LISLE, Ill. -- Molex Incorporated (NASDAQ:MOLX)(NASDAQ:MOLXA), a global electronic components company, today reported results for its fiscal third quarter and first nine months ended March 31, 2003 and provided guidance for the fourth quarter ending June 30, 2003. Revenues of $443.2 million increased 8.5 percent from last year's third quarter of $408.3 million. Revenues in local currencies increased 2.3 percent, as currency translation increased net revenues by $25.5 million compared with last year's third quarter. Net income was $24.8 million, compared with last year's third quarter of $19.7 million. Net return on sales was 5.6 percent, compared with 4.8 percent in the same quarter last year. Earnings per share of $0.13 increased 30 percent compared with the $0.10 reported in the same quarter last year. Currency translation did not have a material effect upon net income, as the major portion of the translation gain occurred in regions currently reporting lower than normal local currency profitability. Although both revenues and net income increased over the prior year's third quarter, these results were below the guidance previously provided for the March quarter. Joe King, Vice-Chairman and Chief Executive Officer, said, "It is clear that the modest recovery in the worldwide markets that Molex serves, which began approximately one year ago, has lost momentum, and in fact, took a step backward during the second half of the month of March. We attribute the latter to the current high level of global uncertainty, which magnified the existing caution shown by our customers. On the positive side, we believe we continued to gain market share during the quarter and achieved reasonable, although somewhat disappointing financial results." King continued, "Gross profit margin of 33.5 percent was higher than the prior year's third quarter of 32.4 percent. Gross profit margin also improved from the December prior quarter, despite the lower level of sales. This was primarily due to lower raw material cost on a more favorable mix of product sales. Looking forward, we believe gross profit margins will remain highly correlated to sales levels. Our balance sheet remains strong with the Company effectively managing its cash flow. Our quarter ending cash balance increased sequentially by $7.0 million to $334.0 million." The Company also provided guidance for the fourth fiscal quarter ending June 30, 2003. The global economy continues to be challenging, particularly in Europe, and there is no clear outlook as to when business levels will recover from the March downturn. Most of our customers continue to order only for their short-term requirements, providing little advance notice. We are also more cautious at the current time regarding the magnitude and benefit of the seasonal patterns that normally result in a relatively stronger June quarter. On the positive side, we are encouraged that inventory in the majority of our sales channels is at reasonable levels. Based on these facts, the Company expects that revenues for the fourth fiscal quarter ending June 30, 2003, will be in a range of $450 to $460 million. Based on these revenues, the Company expects that earnings per share will be approximately $0.14. The Company anticipates providing initial guidance for its next fiscal year ending June 30, 2004, in its earnings announcement for the quarter ending June 30, 2003, which is scheduled for release on July 23, 2003. Molex Inc.