Full Year · Fiscal year 2026 · Published by Pham Hop
Jabil's fiscal 2026 revenue rose 20.6% to $35.95B and core EPS 34% to $13.09, beating guidance on AI-infrastructure demand; it guides FY2027 to $44.5B revenue, but cash flow leaned on supplier credit.
Revenue
$36.0B
+20.6% YoY
Net income
$1.0B
+58.6% YoY
Diluted EPS
$9.75
+64.7% YoY
Operating margin
4.7%
This period vs a year ago
Same period last year
This period
Revenue▲+20.6%
≈$29.8B
$36.0B
Net income▲+58.6%
≈$657M
$1.0B
Diluted EPS▲+64.7%
≈$5.92
$9.75
Year-ago figures (≈) are worked out from the growth rate the company reported. Each row has its own scale.
How JBL compares with Information Technology peers
JBL
Peer median
Each peer (hover for name)
Revenue growth (YoY)+20.6% · median +22.1% · 33rd of 63
Jabil builds products for other companies: it runs the factories, supply chains and engineering behind data-center server racks and networking gear, car electronics, medical devices and consumer products. For its fiscal year ended August 31, 2026, revenue rose 20.6% to $35.95 billion and GAAP diluted earnings per share rose 64.7% to $9.75. The fourth quarter (June–August 2026) was the strongest of the year: revenue grew 28.6% to $10.6 billion, ahead of the top of management's own range. The CEO credited "significant growth in AI infrastructure" plus "strong performance across several other end markets," and guided to another 24% of revenue growth in fiscal 2027.
$35.95B revenue, up 20.6% — about $6.2 billion more sales than fiscal 2025, beating the $35B management guided to in June.
Core EPS $13.09, up 34.3% — Jabil's own adjusted profit per share; the GAAP figure (up 64.7%) is flattered by large one-off losses in the prior year, so this is the cleaner growth rate.
$1.53B adjusted free cash flow, up 16.2% — cash left after capital spending grew more slowly than profit, and it leaned on Jabil paying its suppliers more slowly.
This report is based on Jabil's preliminary, unaudited earnings release (Form 8-K, Exhibit 99.1, filed September 30, 2026). The annual report (Form 10-K) has not been filed yet, so segment results and management's detailed explanations of what drove each line are not available; they are noted below where they matter.
Fiscal 2026 results
"Core" figures are Jabil's own adjusted measures: they remove amortization of acquired intangibles, stock-based compensation, restructuring charges, gains or losses on selling businesses, and acquisition costs. Operating margin is the share of revenue left after the costs of running the business, before interest and tax.
EPS growth (YoY)+64.7% · median +37.7% · 21st of 56
≤ -25.9%≥ +428.6%
Rank 1 = fastest revenue growth, highest operating margin, fastest EPS growth. Peers are the other Information Technology companies with a 2026 report on this site, each at its latest period we've analyzed; fiscal calendars differ, so periods are not always the same months.
+20.6%
Gross margin
9.2%
8.9%
+0.3 pts
Operating income (GAAP)
$1,704M
$1,182M
+44.2%
Operating margin (GAAP)
4.7%
4.0%
+0.7 pts
Core operating income (non-GAAP)
$2,069M
$1,620M
+27.7%
Core operating margin (non-GAAP)
5.8%
5.4%
+0.4 pts
Net income attributable to Jabil (GAAP)
$1,042M
$657M
+58.6%
Diluted EPS (GAAP)
$9.75
$5.92
+64.7%
Core diluted EPS (non-GAAP)
$13.09
$9.75
+34.3%
Operating cash flow
$2,002M
$1,640M
+22.1%
Adjusted free cash flow (non-GAAP)
$1,532M
$1,318M
+16.2%
Diluted shares
106.9M
110.9M
−3.6%
Jabil works on thin margins by design: it keeps about 9 cents of gross profit per dollar of sales because much of what it sells is the cost of parts it buys and assembles for customers. That makes the margin line more telling than the revenue line. Gross margin improved by 0.3 points and selling, general and administrative costs stayed at 3.4% of revenue in both years, so most of the core-margin gain came from making slightly more on each dollar produced, not from cutting overhead relative to sales. The larger GAAP margin gain also reflects smaller one-off charges (see below).
