FLEX 10-K & 10-Q changes, risk factors and insider trading
Flex Ltd. · Nasdaq · Printed Circuit Boards · CIK 866374 · All filings on SEC.gov
At a glance
What changed in the latest 10-K
Risk Factors
New heading “Customer order cancellations, production changes, and demand variability could adversely affect our business.”
New heading “Investments in our Cloud and Power Infrastructure businesses may adversely affect our margins, and demand for these offerings is subject to factors outside our control.”
New heading “We may incur significant losses if customer-specific capital equipment becomes impaired or obsolete.”
New heading “Supply chain disruptions and demand forecasting failures have in the past adversely affected, and could in the future adversely affect, our ability to meet customer demand, and lead to higher costs, or result in excess or obsolete inventory.”
New heading “A breach of our IT or physical security systems, or a cybersecurity incident affecting our operations, products, or third parties upon which we rely, could materially disrupt our business, damage our reputation, and expose us to significant costs and liability.”
New heading “Risks and uncertainties related to the development and use of AI could harm our business, damage our reputation, or give rise to legal or regulatory action.”
New heading “We must attract, develop and retain key employees, and failure to do so could harm our business.”
New heading “Planned Spin-off Risks”
New heading “The planned spin-off of our Cloud and Power Infrastructure businesses may not be completed on the terms or timeline currently contemplated, if at all, and there is no guarantee that the spin-off, if completed, will achieve the intended financial, strategic, and operational benefits.”
New heading “Our industry is highly competitive, and customers may in-source production or modify sourcing strategies; our Cloud and Power Infrastructure businesses are subject to rapid technological change which requires that we make continuing investments to remain competitive.”
New heading “Changes in our effective tax rate, the adoption of new tax legislation, or exposure to additional tax liabilities has in the past adversely affected, and could in the future adversely affect, our results of operations and financial condition.”
New heading “Changes in our credit rating or capital market conditions may limit our access to financing or increase our borrowing costs.”
New heading “Fluctuations in foreign currency exchange rates could increase our operating costs and adversely affect our results of operations.”
New heading “Our exposure to financially troubled customers or suppliers has in the past adversely affected, and could in the future adversely affect, our results of operations.”
New heading “Failure to effectively manage working capital could adversely affect our cash flow, liquidity, and results of operations.”
New heading “Our business could be impacted as a result of actions by activist shareholders, negative publicity, or other reputational harm.”
New heading “Our goodwill and identifiable intangible assets could become impaired, which could adversely affect our financial condition and results of operations.”
New heading “Risks related to the Nextracker separation could adversely affect our business, financial condition, and results of operations.”
New heading “Tariffs, trade restrictions, export controls, and changes in trade policy, including heightened trade volatility and uncertainty regarding trade agreements, have in the past adversely affected, and could in the future adversely affect, our business, results of operations, and financial condition.”
New heading “Litigation, investigations, or enforcement actions could result in significant liabilities, operational restrictions, and reputational harm.”
New heading “We are subject to complex and evolving trade policies, export controls, and sanctions, and failure to comply or adapt to changes in these regimes could restrict our business or result in significant penalties.”
New heading “Evolving regulations relating to data center development, energy consumption, and utility infrastructure could adversely affect demand for our products and services.”
New heading “Our compliance program may not prevent violations of anti-corruption and related laws, which could result in severe penalties, business restrictions, and reputational harm.”
New heading “Defects or failures in our products, manufacturing processes, or design and engineering services could expose us to product liability, warranty claims, contractual penalties, and reputational harm.”
New heading “We may not meet regulatory quality standards applicable to our manufacturing and quality processes for medical devices, which could have an adverse effect on our business, financial condition, and results of operations.”
New heading “Failure to comply with domestic or international employment and related laws and regulations could adversely affect our business and financial performance.”
New heading “Evolving sustainability expectations and related disclosure regimes may increase costs, create legal exposure, and adversely impact our operations, talent attraction, and access to capital.”
New heading “Climate change regulation could disrupt our operations and supply chain and increase our costs.”
Removed heading “Our customers have in the past and may in the future cancel their orders, change production quantities or locations, or delay production, any of which could harm our business; the short-term nature of our customers’ commitments and rapid changes in demand have in the past caused, and may in the future cause, supply chain and other issues which could adversely affect our operating results.”
Removed heading “Supply chain disruptions, logistical constraints, manufacturing interruptions or delays, or the failure to accurately forecast customer demand, have in the past affected, and may in the future affect, our ability to meet customer demand, lead to higher costs, or result in excess or obsolete inventory.”
Removed heading “Our business has in the past been, and may in the future be, adversely affected by delays and increased costs resulting from issues that our common carriers deal with in transporting our materials, our products, or both.”
Removed heading “Our components business is dependent on our ability to quickly launch world-class component products, and our investment in the development of our component capabilities, together with start-up and integration costs, has in the past adversely affected, and may in the future adversely affect, our margins and profitability.”
Removed heading “A breach of our IT or physical security systems, or violation of data privacy laws, may cause us to incur significant legal and financial exposure and adversely affect our operations.”
Removed heading “We depend on our executive officers and other key employees and skilled personnel.”
Removed heading “There are risks associated with the separation of Nextracker, which could negatively impact our business, financial condition and results of operations.”
Removed heading “If the Nextracker spin-off fails to qualify for tax-free treatment, we, our subsidiaries and our former shareholders could incur significant tax liabilities.”
Removed heading “Our industry is extremely competitive; if we are not able to continue to provide competitive products and services, we may lose business. In addition, our customers may decide to manufacture their products internally, which could harm our business.”
Removed heading “We are subject to the risk of increased income taxes.”
Removed heading “Changes in our credit rating may make it more expensive for us to raise additional capital or to borrow additional funds. We are also exposed to interest rate fluctuations on our borrowings and investments.”
Removed heading “Challenges in managing working capital could significantly impact our cash flow, profit margins, and overall business performance.”
Removed heading “Our exposure to financially troubled customers or suppliers has in the past adversely affected, and may in the future adversely affect, our financial results.”
Removed heading “Our goodwill and identifiable intangible assets could become impaired, which could reduce the value of our assets and reduce our net income in the year in which the write-off occurs.”
Removed heading “Fluctuations in foreign currency exchange rates could increase our operating costs.”
Removed heading “We are subject to risks relating to litigation and regulatory investigations and proceedings, which may have a material adverse effect on our business.”
Removed heading “Exports and imports of certain of our products are subject to various export control, sanctions, and import regulations and may require authorization from regulatory agencies of the U.S. or other countries.”
Removed heading “The success of certain of our activities depends on our ability to protect our intellectual property rights; claims of infringement or misuse of intellectual property and/or breach of license agreement provisions against our customers or us could harm our business.”
Removed heading “If our compliance policies are breached, we may incur significant legal and financial exposure.”
Removed heading “If our products or components contain defects, demand for our services may decline, our reputation may be damaged, and we may be exposed to product liability and product warranty liability.”
Removed heading “We may not meet regulatory quality standards applicable to our manufacturing and quality processes for medical devices, which could have an adverse effect on our business, financial condition or results of operations.”
Removed heading “Failure to meet sustainability, including environmental, social and governance expectations or standards, or to achieve our sustainability goals, may have an adverse impact on our business, impose additional costs on us, and expose us to additional risks.”
Removed heading “Our business could be impacted as a result of actions by activist shareholders or others.”
