IRVINE – MFLEX today reported fiscal third-quarter net income of $3.8 million, down 56.8% compared to the same quarter in the prior year.

Net sales for the period ended June 30 were $170 million, down 11.4% year-over-year.  The flex printed circuit board manufacturer and contract assembler attributed the decline to lower sales to one key customer.     

“As anticipated, our fiscal third quarter results reflected a transition period with a significant number of new programs, associated with both new and existing customers, in the startup phase, coupled with certain programs reaching end-of-life," said CEO Reza Meshgin. "We were able to generate additional manufacturing efficiencies during the quarter, which partially offset the impact of the lower capacity utilization on our gross margin.  In addition, we continue to focus on customer and product diversification efforts, as revenues from our newer customers comprised approximately 10% of net sales in aggregate, and tablet sales reached a record level of $70 million during the quarter.”

For the fourth quarter of fiscal 2012, the firm expects net sales to range between $180 million and $210 million.