KEMET Q1 Adj. Profit Beats View; Sees Q2 Revenue Above Estimates - Quick Facts

(RTTNews) - KEMET Corp. (KEM), a supplier of passive electronic components, reported a turnaround to profit in the first quarter on higher sales and a one-time gain.

Adjusted earnings per share beat analysts' expectations, while revenues missed their estimates. Looking ahead, the company forecast revenues for the second quarter above the Street estimates.

The company's first-quarter net income was $221.4 million or $3.84 per share, compared to net loss of $12.2 million or $0.26 per share in the year-ago period.

The latest quarter's results includes a $75.4 million gain from the equity investment in Tokin for the period from April 1, 2017 to April 18, 2017, primarily related to KEMET's 34 percent interest in Tokin's gain on the sale of its electro-mechanical devices or EMD business.

Excluding items, adjusted net income for the quarter was $19.2 million or $0.33 per share compared to $3.3 million or $0.06 per share in the year-ago period.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $0.20 per share for the latest quarter. Analysts' estimates typically exclude special items.

Net sales for the quarter rose to $274.0 million from $184.9 million in the year-ago period, driven primarily by Tokin net sales of $71.4 million. Analysts had a consensus revenue estimate of $281.29 million.

Looking ahead to the second quarter, KEMET forecast sales in a range of $295 million to $305 million. The Street expects revenues of $283.67 million turfor the quarter.