Multi-Fineline Electronix or M-Flex, the global provider of flexible printed circuit and value-added component assembly solutions to the electronics industry, today says it expects to report net sales of $181 million in the third quarter ended June 30, 2010, an increase of 3.7% from net sales of $174.5 million in the same period last year.

Gross margin during the third quarter of fiscal 2010 is expected to be 12.3%, compared to 14.3% for the same period in the prior year.

For the fourth quarter of fiscal 2010, M-Flex expects net sales to increase sharply and range between $220 and $240 million. Gross margin is currently expected to range 13–15% based on the projected product mix.

Reza Meshgin, Chief Executive Officer of M-Flex, says: “The continued ramp of new programs is expected to support another quarter of strong net sales and drive full year net sales growth in fiscal 2010. Gross margins are expected to benefit from the higher projected manufacturing volumes in the fourth quarter. This should more than offset the residual gross margin pressure from the new program ramps along with start-up costs related to MFC3, our new state-of-the art manufacturing facility in China.”