Jabil Inc (NYSE: JBL) reported better-than-expected results for its first quarter and also issued second-quarter sales guidance above consensus.
The contract electronics maker posted higher-than-expected Q1 revenue and profit; its results have now topped estimates for the seventh straight quarter. Jabil also said its Q2 revenue forecast above expectations, while midpoint of core EPS forecast range is also above analysts' view
Net revenues came in for the quarter at $4.75 billion, compared with $5.05 billion in the prior-year quarter, while GAAP operation faded to $124 million from $169 million in the prior-year quarter.
CEO Market Mondello said, “I’m extremely pleased with our first quarter results and a strong start to the year. As expected, we saw solid revenue growth across both our DMS and EMS segments, resulting in 15% growth, year-on-year, of core earnings per share. The quarter is a great illustration of the strength and diversification across the company,” he added.
Mondello notes Q2 guidance suggests 10% revenue growth and nearly 25% core Earnings per Share (EPS) growth, which he says is an "absolute reflection of the momentum we have". Mondello also says he expects growth to continue in the second half of the year.
"Our second quarter guidance, which suggests ten percent revenue growth and nearly 25% core EPS growth year-on-year, is an absolute reflection of the momentum we have in our business today. Moreover, we anticipate the growth to continue in the second half of the fiscal year, resulting in core earnings per share of approximately $2.60 for 2018," added Mondello.
Shares in Jabil rocketed 50 cents, or 1.8%, to $27.95.
