Welcome to our dedicated page for Celestica news (Ticker: CLS), a resource for investors and traders seeking the latest updates and insights on Celestica stock.
Celestica, Inc. (CLS) is a prominent player in the realm of design, manufacturing, hardware platform, and supply chain solutions, catering to some of the world's most innovative enterprises. Established as a trusted partner, Celestica delivers end-to-end product lifecycle solutions that propel customer success through a streamlined global operations network and robust IT platform.
With an unwavering commitment to providing a distinctive customer experience, Celestica’s agile workforce is renowned for their expertise and creativity, enabling clients to overcome diverse challenges. The company's core operations are divided into two main segments: Advanced Technology Solutions (ATS) and Connectivity & Cloud Solutions (CCS).
- Advanced Technology Solutions (ATS): This division includes Aerospace and Defense, Industrial, HealthTech, and Capital Equipment businesses. The Capital Equipment business encompasses the Semiconductor, Display, and Robotics sectors.
- Connectivity & Cloud Solutions (CCS): This segment is focused on Communications and Enterprise end markets, which include servers and storage solutions. Notably, the CCS segment contributes the majority of Celestica's revenue.
In recent developments, Celestica has expanded its portfolio by launching four new networking switches catering to enterprises' performance and connectivity needs. These switches support SONiC (Software for Open Networking in the Cloud) and boast features such as concurrent Wi-Fi connectivity and 5G LTE for WAN backhaul, making them reliable, scalable solutions aligned with the Open Compute Project (OCP) standards.
Financially, Celestica has been active in managing its share repurchase programs. Over recent periods, the company has made significant payments to repurchase subordinate voting shares (SVS) for both cancellation and delivery obligations under their SBC plans.
For more detailed information about Celestica, their offerings, and the latest updates, visit www.celestica.com.
Celestica Inc. reported Q3 2021 revenue of $1.47 billion, a 5% decline from Q3 2020. However, their non-Cisco business grew by 6%. The non-IFRS operating margin improved to 4.2%, marking a record high. The company anticipates Q4 2021 revenue between $1.425 billion and $1.575 billion, with an adjusted EPS guidance of $0.35 to $0.41. Celestica expects 2022 growth, projecting revenue to reach at least $6.3 billion and adjusted EPS to rise by 20% compared to 2021, driven by strong operational performance and market dynamics.
Celestica (TSX: CLS, NYSE: CLS) announced a partnership with ECM to introduce its patented Printed Circuit Board (PCB) stator technology to the Aerospace and Defense market at AUSA 2021. This innovation delivers lightweight, compact, and efficient motor solutions that are up to 70% lighter and 50% smaller than traditional motors, with lower electromagnetic interference (EMI) and heat signatures. Celestica will provide full lifecycle support for product development. The company also showcased other technologies, including the Gen-4/5 OpenVPX backplanes, demonstrating its commitment to advancing military technology.
On September 21, 2021, Platinum Equity announced the sale of PCI Limited, an electronics manufacturing services provider, to Celestica Inc. for $306 million in cash. The transaction is expected to close by mid-fourth quarter 2021, pending regulatory approval. Since its acquisition by Platinum Equity in April 2019, PCI has seen a revenue increase of over 40% and improved profitability. PCI serves various markets, including automotive and medical, and aims to leverage Celestica's global presence for future growth.
Celestica has announced its acquisition of PCI Limited for $306 million in cash, aiming to enhance its engineering capabilities and diversify its customer base. The acquisition is expected to bolster Celestica's annual revenue by approximately $325 million in 2021, with strong EBITDA margins and cash flow. The deal is projected to be accretive to non-IFRS adjusted EPS in the first year, prompting an increase in the 2022 EPS growth outlook from 10% to 20%.
The transaction is expected to close in mid-Q4 2021.
Celestica Inc. (TSX: CLS) has appointed Luis Müller to its Board of Directors, effective August 31, 2021. Müller brings 25 years of experience in the semiconductor sector, currently serving as CEO of Cohu, Inc. He has a track record in strategic planning and corporate development, highlighted by his co-founding of Kinetrix and tenure at Teradyne. This addition expands Celestica’s board to 10 members, aiming to leverage Müller's expertise for enhancing company strategy and operations.
Celestica Inc. has officially opened its new AbelConn Electronics facility in Maple Grove, Minnesota, enhancing its manufacturing capabilities for the defense and aerospace sectors. The 110,000 square foot facility will support rapid prototyping, volume manufacturing, and engineering services, particularly focusing on ITAR-certified production and obtaining ISO 13485 certification for HealthTech markets. This expansion is part of Celestica's growth strategy, aiming to improve speed-to-market and regulatory compliance for its customers in highly regulated industries.
On July 26, 2021, Celestica Inc. (TSX: CLS) reported Q2 2021 results, highlighting revenue of $1.42 billion, a 5% decrease from Q2 2020. However, non-IFRS adjusted EPS reached $0.30, up from $0.25 a year prior. The company noted continued improvement in non-IFRS operating margin, achieving 3.9%, compared to 3.4% in Q2 2020. The ATS segment experienced a 12% revenue increase, but the CCS segment saw a 14% decline. The guidance for Q3 suggests a non-IFRS operating margin of 4.0%, potentially the highest in two decades, reflecting strong momentum in Lifecycle Solutions.
Celestica has been ranked 5th among Canada’s best corporate citizens in 2021 by Corporate Knights, which recognizes sustainability performance. The ranking evaluates 271 Canadian companies based on 24 key performance indicators in environmental, social, and governance (ESG) areas. Celestica's sustainability efforts align with the United Nations' Sustainable Development Goals and have received approval from the Science Based Targets initiative for greenhouse gas emissions reduction goals. The company aims to leverage its resources to support customer sustainability initiatives.
Celestica (NYSE: CLS) hosted a virtual investor roundtable on June 3, 2021, providing updates on its Capital Equipment business. The company expects revenues to exceed $700 million in 2021, reflecting over 30% growth from 2020, with margins anticipated at the high end of its target range. Analysts predict the Wafer Fabrication Equipment (WFE) market will reach $86 billion by 2024 with a 9% CAGR. Additionally, Celestica is exploring adjacent markets including robotics and automated systems, aiming to diversify its offerings.
FAQ
What is the current stock price of Celestica (CLS)?
What is the market cap of Celestica (CLS)?
What does Celestica, Inc. specialize in?
What are the main segments of Celestica’s operations?
What industries does the ATS segment cover?
What is included in the CCS segment?
What recent products has Celestica launched?
How does Celestica support its customers?
What distinguishes Celestica's customer experience?
How has Celestica been managing its shares recently?
What is SONiC in relation to Celestica's new switches?
Where can I find more information about Celestica?
