Littelfuse (LFUS) Q4 2010 earnings summary

Executive summary

• FY2010 sales rebounded to $608.0M from $430.1M in FY2009, with strong growth across all three segments and geographies. Net income rose to $78.7M from $9.4M.

• Operating margin improved to 17.7% from 3.2%, reflecting higher sales, manufacturing consolidation and cost reductions.

Financial highlights

• Net sales were $608.0M vs. $430.1M; gross profit was $233.9M vs. $125.4M; operating income was $107.6M vs. $13.7M.

• Net income was $78.7M vs. $9.4M; diluted EPS was $3.52 vs. $0.43.

• Operating expenses were $126.3M, or 20.8% of sales, vs. $111.7M, or 26.0%; 2009 cost of sales included $4.2M of restructuring charges.

• Operating cash flow was $104.1M; cash and cash equivalents ended FY2010 at $109.7M, up from $70.4M.

Outlook and guidance

• FY2011 sales guidance: $670M–$690M; diluted EPS guidance: $3.75–$4.05.

• FY2011 capital expenditures expected at $29M–$32M, primarily for facility moves, capacity expansion and new product development; planned to be funded from operating cash flow.