TE Connectivity Ltd. (NYSE:TEL) Q1 2015 Earnings Conference Call - Final Transcript
Jan 28, 2015 • 08:15 am ET
Ladies and gentlemen, thank you for standing by. Welcome to the First Quarter 2015 Earnings Release Conference Call. At this time, all participants are in a listen-only mode. Later we will conduct a question-and-answer session, and instructions will be given at that time. (Operator Instructions) As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Sujal Shah. Please go ahead.
Good morning, and thank you for joining us today. Today, we will be discussing TE Connectivity's first quarter results along with the announcement to sell our broadband networks business to CommScope. With me today are Chairman and Chief Executive Officer, Tom Lynch; and Chief Financial Officer, Bob Howe who will provide an overview of the transaction, review our first quarter results and guidance and then talk about TE going forward. We will conclude with a Q&A session.
(Forward-Looking Cautionary Statements)
In addition, we will use certain non-GAAP measures in our discussion this morning and we ask you to review the sections of our press release and the accompanying slide presentation that address the use of those items. The press release and related tables along with the slide presentation can be found on the Investor Relations portion of our website at te.com.
Finally, for participants on the Q&A portion of today's call, I would like to remind everyone to limit themselves to one follow-up question to make sure we are able to cover all the questions during the allotted time.
Now, let me turn the call over to Tom for opening comments.
Thanks, Sujal and good morning to everyone. Certainly, a very exciting time for our company and we have a lot to cover this morning and let me start by covering the transaction we announced earlier this morning. So please turn to slide four.
Earlier this morning, we announced a definitive agreement to sell our BNS business which consists of TE Telecommunications Enterprise Networks and wireless business to CommScope. CommScope is an industry leader and we believe they are the right company to lead our BNS team and business forward. Our BNS team has built a successful business and I want to thank them for their contributions, innovation, leadership and commitment to TE over the years and we look forward to working closely with CommScope to close out the transaction.
Our decision to sell BNS is really a key step in our strategy to continue to focus on strengthening the Company's leadership position in the attractive connectivity and sensor markets, where we provide solutions that are essential for the connected world. As you know, earlier this year, we made the strategic decision to establish a leadership position in the sensor business. We believe that focus on connectivity and sensors with special emphasis on harsh environment solutions positions TE to provide our customers with an unmatched range of solutions and to further accelerate sales and profit growth.
When this transaction is complete, 90% of our revenue will be focused on providing connectivity