Q1 losses for electronic circuit maker

Jabil Circuit Inc. posted a net quarterly loss Tuesday (March 25) and gave profit and revenue forecasts below Wall Street estimates due to a slowdown in the contract electronics manufacturer's end markets.

Its shares fell 13 percent.

Jabil said that for its current fiscal quarter it expected to post revenue of between $3.05 billion and $3.15 billion, below the $3.25 billion that was the average analyst forecast on Reuters Estimates.

The company, which competes with Flextronics International Ltd., said it expected a net profit of between 9 and 13 cents per share and core earnings of between 18 cents and 22 cents per share.

Analysts had been looking for Jabil to show a net profit of 20 cents per share and a profit excluding items such as stock-based compensation and amortization of intangibles of 34 cents per share, according to Reuters Estimates.

"We expect revenue in the second half of fiscal 2008 to be consistent with the first half of the year, resulting in a year of modest growth but below our previous expectations," Jabil Chief Executive Timothy Main said in a statement.

"It appears the slowdown in end markets will reduce our growth rate and impede margin expansion for the next quarter or two," Main said.

Jabil shares fell to $10.49 in extended trading, down 7.8 percent from its close of $11.38 on the New York Stock Exchange.

Jabil also posted a net loss for its second fiscal quarter ended Feb. 29 of $24 million, or 12 cents per share, compared with a net profit of $13.9 million, or 7 cents per share, a year earlier. Revenue was $3.06 billion, up 4 percent from $2.93 billion a year earlier.

The company said the loss, which compared to Wall Street's expectation of a $7 million net profit, was due mainly to restructuring charges that were $41 million higher than a year ago.