be in the range of $0.33 to $0.38. On an adjusted basis, the company expects diluted earnings per share to be in the range of $0.71 to $0.77.
Operating cash flow improves
Sensata Technologies Holding N.V. has generated cash of $396.35 million from operating activities during the nine month period, up 8.97 percent or $32.64 million, when compared with the last year period. The company has spent $139.14 million cash to meet investing activities during the nine month period as against cash outgo of $127.22 million in the last year period. It has incurred net capital expenditure of $93.83 million on net basis during the nine month period, down 27.90 percent or $36.31 million from year ago period.
The company has spent $299.58 million cash to carry out financing activities during the nine month period as against cash outgo of $189.62 million in the last year period.
Cash and cash equivalents stood at $299.89 million as on Sep. 30, 2016, up 16.14 percent or $41.68 million from $258.21 million on Sep. 30, 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
