What factors drove the changes in Flex's revenue and profit?

What is Flex's latest dividend and current dividend yield?

What is the market's earnings forecast for Flex next quarter?

What is Flex's gross profit margin?

What were the key takeaways from Flex’s earnings call?

What guidance did Flex's management provide for the next earnings period?

What is the revenue and EPS growth rate for Flex year over year?

What does Flex do and what are its main business segments?

- **Record Financials**: Q3 revenue up 8% YoY to $7.1B, adjusted EPS $0.87 (13% YoY growth), operating margin 6.5% (new high).
- **Data Center Dominance**: 30%+ data center growth with AI-driven innovations, including a 30% deployment time reduction platform.
- **Margin Expansion**: Full year adjusted EPS guidance raised by $0.11 to $3.21-3.27, driven by power and compute mix shifts.
- **Strategic Investments**: U.S. manufacturing expansion continues, with 2027 compute capacity additions for AI programs.
- **Consumer Caution**: Softness in consumer devices offset by strength in networking and industrial AI applications.

**【CEO Summary Section】**
- **Revenue and Profit Growth**: Q3 revenue of $7.1 billion (+8% YoY), adjusted EPS of $0.87 (record high, +13% YoY). Operating margin reached 6.5%, a new quarterly high.
- **Data Center Leadership**: 30%+ growth in data center solutions, driven by partnerships with NVIDIA and LG. Launched a modular AI infrastructure platform reducing deployment timelines by 30%.
- **Diversified Growth**: Strength in Health Solutions (+medical devices), Core Industrial (warehouse automation), and high-performance networking. AI adoption is expanding beyond data centers into industrial and networking segments.
- **Strategic Investments**: Expanding capacity in power and compute to support hyperscale AI infrastructure. U.S. manufacturing investments continue despite broader industry challenges.

**【CFO Financial Commentary】**
- **Financial Highlights**: Adjusted gross margin 9.8% (+50bps YoY), operating margin 6.5% (+40bps YoY). Cash flow $277 million, CapEx $145 million, $200 million in share buybacks.
- **Segment Performance**: 
  - **Reliability Solutions**: $3.2 billion (+10% YoY), driven by power and Core Industrial. Operating margin 7.2% (+50bps YoY).
  - **Agility Solutions**: $3.8 billion (+6% YoY), data center growth offset by soft consumer demand. Operating margin 6.3% (flat YoY).
- **Full Year Guidance**: Revenue $27.2-27.5 billion (+$350M midpoint), adjusted EPS $3.21-3.27 (+$0.11 midpoint). Free cash flow conversion >80%.

**【Q&A Key Highlights】**
- **Data Center Investment Focus**: 2026 investments skewed toward power (digesting capacity additions), with compute investments accelerating in 2027 for AI programs.
- **Margin Sustainability**: Operating margin expansion driven by mix shift to higher-margin power and compute. Long-term margin ceiling to be discussed at May Investor Day.
- **AWS Deal Impact**: FY26 data center growth includes contributions from AWS, with material upside expected in future years.
- **Automotive Stabilization**: Clarity on EV/hybrid platform investments driving compute platform growth, offsetting unit volume declines.
- **Consumer Market Softness**: Consumer demand weakness impacting Agility Solutions, but offset by strength in networking and data center infrastructure.

Flex Ltd. (FLEX) Q3 2026 Earnings Call Transcript

- **Revenue & Margin Strength**: Q2 $6.8B (+4% YoY), 6% operating margin; full-year guide raised to $26.7-27.3B, 6.2-6.3% margin.
- **Data Center Dominance**: 35%+ data center growth driven by AI infrastructure, 800V DC AI factories with NVIDIA.
- **Resilience & Expansion**: Ukraine shutdown (1% revenue) offset by health solutions and cloud strength; CapEx 2% of revenue for growth.

