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Jabil Posts First Quarter Results

Raises Fiscal 2026 Outlook

ST. PETERSBURG, Fla. – December 17, 2025 – Today, Jabil Inc. (NYSE: JBL), reported preliminary, unaudited financial results for its first quarter of fiscal year 2026.

First Quarter of Fiscal Year 2026 Highlights:

•Net revenue: $8.3 billion

•U.S. GAAP operating income: $283 million

•U.S. GAAP diluted earnings per share: $1.35

•Core operating income (Non-GAAP): $454 million

•Core diluted earnings per share (Non-GAAP): $2.85

“Fiscal 2026 is off to an excellent start, with Q1 performance ahead of expectations across revenue, core operating margins, and core EPS,” said CEO Mike Dastoor. “Our Intelligent Infrastructure segment remains a major growth engine, supported by accelerating demand across cloud, data center infrastructure, networking, and capital equipment. At the same time, both Regulated Industries and Connected Living & Digital Commerce are performing better than we anticipated coming into the year, giving us momentum across the entire portfolio. With this broad-based strength and improved visibility, we are raising our outlook for revenue, core margins, and core EPS for fiscal 2026, while maintaining our strong free cash flow expectations. As we look ahead, we will remain focused on driving profitable growth, expanding margins, delivering strong cash flow, and creating long-term value for our shareholders,” he added.

Second Quarter of Fiscal Year 2026 Outlook:


•Net revenue						$7.5 billion to $8.0 billion
•U.S. GAAP operating income						$312 million to $382 million
•U.S. GAAP diluted earnings per share						$1.70 to $2.19 per diluted share
•Core operating income (Non-GAAP)(1)						$375 million to $435 million
•Core diluted earnings per share (Non-GAAP)(1)						$2.27 to $2.67 per diluted share

(1)Core operating income and core diluted earnings per share exclude anticipated adjustments of $15 million for amortization of intangibles (or $0.13 per diluted share) and $23 million for stock-based compensation expense and related charges (or $0.21 per diluted share) and $25 million to $15 million (or $0.23 to $0.14 per diluted share) for restructuring, severance and related charges.

Fiscal Year 2026 Outlook:


•Net revenue						$32.4 billion
•Core operating margin (Non-GAAP)						5.7%
•Core diluted earnings per share (Non-GAAP)						$11.55 per diluted share
•Adjusted free cash flow (Non-GAAP)						$1.3+ billion

(Definitions: “U.S. GAAP” means U.S. generally accepted accounting principles. Jabil defines core operating income as U.S. GAAP operating income less amortization of intangibles, stock-based compensation expense and related charges, restructuring, severance and related charges, distressed customer charges, loss on disposal of subsidiaries, settlement of receivables and related charges, impairment of notes receivable and related charges, goodwill impairment charges, business interruption and impairment charges, net, (gain) loss from the divestiture of businesses, acquisition and divestiture related charges, plus other components of net periodic benefit cost. Jabil defines core earnings as core operating income, less loss on debt extinguishment, loss (gain) on securities, other components of net periodic benefit cost, income (loss) from discontinued operations, gain (loss)

on sale of discontinued operations and certain other expenses, net of tax and certain deferred tax valuation allowance charges. Jabil defines core diluted earnings per share as core earnings divided by the weighted average number of outstanding diluted shares as determined under U.S. GAAP. Jabil defines adjusted free cash flow as net cash provided by (used in) operating activities less net capital expenditures (acquisition of property, plant and equipment less proceeds and advances from sale of property, plant and equipment). Jabil reports core operating income, core earnings, core diluted earnings per share and adjusted free cash flow to provide investors an additional method for assessing operating income, earnings, diluted earnings per share and free cash flow from what it believes are its core manufacturing operations. See the accompanying reconciliation of Jabil’s core operating income to its U.S. GAAP operating income, its calculation of core earnings and core diluted earnings per share to its U.S. GAAP net income and U.S. GAAP earnings per share and additional information in the supplemental information.)

