Amphenol Corporation (NYSE:APH) Q2 2019 Earnings Conference Call Transcript

Jul 24, 2019 • 01:00 pm ET

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Amphenol Corporation (NYSE:APH) Q2 2019 Earnings Conference Call Transcript

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Presentation
Executive
R. Adam Norwitt

market position, while strengthening the Company's financial performance. The Company's superior performance is a direct reflection of Amphenol's distinct competitive advantages, our leading technology, our increasing position with customers across our diverse end-markets, broad worldwide presence, a lean and very flexible cost structure and a highly effective acquisition program, together most importantly with Amphenol's agile entrepreneurial management team.

Now turning to our outlook, as I mentioned earlier, we have moderated our outlook in the second half due to the dynamics affecting the communications equipment, industrial and automotive markets, which include as well the effects of reduced demand from our distributors. Based on these factors and considering the heightened level of uncertainty in the overall economy and of course, assuming constant exchange rates, we now expect the following results. For the third quarter, we expect sales in the range of $1.960 billion to $2.000 billion and adjusted diluted EPS in the range of $0.86 to $0.88. This represents a sales reduction versus prior year of down 6% to down 8% and a decrease versus prior year adjusted diluted EPS of 11% to 13%.

For the full year 2019, we now expect sales in the range of $7.920 billion to $8.000 billion with adjusted diluted EPS in the range of $3.56 to $3.60. For the full year, this represents sales and adjusted diluted EPS declines of 2% to 3% and 5% to 6% respectively. Regardless of this reduction in our outlook, the Amphenol management team looks forward to driving further strength into the future. Our team is reacting quickly to align costs with the level of demand reflected in this outlook, all while aggressively pursuing a diverse array of growth opportunities. This is the essence of the agile Amphenol in culture as embodied by our outstanding management team, and that team coupled with our deep technology position with customers across our markets and complemented by our successful acquisition program positions the company very strongly for the future.

And with that operator, we'd be happy to take any questions if there may be.