DOW JONES NEWSWIRES
Tyco Electronics Ltd. (TEL) boosted its fiscal third-quarter
outlook amid higher sales in its electronic-components group, added
project revenue in its undersea-telecommunications unit and the
stronger dollar.
In after-hours trading, shares jumped 7.2% to $20.65 and are up
19% so far this year.
The move represents a sharp contrast to the demand woes that
Tyco Electronics, a maker of products such as heat-shrink tubing
and touch-screen technology, faced earlier this year when demand
slumped for everything from personal computers to cellphones.
For the period ending June 26, the maker of electronics
components, spun off from Tyco International Ltd. (TYC) in 2007,
expects adjusted earnings from continuing operations of 10 cents to
17 cents a share on sales of $2.45 billion to $2.55 million. In
April, it predicted earnings of a penny to 6 cents a share on sales
of $2.35 billion to $2.45 billion.
The company also raised its estimated restructuring charges for
the period to $60 million from its prior view of $40 million.
In April, the company said it swung to a fiscal second-quarter
loss as it took a $3.55 billion goodwill write-down on woes at its
components business, while orders plunged.
The company is expected to report fiscal third-quarter results
July 29.
-By Lauren Pollock, Dow Jones Newswires; 201-938-5964;
lauren.pollock@dowjones.com