Q4 & FY'25 Financial Results November 3, 2025 Today's Presenters Jure Sola Chairman & CEO Jon Faust EVP & CFO 2 Safe Harbor Statement Certain statements made during this presentation, including our financial outlook for the first quarter fiscal 2026 and expectations for growth generally, constitute forward-looking statements within the meaning of the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in these statements a ...

Financial Performance - Revenue for fiscal year 2025 increased by 7.4% to $8.13 billion compared to $7.57 billion in fiscal year 2024[4] - Non-GAAP diluted EPS for fiscal year 2025 grew by 14.4% to $6.04 from $5.28 in fiscal year 2024[4] - GAAP Net income attributable to common shareholders for the twelve months ended September 2025 was $245,893, up from $222,536 in the previous year, an increase of 10.5%[20] - Non-GAAP Net income attributable to common shareholders for the twelve months ended September 2025 reached $333,250, compared to $300,868 in the prior year, marking an increase of 10.7%[20] Cash Flow and Assets - Cash flow from operations for Q4 2025 was $199 million, contributing to a total of $621 million for fiscal year 2025[8] - Cash provided by operating activities for Q3 2025 was $199,079, significantly higher than $51,875 in Q3 2024, indicating a substantial increase of 283.5%[23] - Free cash flow for the twelve months ended September 2025 was $478,181, compared to $231,020 in the previous year, reflecting a growth of 106.5%[23] - Total current assets increased to $4.87 billion in Q4 2025 from $3.87 billion in Q4 2024[16] - The net change in cash, cash equivalents, and restricted cash equivalents for the twelve months ended September 2025 was $340,360, compared to a decrease of $41,710 in the previous year[23] Operating Performance - GAAP Operating income for Q3 2025 was $78,465, down from $89,590 in Q3 2024, reflecting a decrease of 12.4%[20] - Non-GAAP Operating income increased to $126,450 in Q3 2025, compared to $107,329 in Q3 2024, representing a growth of 17.5%[20] - GAAP Operating margin for Q3 2025 was 3.7%, down from 4.4% in Q3 2024, indicating a decline of 15.9%[20] - Non-GAAP Operating margin improved to 6.0% in Q3 2025 from 5.3% in Q3 2024, an increase of 13.2%[20] Future Outlook - First quarter fiscal 2026 revenue outlook is projected between $2.9 billion to $3.2 billion[9] - Non-GAAP diluted earnings per share for the first quarter fiscal 2026 is expected to be between $1.95 to $2.25[9] Acquisitions and Growth - The acquisition of ZT Systems is expected to enhance scale and capabilities, targeting significant growth in the Cloud and AI end-market[4] - Share repurchases in fiscal year 2025 amounted to approximately 1.44 million shares for $114 million[8] - The company incurred $27,082 in acquisition and integration charges in Q3 2025, compared to no such charges in Q3 2024[20] Liabilities and Equity - Total liabilities and stockholders' equity as of September 27, 2025, was $5.86 billion, up from $4.82 billion a year earlier[16]

Core Insights - Sanmina Corporation reported strong financial results for Q4 and fiscal year 2025, driven by growth in Communications Networks and Cloud and AI Infrastructure markets [3][4] - The company anticipates continued strength in its legacy business and sees significant growth opportunities following the acquisition of ZT Systems [4] Financial Highlights - **Fourth Quarter Fiscal 2025**: - Revenue: $2.1 billion - GAAP operating margin: 3.7% - GAAP diluted EPS: $0.88 - Non-GAAP operating margin: 6.0% - Non-GAAP diluted EPS: $1.67 - Cash flow from operations: $199 million - Free cash flow: $137 million - Ending cash and cash equivalents: $926 million [2] - **Fiscal Year 2025**: - Revenue: $8.1 billion, an increase of 7.4% year-over-year - GAAP operating margin: 4.4% - GAAP diluted EPS: $4.46 - Non-GAAP operating margin: 5.7% - Non-GAAP diluted EPS: $6.04 - Cash flow from operations: $621 million - Free cash flow: $478 million - Share repurchases: Approximately 1.44 million shares for $114 million [2][4] Strategic Outlook - The acquisition of ZT Systems is expected to enhance Sanmina's scale and capabilities, particularly in the Cloud and AI sectors, providing a competitive advantage [4] - The company is optimistic about its growth trajectory for fiscal year 2026, supported by demand from both new and existing customers [4]

Core Viewpoint - The press release discusses the strategic partnership between Advanced Micro Devices, Inc. (AMD), ZT Group Int'l, Inc. (ZT Systems), and Sanmina Corporation, highlighting the expected benefits and potential risks associated with the transaction [1] Group 1: Strategic Partnership - AMD's strategic partnership with Sanmina is expected to enhance the quality and speed of deployment of AMD AI systems for cloud customers [1] - The partnership aims to leverage ZT Systems' design and customer enablement teams to accelerate AMD's AI systems [1] Group 2: Forward-Looking Statements - The press release contains forward-looking statements regarding AMD's goals and expectations, which are subject to various risks and uncertainties [1] - Risks include the possibility that the strategic partnership may not achieve anticipated results or that the deployment of AMD AI systems may take longer than expected [1] Group 3: Potential Risks - The transaction may impact AMD's relationships with suppliers, customers, employees, and regulators [1] - There is uncertainty regarding the demand for AMD's products, which could affect the realization of expected benefits from the partnership [1]

