Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (52153)	3/16/1999 5:49:00 PM
From: Knighty Tin	Read Replies (2) \| Respond to of 132070

To All, Jabil's earnings stank the house out. Up 7 percent for the quarter, less than 2% for the six months. That sounds like mighty light growth for a co. selling at 55 times eps. Here are a few highlights: 1. Cash continues to fall, down 21% since August. 2. Inventories up 27%. 3. Receivables up a whopping 65%. 4. Long term debt up 49%. 5. SG&A was up 62%. 6. Interest expense up 47%. Jabil is obviously adding capacity into the IT glut, and, since like most tech cos., they have no free cash flow, they have to take down debt to do it. That leverages the future. If things work out, great. If not, this roll of the dice could be very costly. Of course, all we will hear is they "beat their number." Set the bar low enough... <g> MB