**【CEO Summary Section】**
- **Revenue Growth**: Q2 revenue of $6.8 billion, up 4% YoY, driven by data center and health solutions. Operating margin of 6% maintained for the fourth consecutive quarter.
- **Data Center Expansion**: Data center revenue expected to grow at least 35% YoY, outpacing industry trends. New AI infrastructure platform with NVIDIA enables faster deployments (up to 30% faster) and energy efficiency improvements.
- **Segment Performance**: Health solutions and medical device demand steady; automotive market stabilizing with new compute wins across EV, hybrid, and ICE platforms.

**【CFO Financial Commentary】**
- **Financial Highlights**: Q2 gross profit $632M (9.3% margin), operating profit $409M (6% margin), EPS $0.79 (+23% YoY). Full-year guidance raised to $26.7-27.3B revenue, 6.2-6.3% operating margin, and $3.09-3.17 EPS.
- **Cash Flow & Capital Allocation**: Free cash flow $305M, net inventory down 4% YoY. CapEx 2% of revenue, with $297M share buybacks. Guidance for Q3: $6.65-6.95B revenue, $0.74-0.80 EPS.
- **Tariff Management**: Tariffs treated as pass-through; global scale supports customer regionalization strategies.

**【Q&A Key Highlights】**
- **Margin Drivers**: Q2+ margin expansion (55bps to 6%) driven by products/services growth (above 6% margin). Q4 acceleration expected from cloud/power ramp.
- **Ukraine Impact**: Mukachevo shutdown (1% revenue) reduced 2026 guidance by ~$100M, but overall guide raised due to data center and health solutions strength.
- **AI & Automation**: NVIDIA partnership for modular data center solutions; internal AI/robotics investments to enhance factory efficiency and reduce lead times.

Flex Ltd. (FLEX) Q2 2026 Earnings Call Transcript

- **Data Center Dominance**: $6.5B FY26 target (+35% YoY), 25% of total revenue, driven by integrated cloud IT and power solutions.
- **Margin Resilience**: 6-6.1% operating margin despite $600M revenue increase, supported by $268M free cash flow.
- **AI & Automation Edge**: $9M sq ft US manufacturing expansion and AI-enabled factories driving 7-day inventory reduction.
- **Geographic Shift**: Americas revenue 49% of total (vs 38% in FY20), reflecting regionalization strategy success.
- **Share Repurchase**: $247M in Q1, with 80%+ free cash flow conversion target for FY26.

**【CEO Summary Section】**
- Q1 FY26 revenue of $6.6 billion (+4% YoY), driven by data center growth. Adjusted operating margin of 6% and EPS of $0.72, both records for Q1.
- Data center business targeting $6.5 billion in FY26 revenue (+35% YoY), with 25% of total revenue. Cloud IT and power solutions are key growth drivers.
- Global manufacturing scale (49M sq ft) and AI/automation investments support flexibility and resilience. Americas revenue rose to 49% of total in FY25 vs 38% in FY20.
- Advanced manufacturing and AI integration expected to drive productivity gains and margin expansion.

**【CFO Financial Commentary】**
- Q1 GAAP net income $420M, Non-GAAP EPS $1.08 (vs $0.95 guidance). Free cash flow $268M (98% conversion), with $247M in share buybacks.
- FY26 updated guidance: revenue $25.9-27.1B (+1-5% YoY), adjusted EPS $2.86-3.06. Data center segment to grow 35% YoY.
- Poland manufacturing acquisition doubles power capacity in Europe, supporting margin accretion.
- Tariffs (~$100M annual impact) largely passed through; no material impact on FY26 growth rates.

