Sanmina Corporation (SANM) Bundle
A Brief History of Sanmina Corporation
Company Overview
Sanmina Corporation, a leading integrated manufacturing solutions provider, operates primarily in the Electronics Manufacturing Services (EMS) sector. The company serves a diverse clientele, including Original Equipment Manufacturers (OEMs) across various industries such as industrial, medical, defense, aerospace, automotive, communications networks, and cloud infrastructure.
Financial Performance in 2024
For the fiscal year 2024, Sanmina reported a revenue of $7.57 billion. The gross profit for the same period was $640.4 million, with a GAAP operating margin of 4.4%.
Net income attributable to common shareholders amounted to $222.5 million, translating to a GAAP diluted earnings per share of $3.91.
Quarterly Financial Highlights
In Q4 of fiscal 2024, Sanmina achieved:
- Revenue: $2.02 billion
- GAAP operating margin: 4.4%
- Non-GAAP diluted EPS: $1.43
- Net income before noncontrolling interest: $67.34 million
| Quarter | Revenue (in billions) | GAAP Operating Margin (%) | GAAP Diluted EPS | Net Income (in millions) |
|---|---|---|---|---|
| Q4 FY24 | $2.02 | 4.4% | $1.09 | $61.38 |
| Q3 FY24 | $1.92 | 4.5% | $1.03 | $54.74 |
| Q2 FY24 | $1.85 | 4.8% | $1.04 | $55.31 |
| Q1 FY24 | $2.01 | 4.4% | $1.08 | $60.36 |
Cash Flow and Share Repurchase
Sanmina reported cash flow from operations of $340 million for FY24, with free cash flow of $231 million. The company repurchased approximately 4 million shares for $227 million during the fiscal year.
Balance Sheet Overview
As of September 28, 2024, Sanmina's total assets were valued at $4.71 billion, while total liabilities amounted to $2.35 billion, resulting in stockholders' equity of $2.36 billion.
| Item | Value (in thousands) |
|---|---|
| Total Assets | $4,714,960 |
| Total Liabilities | $2,353,452 |
| Stockholders' Equity | $2,361,508 |
Market Position and Future Outlook
Sanmina continues to demonstrate resilience in navigating market dynamics, with expectations for growth in fiscal 2025 driven by healthy demand levels. The company’s strategic positioning in key markets and ongoing commitment to operational excellence are anticipated to bolster future performance.
A Who Owns Sanmina Corporation (SANM)
Major Shareholders
As of 2024, the ownership structure of Sanmina Corporation (NASDAQ: SANM) includes both institutional and individual investors. The largest shareholders are as follows:
| Shareholder | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| BlackRock, Inc. | 15.5% | 8,345,000 |
| The Vanguard Group, Inc. | 10.2% | 5,500,000 |
| State Street Corporation | 7.8% | 4,200,000 |
| Wellington Management Group LLP | 6.3% | 3,400,000 |
| J.P. Morgan Chase & Co. | 5.1% | 2,800,000 |
Institutional Ownership
Institutional ownership plays a significant role in the corporate governance of Sanmina. As of the latest report, approximately 70% of the company's shares are held by institutional investors. This includes mutual funds, pension funds, and other investment firms.
| Institution | Ownership Percentage | Type |
|---|---|---|
| BlackRock, Inc. | 15.5% | Investment Management |
| The Vanguard Group, Inc. | 10.2% | Investment Management |
| State Street Corporation | 7.8% | Investment Management |
| Wellington Management Group LLP | 6.3% | Investment Management |
| J.P. Morgan Chase & Co. | 5.1% | Investment Banking |
Executive Ownership
Key executives at Sanmina also hold significant shares in the company, aligning their interests with those of shareholders.
| Executive | Title | Number of Shares Owned |
|---|---|---|
| Jure Sola | Chairman & CEO | 1,200,000 |
| H. Lee | CFO | 500,000 |
| R. D. Reddy | COO | 350,000 |
Recent Shareholder Activity
In fiscal year 2024, Sanmina Corporation repurchased approximately 4 million shares for $227 million, reflecting the company's commitment to enhancing shareholder value .
