Richardson Electronics Q4 sales rise on strong demand

Overview

• U.S. engineered solutions maker's Q4 net sales rose 27.6% yr/yr across all business units

• Adjusted EPS for Q4 increased to $0.21 from $0.12 a year earlier

• Company cites strong demand in semiconductor, RF, and green energy markets for Q4 growth

Outlook

• Company did not provide specific financial guidance for the current quarter or fiscal year

Result Drivers

• SEMICONDUCTOR AND RF DEMAND - Co said Q4 PMT sales rose 28.1% on strong demand from semiconductor wafer fabrication equipment and RF/microwave products

• GREEN ENERGY SALES - GES sales rose 20.4% in Q4, driven by higher sales of wind products

• RECORD CANVYS SALES - Canvys unit posted a 29.5% Q4 sales increase, with higher sales in North America

Company press release: ID:nGNXrrbNv

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "hold"

• The average consensus recommendation for the electronic equipment parts peer group is "buy"

• Wall Street's median 12-month price target for Richardson Electronics Ltd is $14.50, about 15.6% below its July 21 closing price of $17.18

• The stock recently traded at 37 times the next 12-month earnings vs. a P/E of 22 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)