The fourth quarter
Metric
Q4 FY2026
Q4 FY2025
YoY Change
Net revenue
$10,616M
$8,252M
+28.6%
Operating margin (GAAP)
5.7%
4.1%
+1.6 pts
Core operating margin (non-GAAP)
6.4%
6.3%
+0.1 pts
Net income attributable to Jabil (GAAP)
$398M
$218M
+82.6%
Diluted EPS (GAAP)
$3.76
$1.99
+88.9%
Core diluted EPS (non-GAAP)
$4.40
$3.29
+33.7%
The quarter's growth was in volume, not in margin. Core operating margin barely moved (6.4% vs 6.3%), and gross margin was 9.4% against 9.5% a year earlier. Core operating income rose 30.1% to $675M, roughly in line with revenue. The 1.6-point jump in GAAP operating margin is almost entirely a comparison effect: the prior-year quarter carried a $98M loss from divesting businesses, mainly a $97M pre-tax loss on selling Jabil's operations in Italy, which does not recur.
Where the growth came from
The release gives no segment breakdown and no dollar figure for AI-related revenue. Jabil reports three segments: Intelligent Infrastructure (cloud and data-center hardware, networking, capital equipment), Regulated Industries (automotive, healthcare, energy infrastructure) and Connected Living & Digital Commerce (consumer devices and warehouse/retail automation). Their full-year results will appear in the 10-K. What the release does say:
The CEO attributes the year to "significant growth in AI infrastructure" and "strong performance across several other end markets," and says Jabil "brought critical new capacity online."
For fiscal 2027 he describes "accelerating AI demand complemented by solid growth in automotive, healthcare, energy infrastructure, defense and aerospace, and warehouse and retail automation."
Acquisitions added to the year. Jabil paid $852M in cash for businesses in fiscal 2026, mainly Hanley Energy Group (data-center power and energy-management equipment, bought in January 2026) and Rebound Technologies. Goodwill and intangibles rose to $1,828M from $1,114M, and intangible amortization rose to $89M from $62M. The release does not separate acquired revenue from organic growth (growth from businesses Jabil already owned), so some of the 20.6% is bought rather than grown.
Our Q3 report showed Intelligent Infrastructure produced about 89% of the increase in core operating income in that quarter. Nothing in this release suggests that pattern changed, but it cannot be confirmed until the 10-K is filed.
Takeaway: Jabil beat every number it guided to for fiscal 2026 and finished with a $10.6B quarter, yet the fourth quarter's core margin was flat on a year earlier. The gain was in volume, not in profit per dollar. The year's cash flow depended on supplier credit: payables and accrued expenses supplied $8.0B of operating cash, enough to cover the entire $7.8B build-up in receivables, inventory and other current assets. The fiscal 2027 plan (24% more revenue, only about 4% more free cash flow) assumes that pattern continues.
What the headline numbers hide
GAAP growth is inflated by last year's one-offs. GAAP EPS rose 64.7% but core EPS rose 34.3%. The gap comes mostly from fiscal 2025 items that did not repeat: a $53M net loss from divestitures (the $97M Italy loss partly offset by a $54M gain from adjustments on the earlier sale of the Mobility business), a $46M impairment of a preferred-stock investment, $8M of hurricane-related costs, and restructuring charges of $181M versus $97M this year. Total adjustments between GAAP and core operating income fell to $365M from $438M, even as stock-based compensation ($140M vs $107M) and intangible amortization ($89M vs $62M) rose. For the underlying earnings trend, use the 34% core figure.
Buybacks added about 5 points of EPS growth. Jabil spent $1,060M repurchasing shares, cutting the diluted share count 3.6% to 106.9M. Core earnings (core profit in dollars) rose 29.3% to $1,399M, and spreading them over fewer shares lifts per-share growth to 34.3%. Tax did not help: the GAAP effective tax rate was 26.1% versus 26.3%. Interest and other costs rose to $296M from $244M, a small drag.
