Shares of Multi-Fineline Electronix Inc. slumped 25% Wednesday after the company reported disappointing results for the quarter ended June 30.
The Anaheim maker of flexible circuit boards, known as M-Flex, said after the stock market closed Tuesday that quarterly net income fell 9% to $8.3 million, compared to a year earlier.
Analysts were looking for income of $8.8 million.
Sales grew 54% to $130.3 million, versus a year ago, but missed analysts’
estimates of $131.6 million.
The company blamed the lower income on a shift in its sales to flexible circuit boards with a slimmer profit margin. But M-Flex said it’s done a better job at diversifying its customer base.
M-Flex’s largest customer, Motorola Inc., maintained its 80% share of the company’s quarterly sales. But M-Flex said its second-largest customer is on pace to account for 10% of sales in the current quarter, up from 6% in the previous quarter.
Shares closed at $18.29 in trading Wednesday, pushing M-Flex’s market value below $500 million.
