[Financial Performance Summary](index=1&type=section&id=Financial%20Performance%20Summary) Fabrinet's financial performance for fiscal year 2025 and its fourth quarter demonstrated strong growth across revenue, net income, and earnings per share, with positive guidance for Q1 FY2026 [Fourth Quarter Fiscal Year 2025 Performance](index=1&type=section&id=Fourth%20Quarter%20Fiscal%20Year%202025%20Performance) Fabrinet reported a record-breaking fourth quarter for fiscal year 2025, with revenue reaching $909.7 million, a significant increase from the previous year, and both GAAP and Non-GAAP net income and earnings per share saw substantial growth, exceeding company guidance and setting new all-time highs - CEO Seamus Grady highlighted the exceptional fourth quarter, which capped a remarkable year with strong momentum and record revenue of **$910 million**, exceeding guidance[2](index=2&type=chunk) Q4 FY2025 vs. Q4 FY2024 Financial Results | Metric | Q4 FY2025 | Q4 FY2024 | Change | | :--- | :--- | :--- | :--- | | **Revenue** | $909.7 million | $753.3 million | +20.8% | | **GAAP Net Income** | $87.2 million | $81.1 million | +7.5% | | **GAAP EPS (diluted)** | $2.42 | $2.22 | +9.0% | | **Non-GAAP Net Income** | $95.6 million | $88.0 million | +8.6% | | **Non-GAAP EPS (diluted)** | $2.65 | $2.41 | +10.0% | [Fiscal Year 2025 Performance](index=1&type=section&id=Fiscal%20Year%202025%20Performance) For the full fiscal year 2025, Fabrinet achieved record revenue of $3.42 billion, a 19% increase year-over-year, with net income and earnings per share on both a GAAP and Non-GAAP basis demonstrating strong growth compared to fiscal year 2024 - Full fiscal year 2025 revenue grew by **19%** year-over-year, reaching a record **$3.4 billion**[2](index=2&type=chunk) FY2025 vs. FY2024 Financial Results | Metric | FY2025 | FY2024 | Change | | :--- | :--- | :--- | :--- | | **Revenue** | $3.42 billion | $2.88 billion | +18.8% | | **GAAP Net Income** | $332.5 million | $296.2 million | +12.3% | | **GAAP EPS (diluted)** | $9.17 | $8.10 | +13.2% | | **Non-GAAP Net Income** | $368.8 million | $324.6 million | +13.6% | | **Non-GAAP EPS (diluted)** | $10.17 | $8.88 | +14.5% | [Business Outlook (Q1 FY2026)](index=1&type=section&id=Business%20Outlook%20(Q1%20FY2026)) Fabrinet issued strong guidance for the first quarter of fiscal year 2026, projecting continued growth with expected revenue between $910 million and $950 million and Non-GAAP earnings per diluted share anticipated in the range of $2.75 to $2.90 Q1 FY2026 Guidance | Metric | Guidance Range | | :--- | :--- | | **Revenue** | $910 million - $950 million | | **GAAP EPS (diluted)** | $2.48 - $2.63 | | **Non-GAAP EPS (diluted)** | $2.75 - $2.90 | | **Fully Diluted Shares** | ~36.1 million | - The company expresses optimism that favorable business trends will continue into the first quarter of fiscal 2026 and beyond[2](index=2&type=chunk)[9](index=9&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) Fabrinet's consolidated financial statements for fiscal year 2025 reflect significant asset growth driven by receivables and inventories, increased liabilities, and a shift in cash flow dynamics [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) As of June 27, 2025, Fabrinet's balance sheet shows significant growth in total assets to $2.83 billion from $2.34 billion in the prior year, driven by increases in cash and short-term investments, trade accounts receivable, and inventories, while total liabilities also increased, primarily due to a rise in trade accounts payable, and shareholders' equity grew to $1.98 billion Key Balance Sheet Items (as of June 27, 2025 vs. June 28, 2024) | Account | June 27, 2025 | June 28, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $2,428.8 million | $2,012.7 million | | **Total Assets** | $2,831.4 million | $2,338.5 million | | **Total Current Liabilities** | $809.8 million | $557.9 million | | **Total Liabilities** | $849.6 million | $592.8 million | | **Total Shareholders' Equity** | $1,981.8 million | $1,745.7 million | - Key drivers of asset growth include a significant increase in Trade accounts receivable (to **$758.9 million** from **$592.5 million**) and Inventories (to **$581.0 million** from **$463.2 million**)[16](index=16&type=chunk) [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For the fiscal year ended June 27, 2025, Fabrinet's revenues increased