Sanmina Corp
Q2 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.29%.
Did SANM Beat Earnings? Q2 2026 Results
Sanmina delivered a blowout second quarter for fiscal 2026, posting non-GAAP diluted EPS of $3.16 against a consensus estimate of $2.40, a beat of 31.80%, while revenue of $4.01 billion exceeded the $3.27 billion estimate by 22.78% and more than doubled the year-ago period's $1.98 billion for a 102.3% year-over-year gain. The standout driver was the recently acquired ZT Systems business, whose accelerated compute shipments were pulled forward from the second half of the year into Q2, causing results to significantly exceed even internal expectations; core Sanmina, excluding ZT Systems, also contributed with 7.3% organic growth. Non-GAAP operating margin expanded to 6.4% from 5.6% a year ago, and free cash flow reached $342.14 million, enabling $159.45 million in share repurchases. Despite the strong quarter, a cluster of insider sales following the report added a note of caution for some observers. Looking ahead, management raised full-year fiscal 2026 guidance to revenue of $13.70 billion to $14.30 billion and non-GAAP EPS of $10.75 to $11.35, while Q3 guidance of $3.20 billion to $3.50 billion in revenue reflects the Q2 pull-forward effect.
- ZT Systems revenue significantly exceeded expectations with pull-forward of accelerated compute shipments from second half to Q2
- Core Sanmina grew 7.3% year-over-year
- Strong execution and customer demand in cloud and AI infrastructure
- Net working capital improvement of $120.2 million contributing to strong operating cash flow
“We delivered great results for the second quarter. Revenue, non-GAAP operating margin and non-GAAP diluted EPS all exceeded our outlook.”
Sanmina CEO, on the earnings call
Forward Guidance & Outlook
For Q3 fiscal 2026, Sanmina expects revenue between $3.2 billion and $3.5 billion, non-GAAP operating margin between 6.4% and 6.9%, and non-GAAP diluted EPS between $2.55 and $2.85. For full fiscal year 2026, the company expects revenue between $13.7 billion and $14.3 billion, non-GAAP operating margin between 6.3% and 6.6%, and non-GAAP diluted EPS between $10.75 and $11.35. Management noted that ZT Systems shipments were pulled forward into Q2, which contributed to the sequential step-down in Q3 guidance.
SANM YoY Financials
Figures from SEC filings and company reports. Not investment advice.