Celestica Posts Revenue Increase in Q2 2016

Estimated reading time: 1 minute

Celestica Inc. has announced financial results for the second quarter ended June 30, 2016.

Second Quarter 2016 Highlights

• Revenue: $1.49 billion, at the high end of our previously provided guidance range of $1.4 to $1.5 billion, increased 10% sequentially and 5% compared to the second quarter of 2015
• Revenue from our diversified end market grew 13% compared to the second quarter of 2015, and represented 30% of total revenue, up from 28% of total revenue for the second quarter of 2015
• IFRS EPS: $0.25 per share, compared to $0.14 per share for the second quarter of 2015
• Adjusted EPS (non-IFRS): $0.29 per share ($0.31 per share had we excluded a $0.02 per share income tax expense resulting from taxable foreign exchange impacts), within our previously provided guidance range of $0.25 to $0.31 per share, compared to $0.25 per share for the second quarter of 2015
• Operating margin (non-IFRS): 3.8%, compared to 3.4% for the second quarter of 2015
• ROIC (non-IFRS): 20.9%, compared to 19.6% for the second quarter of 2015
• Free cash flow (non-IFRS): negative $23.8 million, compared to positive $2.4 million for the second quarter of 2015
• Repurchased and cancelled 2.8 million subordinate voting shares for $30.0 million pursuant to a previously disclosed program share repurchase funded in March 2016

“Celestica delivered 5% year over year revenue growth in the second quarter with revenue and adjusted earnings per share above the midpoint of our guidance,” said Rob Mionis, Celestica’s President and Chief Executive Officer. “We also delivered sequential and year-over-year improvements in operating margin, return on invested capital and earnings per share.”

“We are pleased with our momentum in delivering three consecutive quarters of year-over-year revenue growth, led by strength in our Diversified end market and certain programs in our Communications end market. Overall, we remain focused on further diversifying our business while delivering value to our customers and shareholders through strong operational and financial performance.”

About Celestica

Celestica is dedicated to delivering end-to-end product lifecycle solutions to drive our customers’ success. Through our simplified global operations network and information technology platform, we are solid partners who deliver informed, flexible solutions that enable our customers to succeed in the markets they serve. Committed to providing a truly differentiated customer experience, our agile and adaptive employees share a proud history of demonstrated expertise and creativity that provides our customers with the ability to overcome complex challenges.