• Reported internet gross sales up 4%, on the govern finish of our steering.
• Elevating full-year internet gross sales, adjusted working margin and altered EPS steering because of sturdy information heart call for in our Energy and Cloud companies and persisted disciplined execution.
• Delivered GAAP working margin of four.4%, and altered working margin of 6.0% marking the fourth consecutive quarter at or above an adjusted working margin of 6%.
• Reported GAAP EPS of $0.52, which incorporates $41M, or $0.11, of prices related to the prior to now introduced missile hit injury at our Ukraine facility, and Adjusted EPS of $0.79, a report adjusted EPS quantity.

AUSTIN, Texas, Oct. 29, 2025 /PRNewswire/ — Flex (NASDAQ: FLEX) these days introduced effects for its 2nd quarter ended September 26, 2025.

Revathi Advaithi, CEO of Flex, said: “We achieved a record Q2, and we continue to execute with discipline and deliver value for customers across business segments. As we continue to shift our portfolio toward higher margin businesses, we remain confident in our data center position and ability to offer complete, integrated solutions to the world’s leading technology companies as they navigate the AI era.”

2d Quarter Fiscal Month 2026 GAAP Abstract:

• Web Gross sales: $6.8 billion
• GAAP Working Source of revenue: $296 million
• GAAP Web Source of revenue: $199 million
• GAAP Profits According to Percentage: $0.52
• Money supplied via Working Actions: $453 million

2d Quarter Fiscal Month 2026 Non-GAAP Abstract:

• Adjusted Working Source of revenue: $409 million
• Adjusted Web Source of revenue: $300 million
• Adjusted Profits According to Percentage: $0.79
• Detached Money Stream: $305 million

A proof and reconciliation of GAAP monetary measures to non-GAAP monetary measures is gifted in Schedules II and V hooked up to this press shed.

3rd Quarter Fiscal 2026 Steerage

• Web Gross sales: $6.65 billion to $6.95 billion
• Adjusted Working Source of revenue: $405 million to $435 million*
• Adjusted EPS: $0.74 to $0.80*
• Hobby & Alternative: roughly $54 million
• Adjusted source of revenue tax price: 21%*
• Weighted reasonable stocks remarkable: 377 million

Fiscal Month 2026 Steerage Up to date

• Web Gross sales: $26.7 billion to $27.3 billion
• Adjusted Working Margin: between 6.2% and six.3%*
• Adjusted EPS: $3.09 to $3.17*
• Hobby & Alternative: roughly $180 million to $190 million

*This can be a forward-looking non-GAAP monetary measure that can’t be reconciled to its similar GAAP monetary measure with out unreasonable struggle for the explanations all set forth in Agenda V hooked up to this press shed.

Webcast and Convention Name

The Flex control group will host a convention name these days at 7:30 AM (CT) / 8:30 AM (ET), to check 2nd quarter fiscal 2026 effects. A reside webcast of the development and slides will likely be to be had at the Flex Investor Family members site at http://investors.flex.com. An audio replay and transcript can be to be had later the development at the Flex Investor Family members site.

About Flex

Flex (Reg. Disagree. 199002645H) is the producing spouse of selection that is helping well-known manufacturers design, manufacture, and govern merchandise that enhance the arena. With a world footprint spanning 30 nations, Flex delivers complex production and provide chain answers, cutting edge merchandise and generation, and lifecycle products and services that backup shoppers from thought to scale. Within the AI month, Flex helps shoppers boost up information heart deployment via fixing energy, warmth, and scale demanding situations thru state-of-the-art energy and cooling generation and scalable IT infrastructure answers.

Contacts

Traders & Analysts
Michelle Simmons
Senior Vice President, International Investor Family members and People Family members
(669) 242-6332
[email protected]

Media & Press
[email protected]