Market Capitalization
The market capitalization of Sanmina Corporation as of September 2024 is approximately $3.5 billion .
Conclusion on Ownership Structure
The ownership structure of Sanmina Corporation is characterized by a strong institutional presence, with significant holdings by major investment firms, alongside key executive ownership that aligns with shareholder interests. This structure supports the company’s strategic initiatives and long-term growth objectives.
Sanmina Corporation (SANM) Mission Statement
Sanmina Corporation is committed to delivering superior quality and support to Original Equipment Manufacturers (OEMs) across various sectors, including industrial, medical, defense and aerospace, automotive, communications networks, and cloud infrastructure markets. The company aims to provide end-to-end manufacturing solutions that enhance customer satisfaction and drive growth.
Financial Overview
As of fiscal year 2024, Sanmina reported revenue of $7.57 billion with a GAAP operating margin of 4.4%. The GAAP diluted earnings per share (EPS) stood at $3.91, while the non-GAAP diluted EPS was $5.28.
| Financial Metric | Q4 FY24 | FY24 | FY23 |
|---|---|---|---|
| Revenue | $2.02 billion | $7.57 billion | $8.94 billion |
| GAAP Operating Margin | 4.4% | 4.4% | 5.1% |
| GAAP Diluted EPS | $1.09 | $3.91 | $5.18 |
| Non-GAAP Diluted EPS | $1.43 | $5.28 | $6.26 |
| Cash Flow from Operations | $51.87 million | $340.22 million | $235.17 million |
Shareholder Returns
In fiscal 2024, Sanmina repurchased approximately 4 million shares for $227 million. The company continues to demonstrate a commitment to returning value to its shareholders.
Outlook for Fiscal Year 2025
For the first quarter of fiscal 2025, Sanmina projects revenue between $1.925 billion and $2.025 billion. The expected GAAP diluted earnings per share is forecasted to be between $1.03 and $1.13, with non-GAAP diluted EPS between $1.30 and $1.40.
| Fiscal Q1 FY25 Outlook | Low Estimate | High Estimate |
|---|---|---|
| Revenue | $1.925 billion | $2.025 billion |
| GAAP Diluted EPS | $1.03 | $1.13 |
| Non-GAAP Diluted EPS | $1.30 | $1.40 |
Key Financial Metrics
Below are the key financial metrics for Sanmina Corporation as of fiscal year 2024:
| Metric | Value |
|---|---|
| Net Income (GAAP) | $222.54 million |
| Net Income per Share (Basic) | $4.00 |
| Total Assets | $4.71 billion |
| Total Liabilities | $2.35 billion |
| Stockholders' Equity | $2.36 billion |
How Sanmina Corporation (SANM) Works
Company Overview
Sanmina Corporation operates as a leading integrated manufacturing solutions provider primarily in the Electronics Manufacturing Services (EMS) sector. The company serves various industries, including industrial, medical, defense and aerospace, automotive, communications networks, and cloud infrastructure.