by 18.6% to $3.42 billion, gross profit grew to $413.3 million, although gross margin slightly decreased to 12.1% from 12.4%, operating income rose to $324.4 million, and net income increased to $332.5 million, resulting in a diluted EPS of $9.17 FY2025 vs. FY2024 Statement of Operations Highlights | Metric | FY2025 | FY2024 | | :--- | :--- | :--- | | **Revenues** | $3,419.3 million | $2,883.0 million | | **Gross Profit** | $413.3 million | $356.1 million | | **Operating Income** | $324.4 million | $277.6 million | | **Net Income** | $332.5 million | $296.2 million | | **Diluted EPS** | $9.17 | $8.10 | - Gross margin for FY2025 was **12.1%**, a slight decrease from **12.4%** in FY2024, while operating margin was **9.5%**, slightly down from **9.6%** in the prior year[17](index=17&type=chunk) [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For fiscal year 2025, net cash provided by operating activities was $328.4 million, a decrease from $413.1 million in the prior year, primarily due to significant increases in trade accounts receivable and inventories, while net cash used in investing activities increased to $286.3 million due to higher purchases of property, plant, and equipment, and financing activities used $147.0 million, largely for share repurchases, resulting in a net decrease in cash and cash equivalents FY2025 vs. FY2024 Cash Flow Summary | Cash Flow Activity | FY2025 | FY2024 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $328.4 million | $413.1 million | | **Net Cash used in Investing Activities** | ($286.3 million) | ($169.8 million) | | **Net Cash used in Financing Activities** | ($147.0 million) | ($64.9 million) | | **Net (Decrease) Increase in Cash** | ($104.9 million) | $178.5 million | | **Cash at End of Period** | $306.4 million | $409.9 million | - The decrease in operating cash flow was significantly impacted by changes in working capital, including a **$165.7 million** increase in trade accounts receivable and a **$117.8 million** increase in inventories[19](index=19&type=chunk) - The company significantly increased its repurchase of ordinary shares to **$125.7 million** in FY2025, up from **$39.5 million** in FY2024[19](index=19&type=chunk) [Reconciliation of GAAP to Non-GAAP Measures](index=9&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Measures) Fabrinet provides Non-GAAP financial measures to offer a clearer view of underlying operational performance by excluding specific non-recurring or non-cash items, aiding in historical comparisons and management decision-making [Non-GAAP Financial Measures Explanation](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20Explanation) Fabrinet provides Non-GAAP financial measures to supplement its GAAP results, believing they offer useful information for comparing historical performance and competitor results, and these measures exclude items such as share-based compensation, restructuring costs, and certain legal expenses to provide a clearer view of underlying operations - Non-GAAP measures are used to evaluate company performance, facilitate competitor comparisons, and for management's financial and operational decision-making[10](index=10&type=chunk) - Key exclusions from Non-GAAP calculations include share-based compensation, severance payments, restructuring costs, legal and litigation costs, and amortization of deferred debt issuance costs[11](index=11&type=chunk)[12](index=12&type=chunk) [Reconciliation of Key Metrics](index=9&type=section&id=Reconciliation%20of%20Key%20Metrics) For fiscal year 2025, Fabrinet's Non-GAAP operating profit was $360.7 million (10.5% margin) compared to a GAAP operating profit of $324.4 million (9.5% margin), with Non-GAAP net income reaching $368.8 million, or $10.17 per diluted share, after adjusting for $36.3 million in expenses, primarily share-based compensation, and Non-GAAP free cash flow for the year was $207.3 million FY2025 GAAP vs. Non-GAAP Reconciliation Summary | Metric | GAAP | Non-GAAP | Key Adjustments | | :--- | :--- | :--- | :--- | | **Gross Profit** | $413.3 million | $423.8 million | +$10.5 million Share-based comp. | | **Operating Profit** | $324.4 million | $360.7 million | +$33.0 million Share-based comp. | | **Net Income** | $332.5 million | $368.8 million | +$36.3 million various expenses | | **Diluted EPS** | $9.17 | $10.17 | +$1.00 | FY2025 Free Cash Flow Calculation | Metric | Amount | | :--- | :--- | | Net cash provided by operating activities | $328.4 million | | Less: Purchase of property, plant and equipment | ($121.1 million) | | **Non-GAAP free cash flow** | **$207.3 million** | [Supplementary Information](index=3&type=section&id=Supplementary%20Information) This section provides essential background on Fabrinet's business, outlines important forward-looking statement disclaimers, and details information for the upcoming financial results conference call [About Fabrinet](index=3&type=section&id=About%20Fabrinet) Fabrinet is a leading provider of advanced optical packaging and manufacturing services for original equipment manufacturers, specializing in complex products such as optical communication components, automotive components, medical devices, and industrial lasers, offering a wide range of capabilities from process design to final testing, and operates facilities in Thailand, the USA, China, and Israel - Fabrinet provides advanced optical packaging and precision manufacturing services for complex products[8](index=8&type=chunk) - Key markets served include optical communication, automotive, medical devices, industrial lasers, and sensors[8](index=8&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This report contains forward-looking statements, including the business outlook for the first quarter of fiscal 2026 and optimism about future business trends, which are subject to various risks and uncertainties, such as changes in economic conditions, supply chain disruptions, and customer demand, that could cause actual results to differ materially, and the company disclaims any obligation to update these statements - Forward-looking statements include the Q1 FY2026 financial guidance and optimism about continuing positive business trends[9](index=9&type=chunk) - Key risks that could affect results include global economic conditions, supply chain disruptions, customer demand fluctuations, and market competition[9](index=9&type=chunk) [Conference Call Information](index=3&type=section&id=Conference%20Call%20Information) Fabrinet will host a conference call to discuss its fourth quarter and fiscal year 2025 financial results on August 18, 2025, at 5:00 p.m. ET, with a live webcast and replay available on the company's investor relations website Conference Call Details | Item | Detail | | :--- | :--- | | **Event** | Q4 FY2025 Financial Results Call | | **Date** | August 18, 2025 | | **Time** | 5:00 p.m. ET | | **Access** | https://investor.fabrinet.com/events-and-presentations/events |

Core Insights - Fabrinet reported exceptional financial results for the fourth quarter and fiscal year 2025, achieving record quarterly revenue of $910 million and annual revenue of $3.4 billion, marking a 19% increase year-over-year [2][6][7]. Financial Highlights - Fourth quarter revenue was $909.7 million, up from $753.3 million in the same quarter of fiscal year 2024 [7]. - GAAP net income for the fourth quarter was $87.2 million, compared to $81.1 million in the fourth quarter of fiscal year 2024 [7]. - Non-GAAP net income for the fourth quarter was $95.6 million, compared to $88.0 million in the same quarter of the previous year [7]. - For fiscal year 2025, GAAP net income was $332.5 million, an increase from $296.2 million in fiscal year 2024 [7]. - Non-GAAP net income for fiscal year 2025 was $368.8 million, compared to $324.6 million in fiscal year 2024 [7]. Business Outlook - Fabrinet expects first quarter revenue for fiscal year 2026 to be in the range of $910 million to $950 million [5]. - The company remains optimistic about the growing demand across all areas of its business, anticipating favorable trends to continue into the first quarter and beyond [2][5]. Operational Performance - The company achieved a gross profit of $111.3 million for the fourth quarter, with a gross margin of 12.2% [27]. - Operating income for the fourth quarter was $89.1 million, reflecting an operating margin of 9.8% [28]. - The company reported a non-GAAP operating profit of $97.5 million for the fourth quarter, with a non-GAAP operating margin of 10.7% [28]. Cash Flow and Investments - Net cash provided by operating activities for fiscal year 2025 was $328.4 million, down from $413.1 million in fiscal year 2024 [31]. - Non-GAAP free cash flow for fiscal year 2025 was $207.3 million, compared to $365.6 million in the previous year [31].

