Slide 1: Third Quarter 2020 Results & Business Update
THIRD QUARTER 2020 RESULTS & BUSINESS UPDATE June 19, 2020
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Forward Looking Statements: This presentation contains forward-looking statements, including those regarding our anticipated financial results for our third quarter of fiscal year 2020; our guidance for future financial performance in our fourth quarter of fiscal year 2020
Slide 3: Business Update
BUSINESS UPDATE
Slide 4: BUSINESS CONFIDENTIAL | ©Jabil Inc. 2020. All Rights Reserved.
BUSINESS CONFIDENTIAL | ©Jabil Inc. 2020. All Rights Reserved. 4
Slide 5: Financial Update
FINANCIAL UPDATE
Slide 6: End-Market Update
END-MARKET UPDATE DMS Notes Mobility Off season launch going well; next-generation mobility launch on track Edge Devices & Work and learn from home driving upside demand Lifestyles Demand for COVID-19 related products increasing (Diagnostic Tests, Oxygen & Temperature Sensing, Healthcare Ventilators
Slide 7: Third Quarter 2020 Income Highlights
THIRD QUARTER 2020 INCOME HIGHLIGHTS THREE MONTHS ENDED MAY 31, (In millions, except for per share data) 2020 2019 Net revenue $6,336 $6,136 U.S. GAAP operating income $59 $141 U.S. GAAP net (loss) income ($51) $43 U.S. GAAP diluted (loss) earnings per share ($0.34) $0.28 Core operating income (non-
Slide 8: Third Quarter Segment Results
THIRD QUARTER SEGMENT RESULTS DIVERSIFIED MANUFACTURING SERVICES (DMS) Net Revenue Increase of 13% Core margin* (non-GAAP) of 2.9% DMS ELECTRONICS MANUFACTURING SERVICES (EMS) 38% Net Revenue decrease of 2% $6.3B Core margin* (non-GAAP) of 2.6% REVENUE EMS 62% TOTAL COMPANY Net Revenue Inc
Slide 9: Cash Flow Highlights
CASH FLOW HIGHLIGHTS THREE MONTHS ENDED MAY 31, (In millions) 2020 Cash flow from operations $487 Net capital expenditures1 $143 Adjusted free cash flow (non-GAAP)2 $344 Core EBITDA (non-GAAP)1 $357 Share repurchases $21 1 See U.S. GAAP to non-GAAP reconciliation in appendix and U.S. GAAP to non-GAA
Slide 10: Fourth Quarter FY20 Guidance
FOURTH QUARTER FY20 GUIDANCE Segment Revenue Guidance Q4 FY20E YoY Change Diversified Manufacturing Services ~$2.5B Increase 1% Electronics Manufacturing Services ~$3.8B Decrease 8% Consolidated Guidance Q4 FY20E Net revenue $5.8B - $6.6B U.S. GAAP operating income $79M - $189M U.S. GAAP diluted
Slide 11: FY20E End-Markets
FY20E END-MARKETS DIVERSIFIED MANUFACTURING ELECTRONICS MANUFACTURING $ in billions FY19 FY20E $ in billions FY19 FY20E Automotive & Semi-Cap $1.9 $2.3 Mobility $3.3 $3.1 Digital Print & Retail $2.4 $2.2 Healthcare & Packaging $3.2 $4.2 Industrial & Energy $2.5 $2.5 Wireless / 5G & Cloud $4.3 $4.9 E
Slide 12: FY20 Update Based on Midpoint of Q4 Guidance
FY20 UPDATE BASED ON MIDPOINT OF Q4 GUIDANCE CORE OP ADJ FREE NET REVENUE CORE EPS CASH FLOW INCOME $ 26.2 $ 805 ~ $ 2.60 400+ $ MILLION BILLION MILLION See U.S. GAAP to non-GAAP reconciliation in appendix. 12
Slide 13: Q&A
Q&A MARK MONDELLO MIKE DASTOOR CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER
Slide 14: Appendix: GAAP to Non-GAAP Reconciliations
APPENDIX GAAP to Non-GAAP Reconciliations PUBLIC | ©Jabil Inc. 2020. All Rights Reserved. 14
Slide 15: 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, 2020 May 31, 2019 May 31, 2020 May 31, 2019 Operating income (U.S. GAAP) $ 59,384 $ 140,918 $ 302,793 $ 511,6