Key TakeawaysThe S&P 500 lost 0.7% on Friday, March 15, 2024, after a report showed consumer expectations for inflation inched higher in February.Shares of Jabil plunged as the electronics manufacturer issued lower-than-expected guidance, noting it faces a transitional year after divesting its mobility business.Real estate information firm CoStar Group reported an increase in visitors to its Homes.com platform, and its shares moved higher. Major U.S. equities indexes fell on the final day of the trading wee ...

Key TakeawaysJabil's second-quarter revenue and current-quarter guidance came up short of forecasts as the firm faced "revenue headwinds." Shares sank nearly 17%.The electronic technology firm also reduced its full-year revenue outlook.CEO Kenny Wilson said the company always expected fiscal 2024 to be a "transitional year." Jabil Inc. (JBL) shares were down nearly 17% in afternoon trading Friday after the electronic technology firm’s second-quarter fiscal 2024 sales and current-quarter guidance missed esti ...

Key PointsJabil Inc. had a weak quarter following the sale of its mobility business, but margin and cash flow remain solid. Capital returns are reducing the share count quickly, building leverage for investors. Analysts support the market but may cap gains in the near term. 5 stocks we like better than JabilJabil Inc. NYSE: JBL stock price is down 10% in early trading, extending a decline that began before the Q2 release and may fall further. However, the decline is due more to market mechanics than the res ...

Jabil Inc. (JBL) reported mixed second-quarter fiscal 2024 results, with the bottom line beating the Zacks Consensus Estimate but the top line missing the same. The company reported a top-line contraction year over year, owing to soft demand trends in several end markets.Net IncomeNet income on a GAAP basis in the quarter was $927 million or $7.31 per share compared with $207 million or $1.52 per share in the prior-year quarter. Despite top line decline, gain from the divestiture of Mobility business suppor ...

SECOND QUARTER FISCAL YEAR 2024 RESULTS Forward Looking Statement Forward ...

Financial Data and Key Metrics Changes - Revenue for Q2 2024 was approximately $6.8 billion, aligning with guidance, with core operating income at $338 million, or 5% of revenue, reflecting a 20 basis point increase year-over-year [5][6] - GAAP operating income was approximately $1.1 billion, with GAAP diluted earnings per share at $7.31, significantly influenced by the sale of the mobility business [6] - Core diluted earnings per share for the quarter was $1.68, exceeding the midpoint of guidance by $0.05 [6] Performance by Business Segment - DMS segment revenue was $3.4 billion, down approximately 16% year-over-year, primarily due to the mobility divestiture, but showed 11% growth in automotive and transportation [7] - EMS segment revenue was $3.3 billion, down roughly 18% year-over-year, with declines attributed to a consignment model shift in the cloud business and lower demand in 5G and renewable energy markets [8] Market Data and Key Metrics Changes - Inventory days increased to 87 days, with cash flows from operations at $218 million and adjusted free cash flow of $48 million for the quarter [9] - The company ended the quarter with cash balances of $2.6 billion and total debt to core EBITDA levels of approximately 1.2 times [9] Company Strategy and Development Direction - The divestiture of the mobility business and subsequent share buybacks reflect a strategic intent to reshape the business while maintaining shareholder returns [10] - The company is focusing on growth in automotive, healthcare, and AI data centers, with expectations of continued growth in these sectors [19][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience despite market headwinds, emphasizing a diversified approach across geographies and end markets [17] - The outlook for fiscal '25 remains optimistic, with expectations of core EPS of $10.65 driven by growth in AI-related revenue and new program wins [26][31] Other Important Information - The company successfully closed on the sale of its mobility business for approximately $2.2 billion, which has been allocated towards share repurchases [6] - AI-related revenue is expected to reach approximately $6 billion in FY '25, with a growth rate of 20% year-on-year [22][48] Q&A Session Summary Question: Insights on cuts within 5G and renewables programs - Management indicated that the cuts were due to unexpected demand reductions, particularly in India for 5G and inventory corrections in renewables, and expressed confidence that these adjustments would stabilize moving forward [36][38] Question: Drivers of better margins - The margin improvements are attributed to a mix shift towards higher-margin AI-related business and successful cost optimization efforts [40][41] Question: AI revenue quantification and competitive advantage - AI-related revenue is projected to exceed $6 billion in FY '25, with a significant portion coming from data center operations, and the company aims to leverage its integrated service offerings as a competitive advantage [47][49][66] Question: Confidence in guidance despite recent cuts - Management emphasized strong long-term relationships with customers and a conservative approach to forecasting, which supports confidence in the guidance provided [53][55]

Jabil (JBL -16.43%) stock tumbled 12.5% through 10:20 a.m. ET Friday morning after the stock reported mixed earnings and gave weak guidance in its fiscal Q2 2024 financial report.Heading into the earnings report, analysts had forecast that Jabil would earn $1.66 per share on $6.9 billion in quarterly sales. Jabil beat the earnings number with a "core" profit of $1.68, but missed on sales, reporting $6.8 billion. Jabil Q2 earningsAt the same time, Jabil reported much stronger earnings as calculated according ...

Jabil Inc (NYSE: JBL) is down 12% on Friday after reporting slightly lower-than-expected revenue for its second financial quarter.Jabil stock down on muted guidanceCopy link to sectionInvestors are concerned also because the manufacturing company issued downbeat guidance for the future. $JBL now forecasts its revenue to fall between $6.2 billion and $6.8 billion. Analysts, in comparison, were at $7.4 billion. Kenny Wilson – the chief executive of Jabil Inc said in a press release today:Despite revenue headw ...

ST. PETERSBURG, Fla.--(BUSINESS WIRE)--Today, Jabil Inc. (NYSE: JBL), reported preliminary, unaudited financial results for its second quarter of fiscal year 2024. “Despite revenue headwinds this year, which are expected to be short-term, I’m pleased with the resiliency of our model and our team’s demonstrated ability to execute,” said CEO Kenny Wilson. “Even under these conditions, we expect to deliver strong core operating margins and free cash flow in FY24,” he added. Second Quarter of Fiscal Year 20 ...

Exhibit 99.1 Jabil Posts Second Quarter Results ST. PETERSBURG, Fla. – March 15, 2024 – Today, Jabil Inc. (NYSE: JBL), reported preliminary, unaudited financial results for its second quarter of fiscal year 2024. "Despite revenue headwinds this year, which are expected to be short-term, I'm pleased with the resiliency of our model and our team's demonstrated ability to execute," said CEO Kenny Wilson. "Even under these conditions, we expect to deliver strong core operating margins and free cash flow in FY24 ...