Celestica Shares Drop as Q4 Revenue Could Decline

Celestica, a Canadian contract electronics manufacturer, saw its shares decline as it announced that fourth-quarter revenue might be lower compared to the previous year. As of 12:50 a.m. ET, the shares were trading at 30.14 Canadian dollars ($21.84), marking a nearly 14% decrease in Toronto.

Late on Wednesday, the company revealed that it expects fourth-quarter revenue to be in the range of $2 billion to $2.15 billion. This is compared to $2.04 billion in revenue reported during the same period last year. Analysts polled by FactSet anticipate revenue of approximately $2.1 billion for the quarter.

During an investor call, Chief Executive Mandeep Chawla mentioned that if Celestica reaches the midpoint of this projected range, it will slightly exceed last year’s fourth-quarter performance. Moreover, the company has also provided guidance for adjusted earnings per share, which is estimated to be between 65 cents and 71 cents per share. This represents an improvement of 13 cents per share from the fourth quarter of 2022 at the midpoint of the guidance range.