Largest changes
“Changes in U.S. and foreign government policies, including those relating to trade, sanctions, information security, data privacy, national security, and foreign investment, may affect the attractiveness of our services to customers and our ability to conduct business with certain customers or suppliers. We have significant operations in China, which have been, and could continue to be, affected by evolving laws, regulations, and geopolitical developments involving China. We could be subject to reputational harm if any of our customers, former customers or vendors were subject to U.S. …”see in full comparison
“We are, from time to time, subject to claims, lawsuits, investigations, and regulatory or administrative proceedings across the jurisdictions where we operate. These matters may involve commercial disputes, regulatory compliance, intellectual property, antitrust, product liability, employment and labor, privacy and data protection, securities laws, governance, and tax. …”see in full comparison
“Any actual or perceived failure to comply with applicable data privacy or cybersecurity laws, related contractual obligations, or other data protection standards, whether by us, a third-party service provider, or another party, could result in government inquiries, regulatory investigations, significant fines and penalties, orders to cease or modify our data practices, damages for contract breach, and civil litigation, as well as harm to our reputation and market position. …”see in full comparison
Our ability to monitor third parties' information security practices is limited, supply chain attacks have increased in frequency and severity, and we cannot guarantee that third parties, including cloud or hosted solution providers, have not been compromised or that their systems are free from exploitable defects. We are subject to, and at times havesee in full comparisonsuffered from,experienced, breaches or attempted breaches of our securitysystemssystems, which have in the past resulted, andmaycould in the futureresultresult, in unauthorized access to ourfacilitiesfacilities,and/orsystems,unauthorizedassets,acquisition, useinventory, ortheftinformation.ofTherethecanassets,beinventoryno assurance that our security measures will be sufficient to prevent a material breach orinformation we are trying to protect.compromise. If unauthorized parties gain physical access to our facilities, operations, assets, or inventory, orinformation or if they gainelectronic access to our informationsystemssystems, or if such facilities,operations,assets,inventoryinventory, or information are used in an unauthorized manner, misdirected, or lost or stolen during transmission or transport, anytheft or misuse ofsuchoperations, assets, inventory or informationincident could result in, among other things, unfavorable publicity, loss of competitive advantage, governmental inquiry and oversight,difficulty in marketing and selling our products and services, increased security and compliance costs,significant costs related to rebuilding internal systems, higher insurance premiums, allegations by our customers that we have not performed our contractual obligations, litigation by affectedparties including our customersparties, andpossibleregulatoryfinancialfines, penalties,finesandor obligations for damages related to the theft or misuse of such assets, inventory or information,damages, any of which could have a material adverse effect on our profitability and cash flows.Further, third parties, such as cloud or hosted solution providers, could beFor asourcediscussion ofrisktheinregulatory and legal compliance risks associated with data privacy and cybersecurity laws, including theeventpotential for government enforcement actions, regulatory penalties, and civil litigation arising from the handling ofapersonalfailuredata,ofseetheir own systems"Legal andinfrastructureRegulatoryor could experience their own privacy or security event which could create risks similar to those described above. Moreover, we may be required to invest significant additional resourcesRisks—Failure to comply withevolvingdata privacy and cybersecurityregulations,lawsincludingandrelatedregulations could expose us toartificialgovernmentintelligence,enforcement, significant penalties, civil litigation, andtoreputationalmodify and enhance our information systems, information security and controls, and to investigate and remediate any security vulnerabilities.harm."
We regularly face attempts by sophisticated and malicious actors to gain unauthorized access to our information systems, includingsee in full comparisonthoseattempts using techniques that changefrequently orfrequently, may bedisguised ordifficult todetectdetect,andor may remain dormant until a triggeringeventevent.orThreatthatactors maycontinue undetected for an extended period of time. They may attemptseek togainaccesstoour networks, datacenterscenters, or cloudresources -resources, including those managed by thirdparties -parties, or those of our customers,vendorsvendors, or end users; steal proprietary information related to our business, products, employees, and customers; orinterruptdisrupt our systems,operationsoperations, services, orservicesproducts (including software and firmware embedded in our products), or those of ourcustomers,third-partyvendorsserviceorproviders.others.The increasingly connected nature of our products and systems expands our potential attack surface. We believe such attempts are increasing in number and in technicalsophistication,sophistication.includingAIthroughtechniques may also be utilized by threat actors to increase theusenumber and technical sophistication ofadversarialsuchartificialattemptedintelligence techniques, which, if we are subject to, could have material adverse effects.breaches. Due to increasingglobalgeopolitical tensions and conflicts, including involving China, theongoingconflictsRussia/in Ukraineconflict,andandthe Middle East, including the conflict intheIsraelMiddleandEast,recent U.S. military operations in Iran, we and the third parties upon which we rely may be vulnerable to acurrentlyheightened risk ofinformation technology breaches, computer malware, ransomware or other cyber attacks,cyberattacks, includingattacksretaliatory acts of cyberwarfare by state-sponsored actors that could materially disrupt our systems and operations, supplychainchain, and ability to provide our products and services.
Due to the global nature of our business, we are subject to a complex system of import- and export-related laws andsee in full comparisonregulations, including a range ofregulations in theUnited StatesU.S. and othercountries.countries,Non-complianceincludingwitheconomic sanctions administered by the U.S. Department of the Treasury's Office of Foreign Assets Control and similar regimes in other jurisdictions. Our products, services, and technology are regulated by theselawstrade control andregulationscustomsbyregimesus,andourincustomers,some cases require licenses orourothersuppliers can result in a wide range of penalties including the denial of export privileges, fines, criminal penalties, and the seizure of inventories. Moreover, any changes in export control, sanctions, or import regulations may further restrict the export or import of our products or services.authorizations. Our ability to obtainrequiredand maintain such licenses and authorizations on a timely basis, or at all, is subject to risks and uncertainties, including changing laws, regulations,orforeignpoliciespolicies, and geopolitical factors.IfNon-compliancewebyareus,notoursuccessfulcustomers, or our suppliers can result inobtainingdenial of export privileges, fines, criminal penalties, administrative sanctions, seizure of inventory, import detention, and loss of business. Delays ormaintainingdenialsthe necessaryof licensesorcanauthorizations in a timely manner, our sales relating to those approvals may be preventedprevent ordelayed,defer sales, and previously recognized revenue and profitpreviouslymayrecognizedneedmayto be reversed. Moreover, we could be subject to reputational harm if any of our customers, former customers, or vendors were subject to U.S. sanctions or conducted business with sanctioned countries. Any restrictions on the export or import of our products could have a material adverse effect on our competitive position, results of operations, financial condition, or liquidity.
Full comparison: every changed paragraph (310)
Our business, financial condition, results of operations and prospects are subject to various risks and uncertainties, including those described below. You should carefully consider the following risks and all of the other information contained in this report, including our consolidated financial statements and related notes, before investing in any of our securities. The risks and uncertainties described below reflect management’s beliefs as to material risks and are not the only onesrisks we face. Additional risks and uncertainties that we are unaware of, or that we currently believe are not material, may also become important factors that materially adversely affect our business. If any of the following risks, or other risks and uncertainties that are not yet identified or that we currently think are immaterial, actually occur, our business, financial condition, results of operations and prospects could be materially and adversely affected. In that event, the market price of our ordinary shares could decline. References to past events are provided by way of example only. We may amend, supplement or add to the risk factors described below from time to time in future reports filed with the SEC.
The following is a summary of the principal risks and uncertainties that management believes could materially adversely affect our business, financial condition, results of operations and prospects. You should read this summary together with the more detailed description of each risk factor contained below.
•Global economic conditions,conditions including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs,and geopolitical uncertainty and instability in financial markets have in the past adversely affected, and maycould in the future adversely affect, our business, results of operations, financial condition, and access to capital markets.
•The planned spin-off of our Cloud and Power Infrastructure businesses may not be completed on the terms or timeline currently contemplated, if at all, and involves significant costs and risks.