Fabrinet FN will release financial results for the fourth quarter after the closing bell on Monday, Aug. 18.Analysts expect the George Town, the Cayman Islands-based company to report quarterly earnings at $2.63 per share, up from $2.41 per share in the year-ago period. Fabrinet projects to report quarterly revenue at $882.01 million, compared to $753.26 million a year earlier, according to data from Benzinga Pro.On May 5, Fabrinet posted better-than-expected third-quarter earnings.Fabrinet shares fell 4.5% ...

Core Insights - Jack Henry & Associates, Inc. (JKHY) is set to report its fourth-quarter fiscal 2025 results on August 19, with sales estimated at $602.6 million, reflecting a year-over-year growth of 7.6% [1][9] - The earnings consensus is projected at $1.46 per share, indicating a 5.8% increase from the previous year's quarter [1][9] - The company has consistently surpassed earnings estimates in the last four quarters, with an average surprise of 6.9% [2] Revenue Segments - The services and support category is expected to generate revenues of $340.4 million, marking a growth of 7.5% year-over-year [3] - The Core segment is projected to achieve revenues of $184.8 million, reflecting a 7.4% increase from the prior year, driven by migration to private cloud and growth in public cloud offerings [4] - The Payments segment is anticipated to report revenues of $224.9 million, indicating a year-over-year growth of 5.8%, supported by strong card transaction solutions and the expansion of faster payments infrastructure [5] - The Complementary segment is expected to see revenues of $172.4 million, representing an 11.1% increase from the previous year, driven by a diverse mix of solutions [6] Market Conditions - Ongoing tariff wars, geopolitical tensions, and macroeconomic pressures may have negatively impacted overall growth for JKHY in the upcoming quarter [6] - The company's current Earnings ESP is 0.00%, and it holds a Zacks Rank of 3, indicating a neutral outlook for earnings performance [7]

Core Insights - Analog Devices, Inc. (ADI) is set to report its third-quarter fiscal 2025 results on August 20, with expected revenues of approximately $2.75 billion, reflecting a 19.2% increase year-over-year [1][9] - The anticipated adjusted earnings per share (EPS) is $1.92, indicating a 22.2% rise from the previous year's quarter, with a slight upward revision in estimates over the past 60 days [2] Revenue and Earnings Expectations - ADI's revenue forecast of $2.75 billion is within a range of +/- $100 million, while the Zacks Consensus Estimate stands at $2.76 billion [1] - The consensus for adjusted EPS is $1.93, with ADI having consistently surpassed earnings estimates in the last four quarters, averaging a surprise of 5.6% [2] Factors Influencing Q3 Performance - The third-quarter performance is expected to benefit from inventory normalization across direct and distribution channels, alongside improved bookings and lean inventory levels following the semiconductor industry's cyclical downturn [3] - Secular growth trends in industrial automation, healthcare, surgical robotics, automotive, AI infrastructure, and high-end consumer devices are anticipated to drive revenue growth [4] Challenges and Market Conditions - Despite positive growth factors, ADI faces macroeconomic challenges such as tariff-related uncertainties, geopolitical tensions, and inflationary pressures that may impact performance [5] Earnings Prediction Model - The earnings prediction model indicates a strong likelihood of an earnings beat for ADI, supported by a positive Earnings ESP of +0.72% and a Zacks Rank of 3 [6]

Core Viewpoint - Coherent's stock dropped nearly 20% after the earnings report due to investor concerns over its data communication business share, although most institutions remain optimistic about the company's long-term prospects, maintaining or raising target prices and ratings [1]. Group 1: Financial Performance - Coherent's first-quarter revenue is expected to grow by 15% year-over-year, but this is significantly lower than Lumentum's 6% growth in its network business [1]. - B. Riley reported that the network business revenue increased by 5% quarter-over-quarter to $945 million, with the data communication segment growing by only 3%, down from 11% in the previous quarter [2]. - Stifel predicts that Coherent's adjusted gross margin will reach approximately 40.5% by fiscal year 2027 [3]. Group 2: Analyst Ratings and Target Prices - Needham raised its earnings per share forecast for fiscal year 2026 while lowering revenue expectations, maintaining a "Buy" rating with a target price of $120 [1]. - B. Riley upgraded its target price from $77 to $85 while maintaining a "Neutral" rating [2]. - Stifel raised its target price from $100 to $118, reiterating a "Buy" rating [3]. - Raymond James maintained a "Strong Buy" rating and increased its target price from $120 to $134, citing strong demand trends in data center and data communication interconnects [3]. Group 3: Operational Strategies - Coherent is enhancing its profit margins through cost reduction, sales expansion, and pricing optimization, exemplified by the $400 million sale of its aerospace and defense business to Advent International [2]. - The construction of a 6-inch wafer fab in Sherman, Texas, is expected to further improve profit margins as production begins in August [3].

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Summary: Fabrinet (FN) - Fabrinet currently holds a Momentum Style Score of B and a Zacks Rank of 2 (Buy), indicating strong potential for outperformance [2][3] - Over the past week, FN shares increased by 9.13%, significantly outperforming the Zacks Electronics - Miscellaneous Components industry, which rose by only 0.21% [5] - In a longer timeframe, FN shares have risen by 48.61% over the past quarter and 54.89% over the last year, while the S&P 500 only increased by 10.18% and 20.38%, respectively [6] - The average 20-day trading volume for FN is 500,202 shares, which is a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the last two months, one earnings estimate for FN has increased, while none have decreased, leading to a consensus estimate rise from $10.15 to $10.16 [9] - For the next fiscal year, one estimate has also moved upwards with no downward revisions, indicating positive earnings momentum [9] Conclusion - Given the strong performance metrics and positive earnings outlook, FN is positioned as a promising momentum pick for investors [11]

Core Viewpoint - Keysight Technologies, Inc. is expected to report third-quarter fiscal 2025 results on August 19, with anticipated revenue growth driven by various market strengths and collaborations [1][11]. Group 1: Revenue Expectations - Keysight is projected to report revenues of $1.31 billion for the third quarter, reflecting a year-over-year increase from $1.22 billion [7][11]. - The Communications Solutions Group segment is estimated to generate $909.4 million, indicating a 7.4% year-over-year growth [6]. - Revenues from the Electronic Industrial Solutions Group are expected to reach $401.3 million [6]. Group 2: Collaborations and Innovations - Keysight's collaboration with AMD involves the use of its solutions for testing electrical compliance for pre-production AMD server CPUs, enhancing demand for its products [3]. - The partnership with Synopsis aims to streamline the migration of analog and RF circuits to new process nodes, which is expected to accelerate time to market and increase demand for Keysight's solutions [4]. - Keysight's deployment of the Quantum Control System in Fujitsu's 256-qubit superconducting quantum computer and the delivery of a large commercial quantum control system to a Japanese institute highlight its advancements in Quantum Computing [5]. Group 3: Earnings Insights - The consensus estimate for adjusted earnings per share is $1.68, an increase from $1.57 reported a year ago [7][11]. - Keysight's Earnings ESP is 0.00%, indicating no definitive prediction for an earnings beat in the upcoming quarter [9].

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Key Takeaways Fabrinet (FN) stock has skyrocketed 95% since early April to trade at all-time highs heading into its fourth- quarter fiscal 2025 earnings release on Monday, August 18. FN helps big tech companies, including Nvidia, by making small, precision parts used across AI data centers, telecom, and beyond. Artificial intelligence powerhouse Nvidia is one of Fabrinet's largest clients, and it's growing its relationship with Amazon. The leading provider of advanced optical packaging tripled the Tech sect ...