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Record 2010 Third Quarter Results Reported by Amphenol Corporation

^{Published on 2010-10-20 05:12:46 - Market Wire}
 

WALLINGFORD, Conn.--([ BUSINESS WIRE ])--Amphenol Corporation (NYSE:APH) reported today third quarter 2010 diluted earnings per share of $.78 compared to $.47 per share for the comparable 2009 period. Such per share amount for the 2010 quarter includes an $8 million, or $.05 per share, net benefit relating to a reduction in tax expense due primarily to the favorable settlement of certain international tax positions and the completion of prior year audits. Excluding this effect, diluted earnings per share was $.73. Sales for the third quarter 2010 were $948.5 million compared to $716.6 million for the 2009 period. Currency translation had the effect of decreasing sales by approximately 1% or $7 million in the third quarter 2010 compared to the 2009 period.

For the nine months ended September 30, 2010, diluted earnings per share was $2.08 compared to $1.33 for the 2009 period. Sales for the nine months ended September 30, 2010 were $2,604.2 million compared to $2,061.8 million for the 2009 period. Currency translation had the effect of increasing sales by approximately $5 million for the nine month 2010 period compared to the 2009 period.

Amphenol President and Chief Executive Officer, R. Adam Norwitt, stated aAmphenol achieved another record performance in the third quarter, with sales of $948 million and EPS of $.73 net of tax items. Sales and EPS grew 32% and 55% over last year as the Company continued to build upon its position in its target markets. Our strategy of market and geographic diversification, combined with a deep commitment to develop performance enhancing technologies for our customers, enabled the Company to capitalize on the favorable market environment and drive strong demand in all of our end markets led by: Industrial, Information Technology and Data Communications Equipment, Wireless Devices, Military/Aerospace and Wireless Infrastructure. In addition, in an environment of increasing global inflationary pressures, our management team continued to proactively and dynamically manage costs creating excellent operating leverage and expanding operating margins by 2.6% to 19.9% in Q3 2010 from 17.3% last year, contributing to a 55% year over year increase in earnings per share, net of tax items. Further, cash flow from operations in the quarter was a strong $128 million, demonstrating the ongoing quality of the Companya™s earnings.a

aThe record performance we achieved in the third quarter is a direct result of the implementation of our strategies by our worldwide organization, which continues to execute well in all economic environments. While global demand has significantly increased in the last several quarters, there remains a degree of uncertainty in the worldwide economy. Therefore, on the basis of the current economic climate and assuming constant currency exchange rates, we expect Q4 2010 revenues in the range of $933 million to $948 million and EPS in the range of $.71 to $.73.a

aLooking forward, regardless of any near-term economic uncertainties, the accelerating proliferation of new electronics in all of our end markets presents a unique expansion opportunity for Amphenol. Our significant actions to enhance our competitive advantages and build sustained financial strength have created an even stronger base for Amphenola™s future performance. I amconfident in the ability of our outstanding organization to dynamically adjust to the continued changing market environment, to generate strong profitability and to capitalize on the many opportunities to expand our market position.a

The Company will host a conference call to discuss its third quarter results at 1:00 PM (ET) October 20, 2010. The toll free dial-in number to participate in this call is 888-395-9624; International dial-in number is 517-623-4547; Passcode: Reardon. There will be a replay available until 11:00 P.M. (ET) on Friday, October 22, 2010. The replay numbers are as follows: toll free dial-in number is 800-391-9845 and International dial-in number is 203-369-3267; Passcode: 5137.

A live broadcast as well as a replay will also be available on the Internet at [ http://www.amphenol.com/investors/webcasts.php ].

Amphenol Corporation is one of the worlda™s leading producers of electronic and fiber optic connectors, cable and interconnect systems. Amphenol products are engineered and manufactured in the Americas, Europe, Asia and Africa and sold by a worldwide sales and marketing organization. Amphenol has a diversified presence as a leader in high growth areas of the interconnect market including: Military, Commercial Aerospace, Automotive, Broadband Communication, Industrial, Information Technology and Data Communications Equipment, Mobile Devices and Wireless Infrastructure.

Statements in this press release which are other than historical facts are intended to be aforward-looking statementsa within the meaning of the Securities Exchange Act of 1934, the Private Securities Litigation Reform Act of 1995 and other related laws. While the Company believes such statements are reasonable, the actual results and effects could differ materially from those currently anticipated. Please refer to [Part I, Item 1A]of the Companya™s Form 10-K for the year ended December 31, 2009, for some factors that could cause the actual results to differ from estimates. In providing forward-looking statements, the Company is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise.