Fabrinet ( (FN) ) has released its Q1 earnings. Here is a breakdown of the information Fabrinet presented to its investors.
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Fabrinet is a prominent provider of advanced optical packaging and precision manufacturing services, specializing in complex products for industries such as telecommunications, automotive, and medical devices. The company operates facilities in Thailand, the USA, China, and Israel, offering a comprehensive range of services from design to final assembly and testing.
In its latest earnings report for the first quarter of fiscal year 2026, Fabrinet announced record revenue and earnings per share, surpassing its guidance ranges. The company achieved a revenue of $978 million, driven by robust performance in the telecom sector and contributions from high-performance computing, despite a smaller-than-expected decline in datacom revenue.
Key financial highlights include a significant year-over-year increase in both GAAP and non-GAAP net income. GAAP net income rose to $95.9 million from $77.4 million, while non-GAAP net income increased to $105.3 million from $86.9 million. Earnings per share also saw a notable rise, with GAAP EPS at $2.66 and non-GAAP EPS at $2.92, reflecting strong operational execution and favorable market conditions.
Looking ahead, Fabrinet is optimistic about its growth trajectory, projecting second-quarter revenue between $1.05 billion and $1.10 billion. The company expects continued strong performance, with GAAP EPS anticipated to be between $2.91 and $3.06, and non-GAAP EPS between $3.15 and $3.30. This positive outlook is supported by multiple market tailwinds and strategic initiatives aimed at sustaining growth.
Fabrinet’s management remains confident in their ability to capitalize on emerging opportunities and maintain their competitive edge in the optical manufacturing sector, positioning the company for further success in the upcoming quarters.