How did FLEX's revenue and expenses trend in Q3 2025 compared to previous quarters?

Flex's revenue and expenses in Q3 2025 showed strong performance compared to previous quarters, reflecting improved operational efficiency and cost management.

1. **Revenue Trend**:
- Flex reported a net sales of $6.6 billion in Q3 2025, which is a significant figure considering the company's previous performance and the broader market context. This indicates a strong revenue growth trajectory, possibly driven by improved market demand and operational effectiveness.
- The company's guidance for the fourth quarter and the full fiscal year 2025 suggests a continued positive outlook, with projected revenues ranging from $6.0 billion to $6.4 billion in Q4 2025 and a total of $25.4 billion to $25.8 billion for the full year.

|code|Ticker|Name|Date|Total Revenue YoY|Total Revenue|market_code|
|---|---|---|---|---|---|---|
|FLEX|FLEX.O|Flex|2022 Q4|-13.134375997446538|5.443E9|185|
|FLEX|FLEX.O|Flex|2023 Q1|15.846736045411541|7.347E9|185|
|FLEX|FLEX.O|Flex|2023 Q2|24.674907689837855|7.766E9|185|
|FLEX|FLEX.O|Flex|2023 Q3|17.177821423175708|7.756E9|185|
|FLEX|FLEX.O|Flex|2023 Q4|3.490722028293221|5.633E9|185|
|FLEX|FLEX.O|Flex|2024 Q1|-6.193003947189329|6.892E9|185|
|FLEX|FLEX.O|Flex|2024 Q2|-10.72624259593098|6.933E9|185|
|FLEX|FLEX.O|Flex|2024 Q3|-17.212480660134087|6.421E9|185|
|FLEX|FLEX.O|Flex|2024 Q4|-20.024853541629682|4.505E9|185|
|FLEX|FLEX.O|Flex|2025 Q1|-8.386535113174695|6.314E9|185|

2. **Expense Management**:
- Flex demonstrated robust cost management, as evidenced by the adjusted operating income of $399 million in Q3 2025, compared to the previous quarter's figures. This suggests a trend of improving operating margins.
- The company's gross margin and adjusted gross margin were notably strong, with Flex achieving an adjusted gross margin of 71.6% in Q3 2025. This indicates efficient cost control and a focus on high-margin operations.
- Flex's R&D and SG&A expenses showed a positive trend, with adjusted SG&A expenses decreasing as a percentage of revenue. This suggests a streamlined and disciplined approach to expense management.
3. **Profitability Metrics**:
- Flex reported a GAAP operating income of $334 million and a net income of $263 million in Q3 2025. These figures, coupled with the adjusted earnings per share (EPS) of $0.77, reflect enhanced profitability and effective capital utilization.
- The company's focus on improving mix and efficiency across all business units contributed to its consistent margin expansion, as highlighted by the CEO.
4. **Comparative Analysis**:
- Flex's Q3 2025 performance surpasses the previous quarter's figures, indicating a clear upward trend in revenue and profitability. This is a positive indicator for the company's financial health and its ability to generate returns for shareholders.

In conclusion, Flex's Q3 2025 financial results demonstrate robust revenue growth and effective expense management, which are critical factors in the company's overall financial performance and its ability to navigate market challenges.