SANM
#Well, <UNK>, first of all, again, let me take the first part.
Number one, I personally believe that as we continue to improve the mix that we can ---+ even at this revenue, I think there's a potential to improve the margin, some of the things that we are doing.
We do also have a fair amount of new opportunities, customers that we won, the projects that we won, that will help us as these go out.
And number three, I think we have a very good pipeline of opportunities that we are going to be working on, in the last year, that I believe is going to benefit us in the second half, especially second half of the calendar year.
At the same time as I mentioned earlier, we think overall we do expect a better demand, especially from communication network side, in the second half of the calendar year.
So adding all those two together, should give us a better opportunity to improve the financial results (multiple speakers).
Yes, I really don't know.
I don't have much to add.
I mean, we get forecasts in from our customers, and they're never exactly right.
But I think directionally they're typically pretty good, and it looks like the second half will be better.
Yes, you heard it on the new program opportunities that we have, that's correct.
And let me make sure that I ---+ that make sure that I say it correctly, when it comes to the net communication network.
Based on our customer forecasts, we expect the market to stabilize and improve in the second half of the calendar year.
That is true.
But again, it's a customer-driven scenario.
I just want to make sure that ---+ but with all the other stuff, we still think we can make some improvements, and we make an improvements to help us to deliver better results.
So as you ---+ put all these things in a bucket, I think opportunity is there.
Thanks, <UNK>.
Hello, <UNK>.
Well, I think in the short-term, we think it's the ---+ as I've talked to some of my customers they say, <UNK>, we're not losing market share, it's just that we ---+ it's a more normal environment, and we have some inventory to work out.
So I believe it's inventory-driven, and some of the slower ---+ how do I say, softer demand from some of our customers.
When I talk about the new programs, I think of our existing customers or the new customers, we are participating in new programs that will help to drive their future demand, and expanding the customers into telecom industry that we didn't have it before.
Well, we did forecast year-over-year growth at the beginning of the year on this segment, and we work very close with our customers on this.
And there is unfortunately, right now we see more softness than what we saw let's say, 90 days ago, and we'll see how things shake out.
In the next 30 days to 90 days, I think we'll have a lot better picture, <UNK>, at that time.
But again, we are well-positioned in this market.
I think we are ---+ providing the right value, and we are involved in a new program.
So based on that, we are still optimistic on this segment.
Well, first of all, I think you really kind of need to see, <UNK>, what I just said.
I said, based on our customer forecasts, and based on what they're telling us, the second half of the calendar year is, they're more optimistic on their demand.
And that's all we can tell you.
That's basically what we share, and we don't control what they're going to take.
But I can tell that you that we are well-positioned with these key customers.
And, of course, in this type of business, you've got to execute every day, and we've been executing well.
I think it's all demand-driven.
<UNK>, just to put it in some context, on a year-to-date basis, com is only down 2%.
So it's disappointing.
We're disappointed that it's down.
But again, the indication is that things will get better.
Thanks, <UNK>.
Okay.
First of all, <UNK>, December ---+ I should say January, March, and February was definitely slower in communication networks than what we anticipated, let's say what it was going to be 90 days ago, when we reported it for this number.
That softness continued into April, May, and June now.
So we expect, based on what we're hearing from our customers, that we're going to have a better second calendar year, which will be a September and December quarter.
But if you strictly compare to, how do I say, fiscal year, year-over-year as <UNK> mentioned, if you look at the first six months, we're down a little bit, and we'll see how things shake up this quarter and next quarter.
But overall, what we're hearing from our customers, we're not losing ---+ how do I say ---+ orders.
It's basically some inventory correction, and we're going back to the normalized demand.
And I'm talking mainly on the wireless side of the business, <UNK>.
It's hard to predict, I mean, what is ---+ how things are going to shake out.
I mean, we're going to take one quarter at a time.
But I would say today, if I compare a second half of the calendar year now going forward, I think we'll be a little bit better than the first half.
Yes, <UNK>, we've been really focused on growth.
Let me just ---+ our biggest issue today if you will look at Sanmina, we fixed a lot of things in the last couple of years.
Now it's all about getting more growth, and we have been talking about quality of the growth.
It's easy to get the growth, but what type of quality of the growth were you going to get.
We believe that we have some good opportunities that will help this year.
We added ---+ we've been investing a lot in driving the new technology, the business development people.
We added a fair amount there.
We got some good opportunities in the pipeline.
So organically, I think we're well-positioned.
At the same strategically, we're looking at the different deals that would make business sense for us to do this.
But definitely, our main focus right now is profitable growth.
Thanks, <UNK>.
Hello, <UNK>.
No, I ---+ well, you don't ---+ first of all, you don't plan on an order that you didn't win.
I think we ---+ first of all, we have some good programs, as I mentioned earlier, industrial, medical, and defense that we're able to diversify the customer base in the last 12 months.
So we have some of those programs to help us.
Same thing in embedded computing and storage.
We've got some new customers that we got qualified, and that's really what we are counting on.
Now, at the same time, we are positioned to win some programs, but we are not putting those at the forecast at this time.
<UNK>, could you repeat the last question.
Okay, okay (multiple speakers).
We grew that business nicely last year, as you know.
I mean, if you compare it year-over-year, or you should say year-to-date nicely, we have a strong customer base in both ---+ in all these three programs, especially in the industrial.
The only weak area that we are, the industrial side that we're experiencing that we had high hopes was the oil and gas.
And oil and gas contributed to us a fair amount in the last 12 months.
It's the area ---+ it's not going to be contributing a lot, at least for the next few quarters.
Just the nature of the business.
But we still believe in that customer base.
We still believe in the industry long-term.
So we're not giving up on it.
We continue to find a way to expand the customer base.
But in the short-term forecast on that are very low.
The rest of the customers we expect that to grow, because of our expansion in that side of the customer base.
As you can see, that their percentage is going to go up, grow to 39%, and we expect the percentage to continue to move in the right direction.
Hello, <UNK>.
Yes, <UNK>, I think ---+ you know how this goes.
For us, to be able to predict the market 100% is impossible.
We've gathered the data from our customers, which is very detailed data, and they share a lot of information with us that we can't talk about.
But we see it.
So assuming that those forecasts are correct, we believe the second half of the calendar year 2015 will be better than what we saw ---+ or what we're seeing right now in the first half of this calendar year.
So that's really what we based on it.
At the same time, we're looking at what programs are involved, what the future of these new programs.
So I'm more optimistic, first of all, our customer base today in the com is smaller.
But it's healthier than let's say, in the lifecycle.
So I feel the more ---+ and the market is completely different.
So I think the market is stable.
Yes, there is some ups and downs, but overall I think this market will be fine.
Well, no, we did some acquisitions like that in the last couple of years.
I think it all depends on the opportunity.
Does that opportunity fit to us, does it make business sense.
We still have a few customers, they are doing some internal manufacturing.
Yes, and some of those we are interested in.
Thanks, <UNK>.
Thanks.
Well, ladies and gentlemen, that's all we have for today.
If there is any more questions, please give us a call.
Otherwise, thank you very much, and we'll be talking in the next 90 days.
Yes.
Thanks, everyone.
Bye-bye.
