Fabrinet Announces First Quarter Fiscal Year 2027 Financial Results

GAAP gross margin slipped to 11.8% from 11.9%, while operating margin increased to 9.9% from 9.6% a year earlier.

Rhea-AI Summary

Fabrinet (FN) reported record first-quarter fiscal 2027 revenue of $1,474.5 million, up 51% from the prior year and above guidance. For the quarter ended September 25, 2026, GAAP net income rose to $103.5 million from $95.9 million, and diluted earnings per share increased to $2.86 from $2.66. Non-GAAP diluted earnings per share rose to $4.34 from $2.92.

Fabrinet expects second-quarter revenue of $1.6 billion to $1.65 billion, GAAP diluted earnings per share of $3.81 to $3.96, and non-GAAP diluted earnings per share of $4.77 to $4.92. The quarter ends December 25, 2026. The board added up to $103.0 million to the buyback authorization, bringing its aggregate authorization to $637.3 million. Operating cash flow fell to $21.287 million from $102.568 million a year earlier, while property and equipment purchases increased to $158.698 million from $45.266 million.

16 points · 1 major

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0 major · 12 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major pointFirst-quarter revenue rose 51% year over year to $1,474.5 million, exceeding guidance.
• Moderate pointGAAP net income increased to $103.5 million from $95.9 million in the prior-year quarter.
• Moderate pointNon-GAAP net income increased to $157.4 million from $105.3 million in the prior-year quarter.
• Moderate point. Forward-looking: it has not happened yet and may not happen.Second-quarter revenue is expected at $1.6 billion to $1.65 billion for the quarter ending December 25, 2026.
• Moderate pointGAAP gross profit increased to $173.798 million from $116.439 million in the prior-year quarter.
• Moderate pointGAAP operating profit increased to $146.005 million from $94.193 million; operating margin rose to 9.9% from 9.6%.
• Moderate pointNon-GAAP gross profit increased to $178.001 million from $119.958 million in the prior-year quarter.
• Moderate pointNon-GAAP operating profit increased to $158.536 million from $103.592 million; margin rose to 10.8% from 10.6%.

8 minor points

• Minor pointGAAP diluted earnings per share increased to $2.86 from $2.66 in the prior-year quarter.
• Minor pointNon-GAAP diluted earnings per share increased to $4.34 from $2.92, exceeding guidance.
• Minor point. Forward-looking: it has not happened yet and may not happen.Second-quarter GAAP diluted earnings per share are expected at $3.81 to $3.96.
• Minor point. Forward-looking: it has not happened yet and may not happen.Second-quarter non-GAAP diluted earnings per share are expected at $4.77 to $4.92.
• Minor pointBuyback authorization expanded by up to an additional $103.0 million, bringing aggregate authorization to $637.3 million.
• Minor pointFirst-quarter ordinary-share repurchases totaled $29.143 million, versus $0.268 million a year earlier.
• Minor pointLong-term borrowing proceeds provided $74.828 million of first-quarter financing.
• Minor pointForeign-exchange losses narrowed to $0.220 million from $2.060 million in the prior-year quarter.

Negative

• Moderate pointOperating cash flow fell to $21.287 million from $102.568 million in the prior-year quarter.
• Moderate pointProperty and equipment purchases increased to $158.698 million from $45.266 million in the prior-year quarter.
• Moderate pointIncome tax expense increased to $26.004 million from $5.502 million in the prior-year quarter.
• Moderate pointNon-marketable equity securities generated a $21.456 million loss, versus none in the prior-year quarter.
• Minor pointGAAP gross margin declined to 11.8% from 11.9% in the prior-year quarter.

7 minor points

• Minor pointNon-GAAP gross margin declined to 12.1% from 12.3% in the prior-year quarter.
• Minor pointSelling, general and administrative expenses increased to $26.744 million from $22.246 million in the prior-year quarter.
• Minor pointRestructuring and related costs totaled $1.049 million, versus none in the prior-year quarter.
• Minor pointInventory obsolescence impairment increased to $6.333 million from $2.290 million in the prior-year quarter.
• Minor pointInterest income declined to $5.539 million from $9.417 million in the prior-year quarter.
• Minor pointBorrowings at September 25, 2026 included $11.211 million current and $63.528 million non-current, versus none at June 26.
• Minor pointInterest expense totaled $0.231 million, versus none in the prior-year quarter.

News Explained

Fabrinet's balance sheet now shows long-term borrowings, while the prior quarter-end statements listed none.

