Wed, May 21, 8:27 PM (26 days ago)
### Summary of Financial Performance **Revenue**: $25.8 billion, a 2% decrease from the previous fiscal year. **Net Income**: $838 million, a 4% decrease from the previous fiscal year. **Earnings per Share (EPS)**: $2.14 (basic) and $2.11 (diluted) for continuing operations. **Gross Profit**: $2.2 billion, a 16% increase from the previous fiscal year. **Operating Income**: $1.2 billion, a 35% increase from the previous fiscal year. **Cash Provided by Operating Activities**: $1.5 billion, an increase of $0.2 billion from the previous fiscal year. ### Strategic Overview **EMS + Products + Services Approach**: Flex introduced this hybrid model to strengthen core manufacturing and supply chain capabilities while expanding proprietary products and value-added services. **Acquisitions**: Completed several strategic acquisitions to enhance the differentiated portfolio, including JetCool and Crown, to address critical data center customer challenges around power, heat, and scale. ### Future Outlook **Market Position**: Positioned as the only outsourcing partner offering fully integrated racks, vertical services, and a complete power products portfolio from the grid to the chip. **Growth Prospects**: Expects to take advantage of long-term, future growth prospects for outsourcing of advanced manufacturing capabilities, design and engineering services, and after-market services. **Financial Condition**: Expects that current financial condition, including liquidity sources, are adequate to fund future commitments. ### Risk Factors **Global Economic Conditions**: Inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs, geopolitical uncertainty, and instability in financial markets. **Supply Chain Disruptions**: Component shortages, logistical constraints, manufacturing interruptions or delays, or the failure to accurately forecast customer demand. **Geopolitical Risks**: Conflicts in Ukraine, Israel-Hamas war, and other geopolitical conflicts. **Environmental Risks**: Climate change and the legal and regulatory initiatives related to climate change. ### Financial Condition **Cash and Cash Equivalents**: $2.3 billion as of March 31, 2025. **Bank and Other Borrowings**: Approximately $3.7 billion. **Revolving Credit Facility**: $2.5 billion that is due to mature in July 2027, under which there were no borrowings outstanding as of March 31, 2025. **Delayed Draw Term Loan**: $500 million, under which there were no borrowings outstanding as of March 31, 2025. ### Market Position Changes **Customer Base**: Serves a wide range of customers across six reporting units within the FAS and FRS segments. No customer accounted for greater than 10% of net sales in fiscal year 2025. **Segment Performance**: FAS segment margin increased 130 basis points to 6.1% for fiscal year 2025. FRS segment margin increased 50 basis points to 5.8% for fiscal year 2025. ### Changes in Financial Condition **Cash Provided by Operating Activities**: Increased by approximately $0.2 billion in fiscal 2025 as compared with fiscal 2024. **Cash Used in Investing Activities**: Increased by approximately $0.3 billion to a cash outflow of $0.8 billion for fiscal year 2025. **Cash Used in Financing Activities**: Decreased by approximately $0.8 billion to a cash outflow of $0.8 billion for fiscal year 2025.