MEI beats Q3 estimates; raises 2008 EPS forecast, still below consensus

Methode Electronics earned $0.26/share vs. consensus of 22 cents on higher than expected revenues ($138.5 vs. $123.9 estimates).

The company raised earnings and revenue guidance for 2008, but their EPS forecast ($0.93-0.98) still falls short of what the street is expecting ($1.00)

Commenting on the quarter, Donald W. Duda, President and Chief Executive Officer for Methode Electronics, said, “Our performance is encouraging in spite of the challenging economic times. During the third quarter, Methode realized solid sales in our European and Asian operations across all business segments. We are pleased that Methode’s global initiatives continue to increase our top and bottom line.”

He added, “Methode continues to evolve into a global provider of innovative solutions. This was recently evidenced by our automotive segment being awarded a contract for a new infotainment console which will incorporate our TouchSensor technology.”

Due to the customer delay in transferring product, which Methode expected to have transferred by the end of the third quarter, the Company is increasing fiscal year 2008 guidance for sales to be between $525.0 million and $540.0 million, excluding the impact of any prolonged work stoppages, such as at American Axle, which could impact Methode customers. Earnings per share guidance is also increased to between $0.93 and $0.98 and does not reflect any charge for restructuring that may be recorded in Methode’s fourth quarter of fiscal year 2008.

http://biz.yahoo.com/bw/080313/20080313005350.html?.v=1