Ahead-Having a look Statements

This press shed accommodates forward-looking statements inside the that means of U.S. securities rules, together with statements connected to our occasion monetary effects and our steering for occasion monetary efficiency (together with anticipated revenues, working source of revenue, margins and income in step with proportion). Those forward-looking statements are in line with new expectancies, forecasts and suppositions involving dangers and uncertainties that might motive the untouched results and effects to range materially from the ones expected via those forward-looking statements. Readers are cautioned to not playground undue reliance on those forward-looking statements. Those dangers come with: that we would possibly not succeed in our anticipated occasion working effects; the consequences that the new and occasion macroeconomic surrounding, together with inflationary pressures, foreign money volatility, stagflation, slower economic expansion or recession, and top or emerging rates of interest, can have on our trade and insist for our merchandise; geopolitical uncertainties and dangers, together with affects from business conflicts, the termination and renegotiation of world business promises and business insurance policies, an additional escalation of sanctions, price lists or alternative business tensions between the U.S. and China or alternative nations, or the continuing conflicts between Russia and Ukraine and within the Center East, any of which might top to disruption, instability, and volatility in international markets and negatively affect our operations and fiscal efficiency; provide chain disruptions, together with the ones involving providers who’re sole or number one resources, logistical constraints, production interruptions or delays, or the failure to correctly forecast visitor call for; the affect of fluctuations within the pricing or availability of uncooked fabrics and elements, together with semiconductors, hard work and effort; our dependence on industries that frequently form technologically complex merchandise with quick product week cycles; the non permanent nature of our shoppers’ constancy and speedy adjustments in call for might motive provide chain problems, abundance and out of date stock and alternative problems which adversely have an effect on our working effects; our dependence on a petite collection of shoppers; our trade is terribly aggressive; that the predicted earnings and margins from lately introduced techniques might not be discovered; the demanding situations of successfully managing our operations, together with our skill to keep an eye on prices and govern adjustments in our operations; the likelihood that advantages of our restructuring movements would possibly not materialize as anticipated; a breach of our IT or bodily safety methods, or violation of information privateness rules, might motive us to incur vital criminal and fiscal publicity and adversely have an effect on our operations; dangers related to acquisitions and divestitures, together with the likelihood that we would possibly not absolutely notice their projected advantages; hiring and protecting key body of workers; that fresh adjustments or occasion adjustments in tax rules in positive jurisdictions the place we perform may just materially affect our tax expense; litigation and regulatory investigations and complaints; dangers connected to the spin-off of Nextracker, and the transactions connected thereto, together with the qualification of those transactions for his or her supposed tax remedy; the affect and results on our trade, result of operations and fiscal situation of union disputes or alternative hard work disruptions in addition to unexpected or fatal occasions; the consequences that new and occasion credit score and marketplace statuses can have at the liquidity and fiscal situation of our shoppers and providers, together with any affect on their skill to fulfill their contractual tasks to us and our skill to go thru prices to our shoppers; the luck of positive of our actions relies on our skill to offer protection to our highbrow quality rights and we is also uncovered to claims of infringement, waste or breach of license promises; bodily and operational dangers from herbal screw ups, horrific climate occasions, or surrounding exchange; we is also uncovered to product legal responsibility and product guaranty legal responsibility; we is also uncovered to financially stricken shoppers or providers; our compliance with criminal and regulatory necessities; adjustments in rules, laws, or insurance policies that can affect our trade, together with the ones connected to business coverage and price lists and surrounding exchange; our skill to meet sustainability, together with environmental, social and governance, expectancies or requirements or succeed in sustainability targets.

Alternative knowledge regarding those and alternative dangers is described underneath “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our most up-to-date Annual Document on Method 10-Okay and in our next filings with the U.S. Securities and Change Fee. Flex assumes deny legal responsibility to replace any forward-looking statements, which talk most effective as of the month they’re made.

SCHEDULE V

FLEX AND SUBSIDIARIES
NOTES TO SCHEDULES I and II

To complement Flex’s unaudited decided on monetary information offered in step with U.S. In most cases Approved Accounting Ideas (“GAAP”), the Corporate discloses positive non-GAAP monetary measures that exclude positive fees and features, together with non-GAAP working source of revenue, non-GAAP internet source of revenue and non-GAAP internet source of revenue in step with diluted proportion. Those supplemental measures exclude positive criminal and alternative fees, restructuring fees, customer-related asset impairments (cures), stock-based reimbursement expense, intangible amortization, alternative discrete occasions as acceptable and the connected tax results. Those non-GAAP measures don’t seem to be in response to or an extra for GAAP and is also other from non-GAAP measures old via alternative firms. We imagine that those non-GAAP measures have barriers in that they don’t replicate all the quantities related to Flex’s result of operations as ambitious in response to GAAP and that those measures will have to most effective be old to guage Flex’s result of operations along with the corresponding GAAP measures. The presentation of this spare knowledge isn’t supposed to be thought to be in isolation or as an alternative choice to essentially the most immediately similar GAAP measures. We atone for the restrictions of non-GAAP monetary measures via depending upon GAAP effects to achieve a whole image of the Corporate’s efficiency.

