ANAHEIM – MFLEX reported fiscal second-quarter net sales of $208 million, up 0.43% year-over-year.

Net income was $12.1 million, up 4.3% compared to the same quarter last year.

Fiscal second-quarter 2012 results reflect $1.2 million in pre-tax non-cash impairment and restructuring gains on the sale of the company's Anaheim headquarters and related equipment.

“Toward the end of the second quarter, we saw a softening in orders from our key customers resulting in revenues slightly below our expectations,” said CEO Reza Meshgin.

“We are seeing strong demand from our customers for our flex assemblies for smartphones and tablets for the fiscal fourth quarter and into fiscal 2013, when these new programs are expected to enter volume production. Accordingly, we commenced a $50 million capacity expansion project in the fiscal third quarter to position MFLEX for sustained long-term growth. We continue to expect year-over-year top-line growth in the second half of fiscal 2012 driven by our continued strong outlook for the fiscal fourth quarter.”

For the third quarter, MFLEX expects net sales in the range of $160 million and $180 million.

The firm provides flexible printed circuit and component assembly boards.