•The recently announced U.S. tariffs, together with other countries’ potential retaliatory tariffs and import/export restrictions, may materially increase our product input costs and negatively affect global economic conditions contracting customer demand. To the extent we are unsuccessful in passing tariff costs to some customers, our results of operations and cash flows would be negatively impacted.
•We depend on industries that continually produce technologically advanced products with short product lifecycles and our business would be adversely affected if our customers' products are not successful or if our customers lose market share.
•Our customers have in the past and may in the future cancel their orders, change production quantities or locations, or delay production, any of which could harm our business; the short-term nature of our customers’ commitments and rapid changes in demand have in the past caused, and may in the future cause, supply chain and other issues which could adversely affect our operating results.
•ATariffs, significanttrade percentagerestrictions, ofexport our sales comes from a small number of customerscontrols, and a declinechanges in salestrade topolicy, anyincluding ofheightened ourtrade largestvolatility customersand hasuncertainty regarding trade agreements, have in the past adversely affected, and maycould in the future adversely affect, our business.business, results of operations, and financial condition.
•Customer order cancellations, production changes, and demand variability could adversely affect our business.
•A significant percentage of our sales come from a small number of customers and a decline in sales to any of our largest customers has in the past adversely affected, and could in the future adversely affect, our business, results of operations, cash flows, and financial condition.
•Investments in our Cloud and Power Infrastructure businesses may adversely affect our margins, and demand for these offerings is subject to factors outside our control.
•We may incur significant losses if customer-specific capital equipment becomes impaired or obsolete.
•Supply chain disruptions,disruptions logisticaland constraints,demand manufacturingforecasting interruptions or delays, or the failure to accurately forecast customer demand,failures have in the past adversely affected, and maycould in the future adversely affect, our ability to meet customer demand, and lead to higher costs, or result in excess or obsolete inventory.
•We depend on industries that produce products that are subject to rapid technological change and short product lifecycles.
•Our industry is highly competitive, and customers may in-source production or modify sourcing strategies; our Cloud and Power Infrastructure businesses are subject to rapid technological change which requires that we make continuing investments to remain competitive.
•Our business has in the past been, and may in the future be, adversely affected by delays and increased costs resulting from issues that our common carriers deal with in transporting our materials, our products, or both.
•Our industry is extremely competitive; if we are not able to continue to provide competitive products and services, we may lose business. In addition, our customers may decide to manufacture their products internally, which could harm our business.
•We conduct operations in a number of countries and are subject to the risks inherent in international operations.
•Our components business is dependent on our ability to quickly launch world-class component products, and our investment in the development of our component capabilities, together with start-up and integration costs, has in the past adversely affected, and may in the future adversely affect, our margins and profitability.
•Our margins and profitability have in the past been, and maycould in the future be, adversely affected due to substantial investments, start-up and production ramp costs in our design and engineering services.
•We conduct operations in a number of countries and are subject to risks inherent in global operations.
•A breach of our IT or physical security systems, or a cybersecurity incident affecting our operations, products, or third parties upon which we rely, could materially disrupt our business, damage our reputation, and expose us to significant costs and liability.
•Risks and uncertainties related to the development and use of artificial intelligence ("AI") could harm our business, damage our reputation, or give rise to legal or regulatory action.
•A breach of our IT or physical security systems, or violation of data privacy laws, may cause us to incur significant legal and financial exposure and adversely affect our operations.
•We must attract, develop and retain key employees, and failure to do so could harm our business.
•We are subject to risks relating to our dependence on our executive officers and other key employees and skilled personnel.
•We are subject to the risk of increased income taxes.
•We are subject to risks relating to litigation and regulatory investigations and proceedings, which may have a material adverse effect on our business.
•Exports and imports of certain of our products are subject to various export control, sanctions, and import regulations and may require authorization from regulatory agencies of the U.S. or other countries.
•There are risks associated with the separation of Nextracker, which could negatively impact our business, financial condition and results of operations.
•If the Nextracker spin-off fails to qualify for tax-free treatment, we, our subsidiaries and our former shareholders could incur significant tax liabilities.
•Evolving regulations relating to data center development, energy consumption, and utility infrastructure could adversely affect demand for our products and services.
•Changes in our effective tax rate, the adoption of new tax legislation, or exposure to additional tax liabilities has in the past adversely affected, and could in the future adversely affect, our results of operations and financial condition.
•Changes in our credit rating or capital market conditions may limit our access to financing or increase our borrowing costs.
•Fluctuations in foreign currency exchange rates could increase our operating costs and adversely affect our results of operations.
•Our exposure to financially troubled customers or suppliers has in the past adversely affected, and could in the future adversely affect, our results of operations.
•Failure to effectively manage working capital could adversely affect our cash flow, liquidity, and results of operations.
•The market price of our ordinary shares is volatile.
•Our business could be impacted as a result of actions by activist shareholders or other reputational harm.
•Our goodwill and identifiable assets could become impaired.
•Risks related to the Nextracker separation could adversely affect our business.
•We are subject to risks associated with investments.
•Changes in accounting standards or management estimates could materially affect our financial results.
•Litigation, investigations, or enforcement actions could result in significant liabilities, operational restrictions, and reputational harm.
•We are subject to complex and evolving trade policies, export controls and sanctions.
•Failure to comply with data privacy and cybersecurity laws and regulations could expose us to government enforcement, significant penalties, civil litigation, and reputational harm.
•Inadequate protection of our intellectual property and exposure to third-party intellectual property claims could adversely affect our business and results of operations.
•Our compliance program may not prevent violations of anti-corruption and related laws, which could result in severe penalties, business restrictions, and reputational harm.
•Defects or failures in our products, manufacturing processes, or design and engineering services could expose us to product liability, warranty claims, contractual penalties, and reputational harm.
•We may not meet regulatory quality standards applicable to our manufacturing and quality processes for medical devices, which could have an adverse effect on our business, financial condition, and results of operations.
•The success of certain of our activities depends on our ability to protect our intellectual property rights; claims of infringement or misuse of intellectual property and/or breach of license agreement provisions against our customers or us could harm our business.
•If our compliance policies are breached, we may incur significant legal and financial exposure.
•If our products or components contain defects, demand for our services may decline, our reputation may be damaged, and we may be exposed to product liability and product warranty liability.
•We may not meet regulatory quality standards applicable to our manufacturing and quality processes for medical devices, which could have an adverse effect on our business, financial condition or results of operations.
•Changes in our credit rating may make it more expensive for us to raise additional capital or to borrow additional funds. We are also exposed to interest rate fluctuations on our borrowings and investments.
•Challenges in managing working capital could significantly impact our cash flow, profit margins, and overall business performance.
•Our exposure to financially troubled customers or suppliers has in the past adversely affected, and may in the future adversely affect, our financial results.
•Fluctuations in foreign currency exchange rates could increase our operating costs.
•Failure to comply with domestic or international employment and related laws and regulations could resultadversely in the payment of significant damages, which would reduceaffect our netbusiness income.and financial performance.
•Evolving sustainability expectations and related disclosure regimes may increase costs, create legal exposure, and adversely impact our operations, talent attraction, and access to capital.
