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Technology Stocks : Solectron

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To: Dave Mordis who wrote (267)12/14/1998 7:24:00 PM
From: kolo55  Read Replies (1) of 493
 
Big sequential revenue gain of 15.4%.

In just two quarters, Solectron has gone from $1.28B to $1.95B in revenues. This was due a lot to the recent acquisitions, but gives an indication of the strong growth the EMS sector is undergoing.

I see that they also filed a shelf registration in order to do a secondary of shares. I wonder why? They still have almost $195M in cash, why do they need more money? I suspect that they have some big projects (acquisitions?) coming.

This is a pretty strong report. The profit margin has weakened a bit from earlier this year, due to the impact of the acquisitions, but all in all, a very strong performance.

This is becoming a very big company, with almost 30,000 employees.

Paul

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