Slide 1: Fourth Quarter & Fiscal Year 2011 Financial Results
Fourth Quarter & Fiscal Year 2011 Financial Results September 27, 2011
Slide 2: Forward-Looking Statement
Forward-Looking Statement This presentation contains forward-looking statements, including those regarding our anticipated financial results for our fourth fiscal quarter and fiscal year 2011; our belief that our emphasis on differentiated services in growth markets continues to power growth and ear
Slide 3: Fourth Quarter 2011 Income Highlights
Three months ended Three months ended Three months ended August 31, 2011 August 31, 2010 % Increase Net revenue $4,280.3 $3,860.9 11% GAAP operating incomeGAAP net incomeGAAP diluted earnings per share $165.6$114.3$0.52 $103.0 $58.7$0.27 61% 95%93% Core operating income1Core earnings4Core diluted ea
Slide 4: Fiscal Year 2011 Income Highlights
Twelve months ended Twelve months ended Twelve months ended August 31, 2011 August 31, 2010 % Increase Net revenue $16,518.8 $ 13,409.4 23% GAAP operating incomeGAAP net incomeGAAP diluted earnings per share $578.7$381.1$1.73 $327.6 $168.8$0.78 77% 126%122% Core operating income1Core earnings4Core d
Slide 5: Fourth Quarter 2011 Segment Results
Fourth Quarter 2011 Segment Results Diversified Manufacturing - 40% Sequential increase of 10% Core operating income1 6.7%Enterprise & Infrastructure - 32% Sequential increase of 1% Core operating income1 2.6%High Velocity - 28% Sequential decrease of 9% Core operating income1 3.1%Total Company Sequ
Slide 6: Fiscal Year 2011 Segment Results
Fiscal Year 2011 Segment Results Diversified Manufacturing - 36% Annual increase of 43% Core operating income1 6.5%Enterprise & Infrastructure - 32% Annual increase of 18% Core operating income1 3.9%High Velocity - 32% Annual increase of 11% Core operating income1 2.4%Total Company Annual increase o
Slide 7: Differentiated, Sustainable Portfolio Mix
Differentiated, Sustainable Portfolio Mix 7 (CHART)
Slide 8: Differentiated Solutions Fuel Margin Expansion
Differentiated Solutions Fuel Margin Expansion 8 FY 11 FY 10 Diversified Manufacturing 36% 32% Enterprise & Infrastructure 32% 32% High Velocity 32% 36% Core Operating Margin6 4.3% 3.7% Percentage of Total Revenue
Slide 9: Portfolio Mix Drives Improving Margins
Portfolio Mix Drives Improving Margins 9 FY 11 FY 10 Diversified Manufacturing 6.5% 5.9% Enterprise & Infrastructure 3.9% 4.2% High Velocity 2.4% 1.2% Core Operating Margin6 4.3% 3.7% Core Operating Margin6
Slide 10: Investing in Growth, Diversification and Sustainability
Investing in Growth, Diversification and Sustainability Investing in Growth, Diversification and Sustainability Based on full fiscal year, capital expenditures were $459M 10
Slide 11: Rising Capital Returns Accompany Business Expansion
Rising Capital Returns Accompany Business Expansion 11 FY 2011 FY 2010 GAAP ROIC 26% 15% Core EBITDA3 $1.0B $748M Cash Flow from Operations $828M $427M Free Cash Flow8 $402M ($13M) Free Cash Flow Yield9 40% n/a Dividends / Share Repurchases $260M $60M Cash Balances $889M $744M
Slide 12: The GAAP Story: Best in Class
The GAAP Story: Best in Class 12 Number of years with positive GAAP earnings for US Exchange Traded EMS CompetitorsFiscal Years 2001 - 2010 (CHART)
Slide 13: First Quarter Outlook
First Quarter Outlook JABIL
Slide 14: First Quarter 2012 Guidance
Net Revenue $4.3 - $4.5 Billion 8% Core Operating Income1 $185M - $205M 7% Core Operating Margin6 4.3% - 4.5% Core Diluted EPS2 $0.62 - $0.70 8% GAAP EPS $0.52 - $0.60 14% First Quarter 2012 Guidance 14 (In millions, except EPS) Fiscal Q1 11 vs. Q1 12 Guidance* * Based on midpoints of guidance Guida
Slide 15: First Quarter 2012 Segment Guidance
15 First Quarter 2012 Segment Guidance Diversified Manufacturing - estimated to grow 3% sequentiallyEnterprise & Infrastructure - estimated to remain consistentHigh Velocity - estimated to increase 6% sequentially
Slide 16: Business Update