Management's Discussion & Analysis (MD&A)
New heading “Cloud and Power Infrastructure (CPI) Segment Spin-off”
New heading “Fiscal Year 2026”
Removed heading “Net income from discontinued operations”
Removed heading “Net income attributable to noncontrolling interest”
Removed heading “Fiscal Year 2024”
Largest changes
“During the fiscal year ended March 31, 2026, we recognized $51 million in asset impairments, inventory write-downs and other charges as a result of a missile strike on our Mukachevo, Ukraine facility in Western Ukraine on August 21, 2025. The missile strike represents an unusual and infrequent event as hostilities related to the Russian invasion of Ukraine have been primarily focused in Eastern Ukraine. The missile strike caused substantial physical damage and disrupted normal operations at the facility. …”see in full comparison
The U.S. tariffs initially announced in April 2025, which continue to evolve, and other countries' potential retaliatory tariffs and import/export restrictions may materially increase our product input costs and negatively affect global economicsee in full comparisonconditionsconditions, contracting customer demand. As a contract manufacturer, we expect to recover the cost of tariffs by passing tariff costs to our customers which would increase net sales, decrease operating income margins, and negatively affect operating cash flow timing as we recover paid tariffs from our customers.ToDuring theextentfiscal year ended March 31, 2026, tariff costs paid and recoveries from our customers impacted our revenues and costs of goods by approximately one percent and had a negligible impact on our profitability. If, in the future, we areunsuccessfulnoinlongerpassing tariff costsable toourfullycustomers,pass through these tariffs, our resultsoffrom operations and cash flows would be negatively impacted. On February 20, 2026, the U.S. Supreme Court struck down tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") and on April 20, 2026 the U.S. government opened a system to facilitate refunds for IEEPA tariffs paid. We are considering our options with respect to claims for refunds on tariffs paid and do not expect that any refunds received would have a material effect on Flex's financial position or performance. We will continue to monitor changes in global trade policy and employ measures to mitigate the impact of tariffs and leverage competitive opportunities. However, despite these efforts, the Company may not be able to fully mitigate the impact of changes in tradepoliciespolicies.orForanfurthereconomicinformation,downturn.referSeeto Item 1A, "Risk Factors -"GlobalTariffs,economictradeconditions,restrictions, export controls, and changes in trade policy, includinginflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates,heightened tradeconflicts,volatilitytariffs, geopoliticaland uncertaintyandregardinginstabilitytradein financial marketsagreements, have in the past adversely affected, andmaycould in the future adversely affect, our business, results of operations, and financialcondition, and access to capital markets.condition."
Component shortages experienced in the recent past have largely subsided, however logistical constraints persist which have increased freight costs. We continue to monitor potential supply chain disruptions, as a result of emerging and evolving geopolitical tensions and tariff implementations.see in full comparisonReferFor further information, refer to "Risk Factors - Supply chaindisruptions,disruptionslogisticalandconstraints,demandmanufacturingforecastinginterruptions or delays, or the failure to accurately forecast customer demand,failures have in the past adversely affected, andmaycould in the future adversely affect, our ability to meet customer demand, and lead to higher costs, or result in excess or obsoleteinventoryinventory." and "-—Global economicconditions,conditionsincluding inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs,and geopolitical uncertaintyand instability in financial marketshave in the past adversely affected, andmaycould in the future adversely affect, our business, results of operations, financial condition, and access to capital markets."
During fiscal yearsee in full comparison2025,2026, we committed to targeted restructuring activities to improve operational efficiency by reducing excess workforce capacity. As a result, we recognizedapproximately $86$87 million of restructuring charges, primarily related to employee severance. During fiscal year2024,2025, we recognizedapproximately $175$86 million of restructuring charges, also primarily related to employee severance. Additionally, in fiscal year 2026 we also recognized $51 million in impairment and other charges related to a missile strike on our Mukachevo, Ukraine facility as discussed in the Overview section above.
“Cash provided by operating activities was $1.7 billion during fiscal year 2026. The total cash provided by operating activities resulted primarily from $0.9 billion of net income for the period plus $0.9 billion of non-cash charges such as depreciation, amortization, non-cash lease expense, restructuring and impairment charges, deferred income taxes and stock-based compensation. …”see in full comparison
“Cash provided by operating activities was $1.3 billion during fiscal year 2024. The total cash provided by operating activities resulted primarily from $1.2 billion of net income for the period plus $0.3 billion of non-cash charges such as depreciation, amortization, non-cash lease expense, restructuring and impairment charges, deferred income taxes and stock-based compensation. Depreciation expense was $0.4 billion and relatively consistent with prior years. These additions were offset by a net change in our operating assets and liabilities of $0.3 billion.”see in full comparison
Full comparison: every changed paragraph (95)
You should read the following discussion and analysis of our financial condition and results of operations in conjunction with our consolidated financial statements and notes thereto included in Item 8, "Financial Statements and Supplementary Data." In addition to historical consolidated financial information, the following discussion and analysis contains forward-looking statements that involve risks, uncertainties, and assumptions. Our actual results could differ materially from those anticipated by these forward-looking statements as a result of many factors. We discuss factors that we believe could cause or contribute to these differences below and elsewhere in this report, including those set forth under Item 1A, "Risk Factors." Refer to Item 7.7, "Management's Discussion and Analysis of Financial Condition and Results of Operations" contained in our Annual Report on Form 10-K for the fiscal year ended March 31, 2024,2025, for the results of operations discussion for the fiscal year ended March 31, 2024,2025, compared to the fiscal year ended March 31, 2023.2024, other than as described below with respect to segment results from operations.
We are the advanced, end-to-end manufacturing partner of choice that helps a diverse customer base design, build, deliver and manage innovative products that improve the world. Through the collective strength of a global workforce across approximately 30 countries with responsible, sustainable operations, we deliver technology innovation, supply chain, and manufacturing solutions to diverse industries and end markets. Our full suite of specialized capabilities includes design and engineering, supply chain, manufacturing, post-production and post-sale services, and proprietary products. We partner with customers across a diverse set of industries including data center, communications, enterprise, consumer, automotive, industrial, healthcare, industrial and power. As of March 31, 2025, we report our financial performance based on two operating and reportable segments as follows:
The Company’s full suite of specialized capabilities includes design and engineering, supply chain, manufacturing, and integrated services, plus a portfolio of power and cooling products. Over time, we have built differentiated scale and expertise across both technology-driven and regulated markets, enabling us to support customers with increasingly complex product, infrastructure, and compliance requirements. We partner with customers across a diverse set of industries including data center, healthcare, industrial, automotive, communications, and lifestyle.
In the fourth quarter of fiscal year 2026, the Company changed how it reports its operating results to its Chief Operating Decision Maker (“CODM”), principally reflecting the growth of Flex’s data center‑related businesses. As a result, the Company reorganized its operating structure and established a new operating and reportable segment, Cloud and Power Infrastructure (“CPI”) and updated its former segments from Flex Agility Solutions and Flex Reliability Solutions to Integrated Technology Solutions (“ITS”) and Regulated Manufacturing Solutions (“RMS”). Certain prior‑period segment information has been recast to conform to the current presentation. The determination of the separate operating and reportable segments is based on several factors, including the nature of products and services, the nature of production processes, customer base, delivery channels and similar economic characteristics. Refer to note 1 "Organization of the Company" to the consolidated financial statements in Item 8, "Financial Statements and Supplementary Data" for further details on the segment change that took place in the fourth quarter of fiscal year 2026.
As of March 31, 2026, we report our financial performance based on three operating and reportable segments as follows
•FlexIntegrated AgilityTechnology Solutions ("FASITS"), which is comprised of the following end markets:
◦Communications, high speed networking, enterprise, and satellite communications systems ◦Lifestyle, premium products across commercial, home and personal product categories
◦Communications, Enterprise and Cloud ("CEC"), including data center, edge, and communications infrastructure ◦Lifestyle, including appliances, floorcare, smart living, HVAC, and power tools ◦Consumer Devices, including mobile and high velocity consumer devices.
•FlexRegulated ReliabilityManufacturing Solutions ("FRSRMS"), which is comprised of the following end markets:
◦Industrial, mission-critical automation, energy, and industrial infrastructure ◦Automotive, compute and power electronics platforms, and integrated systems ◦Healthcare, regulated manufacturing for medical devices, drug delivery and equipment
•Cloud and Power Infrastructure ("CPI"), which is comprised of the following end markets:
◦Industrial, including industrial devices, capital equipment, renewables, critical power, and embedded power.