**【Q&A Key Highlights】**
- **Margin Outlook**: 6-6.1% operating margin for FY26 despite $600M revenue increase, due to tariffs and investments. Q1 margin beat (6%) reflects strong execution.
- **Data Center Trends**: 35% YoY growth target on track; power solutions outperforming cloud. Amazon's cooling product announcement validates Flex's integrated IT/power strategy.
- **Capacity Constraints**: New Dallas and Poland facilities easing bottlenecks, but demand for AI infrastructure remains strong.
- **Tariff Management**: Strong contractual protections mitigate risk; no material impact on FY26 guidance.
- **Segment Performance**: Health care (+15% YoY), networking (+20% YoY) offset automotive/industrial softness.

Flex Ltd. (FLEX) Q1 2026 Earnings Call Transcript

- **Record Margins and Growth**: FY25 adjusted operating margin 5.7%, EPS $2.65 (+23%). FY26 targets 6% margin and $2.81-$3.01 EPS, a year ahead of schedule.
- **Data Center Dominance**: FY25 data center revenue $4.8B (+50%), FY26 growth ~35% driven by power (mid-40s) and cloud (mid-30s). Unique end-to-end IT/power integration differentiates Flex.
- **North American Expansion**: 7M sq ft in US, 9M in Mexico. Customer demand for regionalized manufacturing amid tariffs. FY26 expects to benefit from customer transition plans.
- **Tariff Resilience**: 90%+ USMCA compliance, Pulse platform for tariff mitigation. FY26 guidance excludes direct tariff impacts, assumes pass-through with no margin drag.
- **Free Cash Flow Strength**: FY25 $1.1B, FY26 maintains 80%+ conversion. CapEx ~2% of revenue, balanced with M&A and buybacks ($1.3B FY25).

**【CEO Summary Section】**
- **Fiscal Year 2025 Highlights**: Revenue reached $28.5 billion (-2% YoY), adjusted operating margin hit a record 5.7%, and EPS grew 23% to $2.65. Free cash flow exceeded $1 billion for the second consecutive year.
- **Data Center Growth**: Total data center revenue surged 50% YoY to $4.8 billion, driven by cloud solutions (up 8.2%) and power products (up 50%). FY26 guidance expects mid-30% growth, with power outpacing cloud due to capacity expansion.
- **Tariff Strategy**: Over 90% of Mexico production is USMCA-compliant. Flex is helping customers navigate tariffs through its global footprint (48M sq ft, 7M sq ft in the US) and Pulse simulation platform.
- **FY26 Outlook**: Target 6% adjusted operating margin (achieved a year ahead of schedule), EPS of $2.81-$3.01, and 80%+ free cash flow conversion.

**【CFO Financial Commentary】**
- **Q4 2025 Results**: Revenue $6.4B (+4% YoY), adjusted EPS $0.73 (+28%), gross margin 9.4% (record high). Free cash flow $325M, FY25 total $1.1B.
- **Segment Performance**: 
  - **Reliability**: Revenue $11.7B, margin 5.8% (vs 5.3% FY24), driven by power solutions.
  - **Agility**: Revenue $14.1B, margin 6.1% (vs 5.6% FY24), boosted by cloud and networking share gains.
- **FY26 Guidance**: Revenue $25B-$26.8B, operating margin 6%-6.1%, EPS $2.81-$3.01. FY26 free cash flow expected to remain strong despite 2% CapEx rate.

**【Q&A Key Takeaways】**
- **Margin Drivers**: Data center mix (cloud/power), service business growth, and operational efficiency. FY26 margin guide excludes direct tariff impacts.
- **Customer Sourced Inventory**: FY25 impact $1.5B (17% of revenue), FY26 expected +$1B (20% of revenue). While muted in reported growth, operating profit grows due to higher-margin programs.
- **Tariff Risks**: Potential demand slowdown, but Flex's North American footprint positions it to benefit from regionalization. FY26 guidance assumes tariffs are pass-through costs with no direct margin impact.
- **Inventory Management**: FY25 inventory days reduced to 56 (vs 70 FY24). FY26 expects continued working capital optimization despite potential growth investments.


