SAN JOSE -- Flextronics' components business, which includes Multek, has reached $2 billion in annual sales, and 20% growth is expected in fiscal 2011, company officials said this week.

The unit, which includes Multek Displays and FlexPower, began seeing signs of a rebound in the company's fiscal second quarter, and demand continued into the third quarter, the company told analysts on a conference call this week.

But while the components business is forecast to grow "well in excess of 20%" in fiscal 2011, room for improvement remains. The printed circuit board group, Multek Displays, is "not yet reaching its target profit levels and there remains an excellent opportunity for margin expansion as a result," CEO Mike McNamara said. "Strong order growth and design wins for overall components group in [the third quarter] are continuing into [the fourth quarter] and we expect to introduce new products in the coming year and ramp significant new programs that will drive material growth on a year-over-year basis."

The FlexPower business unit saw sales rise by more than 20% on a sequential basis during the quarter ended Dec. 31. Profitability also improved, the company said.

• Prev
• Next