◦Automotive,Cloud includingand Cooling, integrated compute platforms,systems supporting power‑dense digital infrastructure deployments, and advanced liquid cooling solutions supporting higher-density, power-intensive rack architectures ◦Power, utility and facility‑level electrical infrastructure enabling reliable, scalable power electronics, motion,delivery and interfacehigh-density ◦Health Solutions, including medical devices, medical equipment,rack- and drugboard-level deliverypower systems supporting power-intensive compute workloads In fiscal year 2025, we formally introduced the next phase in our strategic evolution, itsour EMS + Products + Services approach. This hybrid model is focused on strengthening our core manufacturing and supply chain capabilities while expanding our portfolio of proprietary products and value-added services to maximize value creation for customers. To advance this approach, we completed several strategic acquisitions in fiscal year 2025 that enhanceenhanced our differentiated portfolio to address critical data center customer challenges around power, heat and scale. These included the acquisitions of JetCool to expand direct-to-chip liquid cooling capabilities and Crown to increase critical power capabilities while adding opportunities in grid modernization. We continued with the acquisition of a power facility in Poland in fiscal year 2026 and the acquisition of Electrical Power Products in May 2026.
Cloud and Power Infrastructure (CPI) Segment Spin-off
On May 5, 2026, we announced our intention to separate our CPI segment from Flex and into an independent, publicly traded company (“SpinCo”). The separation of CPI into SpinCo will create a separate publicly traded company focused on data center power, digital infrastructure and power, thermal and compute integration. The spin-off of CPI from Flex is expected to be completed in the first quarter of calendar 2027 and is subject to certain customary conditions, including, among others, the approval of Flex’s Board of Directors, shareholders, and the High Court of the Republic of Singapore and the SEC declaring SpinCo’s Form 10 registration statement effective. Subsequent to the spin-off of CPI from Flex, Flex will continue as an advanced manufacturing and supply chain solutions business consisting of our ITS and RMS segments. There can be no assurance that any spin-off transaction will ultimately occur or, if one does occur, of its terms or timing. See Item 1A, "Risk Factors - Planned Spin-off Risks—The planned spin-off of our Cloud and Power Infrastructure businesses may not be completed on the terms or timeline currently contemplated, if at all, and there is no guarantee that the spin-off, if completed, will achieve the intended financial, strategic, and operational benefits.".
In February 2023, our former subsidiary, Nextracker, completed an initial public offering (the "IPO") of its Class A common stock followed by a follow-on offering in July 2023, after which we continued to consolidate Nextracker as an operating segment. In January 2024, we completed the Nextracker spin-off and Nextracker became a fully independent public company and we no longer consolidate Nextracker in our financial results.
On February 13, 2023, our former subsidiary, Nextracker completed an initial public offering (the "IPO") of its Class A common stock and on July 3, 2023 completed a follow-on offering to the IPO. Prior to the IPO, we maintained an 82.6% indirect ownership in Nextracker and consolidated Nextracker. Subsequent to the IPO and follow-on offering, we retained a 51.5% indirect ownership in Nextracker and continued to consolidate Nextracker and report Nextracker as an operating segment.
On January 2, 2024, we completed the previously announced Nextracker spin-off to Flex shareholders on a pro-rata basis based on the number ordinary shares of Flex held by each shareholder of Flex (the "Distribution") as of December 29, 2023, which was the record date of the Distribution, pursuant to the Agreement and Plan of Merger, dated as of February 7, 2023. Under the terms of the spin-off, Flex shareholders received approximately 0.17 shares of Nextracker Class A common stock for each Flex ordinary share held as of the record date of the Distribution. Flex shareholders received cash in lieu of any fractional shares.
As a result of the completion of the spin-off, Nextracker became a fully independent public company, we no longer directly or indirectly hold any shares of Nextracker common stock or any securities convertible into or exchangeable for shares of Nextracker common stock and subsequent to the third quarter ended December 31, 2023 we no longer consolidate Nextracker into our financial results. Flex ordinary shares continue to trade on Nasdaq under the ticker symbol "FLEX" and shares of Nextracker Class A common stock continue to trade on Nasdaq under the ticker symbol "NXT".
TheNextracker’s historical financial results and financial position of Nextracker are presented as discontinued operations in the consolidated statements of operations for all periods (through the date of the Nextracker spin-off) presented. The historical statements of comprehensive income and cash flows and the balances related to stockholders’ equity have not been revised to reflect the effect of the spin-off.operations. See note 7 "Discontinued Operations & Noncontrolling Interest" to the consolidated financial statements in Item 8, "Financial Statements and Supplementary Data" for further information. Unless otherwise indicated, any reference to income statement items in this "Management’s Discussion and Analysis of Financial Condition and Results of Operations" refers to results from continuing operations.
Component shortages experienced in the recent past have largely subsided, however logistical constraints persist which have increased freight costs. We continue to monitor potential supply chain disruptions, as a result of emerging and evolving geopolitical tensions and tariff implementations. ReferFor further information, refer to "Risk Factors - Supply chain disruptions,disruptions logisticaland constraints,demand manufacturingforecasting interruptions or delays, or the failure to accurately forecast customer demand,failures have in the past adversely affected, and maycould in the future adversely affect, our ability to meet customer demand, and lead to higher costs, or result in excess or obsolete inventoryinventory." and "- —Global economic conditions,conditions including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs,and geopolitical uncertainty and instability in financial markets have in the past adversely affected, and maycould in the future adversely affect, our business, results of operations, financial condition, and access to capital markets."
Russian Invasion of Ukraine and Israel-HamasMiddle WarEast Conflicts
We continue to monitor and respond to the conflict in Ukraine and the associated sanctions and other restrictions. We also are monitoring and responding to the Israel-Hamas war.conflict and recent U.S. military operations in Iran. As of the date of this report, there is no material impact to our business operations and financial performance in Ukraine and Israel. The full impact of the conflicts on our business operations and financial performance remains uncertain and will depend on future developments, including the severity and duration of the conflicts and their impact on regional and global economic conditions. We will continue to monitor the conflicts and assess the related restrictions and other effects and pursue prudent decisions for our team members, customers, and business.
During the fiscal year ended March 31, 2026, we recognized $51 million in asset impairments, inventory write-downs and other charges as a result of a missile strike on our Mukachevo, Ukraine facility in Western Ukraine on August 21, 2025. The missile strike represents an unusual and infrequent event as hostilities related to the Russian invasion of Ukraine have been primarily focused in Eastern Ukraine. The missile strike caused substantial physical damage and disrupted normal operations at the facility. In response, we activated contingency manufacturing plans and transitioned production to alternative facilities. As restoration activities progress in Mukachevo, we expect to incur additional immaterial near-term inefficiencies. The total $51 million expense is included in restructuring and impairment charges in the consolidated statements of operations. For further information, refer to Item 1A, "Risk Factors - Global economic conditions and geopolitical uncertainty have in the past adversely affected, and could in the future adversely affect, our business, results of operations, financial condition, and access to capital markets."
