Sanmina Corporation (SANM) has seen an increase of 4.71% in aftermarket following the announcement of first-quarter fiscal 2022 results. However, the last trading session closed at $37.82 with an increase of 3.59%.
First Quarter Fiscal 2022 Results – What’s new?
SANM announced first-quarter fiscal 2022 results on 31st January 2022. According to the company the net revenue came out to be $1.76 billion with a GAAP operating margin of 4.6%. Moreover, the non-GAAP operating margin was 5.0%. Not only this but the cash flow from operations came out to be $68 million and the free cash flow reported was almost around $51 million.
How was the quarter?
The fiscal year 2022 has started off well. In the first quarter, revenue increased in the industrial, medical, defense, and automotive industries, compared to the previous quarter. The company is pleased with its outstanding execution and ability to generate free cash flow while increasing non-GAAP operating margin and non-GAAP earnings per share sequentially. SANM also anticipates supply chain challenges to persist as long as demand remains high. Last but not least, based on the first-quarter performance and outlook for the second quarter, SANM is optimistic about its fiscal 2022 growth ambitions.
New Addition to Board of Directors by SANM – Now what?
On 10th December 2021, SANM announced that Susan Johnson has been appointed as a member of the Board of Directors. Ms. Johnson has a bachelor’s degree in economics from Northwestern University. She did her master’s degree in business administration at the University of Pennsylvania’s Wharton School. Susan joins SANM’s Board of Directors with pleasure. Susan’s extensive experience in business strategy, business growth, supply chain management, and sustainability activities will provide significant viewpoints and insight to Sanmina.
Fourth Quarter and Full Fiscal 2021 Financial Results by SANM
SANM announced Fourth Quarter and Full Fiscal 2021 Financial Results on 8th November 2021. The company recorded net revenue ranging from $1.6 billion to $1.7 billion. Moreover, it was seen that non-GAAP EPS increased by 30%. The Board of Directors of Sanmina has approved the repurchase of up to $200 million in common stock. There is no deadline for the stock repurchase program. A previously authorized program still has about $81 million available as of October 2, 2021.
What’s next?
Across all of the market segments, demand is still robust. As the company moves ahead to fiscal 2022, SANM will continue to focus on diversifying, operational excellence, and cutting-edge technology, all of which give the customers a distinct advantage. Lastly, the company says that the operational discipline and capacity to serve the clients will help to enhance the business model and increase shareholder value.