Forward Looking Statements: This release contains forward-looking statements, including those regarding our anticipated financial results for our first quarter of fiscal year 2026 and our guidance for future financial performance in our second quarter of fiscal year 2026 (including, net revenue, U.S. GAAP operating income, U.S. GAAP diluted earnings per share, core operating income (Non-GAAP), core diluted earnings per share (Non-GAAP) results and the components thereof, including but not limited to amortization of intangibles, stock-based compensation expense and related charges and restructuring, severance and related charges); and our full year 2026 (including net revenue, core operating margin (Non-GAAP), core diluted earnings per share (Non-GAAP), the components thereof and adjusted free cash flow (Non-GAAP)). The statements in this release are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes and results to differ materially from our current expectations. Such factors include, but are not limited to: the occurrence of any event, change or other circumstance that could affect the anticipated closing date for the acquisition of the Hanley Energy Group or disruption from the transaction, including unexpected costs; our determination as we finalize our financial results for our first quarter of fiscal year 2026 that our financial results and conditions differ from our current preliminary unaudited numbers set forth herein; scheduling production, managing growth and capital expenditures and maximizing the efficiency of our manufacturing capacity effectively; managing rapid declines or increases in customer demand and other related customer challenges that may occur; our dependence on a limited number of customers; our ability to purchase components efficiently and reliance on a limited number of suppliers for critical components; risks arising from relationships with emerging companies; changes in technology and competition in our industry; our ability to introduce new business models or programs requiring implementation of new competencies; competition; transportation issues; our ability to maintain our engineering, technological and manufacturing expertise; retaining key personnel; risks associated with international sales and operations, including geopolitical uncertainties; energy price increases or shortages; our ability to achieve expected profitability from acquisitions; risk arising from our restructuring activities; issues involving our information systems, including security issues; regulatory risks (including the expense of complying, or failing to comply, with applicable regulations; risk arising from design or manufacturing defects; risk arising from compliance, or failure to comply, with environmental, health and safety laws or regulations; risk arising from litigation; and intellectual property risk); financial risks (including customers or suppliers who become financially troubled; turmoil in financial markets; tax risks; credit rating risks; risks of exposure to debt; currency fluctuations; and asset impairment); changes in financial accounting standards or policies; risk of natural disaster, climate change or other global events; and risks arising from expectations relating to environmental, social and governance considerations. Additional factors that could cause such differences can be found in our Annual Report on Form 10-K for the fiscal year ended August 31, 2025 and our other filings with the Securities and Exchange Commission. We assume no obligation to update these forward-looking statements.

Supplemental Information Regarding Non-GAAP Financial Measures: Jabil provides supplemental, non-GAAP financial measures in this release to facilitate evaluation of Jabil’s core operating performance. These non-GAAP measures exclude certain amounts that are included in the most directly comparable U.S. GAAP measures, do not have standard meanings and may vary from the non-GAAP financial measures used by other companies. Management believes these “core” financial measures are useful measures that facilitate evaluation of the past and future performance of Jabil’s ongoing operations on a comparable basis.

Jabil reports core operating income, core earnings, core diluted earnings per share and adjusted free cash flows to provide investors an additional method for assessing operating income, earnings, earnings per share and free cash flow from what it believes are its core manufacturing operations. Among other uses, management uses non-GAAP financial measures to make operating decisions, assess business performance and as a factor in determining certain employee performance when determining incentive compensation.

The Company determines an annual normalized tax rate (“normalized core tax rate”) for the computation of the non-GAAP (core) income tax provision to provide better consistency across reporting periods. In estimating the normalized core tax rate annually, the Company utilizes a full-year financial projection of core earnings that considers the mix of earnings across tax jurisdictions, existing tax positions, and other significant tax matters. The Company may adjust the normalized core tax rate during the year for material impacts from new tax legislation or material changes to the Company’s operations.

Detailed definitions of certain of the core financial measures are included above under “Definitions” and a reconciliation of the disclosed core financial measures to the most directly comparable U.S. GAAP financial measures is included under the heading “Supplemental Data” at the end of this release.

Meeting and Replay Information: Jabil will hold a conference call today at 8:30 a.m. ET to discuss its earnings for the first quarter of fiscal year 2026. To access the live audio webcast and view the accompanying slide presentation, visit the Investor Relations section of Jabil’s website, located at https://investors.jabil.com. An archived replay of the webcast will also be available after completion of the call.

About Jabil: At Jabil (NYSE: JBL), we are proud to be a trusted partner for the world’s top brands, offering comprehensive engineering, supply chain, and manufacturing solutions. With over 50 years of experience across industries and a vast network of over 100 sites worldwide, Jabil combines global reach with local expertise to deliver both scalable and customized solutions. Our commitment extends beyond business success as we strive to build sustainable processes that minimize environmental impact and foster vibrant and diverse communities around the globe. Discover more at www.jabil.com.

Senior Vice President, Investor Relations and Corporate Affairs

Adam_Berry@jabil.com

Senior Director, Enterprise Marketing and Communications

publicrelations@jabil.com

JABIL INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS


	November 30, 2025
	(unaudited)		August 31, 2025
ASSETS
Current assets:
Cash and cash equivalents	$	1,572	$	1,933
Accounts receivable, net	4,421		4,039
Contract assets	1,178		1,057
Inventories, net	4,681		4,681
Prepaid expenses and other current assets	2,532		2,010

Total current assets	14,384		13,720
Property, plant and equipment, net	2,831		2,847
Operating lease right-of-use assets	461		462
Goodwill and intangible assets, net	1,184		1,114
Deferred income taxes	147		141
Other assets	269		259

Total assets	$	19,276	$	18,543
LIABILITIES AND EQUITY
Current liabilities:
Current installments of notes payable and long-term debt	$	500	$	499
Accounts payable	8,418		7,937
Accrued expenses	5,534		5,185
Current operating lease liabilities	96		93

Total current liabilities	14,548		13,714
Notes payable and long-term debt, less current installments	2,387		2,386
Other liabilities	377		345
Non-current operating lease liabilities	385		388
Income tax liabilities	128		113
Deferred income taxes	104		80

