TTM Technologies: Defense, Data Drive Profits in 3Q

Reading time ( words)

TTM Technologies, Inc., a leading global printed circuit board (“PCB”) and radio frequency (“RF”) components manufacturer, reported results for the third quarter of fiscal 2020, which ended on September 28, 2020.  

On April 19th, 2020, TTM completed the previously announced sale of its Mobility business unit. The operating results and related assets and liabilities of the Mobility business under US GAAP are presented as discontinued operations for all periods. Non-GAAP results do not include Mobility results but still include the two E-MS plants being shut down. Please refer to the earnings schedule for additional details on exited businesses and continuing operations.

“In the third quarter, TTM demonstrated excellent operational execution to deliver revenue and earnings above the previously guided range. The diversified mix of end markets that we serve enabled the PCB segment to grow revenues and outperform profit expectations due to solid growth in the data center and defense end markets despite weakness in the commercial aerospace end market,” said Tom Edman, CEO of TTM. “Additionally, strict financial discipline led to strong operating cash flow in the quarter driving our net debt leverage ratio down to 1.6x.”

Third Quarter 2020 Highlights

  • Net sales were $513.6 million
  • GAAP net loss of $41.5 million, or ($0.39) per diluted share, inclusive of a goodwill impairment charge of $69.2 million
  • Non-GAAP net income was $26.8 million, or $0.25 per diluted share
  • Cash flow from operations of $84.8 million
  • Received all remaining proceeds from Mobility sale and repaid $400 million of Term Loan B
  • Leverage ratio at September 28th was 1.6x defined as net debt/last twelve months EBITDA excluding Mobility



Suggested Items

An Update on Walt Custer’s EIPC Business Outlook Webinar

10/12/2020 | Pete Starkey, I-Connect007
“We’re not out of trouble yet, but it’s a whole lot better than a couple of months ago.” Walt Custer’s business outlook update, with emphasis on the European electronics industry, attracted a capacity audience to EIPC’s webinar on October 2. Pete Starkey details how it wasn’t all bad news.

Day-to-Day: ZTE and the Potential Impending Trade War Saga

06/14/2018 | Gene Weiner, Weiner International Inc.
Nanya Technology, Taiwan's biggest DRAM chipmaker, will apply for a permit to provide chips to ZTE. The company said it has been notified about restrictions on shipments to ZTE, and that the ban would have limited effect on its operation. The company said on May 9 that it is preparing to apply for a permit to continue shipping chips to ZTE Corp. as export restrictions took a new turn due to a US-China trade spat.

Punching Out! Mid-2017 Report on the State of the N.A. PCB M&A Market

07/26/2017 | Tom Kastner
One of the most popular questions we receive concerns the market for M&A. Here is our take on the current market for PCB shops in North America. In general, the PCB market in North America is not growing, which means that to grow, shops either must take market share from others, or grow through acquisitions.

Copyright © 2021 I-Connect007. All rights reserved.