TE Connectivity (NYSE:TEL) posted first-quarter results today that beat the consensus on Wall Street.
The Schaffhausen, Switzerland-based company reported profits of $381 million, or $1.13 per share, on sales of $3.5 billion for the three months ended Dec. 31, 2020, for a bottom-line gain of 1365.4% sales growth of 11.2% compared with Q1 2020.
Adjusted to exclude one-time items, earnings per share were $1.47, 19¢ ahead of The Street, where analysts were looking for sales of $3.3 billion.
Medical sales experienced a -12.8% decline for a loss of -$23 million, up slightly from Q1 2020 when the medical sector saw a -13.4% decline on -$24 million in sales losses.
“Our strong first-quarter performance reflects our global team’s ability to adapt to ongoing dynamic market conditions to deliver double-digit sales and EPS growth that exceeded our expectations,” CEO Terrence Curtain said in a news release. “These results demonstrate the strength and resilience of our portfolio, our employees’ commitment to our customers and the benefit of our leadership position in long-term global growth trends. In particular, our transportation segment continued to outperform the market due to content growth driven by electric vehicles, along with data connectivity and autonomy trends. Our communications segment also exhibited strength due to demand in high-speed cloud applications and growth in the appliances market. As we are seeing continued signs of improvement in the majority of our end markets, we expect to deliver continued sales and earnings growth in the second quarter.”
The company said it expects to log approximately $3.4 billion in revenue in its second quarter for an approximate 10% increase. Earnings per share are expected to be $1.38 with non-GAAP earnings being $1.47, up 14% year-over-year.
Shares in TEL were down -3.26% to $123.54 yesterday at market close and were at a standstill before hours.