In calculating non-GAAP monetary measures, we exclude positive pieces to facilitate a overview of the comparison of the Corporate’s working efficiency on a period-to-period foundation as a result of such pieces don’t seem to be, in our view, connected to the Corporate’s ongoing operational efficiency. We significance non-GAAP measures to guage the working efficiency of our trade, for comparability with forecasts and strategic plans, for calculating go back on funding, and for benchmarking efficiency externally towards competition. As well as, control’s incentive reimbursement is ambitious the use of positive non-GAAP measures. Additionally, when comparing attainable acquisitions, we exclude positive pieces described under from attention of the objective’s efficiency and valuation. Since we discover those measures to be helpful, we imagine that traders get pleasure from visible effects “through the eyes” of control along with visible GAAP effects. We imagine that those non-GAAP measures, when learn along with the Corporate’s GAAP financials, lend helpful knowledge to traders via providing:

• the power to put together extra significant period-to-period comparisons of the Corporate’s ongoing working effects;
• the power to raised determine traits within the Corporate’s underlying trade and carry out connected development research;
• a greater figuring out of ways control plans and measures the Corporate’s underlying trade; and
• an more uncomplicated method to examine the Corporate’s working effects towards analyst monetary fashions and working result of competition that complement their GAAP effects with non-GAAP monetary measures.

We provide ahead‑browsing non‑GAAP monetary measures in our 3rd quarter and entire 12 months fiscal 2026 steering, together with adjusted working source of revenue, adjusted working margin, adjusted source of revenue tax price, and altered EPS. We don’t lend a reconciliation of those measures to essentially the most immediately similar GAAP measures for the reason that knowledge essential to take action isn’t to be had with out unreasonable struggle because of the inherent variability, complexity, and hesitation in forecasting positive pieces required for one of these reconciliation. These things might come with restructuring fees and impairment fees, amongst others. The tips this is unavailable may well be subject material and may just considerably have an effect on our GAAP effects.

Refer to are explanations of each and every of the changes that we incorporate into non-GAAP measures, in addition to the explanations for except for each and every of those particular person pieces within the reconciliations of those non-GAAP monetary measures:

Book-based reimbursement expense is composed of non-cash fees for the estimated honest worth of unvested limited proportion gadgets granted to staff and assumed in trade acquisitions. The Corporate believes that the exclusion of those fees supplies for extra correct comparisons of its working effects to see firms because of the various to be had valuation methodologies, subjective suppositions and the number of award varieties. As well as, the Corporate believes it comes in handy to traders to know the particular affect stock-based reimbursement expense has on its working effects.

Intangible amortization is composed essentially of non-cash fees that may be impacted via, amongst alternative issues, the timing and magnitude of acquisitions. The Corporate considers its working effects with out those fees when comparing its ongoing efficiency and forecasting its income traits, and subsequently excludes such fees when presenting non-GAAP monetary measures. The Corporate believes that the evaluate of its operations except for those prices is related to its evaluate of interior operations and comparisons to the efficiency of its competition.

Restructuring and impairment fees come with severance fees at present websites and company SG&A purposes in addition to asset impairment, and alternative fees connected to the closures and consolidations of positive working websites and focused actions to restructure the trade. Those prices additionally come with asset impairment fees connected to belongings considerably impacted via the geopolitical occasions at the foundation of control’s best possible estimate of the recoverable worth of belongings.  Those prices might range in dimension in line with the Corporate’s tasks, don’t seem to be immediately connected to ongoing or core trade effects, and don’t replicate anticipated occasion working bills. Those prices are excluded via the Corporate’s control in assessing new working efficiency and forecasting its income traits and are subsequently excluded via the Corporate from its non-GAAP measures.

Throughout the 3 and six-month classes ended September 26, 2025, the Corporate known roughly $10 million and $33 million of restructuring fees, respectively, maximum of which connected to worker severance. Throughout the 3 and six-month classes ended September 27, 2024, the Corporate known $17 million and $42 million of restructuring fees, respectively, maximum of which connected to worker severance.

