Jabil (JBL) Q4 2026 Earnings Report

The call was strongly optimistic, supported by record fourth-quarter execution, broad fiscal 2027 revenue and earnings growth expectations, accelerating AI demand, committed business filling new capacity, improving margins, strong free cash flow and continued shareholder returns. The company also acknowledged inventory above target, constrained memory supply, ramp-related first-half margin pressure, a subdued communications market, seasonal effects and declines in Connected Living. Overall, the positive operating and financial trends significantly outweighed the stated challenges.

For Q1, Jabil anticipates Regulated Industries revenue of approximately $3.5 billion, up about 12% year-over-year; Intelligent Infrastructure revenue of approximately $6.3 billion, up about 63% year-over-year; and Intelligent Devices & Robotics revenue of approximately $1.2 billion, down about 10% year-over-year, with total company revenue in the range of $10.6 billion to $11.4 billion, GAAP operating income in the range of $481 million to $541 million, core operating income in the range of $592 million to $652 million, GAAP diluted earnings per share in the range of $2.78 to $3.18, core diluted earnings per share in the range of $3.80 to $4.20, net interest expense of approximately $95 million, full-year net interest expense in the range of $390 million to $400 million and a core tax rate of 20%; for fiscal 2027, Jabil expects Regulated Industries revenue of approximately $13.6 billion, up about 7%, including approximately $5 billion in automotive and transport revenue, up about 9%, approximately $5.6 billion in healthcare and packaging revenue, up about 6%, and approximately $3 billion in renewable and energy infrastructure revenue, up about 7%, while it expects to manufacture more than 700 million injectors and delivery pens, Intelligent Infrastructure revenue of approximately $25.6 billion, up about 43%, including approximately $4.2 billion in capital equipment revenue, up approximately 40%, approximately $17.5 billion in cloud and data center infrastructure revenue, up approximately 52%, and approximately $3.9 billion in networking and communications revenue, up approximately 15%, with AI-related revenue of approximately $22.1 billion, up 54%, or 50-plus percent year-on-year, and 6 customers in the segment expected to each generate more than $1 billion of revenue; Intelligent Devices & Robotics is expected at approximately $5.3 billion, down about 2%, including approximately $3 billion from Digital Commerce & Robotics, up approximately 11%, and approximately $2.3 billion from Connected Living, down about 15%; total fiscal 2027 revenue is expected to be approximately $44.5 billion, up about 24%, with core operating margin of 6.1%, an improvement of 30 basis points, core diluted earnings per share of $17.55, up about 34%, adjusted free cash flow of approximately $1.6 billion, net capital expenditures in the range of 1.5% to 2% of revenue, and free cash flow conversion above 100% over time, while returning 80% or more of adjusted free cash flow to shareholders over time.