Core Insights - AMD has completed the divestiture of ZT Systems' data center infrastructure manufacturing business to Sanmina, while retaining ZT Systems' design and customer enablement teams to enhance AMD's AI systems for cloud customers [1][2]. Group 1: Transaction Details - The transaction allows AMD to keep ZT Systems' design and customer enablement teams, which will help accelerate the deployment of AMD AI systems for cloud customers [2]. - Sanmina will serve as a preferred manufacturing partner for AMD's cloud rack and cluster-scale AI solutions, strengthening AMD's ecosystem of partners [2]. Group 2: Strategic Implications - AMD's executive vice president highlighted that this partnership marks a new chapter in AMD's data center strategy, extending their leadership from silicon to software and full systems [3]. - The collaboration with Sanmina aims to provide cloud and AI customers with a scalable path to deploy AMD performance more rapidly [3]. Group 3: Company Background - AMD has over 55 years of experience in high-performance computing, graphics, and visualization technologies, serving billions of users and leading businesses globally [4].

Core Insights - Sanmina Corporation has completed the acquisition of ZT Systems from AMD, positioning itself as a leader in the Cloud and AI markets, and enabling the company to capitalize on significant growth opportunities [1][3] Strategic Partnership - Sanmina and AMD have established a strategic partnership, making Sanmina the preferred U.S.-based new product introduction manufacturing partner for AMD's cloud and AI solutions, enhancing quality and deployment speed [2][3] Enhanced Capabilities - The acquisition of ZT Systems significantly enhances Sanmina's scale and engagement in the Cloud and AI end-market, expanding its manufacturing capacity and capabilities [3][7] - ZT Systems brings advanced manufacturing facilities in New Jersey and Texas, along with operations in the Netherlands, complementing Sanmina's existing global footprint [7] Customer Relationships - The transaction allows Sanmina to deepen relationships with existing customers and attract new ones through ZT Systems' connections with hyperscalers, providing a more integrated solution [7] Comprehensive Solutions - The combination of ZT Systems' capabilities with Sanmina's existing portfolio enables end-to-end solutions for the entire product lifecycle, including design, engineering, manufacturing, and fulfillment [7] Market Positioning - Sanmina is now better positioned to support a broad customer base in the Cloud and AI end-market, offering full systems integration at scale and enhancing its role as a trusted partner for mission-critical technologies [7]

Core Points - Sanmina Corporation will host its fourth quarter and fiscal year 2025 earnings conference call on November 3, 2025, at 5:00 p.m. ET [1] - The live webcast and supporting materials will be available on the Sanmina website, with a replay accessible after the event [2] - Sanmina is a leading integrated manufacturing solutions provider in the Electronics Manufacturing Services (EMS) market, serving various sectors including industrial, medical, defense, aerospace, automotive, communications networks, and cloud infrastructure [3]

Core Insights - Sanmina (SAMN) shares experienced an 8% decline during Tuesday's market session after a significant 23% increase on Monday, which was linked to an AI infrastructure deal between Advanced Micro Devices (AMD) and OpenAI [2] - The company is currently in the process of acquiring AMD's ZT Systems, indicating a strategic move to enhance its capabilities in the AI sector [2]

Core Insights - Chris Lau is an experienced investor and economist with 30 years in life science, technology, and dividend-growth income stocks [1] - He operates the DIY Value Investing group, focusing on undervalued stocks with catalysts for potential upside and dividend-income recommendations [1] Group 1: Flagship Products - Top DIY Picks feature undervalued stocks with upcoming catalysts that the market does not expect [2] - Dividend-income Champs include stocks with a long history of dividend growth, along with a printable calendar and quantitative scores [2] - DIY Community Picks are aimed at speculative allocations with positive momentum [2]

Company Overview - Sanmina (SANM) shares increased by 22.7% in the last trading session, closing at $140, with significantly higher trading volume compared to normal sessions. This follows a 5.7% decline over the past four weeks [1] - The company provides end-to-end solutions through a vertically integrated manufacturing process, managing all components in-house from initial phases to final products, which enhances operational flexibility and responsiveness [2] Growth Strategy - Sanmina focuses on expanding into high-growth industries, leveraging its strong global network and deep expertise in advanced electronics manufacturing. Building strong customer relationships through high-level service is a key strategy for commercial expansion [3] Financial Performance Expectations - The company is projected to report quarterly earnings of $1.57 per share, reflecting a year-over-year increase of 9.8%. Expected revenues are $2.05 billion, up 1.6% from the same quarter last year [4] - The consensus EPS estimate for Sanmina has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [5] Industry Context - Sanmina operates within the Zacks Electronics - Manufacturing Services industry, where Plexus (PLXS), another company in the same sector, closed 2.5% higher at $148.85, with a 4.5% return over the past month [5]