Throughout the 3 and six-month era ended September 26, 2025, the Corporate known $41 million in asset impairments, stock write-downs and alternative fees on account of an August 21, 2025 missile hit at the Corporate’s Mukachevo, Ukraine operations positioned in Western Ukraine. The August 21, 2025 missile hit represents an abnormal and rare match as hostilities connected to the Russian invasion of Ukraine were essentially targeted in Jap Ukraine. The missile hit brought about really extensive wreck, disrupted Mukachevo’s commonplace operations and Flex initiated contingency production plans at extra production amenities. The Corporate expects spare immaterial near-term inefficiencies as Mukachevo’s operations are restored.

Prison and alternative consist essentially of prices indirectly connected to core trade effects and might come with issues on the subject of business disputes, govt regulatory and compliance, highbrow quality, antitrust, tax, operate or shareholder problems, product legal responsibility claims and alternative problems on a world foundation in addition to acquisition connected prices and asset impairment. Those prices are excluded via the Corporate’s control in assessing new working efficiency and forecasting its income traits and are subsequently excluded via the Corporate from its non-GAAP measures. Throughout the 3 and six-month classes ended September 26, 2025, the Corporate incurred roughly $9 million and $15 million, respectively, connected to acquisition prices. Disagree such prices had been incurred within the first part of fiscal 12 months 2025.

Fairness in losses of unconsolidated associates is composed of diverse alternative kinds of pieces that don’t seem to be immediately connected to ongoing or core trade effects, reminiscent of vital features or losses related to positive non-core investments. The Corporate excludes this stuff as a result of they aren’t connected to the Corporate’s ongoing working efficiency or don’t have an effect on core operations. Except those quantities supplies traders with a foundation to match Corporate efficiency towards the efficiency of alternative firms with out this variability. Throughout the 3 and six-month classes ended September 26, 2025, the Corporate known roughly $8 million and $25 million, respectively, of fairness in losses from a discounted valuation of a undeniable non-core funding charity. Disagree such match happened within the first part of fiscal 12 months 2025.

Hobby and alternative, internet encompass diverse alternative kinds of pieces that don’t seem to be immediately connected to ongoing or core trade effects, such because the acquire or losses connected to positive divestitures, foreign money translation secure write-offs upon liquidation of positive criminal entities, debt extinguishment prices and impairment fees or features related to positive non-core investments. The Corporate excludes this stuff as a result of they aren’t connected to the Corporate’s ongoing working efficiency or don’t have an effect on core operations. Except those quantities supplies traders with a foundation to match Corporate efficiency towards the efficiency of alternative firms with out this variability.

Changes for taxes pertains to the tax results of the diverse changes that we incorporate into non-GAAP measures to deliver to lend a extra significant measure on non-GAAP internet source of revenue and likely changes connected to non-recurring settlements of tax contingencies or alternative non-recurring tax fees, when acceptable. Efficient in fiscal 12 months 2026, the Corporate followed an annual normalized tax price resulting in figuring out the tax impact of non-GAAP changes. In estimating the normalized tax price, the Corporate makes use of a full-year projection of income that considers the combo of income throughout tax jurisdictions, present tax positions and alternative vital tax issues.

Throughout the 3 and six-month classes ended September 26, 2025, the Corporate known a $17 million and $36 million internet tax receive advantages, respectively, and all the way through the 3 and six-month classes ended September 27, 2024, the Corporate known a $19 million and $20 million internet tax receive advantages, respectively, connected to the tax results of diverse changes which are included into non-GAAP measures on restructuring and alternative.

Detached coins wave is an notable liquidity metric as it measures, all the way through a given era, the amount of money generated this is to be had to pay off debt tasks, put together investments, charity acquisitions, repurchase corporate stocks and for positive alternative actions. The Corporate’s sovereign coins wave is outlined as coins flows from working actions, much less internet purchases of quality and kit and proceeds from the disposition of quality and kit (“net capital expenditures”), permitting us to offer sovereign coins wave on a constant foundation for traders.

Throughout the 3 and six-month classes ended September 26, 2025, the Corporate known $305 million and $573 million of sovereign coins influx, respectively. Throughout the 3 and six-month classes ended September 27, 2024, the Corporate known $219 million and $451 million of sovereign coins influx, respectively. Detached coins wave isn’t a measure of liquidity underneath U.S. GAAP, and might not be outlined and calculated via alternative firms in the similar approach.

SOURCE Flex