The U.S. tariffs initially announced in April 2025, which continue to evolve, and other countries' potential retaliatory tariffs and import/export restrictions may materially increase our product input costs and negatively affect global economic conditionsconditions, contracting customer demand. As a contract manufacturer, we expect to recover the cost of tariffs by passing tariff costs to our customers which would increase net sales, decrease operating income margins, and negatively affect operating cash flow timing as we recover paid tariffs from our customers. ToDuring the extentfiscal year ended March 31, 2026, tariff costs paid and recoveries from our customers impacted our revenues and costs of goods by approximately one percent and had a negligible impact on our profitability. If, in the future, we are unsuccessfulno inlonger passing tariff costsable to ourfully customers,pass through these tariffs, our results offrom operations and cash flows would be negatively impacted. On February 20, 2026, the U.S. Supreme Court struck down tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") and on April 20, 2026 the U.S. government opened a system to facilitate refunds for IEEPA tariffs paid. We are considering our options with respect to claims for refunds on tariffs paid and do not expect that any refunds received would have a material effect on Flex's financial position or performance. We will continue to monitor changes in global trade policy and employ measures to mitigate the impact of tariffs and leverage competitive opportunities. However, despite these efforts, the Company may not be able to fully mitigate the impact of changes in trade policiespolicies. orFor anfurther economicinformation, downturn.refer Seeto Item 1A, "Risk Factors - "GlobalTariffs, economictrade conditions,restrictions, export controls, and changes in trade policy, including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates,heightened trade conflicts,volatility tariffs, geopoliticaland uncertainty andregarding instabilitytrade in financial marketsagreements, have in the past adversely affected, and maycould in the future adversely affect, our business, results of operations, and financial condition, and access to capital markets.condition."
We are one of the world's largest providers of global supply chain solutions, with revenues from continuing operations of $25.8$27.9 billion in the fiscal year ended March 31, 2025.2026. We have established an extensive network of manufacturing facilities in the world's major markets (Asia, the Americas, and Europe) to serve the outsourcing needs of both multinational and regional customers. We design, build, ship, and service products for our customers through a network of approximatelymore than 100 facilities inacross approximately 30 countries acrosson four continents. As of March 31, 2025,2026, our total active manufacturing capacity was approximately 27 million square feet. The following tables set forth the relative percentages and dollar amounts of net sales by region and by country, and net property and equipment, by country, based on the location of our manufacturing sites (amounts may not sum due to rounding):
•the impacts on our business due to supply chain issues, including component shortages, disruptions in transportation or other supply chain related constraints including disruptions in international commerce as a result of disruptions in the Strait of Hormuz and the Red Sea, including as a result of attacks on shipping vessels in the Red Sea;
We also are subject to other risks as outlined in Item 1A, "Risk FactorsFactors.".
Net sales for fiscal year 20252026 decreasedincreased approximately 2%,8%, or $0.6$2.1 billion, to $25.8$27.9 billion from the prior year. Net sales for our FASITS segment increaseddecreased $0.2 billion, or 1%,2%, from the prior year, primarily driven by a 1% increase in our CEC business, as strength in cloud outweighed softer demand in non-cloud. In addition, our CEC business benefited from an approximate $1 billion increase in customer buy-sell activity, which increases gross profit, but is accounted for as a reduction of the transaction price, and therefore, excluded from net sales. In customer buy-sell activities, the Company procures components from a customer to use in manufacturing and/or to provide services such as assembly, transformation, and integration. Later, it sells the finished product back to that customer or its end customers. The results of the FAS segment also reflected a 15% increase in our Consumer Devices business from stronger demand, offset by a 4%9% decrease in our Lifestyle businessbusiness, duepartially tooffset softerby demand.a 6% increase in our Communications business. Net sales for our FRSRMS segment decreasedincreased $0.8$0.5 billion, or 6%,5%, from the prior year, primarily driven by aan decreaseincrease in net sales of 10%13% in our Industrial business whichand wasa driven5% by weaker demandincrease in renewables,our cleanHealthcare energy and industrial devicesbusiness, partially offset by strong growth and the Crown acquisition in critical power offerings, a 3%2% decrease in our Automotive businessbusiness. Net sales for our CPI segment increased $1.8 billion or 38% from the prior year driven by increased demand across our Cloud and aCooling 3%and decreasePower in our Health Solutions business, both due to lower customer demand.businesses. Our fiscal year 20252026 gross profit totaled $2.2$2.6 billion, representing an increase of $0.3$0.4 billion, or 16%,19%, from the prior year. The increase was primarily driven by an increase in gross profit margin due to improved product mix,mix with most of the revenue growth in higher margin businesses combined with operational efficiencies and lower restructuring charges.efficiencies. Our net income from continuing operations totaled $0.8$0.9 billion, representing aan decreaseincrease of $34$42 million, or 4%,5%, compared to fiscal year 2024,2025, due to the factors explained above net of a $0.2 billion provision for income taxes in fiscal 2025 versus a $0.2 billion income tax benefit in fiscal 2024 primarily attributed to the release of a U.S. deferred tax asset valuation allowance occurring during fiscal year 2024, and not reoccurring in fiscal year 2025.above.
Cash provided by operating activities increased by approximately $0.2 billion in fiscal 20252026 as compared with fiscal 2024,2025, as a result of higher profitability (after consideration of non-cash deferred income taxes) and favorable working capital movements. Refer to "Liquidity and Capital Resources" sectionbelow for further details of changes in net working capital.
We believe adjusted free cash flow is an important liquidity metric because it measures, during a given period, the amount of cash generated that is available to repay debt obligations, make investments, fund acquisitions, repurchase company shares and forto fund certain other activities. Our adjusted free cash flow is defined as cash fromprovided operations,by operating activities, less netpurchases purchasesof property and equipment and proceeds from the disposition of property and equipment to present adjusted cash flows on a consistent basis for investor transparency. Our adjusted free cash flow was $1.1 billion and $0.8$1.1 billion for fiscal years 20252026 and 2024,2025, respectively. Refer to the "Liquidity and Capital Resources" sectionbelow for the adjusted free cash flows reconciliation to the most directly comparable GAAP financial measure of net cash flows from operations. Cash used in investing activities increasedprovided by approximatelyoperating $0.3 billion to a cash outflow of $0.8 billion for fiscal year 2025, compared with a cash outflow of $0.5 billion for fiscal year 2024, primarily due to an increase of approximately $0.4 billion in cash paid for acquisitions of businesses, net of cash acquired in fiscal year 2025. Cash used in financing activities decreased by approximately $0.8 billion to a cash outflow of $0.8 billion for fiscal year 2025, primarily driven by an approximately $0.5 billion increase in cash received from bank borrowings and long-term debt, along with a $0.4 billion decrease in repayments of bank borrowings and long-term debt in fiscal year 2025 compared to fiscal year 2024.activities.
Cash used in investing activities decreased by $0.1 billion to a cash outflow of $0.7 billion for fiscal year 2026, compared with a cash outflow of $0.8 billion for fiscal year 2025, primarily due to a reduction of $0.4 billion on acquisitions, partially offset by an increase in capital expenditures of $0.2 billion. Cash used in financing activities increased by $0.1 billion to a cash outflow of $0.9 billion for fiscal year 2026, primarily driven by a reduction of $0.4 billion of borrowings and $0.3 billion lower share repurchases.
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP" or "GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Due to global economic conditions, including the impact of ongoing trade conflicts and tariffs, and geopolitical conflicts (including the Russian invasion of UkraineUkraine, the Israel- Hamas conflict, and therecent Israel-HamasU.S. warmilitary operations in Iran), there has been and we expect there will continue to be uncertainty and disruption in the global economy and financial markets. We have made estimates and assumptions taking into consideration certain possible impacts due to the foregoing factors. These estimates may change, as new events occur, and additional information is obtained. Actual results may differ from previously estimated amounts, and such differences may be material to the consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period they occur.