The newly expanded program authorizes up to $103.0 million; that added capacity is not itself a completed purchase.

At September 25, 2026, the balance sheet listed current and non-current borrowings, versus zero in both lines at June 26, 2026; the cash-flow statement reports long-term borrowing proceeds.

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Key Figures

Revenue: $1,474.5 million GAAP diluted EPS: $2.86 Non-GAAP net income: $157.4 million +5 more

Revenue

$1,474.5 million

Q1 FY2027; compared with $978.1 million in Q1 FY2026; exceeded guidance

GAAP diluted EPS

$2.86

Q1 FY2027; compared with $2.66 in Q1 FY2026

Non-GAAP net income

$157.4 million

Q1 FY2027; compared with $105.3 million in Q1 FY2026

Non-GAAP diluted EPS

$4.34

Q1 FY2027; compared with $2.92 in Q1 FY2026

Revenue guidance

$1.6 billion to $1.65 billion

Q2 FY2027

GAAP diluted EPS guidance

$3.81 to $3.96

Q2 FY2027

Non-GAAP diluted EPS guidance

$4.77 to $4.92

Q2 FY2027

Additional share repurchase authorization

Up to $103.0 million

Expansion of the existing program

Previous Earnings Reports

2 past events · Latest: Aug 17

Same Type 2 events

1. Aug 17

   Q4 FY26 earnings

   24h Move

   -19.4%

   Reported record Q4 results and set the immediately preceding quarter’s revenue and EPS outlook.

2. Nov 03

   Q1 FY26 earnings

   24h Move

   +3.8%

   Reported prior-year first-quarter revenue and diluted EPS, providing a direct year-over-year comparison.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

non-gaap, fully diluted shares outstanding, share-based compensation, pillar two

4 terms

non-gaap financial

"Non-GAAP net income per diluted share for the first quarter"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

fully diluted shares outstanding financial

"based on approximately 36.2 million fully diluted shares outstanding"

Total number of shares that would exist if every outstanding option, warrant, convertible security and other instrument that can become stock were exercised or converted; it combines current shares with all potential shares. Investors use this figure to see the true size of the ownership pie and to judge per-share metrics like earnings or value per share, because potential extra shares can dilute each existing investor’s claim much like adding more slices reduces the size of each slice of a pie.

share-based compensation financial

"excludes share-based compensation expenses and certain non-recurring items"

Share-based compensation is when a company pays employees, executives or directors with its own stock or rights to buy stock instead of, or in addition to, cash. Think of it like receiving store gift cards instead of extra paycheck — it can motivate staff to boost the company’s value, but it also increases the number of shares outstanding and can shrink each existing owner’s slice of profits and voting power. Investors watch it because it affects reported earnings, share count and the alignment between management and shareholders.

pillar two regulatory

"Tax provision related to Pillar Two"

Pillar Two is an international tax framework that sets a global minimum tax rate for large multinational companies and requires extra payments when profits booked in low-tax locations fall below that floor. For investors, it matters because it raises the likely tax bill, reduces after-tax earnings and cash available for dividends or reinvestment, and can change company valuations—think of it as a tax “price floor” that limits how much a firm can lower its effective tax rate.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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• Record First Quarter Revenue Increased 51% From Prior Year, Exceeding Guidance Range

BANGKOK, Nov. 02, 2026 (GLOBE NEWSWIRE) -- Fabrinet (NYSE: FN), a leading provider of advanced optical packaging and precision optical, electro-mechanical and electronic manufacturing services to original equipment manufacturers of complex products, today announced its financial results for its first fiscal quarter ended September 25, 2026.

Seamus Grady, Chairman and Chief Executive Officer of Fabrinet, said, “Fiscal year 2027 is off to an excellent start with record revenue and non-GAAP earnings per share that were well above our guidance ranges. Broad-based demand across multiple significant programs drove these results, with new product ramps further supporting our growth. We enter the second quarter with exceptional momentum that makes us confident that we can deliver another strong performance.”

First Quarter Fiscal Year 2027 Financial Highlights

GAAP Results

• Revenue for the first quarter of fiscal year 2027 was $1,474.5 million, compared to $978.1 million for the first quarter of fiscal year 2026.
• GAAP net income for the first quarter of fiscal year 2027 was $103.5 million, compared to $95.9 million for the first quarter of fiscal year 2026.
• GAAP net income per diluted share for the first quarter of fiscal year 2027 was $2.86, compared to $2.66 for the first quarter of fiscal year 2026.
  
  

Non-GAAP Results

• Non-GAAP net income for the first quarter of fiscal year 2027 was $157.4 million, compared to $105.3 million for the first quarter of fiscal year 2026.
• Non-GAAP net income per diluted share for the first quarter of fiscal year 2027 was $4.34, compared to $2.92 for the first quarter of fiscal year 2026.
  
  

Share Repurchase Program Expanded

Fabrinet also announced that its Board of Directors has approved an expansion of its share repurchase program, authorizing the repurchase of up to an additional $103.0 million of Fabrinet’s ordinary shares. The addition brings the aggregate authorization under Fabrinet’s existing share repurchase program to $637.3 million.

Business Outlook

Based on information available as of November 2, 2026, Fabrinet is issuing guidance for its second fiscal quarter ending December 25, 2026, as follows:

• Fabrinet expects second quarter revenue to be in the range of $1.6 billion to $1.65 billion.
• GAAP net income per diluted share is expected to be in the range of $3.81 to $3.96, based on approximately 36.2 million fully diluted shares outstanding.
• Non-GAAP net income per diluted share is expected to be in the range of $4.77 to $4.92, based on approximately 36.2 million fully diluted shares outstanding. 
  
  

Guidance for non-GAAP net income per diluted share excludes share-based compensation expenses and certain non-recurring items. A reconciliation of non-GAAP net income per diluted share to the corresponding GAAP measure is available at the end of this press release.

Conference Call Information

What:		Fabrinet First Quarter Fiscal Year 2027 Financial Results Call
When:		November 2, 2026
Time:		5:00 p.m. ET
Live Call and Replay:		https://investor.fabrinet.com/events-and-presentations/events

A recorded version of this webcast will be available approximately two hours after the call and accessible at http://investor.fabrinet.com. The webcast will be archived on Fabrinet’s website for a period of one year.

About Fabrinet

Fabrinet is a leading provider of advanced optical packaging and precision optical, electro-mechanical, and electronic manufacturing services to original equipment manufacturers of complex products, such as optical communication components, modules and subsystems, automotive components, medical devices, industrial lasers and sensors. Fabrinet offers a broad range of advanced optical and electro-mechanical capabilities across the entire manufacturing process, including process design and engineering, supply chain management, manufacturing, advanced packaging, integration, final assembly and testing. Fabrinet focuses on production of high complexity products in any mix and any volume. Fabrinet maintains engineering and manufacturing resources and facilities in Thailand, the United States of America, the People’s Republic of China, and Israel. For more information visit: www.fabrinet.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include (1) our statement relating to our confidence that we will be able to deliver a strong performance in the second quarter of fiscal year 2027 and (2) all of the statements under the “Business Outlook” section regarding our expected revenue, GAAP and non-GAAP net income per share, and fully diluted shares outstanding for the second quarter of fiscal year 2027. These forward-looking statements involve risks and uncertainties, and actual results could vary materially from these forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: changes in general economic conditions, either globally or in our markets, and the risk of recession or an economic downturn; disruption to our supply chain, which could increase our costs and affect our ability to procure parts and materials; less customer demand for our products and services than forecasted; less growth in the data center, communications infrastructure, automotive, industrial and other markets than we forecast; difficulties expanding into additional markets, such as the semiconductor processing, biotechnology, metrology and materials processing markets; increased competition in the optical manufacturing services markets; difficulties in delivering products and services that compete effectively from a price and performance perspective; our reliance on a small number of customers and suppliers; difficulties in managing our operating costs; difficulties in managing and operating our business across multiple countries (including Thailand, the People’s Republic of China, Israel and the U.S.); and other important factors as described in reports and documents we file from time to time with the Securities and Exchange Commission (SEC), including the factors described under the section captioned “Risk Factors” in our Annual Report on Form 10-K filed with the SEC on August 18, 2026. We disclaim any obligation to update information contained in these forward-looking statements whether as a result of new information, future events, or otherwise.

Non-GAAP Financial Measures

In addition to reporting financial results in accordance with GAAP, we provide investors with certain non-GAAP financial measures. These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with GAAP. We believe these non-GAAP financial measures provide investors with useful supplemental information to: (1) measure company performance against historical results, (2) facilitate comparisons to our competitors’ operating results, and (3) allow greater transparency with respect to information used by management in making financial and operational decisions. In addition, we use some of these non-GAAP financial measures to measure company performance for the purposes of determining employee incentive plan compensation.

Non-GAAP gross profit, non-GAAP operating profit, non-GAAP net income and non-GAAP net income per diluted share exclude: share-based compensation expenses; severance payment and others; restructuring and other related costs; legal and litigation costs; non-marketable equity securities revaluation; and charges arising from the implementation or application of the OECD Pillar Two global minimum tax framework, including charges resulting from changes in implementing regulations, administrative guidance or related governmental measures. We have excluded these items in order to enhance investors’ understanding of our underlying operations.

Non-GAAP free cash flow is net cash provided by (used in) operating activities, minus capital expenditures (purchase of property, plant and equipment). We use free cash flow to measure our ability to generate additional cash from our business operations.

There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. We urge you to review the reconciliations of our non-GAAP financial measures to the most directly comparable GAAP financial measures, and not to rely on any single financial measure to evaluate our business.

Investor Contact:
Garo Toomajanian
ir@fabrinet.com

FABRINET CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands of U.S. dollars, except share data and par value)	September 25, 2026				June 26, 2026
	(unaudited)
Assets
Current assets
Cash and cash equivalents	$	392,326			$	346,711
Short-term investments		363,427				528,344
Trade accounts receivable, net of allowance for expected credit losses of $1,042 and $1,050, respectively		1,161,412				1,017,933
Inventories		1,193,094				1,021,235
Prepaid expenses		48,879				49,915
Other current assets		262,233				195,571
Total current assets		3,421,371				3,159,709
Non-current assets
Long-term restricted cash		918				704
Property, plant and equipment, net		778,230				615,067
Intangibles, net		2,278				2,458
Operating right-of-use assets		3,613				3,974
Deferred tax assets		19,429				19,229
Non-marketable equity securities		67,647				89,103
Other non-current assets		24,150				20,717
Total non-current assets		896,265				751,252
Total Assets	$	4,317,636			$	3,910,961
Liabilities and Shareholders’ Equity
Current liabilities
Long-term borrowings, current portion, net	$	11,211			$	—
Trade accounts payable		1,269,073				1,005,761
Fixed assets payable		96,037				86,018
Operating lease liabilities, current portion		926				1,189
Income tax payable		85,507				63,469
Accrued payroll, bonus and related expenses		32,208				29,850
Accrued expenses		36,676				56,549
Severance liabilities, current portion		2,315				2,319
Other payables		143,640				157,470
Total current liabilities		1,677,593				1,402,625
Non-current liabilities
Long-term borrowings, non-current portion, net		63,528				—
Deferred tax liability		2,519				1,654
Operating lease liability, non-current portion		2,655				2,824
Severance liabilities		32,843				31,776
Other non-current liabilities		22,444				17,826
Total non-current liabilities		123,989				54,080
Total Liabilities		1,801,582				1,456,705
Shareholders’ equity
Preferred shares (5,000,000 shares authorized, $0.01 par value; no shares issued and outstanding as of September 25, 2026 and June 26, 2026)		—				—
Ordinary shares (500,000,000 shares authorized, $0.01 par value; 39,797,868 shares and 39,722,708 shares issued as of September 25, 2026 and June 26, 2026, respectively; and 35,833,303 shares and 35,834,864 shares outstanding as of September 25, 2026 and June 26, 2026, respectively)		398				397
Additional paid-in capital		241,623				251,854
Less: Treasury shares (3,964,565 shares and 3,887,844 shares as of September 25, 2026 and June 26, 2026, respectively)		(394,430	)			(365,287	)
Accumulated other comprehensive income (loss)		(1,358	)			968
Retained earnings		2,669,821				2,566,324
Total Shareholders’ Equity		2,516,054				2,454,256
Total Liabilities and Shareholders’ Equity	$	4,317,636			$	3,910,961

