The effective tax rate before special items was 10.1% in the third quarter of the 2015 fiscal year compared to 3.3% in the 2014 fiscal year third quarter and compared to 13.3% in the 2015 fiscal year second quarter.
During the second quarter of the 2015 fiscal year, the Company had no customers that were more than 10% of total sales. The top five customers were GE, ISU Petasys, Sanmina, TTM and Viasystems, in alphabetical order. The top five customers totaled approximately 39% of total sales. Our top 10 customers totaled approximately 53% of total sales and the top 20 customers totaled approximately 67% of total sales.
Brian E. Shore
Okay, Thanks Matt, this is Brian again. The transcript of Matt’s remarks are posted in our website in case you want to check it out. So I have a few things that I like to tell you this morning before we go to questions. First of all let’s talk about the numbers for Q3. I think the bottomline doesn’t require much discussion it’s really the topline because the bottomline is driven by the topline and in this case there’s nothing unusual about the bottomline except the revenues which were way off. So, uhm, let’s talk about the revenues in the third quarter, let’s back up little bit to the second quarter call because based upon the comments we made in the second quarter call revenues really should not be a surprise, let’s go through that.
Ok, so remember when we discussed that in the first quarter and also including, the first quarter including, as well as the first month of the second quarter which is June. The revenues were quite strong, but we feel that was really inventory that were artificial based mostly in Asia, then we commented that in July the revenues fell off further and then on August went further than that. But also we explained that in June, the June revenues were in the level of the first quarter, so we knew what the June revenues were. We knew what the total was for the second quarter. We knew that July was the middle month, August was a down month. So it would have been pretty easy to figure out within a small range what the August revenues were, and then we said in the second quarter call that the first four weeks of September, four weeks in the books, were tracking August. We also said that we don’t know we always have been this about the electronic industry probably the last 20 years, probably a hundred times now. How unpredictable it is, and how it could turn into a dime, how a lot of smart people gets pulled by the changes in the patterns in the electronics industry but we were talking about going through that inventory correction and we’re in that low level in August and September. We also said, that we don’t know but this is the unpredictability, a part about the we said of course ask and ask and ask, what people in the industry think in terms of customers and OEM’s and they were talking about maybe a recovery by the end of the calendar year. Recovery meant that the inventory will normalize we’ll be back to normal levels. That time I think we said which I believe to be corrected, normal is somewhere between the levels of the first quarter and levels of the third quarter. The first quarter was artificially inflated, the third quarter was artificially depressed because of the inventory work off or work down. So, we pretty much knew what the revenues were in September and we also indicated, we didn’t see any recovery until the end of the year, leave that based among what people were telling us about the capped us we could have been wrong.
