Jabil (JBL, $68.33) beats fiscal Q1 earnings expectations; boosts 2023 forecast

Jabil posted its first quarter earnings that exceeded analysts’ expectations, and also raised its full-year outlook on expectations of strong demand.

The manufacturing services company’s adjusted EPS came in at $2.31 for the three months through Nov. 30, topping the Street's expectations of $2.24.

Revenue rose to $9.64 billion, from $8.57 billion in the year-ago quarter, and beating the Street's forecast of $9.29 billion. The diversified manufacturing segment revenue grew +8% to $5.1 billion, while the electronics business climbed +18% to $4.5 billion.

Jabil expects adjusted profit of $8.40 a share for fiscal 2023, an upward revision of +$0.25 from its prior guidance, and higher than consensus forecast of $8.27 (based on Capital IQ data, as reported in MT NewsWires). The manufacturing services company also reaffirmed its revenue outlook of $34.5 billion.

Demand across most end markets remains "extremely resilient," and continues to benefit from "strong secular tailwinds," Chief Financial Officer Michael Dastoor mentioned in an earnings call, (according to a Capital IQ transcript).

"We feel the outlook for our business is solid and expect demand across many of our end markets to remain strong with year-over-year revenue growth at an enterprise level to be approximately 3% for (fiscal 2023) despite an assumed economic slowdown in the second half of the fiscal year." Dastoor added.  Automotive revenue growth is on track to be more than 40%, and health care and industrial businesses are expected to grow in double-digits, alongwith strong gains in 5G wireless, as indicated by Dastoor.

Notable companies

Industry description

Market Cap

High and low price notable news

Volume