TipRanks
Flex Ltd (MX:FLEXN)
:FLEXN
Mexico Market
EarningsQ1 2027 Earnings Report

Flex (FLEXN) Q1 2027 Earnings Report

11 Followers

MX:FLEXN Q1 2027 EPS Results

Actual EPS$16.91
Consensus EPS$15.20
Beat/MissBeat by +$1.71
One Year Ago EPS$12.17

MX:FLEXN Q1 2027 Revenue Results

Actual Revenue$134.03B
Expected Revenue$127.27B
Beat/MissBeat by +$6.76B
YoY Revenue Growth+20.58%

Earnings Announcement Details

QuarterQ1 2027
Date07/29/2026
TimeBefore Open
Conference CallWednesday, July 29, 2026
MX:FLEXN Upcoming Earnings
Flex's next earnings date is estimated for October 28, 2026, based on past reporting schedules.

Q1 2027 Earnings Call Audio

MX:FLEXN Q1 2027 Earnings Call
0:00 / 0:00

Q1 2027 Earnings Slide Deck

Q1 2027 Earnings Call Summary

Q1 2027
Earnings Call Date:Jul 29, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call conveyed strong operational and financial momentum: double-digit total revenue growth (21% YoY), significant segment acceleration (CPI +35% YoY with ambitious FY growth guidance), margin expansion, record adjusted EPS, solid ITS and RMS performance, and on-track progress toward a tax-free spin-off and strategic partnerships. Offsetting considerations include modest free cash flow in the quarter due to one-time spin costs (FCF conversion guidance lowered to ~40%), inventory build, elevated CapEx to fund CPI capacity, and early-stage cooling commercialization which must scale. Overall, the positives — strong topline growth, margin expansion, visible CPI bookings, and strategic positioning for AI infrastructure — materially outweigh the near-term cash flow and execution-related headwinds.
Company Guidance
Flex provided full-year fiscal 2027 guidance calling for revenue of $33.7B–$35.2B (up ~23% at the midpoint), adjusted operating margin of 7.7%–8.2% (≈+80 bps at the midpoint), an adjusted tax rate of ~21%, adjusted EPS of $4.42–$4.74 (≈+39% at the midpoint), and CapEx of $1.5B–$1.6B, while updating expected free cash flow conversion to ~40% when spin costs are included (previously 60% excluding spin costs). For Q2 they guide revenue of $7.95B–$8.25B (≈+19% at the midpoint), adjusted operating income of $535M–$565M, interest/other ~ $58M, an adjusted tax rate ~21%, and adj EPS $1.00–$1.07 (≈+32% at the midpoint) on ~375M weighted shares. Segment outlook for FY27 is RMS up mid- to high-single digits, ITS up high-single to low-double digits, and CPI up 65%–75% (power > cloud); Q2 segment guides are RMS mid- to high-single, ITS high-single to low-double, and CPI +45%–55%. These targets follow a strong Q1: revenue $7.9B (+21% YoY), adjusted gross profit $761M (9.6% margin, +50 bps), adjusted operating profit $534M (6.7% margin, +70 bps), EPS $1.00 (+39%), segment Q1 revenues of RMS $2.7B (+12%), ITS $3.1B (+20%), CPI $2.2B (+35%), free cash flow $41M (including $24M one-time spin costs), inventory +10% sequential / +24% YoY (56 days net of advances), and net CapEx $235M (~3% of revenues).
Strong Revenue Growth and Record EPS
Q1 revenue of $7.9 billion, up 21% year-over-year; record adjusted EPS of $1.00, up 39% year-over-year.
Margin Expansion and Profitability
Adjusted gross margin improved to 9.6% (up 50 bps YoY). Adjusted operating profit of $534 million, up 35% YoY, with adjusted operating margin of 6.7% (up 70 bps YoY).
Cloud & Power Infrastructure (CPI) Acceleration
CPI revenue of $2.2 billion, up 35% YoY; adjusted operating margin 9.7% (up 20 bps YoY). Company guidance for CPI growth of roughly 65%–75% for FY27 (management referenced ~70% growth cadence) and Q2 CPI revenue growth guide of 45%–55% as new programs ramp; >90% of CPI business booked visibility for the next three quarters.
Strong Performance in Communications and Industrial
Integrated Technology Solutions (ITS) revenue $3.1 billion, up 20% YoY with margin improvement; Regulated Manufacturing Solutions (RMS) revenue $2.7 billion, up 12% YoY with adjusted operating margin up 130 bps YoY driven by industrial strength (warehouse automation, robotics, energy infrastructure).
Ambitious Fiscal 2027 Guidance
Full-year FY27 revenue guidance $33.7B–$35.2B (up ~23% at midpoint); adjusted operating margin guidance 7.7%–8.2% (~+80 bps at midpoint); adjusted EPS guidance $4.42–$4.74 (up ~39% at midpoint); CapEx guidance $1.5B–$1.6B.
Strategic Progress: Spin-off On Track and Corporate Recognition
Separation management office making strong progress; on track for tax-free spin-off in Q1 calendar 2027. Company was recently added to the S&P 500 and announced leadership teams for both standalone companies.
Product & Partnership Momentum
Expanded manufacturing partnership with Cerebras to scale the CS-3 AI accelerator; launched a new JetCool liquid-cooling solution and showcased next-generation power and infrastructure technologies at Computex; highlighted NVIDIA modular platform collaboration.
Market Positioning & Secular Tailwinds
Positioned at the intersection of AI, power, and cooling infrastructure with secular end-market exposure (AI/data centers, healthcare, robotics, warehouse automation). Management noted power growth rates above 70% for parts of the portfolio driven by acquisitions and product investments.

MX:FLEXN Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Oct 28, 2026
2027 (Q2)
17.89 / -
13.355―
2027 (Q1)
15.20 / 16.91
12.17238.89% (+4.73)
2026 (Q4)
14.78 / 15.72
12.34127.40% (+3.38)
2026 (Q3)
13.17 / 14.71
13.01712.99% (+1.69)
2026 (Q2)
12.75 / 13.36
10.81923.44% (+2.54)
2026 (Q1)
10.65 / 12.17
8.62241.18% (+3.55)
2025 (Q4)
11.75 / 12.34
9.63628.07% (+2.70)
2025 (Q3)
10.70 / 13.02
12.0038.45% (+1.01)
2025 (Q2)
9.64 / 10.82
8.36829.29% (+2.45)
2025 (Q1)
6.96 / 8.62
7.01622.89% (+1.61)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed