Companies /Technology

Fabrinet

NYSE: FN Electronic Components
$432.71
▼ $5.09 (−1.16%) today
Markets closed · 5:03am ET

Q1 2026 Earnings

Reported Nov 3, 2025, 4:21pm ET · SEC source
$2.92
Beat +3.59%
EPS · est. $2.82
$978.1M
Beat +4.61%
Revenue · est. $935.0M
+2.6%
Beating market
FN vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0+4%Nov 3Nov 4report 4:21pm ETearnings−1.5%−3.5%
−8%−4%0+4%Nov 3Nov 4earnings−1.5%−3.5%
FN −3.5%S&P 500 −1.5%
−8%−4%0+4%Nov 3Nov 4report 4:21pm ETearnings−2.6%−3.5%
−8%−4%0+4%Nov 3Nov 4earnings−2.6%−3.5%
FN −3.5%NASDAQ −2.6%
−8%−4%0Nov 3Nov 11report 4:21pm ETearnings−0.0%−6.9%
−8%−4%0Nov 3Nov 11earnings−0.0%−6.9%
FN −6.9%S&P 500 −0.0%
−8%−4%0Nov 3Nov 11report 4:21pm ETearnings−1.6%−6.9%
−8%−4%0Nov 3Nov 11earnings−1.6%−6.9%
FN −6.9%NASDAQ −1.6%
+3.75%
Day of report
+5.94%
Next session
−2.24%
One week
+4.10%
30 days

S&P 500 over the same 30 days: +1.55%.

Did FN Beat Earnings? Q1 2026 Results

Fabrinet kicked off fiscal 2026 with an outstanding first quarter, posting revenue of $978.13 million, up 21.6% year over year and ahead of the $935.04 million consensus by 4.61%, while non-GAAP diluted EPS of $2.92 cleared the $2.82 estimate by 3.59%. The results were driven by a confluence of strong telecom demand, an earlier-than-expected contribution from new High-Performance Computing revenue streams, and a smaller sequential decline in datacom than the market had anticipated, a combination CEO Seamus Grady described as "outstanding." Operating cash flow rose to $102.57 million from $83.18 million a year earlier, reflecting the quality of the earnings beat, and growing institutional interest in the stock underscores the market's attention on Fabrinet's trajectory. Looking ahead, the company guided fiscal Q2 revenue to $1.05 billion to $1.10 billion with non-GAAP EPS of $3.15 to $3.30, signaling that management expects the momentum that defined this record quarter to accelerate further into the winter period.

Key Takeaways
  • Strong telecom performance
  • Early contribution from new High-Performance Computing (HPC) revenue
  • Smaller than anticipated sequential decline in datacom revenue
  • Strong execution translating revenue upside directly to the bottom line

“We had an outstanding first quarter with revenue of $978 million dollars, which was above our guidance range. This record result was driven by another strong telecom performance, an early contribution from new High-Performance Computing revenue, and a smaller than anticipated sequential decline in datacom revenue. With continued strong execution, our revenue upside flowed directly to the bottom line, resulting in record earnings per share that also exceeded our guidance. With multiple tailwinds, we are optimistic that we will see our growth further accelerate in the second quarter.”

Fabrinet CEO, on the earnings call

Forward Guidance & Outlook

For fiscal Q2 ending December 26, 2025, Fabrinet expects revenue of $1.05 billion to $1.10 billion, GAAP diluted EPS of $2.91 to $3.06, and non-GAAP diluted EPS of $3.15 to $3.30, based on approximately 36.2 million fully diluted shares outstanding. The CEO expressed optimism that growth will further accelerate in the second quarter, citing multiple tailwinds.

FN YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$300.0M$600.0M$900.0M$804.2M$978.1MRevenue$99.0M$116.4MGross Profit$76.9M$94.2MOperating Income$77.4M$95.9MNet Income
$0$300.0M$600.0M$900.0MRevenueGross ProfitOperating IncomeNet Income

Figures from SEC filings and company reports. Not investment advice.