Cash conversion depended on supplier credit. Operating cash flow of $2,002M was almost twice net income, but the working-capital lines show how it was assembled. Receivables absorbed $2,394M of cash, inventory $2,681M, and prepaid expenses and other current assets $2,538M. Payables and accrued expenses covered all of it, contributing $7,984M (these cash-flow figures exclude balances taken on through acquisitions). On the balance sheet, receivables rose 61% and inventory 58%, against revenue growth of 21% for the year and 29% in Q4. "Prepaid expenses and other current assets" more than doubled to $4,559M from $2,010M; the release does not explain this, and the 10-K should. Supplier financing like this can unwind if suppliers tighten terms or growth slows.
Free cash flow grew more slowly than profit. Adjusted free cash flow (operating cash flow minus net spending on plants and equipment) rose 16.2% to $1,532M. Net capital spending rose to $470M from $322M as Jabil added capacity. Capital spending (net of asset sales) was about 1.3% of revenue, and the Q3 10-Q pointed to 1.5–2.0% in fiscal 2027. The fiscal 2027 free-cash-flow target of about $1.6B is only about 4% above this year.
The balance sheet is thin on equity. Years of buybacks have taken treasury stock to $9.0B, leaving just $1,613M of shareholders' equity against $27.4B of assets. Total debt rose to $3,379M from $2,885M, while cash fell to $1,739M. That does not mean the company is in trouble: debt is about 1.6 times core operating income. But the asset base has grown far faster than equity, and most of that growth is owed to suppliers.
Did last time's read hold up?
In our Q3 report we flagged three things to check in the full-year numbers. First, whether revenue would reach the roughly $9.7B Q4 implied by guidance. It came in at $10.6B, above even the top of the $9.2–10.0B range. Core EPS of $4.40 beat the $3.80–4.20 range, and GAAP EPS of $3.76 beat the $3.24–3.64 range. Every full-year target was beaten: revenue of $36.0B versus $35B, core EPS of $13.09 versus $12.70, free cash flow of $1.53B versus "$1.4B+", with core margin exactly at the 5.8% target. Q4 free cash flow was about $541M (full year minus the nine-month $991M), above the roughly $410M the targets implied.
Second, we asked whether the payables build would reverse. It did not. Payables grew further, and the full-year cash flow statement shows payables and accruals as the single largest source of operating cash. Third, the Intelligent Infrastructure slowdown and Connected Living's profit decline. Neither can be checked yet, because the release has no segment data. The size of the Q4 beat and the CEO's AI comments suggest data-center demand did not fade.
Outlook
Management's guidance from the release:
Guidance
Figure
Q1 FY2027 revenue
$10.6–11.4 billion
Q1 FY2027 GAAP diluted EPS
$2.78–3.18
Q1 FY2027 core diluted EPS (non-GAAP)
$3.80–4.20
FY2027 revenue
$44.5 billion (+24%)
FY2027 core operating margin
6.1% (+0.3 pts)
FY2027 core diluted EPS
$17.55 (+34%)
FY2027 adjusted free cash flow
~$1.6 billion
The first-quarter range is centered on $11.0B of revenue, roughly flat to modestly up on Q4's $10.6B, with core EPS of $3.80–4.20 versus Q4's $4.40. The release does not explain the lower EPS range, but it means the 24% full-year target needs growth to build later in the year. Q1 GAAP guidance includes $25M of restructuring charges, so cost-cutting charges are continuing into fiscal 2027.
Our view: fiscal 2026 showed Jabil can grow volume fast on the back of data-center demand while lifting margins a little each year: core margin went from 5.4% to 5.8%, with 6.1% targeted next. The weak spot is cash. Revenue is guided up 24% while free cash flow is guided up about 4%, and this year's cash generation depended on $8.0B of cash from payables and accruals. In the 10-K, look for three things: segment results showing how concentrated growth is in Intelligent Infrastructure, what is behind the $2.5B jump in "prepaid expenses and other current assets", and days-payable figures showing whether supplier terms stretched further after the 135 days reported at Q3. Customer concentration is also high: at Q3, Jabil's five largest customers made up about 36% of revenue. A pause by one large cloud or AI-hardware customer would hit both growth and that supplier-funded working capital at the same time.
Figures are from Jabil's preliminary, unaudited fiscal Q4 and full-year 2026 earnings release (Form 8-K, Exhibit 99.1, filed September 30, 2026). Comparisons to Q3 are from our previously published report based on the Q3 Form 10-Q. The fiscal 2026 Form 10-K had not been filed at the time of writing.