TE Connectivity beats reduced profit forecast
(Reuters) - TE Connectivity Ltd (TEL.N) reported a quarterly profit on Wednesday that beat recently reduced estimates, but cut its full-year sales and earnings forecasts, citing the strong dollar and soft demand in a business that serves energy and telecommunications sectors.
The electronic connector maker previously called Tyco Electronics posted net income of $199 million, or 46 cents per share, for the third quarter ended on June 29, compared with $355 million, or 80 cents per share, a year earlier.
Excluding special items, earnings were 79 cents a share, 1 cent ahead of estimates, according to Thomson Reuters I/B/E/S.
Sales fell to $3.50 billion from $3.58 billion.
Estimates came down last week after TE warned about third-quarter sales.
The company said revenue was suffering because of the strong dollar, which reduces the value of overseas sales, and weakness in its network solutions business, which supplies infrastructure components for energy and telecommunications.
TE forecast full-year revenue of $13.25 billion to $13.35 billion. It said it expected earnings of $2.82 to $2.86 per share before special items, lowering the midpoint of its range by about 9 cents.
(Reporting by Nick Zieminski in New York; Editing by Lisa Von Ahn)