Business Update JABIL
Slide 17: Elite, Record-Setting Performance
Elite, Record-Setting Performance 17 For the three year period since 2008, Jabil's EPS (GAAP) CAGR places ninth among Fortune 500 companies with over $15B in revenue. Amerisource BergenAppleCignaDow Chemical Jabil and... JP Morgan ChaseTyson FoodsWells FargoXerox
Slide 18: Continuous Improvement Culture
Continuous Improvement Culture Blitz Kaizen Events increased 215% to 14,000 events3,000 enrolled in the Lean Six Sigma Education programExpanded human development and leadership training resourcesDeveloped and deployed proprietary global logistics and planning toolsIncreased depth of critical produc
Slide 19: High Velocity: Staying ahead of the game
High Velocity: Staying ahead of the game Hyper-active focus on costRapid development of new technology, approaches, locationsContinuously providing synergy to high growth areasAsset light and generates free cash flow 19
Slide 20: Enterprise & Infrastructure: Simplicity Masters Complexity
Enterprise & Infrastructure: Simplicity Masters Complexity Simplify through... Engineering intimacySuperb manufacturing Proprietary planning toolsMore locations, scale, capabilityPlug 'n play systems 20
Slide 21: Making a Difference
Making a Difference Healthcare & Instrumentation Materials Technology Group Aftermarket Services Uniquely differentiated in materials technologySynergistic value to targeted markets Beyond electronics core in HealthcarePremier high- mix, high-complexity manufacturer Strongest player in aftermarket s
Slide 22: The Nature of Our Value
The Nature of Our Value 80% of global GDP growth generated in "developing" economiesWhere customers are, what they do and how they do it is in a constant state of change and challengeManaging in a globalizing, urbanizing, resource scarce and socially connected world is a tough task for our customers
Slide 23: Appendix
Appendix JABIL
Slide 24: Quarterly Sectors Percentage of Net Revenue
24 Quarterly Sectors Percentage of Net Revenue Q1FY11 Q2FY11 Q3FY11 Q4FY11 YTD FY11 Diversified Manufacturing Specialized Services Healthcare & Instrumentation Industrial & Clean TechSubtotal 15% 7% 12% 34% 16% 7% 12% 35% 17% 7% 12% 36% 18% 9% 13% 40% 17% 7% 12% 36% Enterprise & Infrastructure 28% 3
Slide 25: Revenue Mix and Core Operating Margin
Revenue Mix 25 Core Operating Margin6 Increase of 100 BPS USD in thousands (CHART)
Slide 26: Fourth Quarter & Fiscal Year 2011 Operating Performance
Fourth Quarter & Fiscal Year 2011 Operating Performance 26 Q4 2011 FY 2011 Sales, General & Administrative $ 135.8M $ 514.3M Research & Development $6.2M $25.0M Amortization of Intangibles $5.2M $22.1M Stock-Based Compensation $16.4M $76.2M Net Interest Expense $25.3M $94.6M Core Tax Rate5: 15.4% 16
Slide 27: First Quarter 2012 Operating Guidance
First Quarter 2012 Operating Guidance 27 Q1 2012 Sales, General & Administrative 3.2% Research & Development $7M Amortization of Intangibles $5M Stock-Based Compensation $18M Net Interest Expense $27M Core Tax Rate5: 17%
Slide 28: Balance Sheet & Ratio Trends
Balance Sheet & Ratio Trends Q4FY10 Q4FY11 Sales cycle* 17 days 8 days Inventory turns 7 7 Core return on invested capital "ROIC"7 26% 30% *Days in accounts receivable + days in inventory - days in accounts payable 28
Slide 29: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 29 Core operating income excludes amortization of intangibles, stock-based compensation expense and related charges, restructuring and impairment charges, goodwill impairment charges, certain distressed customer charges, settlement of receivables and rel
Slide 30: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures 30 Core Earnings excludes amortization of intangibles, stock-based compensation expense and related charges, restructuring and impairment charges, goodwill impairment charges, certain distressed customers charges, settlement of receivables and related ch