Slide 1: Third Quarter Fiscal 2019
Third Quarter Fiscal 2019 June 18, 2019
Slide 2: Forward Looking Statement
Forward Looking Statement Forward Looking Statements: The presentation contains forward-looking statements, including those regarding our anticipated financial results for our third quarter 2019 and our guidance for future financial performance in our fourth quarter of fiscal year 2019 (including, n
Slide 3: Jabil's People – Our Most Important Asset
Jabil’s People – Our Most Important Asset THE JABIL DIFFERENCE… 3
Slide 4: Q3 FY19 Results
Q3 FY19 Results Revenue $6.1 Billion • Strong Growth of 13% Year-on-Year • Continued Strength -- Cloud, Healthcare, 5G/Wireless, Industrial NET REVENUE Core Operating Income & Margin • $186 million in Core operating income 3.0% CORE OPERATING MARGIN • Core operating margin increase of 20 bps Yea
Slide 5: Management Attention
Management Attention MARKET & PRODUCT NATURAL GROWTH OF OUTSTANDING DIVERSIFICATION NEW BUSINESS FINANCIAL PLATFORMS PERFORMANCE Business Stability and Reliability Excellent Operational Execution FCF, Core Operating and Customer Care Margin & Core EPS 5
Slide 6: Market & Product Diversification
Market & Product Diversification FY19 Revenue Projection Mechanics Enterprise Healthcare & Packaging Our Goal Well Balanced Business Portfolio, offering Stability and Reliability of Edge Devices & Cash Flows and Margins 5G/Wireless Accessories & Cloud AR/VR/Lifestyle Digital Print & Retail Industria
Slide 7: Natural Growth of New Business Platforms
Natural Growth of New Business Platforms Jabil and Johnson & Johnson Medical Devices Companies (JJMDC) Strategic Collaboration Proceeding as Planned. Expands our Elevates our Healthcare Portfolio Technical Capabilities Wave I & Wave II – Successfully Completed • Dedicated and Deeply Experienced Tale
Slide 8: Outstanding Financial Performance – FY19 Outlook
Outstanding Financial Performance – FY19 Outlook Revenue $25.3 Billion • Continued Strength -- Cloud, Healthcare, 5G/Wireless, Industrial NET REVENUE Core Operating Income • Increase of 14% Year-on-Year $875 Million • Strength in Operational Execution CORE OPERATING INCOME Adjusted Free Cash F
Slide 9: Jabil FY20 Annual Investor Briefing
Annual Investor Briefing JABIL FY20 Our Strategy, Our Path, Our Outlook September 24, 2019 9
Slide 10: Financial Update
Financial Update JABIL
Slide 11: Third Quarter Fiscal Year 2019 Income Highlights
Third Quarter Fiscal Year 2019 Income Highlights Three months ended May 31, (In millions, except for per share data) 2019 2018 Net revenue $6,136 $5,437 U.S. GAAP operating income $141 $113 U.S. GAAP net income $43 $43 U.S. GAAP diluted earnings per share $0.28 $0.25 Core operating income (non-GAAP)
Slide 12: Third Quarter Segment Results
Third Quarter Segment Results Diversified Manufacturing Services (DMS) Net Revenue Decrease of 6% Core margin* (non-GAAP) of 2.6% DMS Electronics Manufacturing Services (EMS) $6.1B 35% Net Revenue Increase of 26% EMS Revenue Core margin* (non-GAAP) of 3.3% 65% Total Company Net Reven
Slide 13: Market Diversification
Market Diversification DIVERSIFIED MANUFACTURING ELECTRONICS MANUFACTURING $ in billions FY19E $ in billions FY19E Mechanics $1.9 Automotive $1.5 Digital Print & Retail $2.4 Healthcare & Packaging $3.2 Industrial & Energy $2.5 Edge Devices & Accessories $4.1 5G / Wireless & Cloud $4.2 AR/VR/Lifestyl
Slide 14: Cash and Balance Sheet Metrics
Cash and Balance Sheet Metrics Three months ended ($ in millions) May 31, 2019 Cash and cash equivalents (as of May 31, 2019) $694 Net capital expenditures1 $229 Adjusted free cash flow (non-GAAP)2 $(225) Core EBITDA (non-GAAP)1 $372 Core ROIC (non-GAAP)2 14.7% 1 See U.S. GAAP to non-GAAP reconcilia
Slide 15: Capital Return Framework
Capital Return Framework CUMULATIVE SHAREHOLDER RETURN WEIGHTED AVERAGE DILUTED FY16 – YTD FY19 SHARES OUTSTANDING Share Repurchases 225 Dividends 215 205 19% 195 reduction 185 175 $1.4B 165 193M 155 186M 175M 145 156M 135 125 FY16 FY17 FY18 Q3 FY19 15
Slide 16: Fourth Quarter 2019 Guidance
Fourth Quarter 2019 Guidance Segment Revenue Guidance Q4 FY19E YoY Change Diversified Manufacturing Services $2.5B Increase ~4% Electronics Manufacturing Services $4.1B Increase ~22% Consolidated Guidance Q4 FY19E Net revenue $6.3B - $6.9B U.S. GAAP operating income $169M - $235M U.S. GAAP dilut
Slide 17: Q&A
MIKE DASTOOR MARK MONDELLO CHIEF EXECUTIVE OFFICER Q&A CHIEF FINANCIAL OFFICER
Slide 18: Appendix: GAAP to Non-GAAP Reconciliations
APPENDIX GAAP to Non-GAAP Reconciliations
Slide 19: Operating Income, EBITDA and Net Income Non-GAAP Reconciliation
JABIL INC. AND SUBSIDIARIES OPERATING INCOME, EBITDA and NET INCOME NON-GAAP RECONCILIATION (In thousands, except for per share data) (Unaudited) Three months ended Nine months ended May 31, 2019 May 31, 2018 May 31, 2019 May 31, 2018 Operating income (U.S. GAAP) $ 140,918 $ 112,971 $ 511,611 $ 388,