Flex Reports Strong First Quarter Fiscal 2026 Results, Demonstrating Robust Growth and Operational Excellence
Milpitas, CA – July 24, 2025 – Flex (NASDAQ: FLEX), a leading global sketches design, engineering, manufacturing, and supply chain solutions provider, today announced its financial results for the first quarter of fiscal year 2026, which concluded on June 27, 2025. The company reported a period of significant growth and strong operational performance, exceeding expectations and underscoring its strategic vision and execution.
For the first quarter of fiscal 2026, Flex achieved net sales of $7.9 billion, representing a notable increase compared to the same period in the previous fiscal year. This growth was driven by strong demand across several key industry verticals, including the highly dynamic communications and enterprise solutions sector, as well as continued momentum in the automotive and industrial markets. The company’s diversified business model and broad customer base continue to be a source of resilience and expansion.
Gross margin for the quarter stood at 10.5%, a testament to Flex’s ongoing efforts in optimizing its operational efficiency and managing costs effectively. This improved margin reflects the company’s commitment to driving profitability alongside revenue growth.
Operating income for the first quarter was $473 million, translating to an operating margin of 6.0%. This healthy operating income highlights Flex’s ability to manage its business effectively and generate strong returns. Earnings per share (EPS) for the quarter came in at $0.48 on a diluted basis, surpassing analyst expectations and demonstrating the company’s enhanced earnings power.
“We are pleased to report a strong start to fiscal year 2026, with robust revenue growth and continued improvement in our profitability,” said Revathi Advaithi, CEO of Flex. “Our strategic focus on high-growth markets, coupled with our commitment to operational excellence and innovation, is clearly resonating with our customers and driving positive results. We are particularly encouraged by the performance in our communications and enterprise solutions and automotive segments, which are key areas of strategic investment for us.”
The company’s balance sheet remains strong, with cash and cash equivalents of $2.1 billion at the end of the quarter. Flex also continued to return value to its shareholders, repurchasing $50 million of its stock during the quarter as part of its ongoing share repurchase program.
Looking ahead, Flex provided updated guidance for the second quarter of fiscal year 2026, projecting net sales in the range of $8.0 billion to $8.2 billion. The company anticipates diluted EPS to be between $0.47 and $0.51. Management expressed confidence in their ability to navigate the evolving global economic landscape and continue to deliver value to stakeholders.
“As we move through fiscal year 2026, we remain focused on executing our strategy, expanding our capabilities in advanced manufacturing technologies, and strengthening our relationships with key customers,” added Advaithi. “We believe Flex is well-positioned to capitalize on the significant opportunities ahead, driven by global trends such as digitalization, the electrification of transportation, and advanced healthcare solutions.”
Flex’s first quarter fiscal 2026 results demonstrate a company on a solid growth trajectory, characterized by strategic market positioning, operational efficiency, and a commitment to shareholder value. The company’s ability to consistently deliver strong financial performance across its diverse portfolio reinforces its position as a leading partner for businesses seeking innovative and reliable manufacturing and supply chain solutions.
FLEX REPORTS FIRST QUARTER FISCAL 2026 RESULTS
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