We review property and equipment and acquired amortizable intangible assets for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount of the asset group may not be recoverable. An impairment loss is recognized when the carrying amount of the asset group exceeds its fair value. Recoverability of property and equipment and acquired amortizable intangible assets are measured by comparing their carrying amount to the projected cash flows the assets are expected to generate. If such asset groups are determined to be impaired, the impairment loss recognized, if any, is the amount by which the carrying amount of the property and equipment and acquired amortizable intangible assets exceeds fair value. Our judgments regarding projected cash flows for an extended period of time and the fair value of assets may be impacted by changes in market conditions, the general business environment and other factors including geopolitical conflicts (including the Russian invasion of Ukraine andUkraine, the Israel-Hamas warconflict and recent U.S. military operations in Iran), which remain highly uncertain and unpredictable. To the extent our estimates relating to cash flows and fair value of assets change adversely we may have to recognize material impairment charges in the future.
The following table sets forth, for the periods indicated, certain statements of operations data expressed as a percentage of net sales (amounts may not sum due to rounding).sales. The financial information and the discussion below should be read in conjunction with the consolidated financial statements and notes thereto included in Item 8, "Financial Statements and Supplementary DataData.".
Net sales for the fiscal year ended March 31, 2026 totaled $27.9 billion, representing an increase of $2.1 billion, or 8%, from $25.8 billion for the fiscal year ended March 31, 2025. Net sales for our ITS segment decreased $0.2 billion, or 2%, from fiscal year 2025, mainly due to a 9% decrease in our Lifestyle business as demand weakened in consumer end markets. This was offset by a 6% increase in our Communications business due to stronger demand. Net sales in our RMS segment increased $0.5 billion, or 5%, from fiscal year 2025, driven primarily by an increase in net sales of 13% in our Industrial business which was driven by stronger demand and the contribution from our acquisition of the manufacturing facility in Orangeburg, South Carolina in February 2025. Additionally, revenue from our Healthcare business increased by 5% driven by higher demand for medical equipment. This was partially offset by a 2% decrease in our Automotive business due to weaker demand. Net sales in our CPI segment increased by $1.8 billion, or 38% from fiscal year 2025, driven by a 29% increase in our Cloud and Cooling business and 61% growth in our Power business. The overall growth in CPI is primarily related to increased demand in the data center market and $0.2 billion related contributions from acquisitions in the United States and Poland.
Net sales for the fiscal year ended March 31, 2025 totaleddecreased $25.8 billion, representing a decrease of approximatelyby $0.6 billion, or 2%,2% from $26.4 billion for the fiscal year ended March 31, 2024. Net sales for ourthe FASITS segment increaseddecreased $0.2by billion,$1.3 billion or 1%, from fiscal year 2024, mainly due to a 1% increase in our CEC business10% as strength in cloud outweighed softerweak demand in non-cloud. In addition, the CECCommunications business benefiteddecreased fromrevenue anby approximate19% $1while billionnet increase in customer buy-sell activity, which increases gross profit, but is accountedsales for as a reduction of the transaction price, and therefore, excluded from net sales. The results of the FAS segment also reflected a 15% increase in our Consumer Devices business from stronger demand, offset by a 4% decrease in our Lifestyle business duewere to softer demand.flat. Net sales in our FRSRMS segment decreased $0.8$0.9 billion, or 6%,8%, from fiscal year 2024, driven primarily by a decrease in net sales of 10%17% in our Industrial business which was driven by weaker demand in renewables, clean energy and industrial devices partially offset by strong growth and the Crown acquisition in critical power offerings,devices, a 3% decrease in our Automotive business, and a 3% decrease in our Health Solution business, primarily driven by softening demand in medical equipment, partially offset by increased demand for medical devices. The factors described above include the impact of certain customers transitioning from point in time to over time revenue recognition which increased netNet sales by approximately 1% for the CPI segment increased by $1.6 billion or 48% from $3.2 billion in fiscal year ended March 31, 2025.2024. This transitionwas alsodriven contributedby toa an58% increase in contractdemand assetsin asthe ofCloud Marchand 31,Cooling 2025.business and 26% growth in our Power business, with a partial year contribution from the Crown acquisition.
Net sales for the fiscal year ended March 31, 20252026 increased $0.4$1.2 billion to $12.7$13.8 billion in the Americas, decreasedincreased $0.8$0.7 billion to $7.7$8.4 billion in Asia, and decreasedincreased $0.2 billion to $5.5$5.7 billion in Europe.
Our ten largest customers during fiscal years 20252026 and 20242025 accounted for approximately 44%45% and 37%44% of net sales, respectively. We have made substantial efforts to maintain a diverse portfolio which allows us to operate at scale in many different industries, and, as a result, no customer accounted for greater than 10% of net sales in fiscal year 20252026 or 2024.2025.
Cost of sales during fiscal year 20252026 totaled $23.6$25.3 billion, representing aan decreaseincrease of approximately $0.8$1.7 billion, or 3%7% from $24.4$23.6 billion during fiscal year 2024.2025. The decreaseincrease in cost of sales is moreless than the decreasedassociated consolidatedincrease in net sales of $0.6 billion, or 2%,8%, as a result of favorable product mix with increases in revenue in higher margin cloudCloud and power productsPower as well as cost actions taken during the period. Cost of sales in FASour ITS segment decreased $45$0.3 million,billion, lessor than 1%,3%, from fiscal year 2024 and cost of sales in FRS for fiscal year 2025 decreased $0.8 billion, or approximately 7%, from fiscal year 2024, as a result of decreased sales and favorable product mix. Cost of sales in our RMS segment for fiscal year 2026 increased $0.4 billion, or 4%, from fiscal year 2025, due to 5% sales growth partially offset by cost reductions and favorable product mix. Cost of sales in our CPI segment for fiscal year 2026 increased $1.6 billion or 40%, from fiscal year 2025, in excess of the 38% sales growth as costs to ramp new contracts impacted margins.
Cost of sales for the fiscal year ended March 31, 2025 decreased by $0.8 billion, or 3% from $24.4 billion in fiscal year 2024. The decrease in cost of sales is greater than the associated decrease in consolidated sales of 2%, as a result of favorable product mix with increases in revenue in higher margin Cloud and Power as well as cost actions taken during the period. Cost of sales in ITS decreased $1.3 billion, or 11%, from fiscal year 2024. This decrease was in excess of the 10% decrease in net sales during the year as sales remained steady in the higher margin Lifestyle business. Cost of sales in RMS for fiscal year 2025 decreased $0.8 billion, or 8%, from fiscal year 2024, in line with the decrease in net sales for the segment. Cost of sales in CPI for fiscal year 2025 increased $1.3 billion or 47%, consistent with sales growth for the segment.
Gross profit is affected by a fluctuationfluctuations in cost of sales elements as outlined above and further by a number of factors, including product lifecycles, unit volumes, product mix, pricing, competition, new product introductions, and the expansion or consolidation of manufacturing facilities, as well as specific restructuring activities initiated from time to time. The flexible design of our manufacturing processes allows us to manufacture a broad range of products in our facilities and better utilize our manufacturing capacity across our diverse geographic footprint and service customers from all markets. In the case of new programs, profitability normally lags revenue growth due to product start-up costs, lower manufacturing program volumes in the start-up phase, operational inefficiencies, and under-absorbed overhead. Gross margin for these programs often improves over time as manufacturing volumes increase, as our utilization rates and overhead absorption improve, and as we increase the level of manufacturing services content. As a result of these various factors, our gross margin varies from period to period.
Gross profit during fiscal year 20252026 increased $0.3$0.4 billion to $2.6 billion, or 9.2% of net sales, from $2.2 billion, or 8.4% of net sales, from $1.9 billion, or 7.1% of net sales, during fiscal year 2024.2025. The increase in gross profit during fiscal year 2025 in spite of lower sales2026 was due to the factors discussed above as well as lower restructuring costs in fiscal year 2025.2026.