FABRINET CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED)
		Three Months Ended
(in thousands of U.S. dollars, except per share data)		September 25, 2026				September 26, 2025
Revenues		$	1,474,459			$	978,128
Cost of revenues			(1,300,661	)			(861,689	)
Gross profit			173,798				116,439
Selling, general and administrative expenses			(26,744	)			(22,246	)
Restructuring and other related costs			(1,049	)			—
Operating income			146,005				94,193
Interest income			5,539				9,417
Interest expense			(231	)			—
Foreign exchange gain (loss), net			(220	)			(2,060	)
Other income (expense), net			(21,592	)			(122	)
Income before income taxes			129,501				101,428
Income tax expense			(26,004	)			(5,502	)
Net income			103,497				95,926
Other comprehensive income (loss), net of tax:
Change in net unrealized gain (loss) on available-for-sale securities			(4,145	)			(811	)
Change in net unrealized gain (loss) on derivative instruments			1,812				(2,062	)
Change in foreign currency translation adjustment			7				(89	)
Total other comprehensive income (loss), net of tax			(2,326	)			(2,962	)
Net comprehensive income		$	101,171			$	92,964
Earnings per share
Basic		$	2.89			$	2.68
Diluted		$	2.86			$	2.66
Weighted-average number of ordinary shares outstanding (in thousands of shares)
Basic			35,866				35,773
Diluted			36,233				36,097

FABRINET CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
	Three Months Ended
(in thousands of U.S. dollars)	September 25, 2026				September 26, 2025
Cash flows from operating activities
Net income for the period	$	103,497			$	95,926
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation and amortization		21,700				14,860
(Gain) loss on disposal of property, plant and equipment and intangibles		(124	)			(6	)
(Gain) loss on non-marketable equity securities		21,456				—
(Gain) loss from sales and maturities of available-for-sale securities		(73	)			—
Amortization of discount (premium) of short-term investments		(707	)			(1,222	)
Inventory obsolescence impairment		6,333				2,290
(Reversal of) allowance for expected credit losses		(8	)			(45	)
Unrealized loss (gain) on exchange rate and fair value of foreign currency forward contracts		4,095				461
Share-based compensation		11,225				9,071
Customer warrant		2,455				286
Deferred income tax expense (benefit)		608				(106	)
Other non-cash expenses		135				66
Changes in operating assets and liabilities
Trade accounts receivable		(143,301	)			51,821
Inventories		(178,192	)			(143,469	)
Other current assets and non-current assets		(81,171	)			(13,579	)
Trade accounts payable		262,069				59,508
Income tax payable		22,038				2,993
Accrued expenses		(19,791	)			(2,539	)
Other payables		(15,425	)			23,284
Severance liabilities		1,112				826
Other current liabilities and non-current liabilities		3,356				2,142
Net cash provided by operating activities		21,287				102,568
Cash flows from investing activities
Purchase of short-term investments		(996	)			(110,329	)
Proceeds from sales of short-term investments		111,848				—
Proceeds from maturities of short-term investments		50,700				74,789
Purchase of property, plant and equipment		(158,698	)			(45,266	)
Purchase of intangibles		(239	)			(169	)
Proceeds from disposal of property, plant and equipment		150				15
Net cash provided by (used in) investing activities		2,765				(80,960	)
Cash flows from financing activities
Proceeds from long-term borrowings		74,828				—
Repurchase of ordinary shares		(29,143	)			(268	)
Withholding tax related to net share settlement of restricted share units		(23,910	)			(22,697	)
Net cash provided by (used in) financing activities		21,775				(22,965	)
Net increase (decrease) in cash, cash equivalents and restricted cash	$	45,827			$	(1,357	)
Movement in cash, cash equivalents and restricted cash
Cash, cash equivalents and restricted cash at the beginning of period	$	347,415			$	306,425
Increase (decrease) in cash, cash equivalents and restricted cash		45,827				(1,357	)
Effect of exchange rate on cash, cash equivalents and restricted cash		2				(67	)
Cash, cash equivalents and restricted cash at the end of period	$	393,244			$	305,001
Non-cash investing and financing activities
Construction, software and equipment-related payables	$	96,037			$	50,941

FABRINET CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same amounts shown in the consolidated statements of cash flows:
	As of
(in thousands of U.S. dollars)	September 25, 2026				September 26, 2025
Cash and cash equivalents	$	392,326			$	305,001
Restricted cash		918				—
Cash, cash equivalents and restricted cash	$	393,244			$	305,001

FABRINET RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES (UNAUDITED)
Reconciliation of GAAP Gross Profit and GAAP Gross Margin to Non-GAAP Gross Profit and Non-GAAP Gross Margin
		Three Months Ended
(in thousands of U.S. dollars)		September 25, 2026							September 26, 2025
Revenues		$	1,474,459						$	978,128
Gross profit (GAAP)		$	173,798			11.8	%		$	116,439			11.9	%
Share-based compensation expenses			4,203							3,519
Gross profit (Non-GAAP)		$	178,001			12.1	%		$	119,958			12.3	%