Total liabilities	17,929		17,026
Commitments and contingencies
Equity:
Jabil Inc. stockholders’ equity:
Preferred stock	—		—
Common stock	—		—
Additional paid-in capital	3,108		3,047
Retained earnings	6,519		6,382
Accumulated other comprehensive loss	(22)		(17)
Treasury stock, at cost	(8,261)		(7,899)
Total Jabil Inc. stockholders’ equity	1,344		1,513
Noncontrolling interests	3		4
Total equity	1,347		1,517
Total liabilities and equity	$	19,276	$	18,543

JABIL INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in millions, except for per share data)


	Three months ended
		November 30, 2025		November 30, 2024
Net revenue		$	8,305	$	6,994
Cost of revenue		7,563		6,388
Gross profit		742		606
Operating expenses:
Selling, general and administrative		344		305
Research and development		7		8
Amortization of intangibles		19		13
Restructuring, severance and related charges		76		83
Gain from the divestiture of businesses		(2)		—
Acquisition and divestiture related charges		15		—
Operating income		283		197


Interest and other, net		63		58
Income before income tax		220		139
Income tax expense		74		39
Net income		146		100
Net income attributable to noncontrolling interests, net of tax		—		—
Net income attributable to Jabil Inc.		$	146	$	100
Earnings per share attributable to the stockholders of Jabil Inc.:
Basic		$	1.37	$	0.89
Diluted		$	1.35	$	0.88
Weighted average shares outstanding:
Basic		107.0		112.7
Diluted		108.3		114.0

JABIL INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS


	Three months ended
	November 30, 2025		November 30, 2024
Cash flows provided by operating activities:
Net income	$	146	$	100
Depreciation, amortization, and other, net	267		182








Change in operating assets and liabilities, exclusive of net assets acquired	(90)		30






Net cash provided by operating activities	323		312
Cash flows used in investing activities:
Acquisition of property, plant and equipment	(95)		(97)
Proceeds and advances from sale of property, plant and equipment	44		11
Cash paid for business and intangible asset acquisitions, net of cash	(124)		(63)




Other, net	(5)		13
Net cash used in investing activities	(180)		(136)
Cash flows used in financing activities:
Borrowings under debt agreements	200		100
Payments toward debt agreements	(328)		(130)
Payments to acquire treasury stock	(300)		(232)
Dividends paid to stockholders	(10)		(10)

Treasury stock minimum tax withholding related to vesting of restricted stock	(65)		(40)

Net cash used in financing activities	(503)		(312)
Effect of exchange rate changes on cash and cash equivalents	(1)		(7)
Net decrease in cash and cash equivalents	(361)		(143)
Cash and cash equivalents at beginning of period	1,933		2,201
Cash and cash equivalents at end of period	$	1,572	$	2,058

JABIL INC. AND SUBSIDIARIES

RECONCILIATION OF U.S. GAAP FINANCIAL RESULTS TO NON-GAAP MEASURES

(in millions, except for per share data)


	Three months ended
		November 30, 2025		November 30, 2024
Operating income (U.S. GAAP)		$	283	$	197
Amortization of intangibles		19		13
Stock-based compensation expense and related charges		63		44
Restructuring, severance and related charges(1)		76		83

Net periodic benefit cost		—		1

Business interruption and impairment charges, net(2)		—		9

Gain from the divestiture of businesses		(2)		—
Acquisition and divestiture related charges(3)		15		—
Adjustments to operating income		171		150
Core operating income (Non-GAAP)		$	454	$	347
Net income attributable to Jabil Inc. (U.S. GAAP)		$	146	$	100
Adjustments to operating income		171		150


Net periodic benefit cost		—		(1)
Adjustments for taxes		(8)		(21)
Core earnings (Non-GAAP)		$	309	$	228

Diluted earnings per share (U.S. GAAP)		$	1.35	$	0.88

Diluted core earnings per share (Non-GAAP)		$	2.85	$	2.00

Diluted weighted average shares outstanding (U.S. GAAP and Non-GAAP)		108.3		114.0

(1)Charges recorded during the three months ended November 30, 2025, relate to targeted restructuring activities to optimize our cost structure and improve operational efficiencies. Charges recorded during the three months ended November 30, 2024, primarily related to the 2025 Restructuring Plan.

(2)Charges recorded during the three months ended November 30, 2024, related primarily to costs associated with damage from Hurricanes Helene and Milton, which impacted our operations in St. Petersburg, Florida and Asheville and Hendersonville, North Carolina.

(3)Charges recorded during the three months ended November 30, 2025, include $3 million of losses on forward foreign exchange contracts in anticipation of the acquisition of Hanley Energy Group.

JABIL INC. AND SUBSIDIARIES

ADJUSTED FREE CASH FLOW


	Three months ended
	November 30, 2025		November 30, 2024
Net cash provided by operating activities (U.S. GAAP)	$	323	$	312

Acquisition of property, plant and equipment (“PP&E”)	(95)		(97)
Proceeds and advances from sale of PP&E	44		11
Adjusted free cash flow (Non-GAAP)	$	272	$	226