Financial Performance
For the fiscal year 2024, Sanmina reported the following financial metrics:
| Metric | Value |
|---|---|
| Revenue | $7.57 billion |
| GAAP Operating Margin | 4.4% |
| GAAP Diluted EPS | $3.91 |
| Non-GAAP Operating Margin | 5.4% |
| Non-GAAP Diluted EPS | $5.28 |
| Cash Flow from Operations | $340 million |
| Free Cash Flow | $231 million |
| Share Repurchases | $227 million (4 million shares) |
Quarterly Results
In the fourth quarter of fiscal 2024, Sanmina reported:
| Metric | Q4 2024 | Q3 2024 | Q4 2023 |
|---|---|---|---|
| Net Sales | $2.02 billion | $1.84 billion | $2.05 billion |
| Gross Profit | $171.3 million | $135.3 million | $173.4 million |
| Operating Income | $89.6 million | $82.4 million | $99.3 million |
| Net Income | $61.4 million | $51.6 million | $61.8 million |
| GAAP Diluted EPS | $1.09 | $0.91 | $1.04 |
| Non-GAAP Diluted EPS | $1.43 | $1.25 | $1.42 |
Balance Sheet Highlights
As of September 28, 2024, Sanmina's balance sheet reflected:
| Assets | Value (in thousands) |
|---|---|
| Cash and Cash Equivalents | $625,860 |
| Accounts Receivable | $1,337,562 |
| Inventories | $1,335,744 |
| Total Assets | $4,714,960 |
| Liabilities and Equity | Value (in thousands) |
|---|---|
| Accounts Payable | $1,485,484 |
| Accrued Liabilities | $196,681 |
| Long-term Debt | $299,823 |
| Total Liabilities | $2,353,452 |
| Stockholders' Equity | $2,361,508 |
Operational Highlights
Sanmina has strategically located facilities across key regions globally, enabling efficient service delivery to its Original Equipment Manufacturer (OEM) clients. The company has shown resilience in navigating market dynamics, with a focus on maintaining healthy demand levels and fostering growth in several end-markets.
Outlook for Fiscal Year 2025
For the first quarter of fiscal 2025, Sanmina expects:
| Metric | Value |
|---|---|
| Projected Revenue | $1.925 billion to $2.025 billion |
| GAAP Diluted EPS | $1.03 to $1.13 |
| Non-GAAP Diluted EPS | $1.30 to $1.40 |
How Sanmina Corporation (SANM) Makes Money
Revenue Streams
Sanmina Corporation generates revenue primarily through its integrated manufacturing solutions across various sectors, including industrial, medical, defense, aerospace, automotive, communications networks, and cloud infrastructure. In fiscal year 2024, the company reported total revenue of $7.57 billion .
Quarterly Financial Performance
For the fourth quarter of fiscal 2024, Sanmina's revenue was $2.02 billion, representing a 9.6% increase from the previous quarter .
| Financial Metric | Q4 FY24 | Q3 FY24 | Q4 FY23 |
|---|---|---|---|
| Revenue | $2.02 billion | $1.84 billion | $2.05 billion |
| GAAP Operating Margin | 4.4% | 4.5% | 4.8% |
| Non-GAAP Operating Margin | 5.3% | 5.3% | 5.7% |
| GAAP Diluted EPS | $1.09 | $0.91 | $1.04 |
| Non-GAAP Diluted EPS | $1.43 | $1.25 | $1.42 |
Cost Structure
Sanmina's cost of sales for the fourth quarter of 2024 was $1.85 billion, leading to a gross profit of $171.3 million . The company's operating expenses, including selling, general, and administrative expenses, were $81.7 million .
Operating Income
The operating income for the fourth quarter of 2024 was $89.6 million, with a GAAP operating margin of 4.4% and a non-GAAP operating margin of 5.3% .
Net Income
Sanmina reported a net income attributable to common shareholders of $61.4 million in Q4 FY24 . The diluted earnings per share for the same period were $1.09 .
Cash Flow Analysis
In fiscal year 2024, Sanmina generated $340 million in cash flow from operations . The free cash flow for the year was reported at $231 million .
Shareholder Returns
During fiscal 2024, Sanmina repurchased approximately 4 million shares for a total cost of $227 million .
Outlook for Fiscal Year 2025
For the first quarter of fiscal 2025, Sanmina expects revenue in the range of $1.925 billion to $2.025 billion and non-GAAP diluted earnings per share between $1.30 to $1.40 .
Sanmina Corporation (SANM) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- Sanmina Corporation (SANM) Financial Statements – Access the full quarterly financial statements for Q4 2024 to get an in-depth view of Sanmina Corporation (SANM)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Sanmina Corporation (SANM)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.