Reconciliation of GAAP Operating Profit and GAAP Operating Margin to Non-GAAP Operating Profit and Non-GAAP Operating Margin
		Three Months Ended
(in thousands of U.S. dollars)		September 25, 2026							September 26, 2025
Revenues		$	1,474,459						$	978,128
Operating profit (GAAP)		$	146,005			9.9	%		$	94,193			9.6	%
Share-based compensation expenses			11,225							9,071
Restructuring and other related costs			1,049							—
Severance payment and others			158							72
Legal and litigation costs			99							256
Operating profit (Non-GAAP)		$	158,536			10.8	%		$	103,592			10.6	%

FABRINET RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES (UNAUDITED)
Reconciliation of GAAP Net Income and EPS to Non-GAAP Net Income and EPS
		Three Months Ended
		September 25, 2026								September 26, 2025
(in thousands of U.S. dollars, except per share data)		Net income				Diluted EPS				Net income				Diluted EPS
GAAP measures		$	103,497			$	2.86			$	95,926			$	2.66
Items reconciling GAAP net income & EPS to non-GAAP net income & EPS:
Related to cost of revenues:
Share-based compensation expenses			4,203				0.12				3,519				0.10
Total related to cost of revenues			4,203				0.12				3,519				0.10
Related to selling, general and administrative expenses:
Share-based compensation expenses			7,022				0.19				5,552				0.15
Legal and litigation costs			99				0.00				256				0.01
Severance payment and others			158				0.00				72				0.00
Total related to selling, general and administrative expenses			7,279				0.19				5,880				0.16
Related to restructuring and other related costs:
Restructuring and other related costs			1,049				0.03				—				—
Total related to restructuring and other related costs			1,049				0.03				—				—
Related to other income and expense:
Non-marketable equity securities revaluation			21,456				0.59				—				—
Total related to other income and expense			21,456				0.59				—				—
Related to income tax (benefit) expense
Tax provision related to Pillar Two			19,885				0.55				—				—
Total related to income tax (benefit) expense			19,885				0.55				—				—
Total related to net income & EPS			53,872				1.48				9,399				0.26
Non-GAAP measures		$	157,369			$	4.34			$	105,325			$	2.92
Shares used in computing diluted net income per share (in thousands of shares)
GAAP diluted shares							36,233								36,097
Non-GAAP diluted shares							36,233								36,097

FABRINET RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW (UNAUDITED)
(in thousands of U.S. dollars)		Three Months Ended
		September 25, 2026				September 26, 2025
Net cash provided by operating activities		$	21,287			$	102,568
Less: Purchase of property, plant and equipment			(158,698	)			(45,266	)
Non-GAAP free cash flow		$	(137,411	)		$	57,302

FABRINET GUIDANCE FOR QUARTER ENDING DECEMBER 25, 2026 RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
	Diluted EPS
GAAP net income per diluted share	$3.81 to $3.96
Related to cost of revenues:
Share-based compensation expenses	0.11
Total related to cost of revenues	0.11
Related to selling, general and administrative expenses:
Share-based compensation expenses	0.25
Total related to selling, general and administrative expenses	0.25
Related to income tax (benefit) expense:
Tax provision related to Pillar Two	0.60
Total related to income tax (benefit) expense	0.60
Total related to net income & EPS	0.96
Non-GAAP net income per diluted share	$4.77 to $4.92

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Fabrinet's first-quarter fiscal 2027 revenue and earnings?

Fabrinet reported revenue of $1,474.5 million and GAAP diluted earnings per share of $2.86 for the quarter ended September 25, 2026. Revenue increased 51% year over year. Non-GAAP diluted earnings per share were $4.34, compared with $2.92 in the prior-year quarter.

What is Fabrinet's second-quarter fiscal 2027 guidance?

Fabrinet expects revenue of $1.6 billion to $1.65 billion for the quarter ending December 25, 2026. Expected GAAP diluted earnings per share are $3.81 to $3.96, and expected non-GAAP diluted earnings per share are $4.77 to $4.92.

What share count and exclusions underpin Fabrinet's second-quarter earnings guidance?

Fabrinet's second-quarter GAAP and non-GAAP diluted earnings guidance uses approximately 36.2 million fully diluted shares outstanding. Non-GAAP diluted earnings guidance excludes share-based compensation expenses and certain non-recurring items.