Flex (FLEX)-7 May 25-2025 Q4 Earnings call transcript

- **Record Margins & Growth**: 6.1% operating margin and $0.77 EPS in Q3, with 45% YoY data center revenue surge.
- **Sustained Data Center Momentum**: Q4 growth expected to continue, backed by 20%+ long-term CAGR driven by dense compute needs.
- **Medical Device Strength**: High-margin contracts and pipeline growth offset automotive weakness.
- **Liquidity & Buybacks**: $2.3B cash, $950M YTD stock buybacks, and FY25 EPS guidance of $2.57-2.65.
- **U.S. Manufacturing**: Automation can lower costs, but labor shortages persist.


**【CEO Summary Section】**
- Q3 revenue reached $6.6 billion, with operating margin hitting a record 6.1% and EPS of $0.77. The company expects to maintain a six-handle margin in Q4.
- Data center revenue grew 45% YoY, driven by AI-driven cloud expansion and tailored solutions for hyperscalers. The long-term data center CAGR is projected at ~20%.
- Medical devices and consumer-related markets showed strength, while automotive remained soft due to macro challenges.
- Acquisitions of JetCool (liquid cooling) and Crown Systems (power solutions) expanded capabilities in dense compute and grid modernization.

**【CFO Financial Commentary】**
- Gross profit rose to $610 million (9.3% margin), with operating income at $399 million (6.1% margin), up 120bps YoY.
- Free cash flow was $306 million, with FY25 guidance for $800+ million. Stock buybacks totaled $950 million YTD.
- Q4 guidance: Revenue $6.0-6.4 billion, EPS $0.65-0.73. Full-year 2025 EPS expected at $2.57-2.65.

**【Q&A Highlights】**
- **Data Center Growth**: 45% YoY growth to continue in Q4, driven by hyperscale cloud and power solutions. Long-term 20% CAGR supported by multi-year infrastructure build-out.
- **Margin Sustainability**: 6%+ operating margin achievable through mix improvement (e.g., high-margin medical devices) and factory efficiency.
- **U.S. Manufacturing**: Automation and AI adoption can lower landed costs, though labor constraints remain a challenge.
- **Medical Devices**: Long-term contracts and pipeline growth offset near-term med-equipment softness.
- **Liquidity**: $2.3 billion cash balance post-acquisitions, with no immediate dividend plans.


Actual											0.2037	0.1673	0.2619	0.3564	0.3564	0.3346	0.3492	0.3637	0.3782	0.3928	0.4583	0.451	0.4146	0.4146	0.4946	0.71	0.57	0.51	0.64	0.77	0.73	0.72	0.79	0.87
Forecast											0.1763	0.1231	0.1983	0.2692	0.2616	0.2735	0.294	0.3033	0.3222	0.3484	0.372	0.4371	0.3729	0.3701	0.421	0.4481	0.5543	0.4117	0.5698	0.6328	0.6954	0.6295	0.7543	0.7786
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+15.54%	+35.91%	+32.07%	+32.39%	+36.24%	+22.34%	+18.78%	+19.91%	+17.38%	+12.74%	+23.20%	+3.18%	+11.18%	+12.02%	+17.48%	+58.45%	+2.83%	+23.88%	+12.32%	+21.68%	+4.98%	+14.38%	+4.73%	+11.74%

FLEX

FLEX fundamentals

FLEX Q3 2026 Earnings

Earnings Call

You can ask Aime

FLEX

FLEX fundamentals

FLEX Q3 2026 Earnings

Earnings Call

FLEX Earnings Call Summary for Q3/20268:30 AM on Feb 4, 2026

FLEX Earnings Call Summary for Q2/20268:30 AM on Oct 29, 2025

FLEX Earnings Call Summary for Q1/20268:30 AM on Jul 24, 2025

FLEX Earnings Call Summary for Q4/20258:30 AM on May 7, 2025

FLEX Earnings Call Summary for Q3/20258:30 AM on Jan 29, 2025

You can ask Aime