Sanmina — Fourth Quarter Fiscal 2026 Earnings Summary

Financial Performance:

• Fourth quarter fiscal 2026 revenue was $3.86 billion; fiscal year 2026 revenue was $14.53 billion.
• GAAP operating margin was 6.0% for Q4 2026 and 4.7% for FY 2026.
• Non-GAAP operating margin was 9.0% for Q4 2026 and 7.4% for FY 2026.
• GAAP diluted EPS was $2.14 for Q4 2026 and $6.85 for FY 2026.
• Non-GAAP diluted EPS was $4.43 for Q4 2026 and $13.28 for FY 2026.
• Cash flow from operations was $242 million for Q4 2026 and $944 million for FY 2026.
• Free cash flow was $83 million for Q4 2026 and $541 million for FY 2026.
• Share repurchases totaled $154 million (0.8 million shares) in Q4 2026 and $393 million (2.4 million shares) in FY 2026.
• Cash and cash equivalents at the end of Q4 2026 were $1.68 billion.
• Total assets increased to $10.74 billion as of October 3, 2026, from $5.86 billion as of September 27, 2025.
• Long-term debt increased to $1.92 billion as of October 3, 2026, from $283 million as of September 27, 2025.
• Deferred revenue and customer advances increased to $1.54 billion as of October 3, 2026, from $878 million as of September 27, 2025.

Guidance and Future Outlook:

• For the first quarter of fiscal 2027, revenue is projected between $3.8 billion and $4.1 billion.
• Non-GAAP operating margin for Q1 fiscal 2027 is projected between 7.0% and 7.5%.
• Non-GAAP diluted EPS for Q1 fiscal 2027 is projected between $3.50 and $3.85.
• For full-year fiscal 2027, revenue is projected between $17.5 billion and $19.5 billion.
• Non-GAAP operating margin for full-year fiscal 2027 is projected between 7.0% and 7.5%.
• Non-GAAP diluted EPS for full-year fiscal 2027 is projected between $15.50 and $17.50.
• Management expects demand to remain strong in fiscal 2027.
• At the midpoint of the full-year outlook, revenue is projected to grow approximately 27% and non-GAAP diluted earnings per share approximately 24% year-over-year.

Business Segments and Product Lines:

• The company integrated the ZT Systems business, strengthening its position in the Cloud and AI Infrastructure end market.
• The core Sanmina business grew by double digits year-over-year.
• The company delivered strong broad-based growth across all end markets.
• Sanmina serves the Cloud and AI infrastructure, communications networks, industrial and energy, medical, defense and aerospace, and automotive and transportation markets.

Market and Competitive Landscape:

• Sanmina is a leading integrated manufacturing solutions provider serving the fastest-growing segments of the global Electronics Manufacturing Services (EMS) market.
• The company maintains a well-diversified portfolio across customers and end markets.
• The company is recognized as a technology leader providing end-to-end manufacturing solutions.

Risks and Challenges:

• Risks include the potential that expected benefits from the ZT Systems acquisition may not be realized or may take longer than anticipated.
• Adverse changes in key target markets, particularly cloud and AI infrastructure sectors, could impact results.
• Recent or future changes in tariffs and trade policy may adversely affect costs, supply chain, and customer demand.
• The company relies on a limited number of customers for a substantial portion of sales.
• Risks arise from international operations and expansion into new geographic markets.
• Geopolitical uncertainty, including the conflict in the Middle East, presents potential risks.

Management Commentary and Tone:

• Chairman and CEO Jure Sola described fiscal 2026 as a "transformative year" and "exceptional" results.
• Management noted revenue grew 79% and non-GAAP operating profit increased 130% compared to the prior year.
• Non-GAAP diluted earnings per share more than doubled compared to the prior year.
• Management cited disciplined execution, robust financial management, and targeted diversification as drivers of results.
• Management expressed excitement for opportunities ahead and confidence in the team's position to capitalize on momentum.

Other Key Points:

• The company completed the acquisition of ZT Systems, which contributed to significant increases in goodwill ($229 million vs. $30 million prior year) and inventory ($3.61 billion vs. $1.99 billion prior year).
• Acquisition, integration, and other expenses for FY 2026 included a $150 million fair value adjustment to contingent consideration related to the ZT acquisition.
• The company generated strong cash flow from operations of $944 million, providing flexibility to fund strategic investments in new capabilities and capacity.
• The company maintains a "very healthy balance sheet."
• A conference call to review results and outlook was held on November 9, 2026.