For its fourth fiscal quarter of 2019 ended September, components and interconnections supplier TE Connectivity posted net sales of $3.3 billion, down 6% from the fourth quarter of 2018. Diluted earnings per share (EPS) from continuing operating operations were $1.11, and adjusted EPS were $1.33, both exceeding the mid-point of the company's fiscal guidance.
For the full 2019 fiscal year, TE Connectivity posted net sales of $13.4 billion, down 4% as reported and 2% organically from fiscal year 2018. Diluted EPS from continuing operations were $5.72, and adjusted EPS were $5.55, down 1% versus the prior year. Cash flow from continuing operations was $2.5 billion and free cash flow was $1.6 billion, up 15% year over year.
TE Connectivity continued to strengthen its portfolio in growing markets, completing the acquisition of the Kissling Group and Alpha Technics, and announcing the acquisitions of Silicon Microstructures Inc. (SMI) and First Sensor AG.
"Our results through the fourth quarter of fiscal 2019 reflect the ability of our teams to execute in what continues to be a challenging market environment,” said TE Connectivity CEO Terrence Curtin, in a statement. “Our industrial segment continued to show top-line organic growth and margin expansion, led by strength in our aerospace, defense and medical businesses, while our transportation segment outperformed auto production declines through product content gains and our strong global position.”
For the fiscal first quarter of 2020, the company expects net sales of $3.0 billion to $3.2 billion, reflecting a decrease of 7% on an actual basis and 6% on an organic basis year over year at the mid-point. Diluted EPS from continuing operations are expected to be 93 to 99 cents, including net restructuring, acquisition-related and other charges of 17 cents. The company expects adjusted EPS of $1.10 to $1.16.
For the full 2020 fiscal year, the company expects net sales of $12.7 to $13.3 billion, reflecting 3% actual and 2% organic decline at the mid-point versus the prior year. Diluted EPS from continuing operations are expected to be $4.21 to $4.61, including net restructuring, acquisition-related and other charges of $0.64. The company expects adjusted EPS of $4.85 to $5.25.
"We continue to see a challenging and uncertain global market environment in fiscal 2020 and remain confident in the ability of our teams to adjust to changing dynamics and deliver strong performance for our owners and customers," Curtin added. "We will continue to execute cost reduction plans to preserve operating resiliency and generate strong cash flow, while maintaining our strategy of expanding content with our highly engineered solutions.”