Shares of Celestica have soared following the release of their second-quarter earnings, prompting the design, manufacturing, and supply-chain services company to raise its full-year projections.
In Toronto, Celestica’s shares saw a significant boost of 14%, reaching C$24.89. In New York, the stock surged even more at 21%, reaching $19.90. These impressive gains contribute to an overall increase of 63% since the beginning of the year.
For the second quarter, Celestica reported net earnings of $55.5 million, or 46 cents per share. This marks a notable increase from the previous year’s $35.6 million, or 29 cents per share.
Adjusted earnings also rose to 55 cents per share, exceeding market expectations. According to a FactSet poll of six analysts, the mean estimate was 48 cents per share.
Quarterly revenue performed exceptionally well, rising by 13% to $1.94 billion. This surpassed market expectations, which projected revenue to be $1.85 billion.
Looking ahead to the full year, Celestica now anticipates adjusted earnings per share to reach $2.25. This surpasses their previous guidance of between $2 and $2.05. Additionally, the company expects revenue to reach a minimum of $7.85 billion, surpassing their previous projection of $7.6 billion.
For the third quarter, Celestica projects adjusted earnings per share in the range of 56 cents to 62 cents on revenue ranging from $1.9 billion to $2.05 billion.
Overall, Celestica’s strong performance in the second quarter has propelled their shares higher and prompted an upward revision in their full-year projections.