NEENAH, Wis., Feb. 6 /PRNewswire-FirstCall/ -- Plexus Corp. announced that it received payment of approximately $1.2 million on February 3, 2006 on an account that had been fully reserved when the Company issued its preliminary financial results for the fiscal first quarter ended December 31, 2005. Under U.S.-GAAP this subsequent event required a favorable adjustment in the first quarter to the Allowance for Doubtful Accounts Reserve and a consequent reduction in SG&A expense.
The after-tax impact on Net Income of this favorable adjustment is $1.2 million, or the equivalent of $0.03 per share. Accordingly, diluted EPS for the first quarter were adjusted upward from $0.28 to $0.31.
Revised summary financial statements reflecting this adjustment are attached.
About Plexus Corp. - The Product Realization Company
Plexus ( http://www.plexus.com ) is an award-winning participant in the Electronics Manufacturing Services (EMS) industry, providing product design, test, manufacturing and fulfillment and aftermarket solutions to branded product companies in the Wireline/Networking, Wireless Infrastructure, Medical, Industrial/Commercial and Defense/Security/Aerospace industries.
The Company's unique Focused Factory manufacturing model and global supply chain solutions are strategically enhanced by value-added product design and engineering services. Plexus specializes in customer programs that require flexibility, scalability, technology and quality.
Plexus provides award-winning customer service to more than 150 branded product companies in North America, Europe and Asia.
PLEXUS CORP. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) Three Months Ended December 31, January 1, 2005 2005 (unaudited) Net sales $328,306 $287,480 Cost of sales 297,031 265,185 Gross profit 31,275 22,295 Operating expenses: Selling & administrative expenses 17,229 18,074 Restructuring and impairment costs - 884 17,229 18,958 Operating income 14,046 3,337 Other income (expense): Interest expense (830) (871) Miscellaneous 794 819 Income before income taxes 14,010 3,285 Income tax expense 253 263 Net income $13,757 $3,022 Earnings per share: Basic $0.31 $0.07 Diluted $0.31 $0.07 Weighted average shares outstanding: Basic 43,897 43,191 Diluted 45,099 43,753 NON-GAAP SUPPLEMENTAL INFORMATION (in thousands, except per share data) Three Months Ended December 31, January 1, 2005 2005 (unaudited) Net income - GAAP $13,757 $3,022 Add income tax expense 253 263 Income before income taxes- GAAP 14,010 3,285 Add: Restructuring and impairment costs* - 884 Income before income taxes and excluding restructuring and impairment costs - Non-GAAP 14,010 4,169 Income tax expense - Non-GAAP 253 334 Net income - Non-GAAP $13,757 $3,835 Earnings per share - Non-GAAP: Basic $0.31 $0.09 Diluted $0.31 $0.09 Weighted average shares outstanding: Basic 43,897 43,191 Diluted 45,099 43,753 *Summary of restructuring and impairment costs Restructuring and impairment costs: Severance costs $- $732 Lease exit costs and other - 28 Adjustment to asset impairment arising from a sublease of the San Diego facility - 432 Adjustment to lease exit costs arising from a sublease of the Seattle facility - (308) Total restructuring and impairment costs $- $884 PLEXUS CORP. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except per share data) December 31, October 1, 2005 2005 (unaudited) ASSETS Current assets: Cash and cash equivalents $109,667 $98,727 Short-term investments 10,000 10,000 Accounts receivable 174,844 167,345 Inventories 183,779 180,098 Deferred income taxes 88 127 Prepaid expenses and other 5,865 5,693 Total current assets 484,243 461,990 Property, plant and equipment, net 128,686 123,140 Goodwill, net 6,790 6,995 Other 8,869 8,343 Total assets $628,588 $600,468 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current portion of long-term debt and capital lease obligations $1,758 $770 Accounts payable 169,863 159,068 Customer deposits 8,068 7,707 Accrued liabilities: Salaries and wages 22,651 24,052 Other 33,011 31,001 Total current liabilities 235,351 222,598 Long-term debt and capital lease obligations 21,959 22,310 Other liabilities 13,369 13,499 Deferred income taxes 1,280 2,046 Shareholders' equity: Common stock, $.01 par value, 200,000 shares authorized, 44,048 and 43,752 shares issued and outstanding, respectively 440 438 Additional paid-in-capital 277,443 273,419 Retained earnings 72,600 58,843 Accumulated other comprehensive income 6,146 7,315 Total shareholders' equity 356,629 340,015 Total liabilities and shareholders' equity $628,588 $600,468
Plexus Corp.CONTACT: Gordon Bitter, CFO of Plexus Corp., +1-920-722-3451,Gordon.Bitter@Plexus.com
Web site: http://www.plexus.com/
