Key Tronic Corp: Drops as reduced orders from large customers to hurt Q3 results

Key Tronic

10/04/2019 22:14

** Shares of contract manufacturer  KTCC.O  fall 13.3% to
$5.23 after market
    ** Expects to report Q3 rev of $108 mln, below prior
forecast of $120 mln-$125 mln, hurt by reduced orders from two
'large, longstanding customers'  urn:newsml:reuters.com:*:nGNXbhbHFt
    ** In addition, KTCC says it faced unexpected delays in
starting production for two new customers in Q3, ended March
    ** Says to write down its goodwill and intangibles by ~$12.5
mln in Q3 and would record severance charge of $1 mln 
    ** Says will now report a Q3 loss vs prior expectation of a
profit
    ** Sees Q4 rev in the range of $115 mln-$120 mln and EPS of
in the range of $0.10-$0.20 
    ** Up to Wednesday's close, stock had risen 6.7% this year

 (Reporting by Ankit Ajmera in Bengaluru)
 ((Reuters Messaging:
ankit.ajmera.thomsonreuters.com@reuters.net))