An operating segment's performance is evaluated based on its pre-tax operating contribution, or segment income. Segment income is defined as net sales less cost of sales, and segment selling, general and administrative expenses, and does not include amortization of intangibles, stock-based compensation, certain restructuring charges, customer relatedcustomer-related asset impairment,impairment charges or recoveries, legal and other, interest expense, interest income, other charges (income), net, and equity in earnings of unconsolidated affiliates. A portion of depreciation is allocated to the respective segments, together with other general corporate, research and development and administrative expenses.
FASITS segment margin increased 13060 basis points, to 6.1%5.4% for fiscal year 2025,2026, from 4.8% for fiscal year 2024.2025. The margin increase during the period was driven by improvement in the Communications business with strong execution, product mix and cost actions taken. ITS segment margin increased 90 basis points for fiscal year 2025, from 3.9% in fiscal year 2024. The margin increased in both Communications and Lifestyle businesses from strong execution, product mix and cost actions taken.
FRSRMS segment margin increased 5080 basis points, to 5.8%6.0% for fiscal year 2025,2026, from 5.3%5.2% for fiscal year 2024.2025. The margin increase in the FRSRMS segment was primarily driven by strength in the Industrial business with increased productivity, favorable mix and cost actions taken. RMS segment margin increased by 10 basis points for fiscal year 2025, from 5.1% for fiscal year 2024, with an increase in Healthcare margins offsetting weakness in Industrial and Automotive.
CPI segment margin decreased 100 basis points, to 9.2% for fiscal year 2026. The margin decrease in the CPI segment was primarily driven by the costs to ramp the business and unfavorable mix in the Cloud and Cooling business, partially offset by faster growth in the higher margin Power business. CPI segment margin increased by 80 basis points for fiscal year 2025. The margin increased in both Power and Cloud and Cooling reflecting favorable product mix and strong execution.
Restructuring and impairment charges
During fiscal year 2025,2026, we committed to targeted restructuring activities to improve operational efficiency by reducing excess workforce capacity. As a result, we recognized approximately $86$87 million of restructuring charges, primarily related to employee severance. During fiscal year 2024,2025, we recognized approximately $175$86 million of restructuring charges, also primarily related to employee severance. Additionally, in fiscal year 2026 we also recognized $51 million in impairment and other charges related to a missile strike on our Mukachevo, Ukraine facility as discussed in the Overview section above.
Selling, general and administrative expenses ("SG&A") totaled $1.1 billion, during fiscal year 2026, compared to $904 million,million during fiscal year 2025, comparedincreasing toby $922$148 million. The increase was primarily driven by an increase in labor and infrastructure costs in line with growth of the business as well as a $44 million duringincrease fiscalin year 2024, decreasing by $18 millionlegal and representingother nocosts significantassociated changewith asportfolio SG&Aoptimization remainedprojects, consistentincluding atthe 3.5%anticipated spin-off of netthe sales.CPI segment.
Amortization of intangible assets werewas $68 million and $70 million in each of fiscal years 20252026 and 2024,2025, representingrespectively. no significantThe change fromof fiscal$2 yearmillion 2024,was due to amortizationcertain relatedintangible toassets existingbecoming intangiblesfully decreasingamortized, year over year beingpartially offset by amortization related to intangibles acquiredacquisitions from various business acquisitions occurring in the second half of fiscal yearyears 2025.2025 and 2026.
Interest expense was $215 million during fiscal year 2026, compared to $218 million during fiscal year 2025, decreasing $3 million primarily due to lower costs from reduced factoring of accounts receivable during the year, partially offset by higher average debt balances during the year and higher interest rates on refinanced notes.
Interest expense was $218 million during fiscal year 2025, compared to $207 million during fiscal year 2024, increasing $11 million primarily due to the issuance of $0.5 billion in senior notes during fiscal year 2025.
Interest income was $51 million during fiscal year 2026, compared to $61 million during fiscal year 2025, compareddecreasing to $56 million during fiscal year 2024, increasing $5$10 million primarily due to increasedlower interest rates and lower average cash deposits.balances.
During fiscal year 2025,2026, we recorded $30 million of other charges, net, compared to $14 million of other income, net, comparedin tofiscal $44year million2025. ofThe other charges, net,charge in fiscal year 2024.2026 largely related to unfavorable foreign exchange movements and an impairment of a non-core unconsolidated investment. The increaseincome in otherfiscal income,year net2025 waspredominantly primarilyresulted driven byfrom a gain on bargain purchase of $19 million as a result ofon an acquisition occurring during the fourth quarter of fiscal year 2025. Additionally, losses on foreign exchange items in fiscal year 2025 decreased from $24 million to $10 million compared to fiscal year 2024.
Refer to notes 17 and 19 to the consolidated financial statements in Item 8, "Financial Statements and Supplementary Data" for further discussion of our other charges (income), net and business acquisitions &and divestitures.
During fiscal year 2025,2026, we recorded $3$31 million of equity in losses of unconsolidated affiliates, compared to $8$3 million of equity in earnings of unconsolidated affiliateslosses during fiscal year 2024.2025. The decreaseincrease during fiscal year 20252026 was primarily due to lowerlosses investmentrelated fundto gainsa versusspecific fiscalventure yearcapital 2024, resulting from overarching market conditions that impacted investment fund values during the fiscal year.fund.
We work to ensure that we accrue and pay the appropriate amount of income taxes according to the laws and regulations of each jurisdiction in which we operate. The consolidated effective tax rates were 23.0% and 18.1% for the fiscal years 2026 and 2025, respectively. The effective income tax rate differed for the fiscal year ended March 31, 2026, compared to the fiscal year ended March 31, 2025, primarily due to: (i) recognition of a $19 million tax provision in the fiscal year ended March 31, 2026 related to a definitive settlement agreement with a foreign tax authority for the fiscal years 2010 through 2020, (ii) a $26 million tax benefit related to prior years interest recoverable by one of our Brazilian subsidiaries during the fiscal year ended March 31, 2025 and (iii) a change in the jurisdictional mix of earnings. The effective rate varies from the Singapore statutory rate of 17.0% in each year as a result of recognition of earnings in different jurisdictions (we generate most of our revenues and profits from operations outside of Singapore), operating loss carryforwards, income tax credits, release of previously established valuation allowances for deferred tax assets, liabilities for uncertain tax positions, as well as the effects of certain tax holidays and incentives granted in certain countries in which the Company is located. Refer to note 15 to the consolidated financial statements in Item 8, "Financial Statements and Supplementary Data" for further discussion.
We work to ensure that we accrue and pay the appropriate amount of income taxes according to the laws and regulations of each jurisdiction in which we operate. Certain of our subsidiaries have, at various times, been granted tax relief in their respective countries, resulting in lower income taxes than would otherwise be the case under ordinary tax rates. The consolidated effective tax rates were 18.1% and (30.9)% for the fiscal years 2025 and 2024, respectively. The effective rate varies from the Singapore statutory rate of 17.0% in each year as a result of the following items:
A number of countries in which the Company is located allow for tax holidays or provide other tax incentives to attract and retain business. In general, these holidays were secured based on the nature, size and location of the Company’s operations. The effect of tax holidays and tax incentives we received primarily for our subsidiaries in China, Malaysia, Netherlands, Costa Rica, and Israel was $17 million and $20 million in fiscal years 2025 and 2024, respectively. Refer to note 15 to the consolidated financial statements in Item 8, "Financial Statements and Supplementary Data" for further discussion. We generate most of our revenues and profits from operations outside of Singapore.
What changed in the latest 10-Q
Risk Factors
In addition to the other information set forth in this report, you should carefully consider the risks and uncertainties discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended March 31, 2026, which could materially affect our business, financial condition or future results. The risks described in our Annual Report on Form 10-K are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be not material also may materially and adversely affect our business, financial condition and/or operating results.
No wording changes found in this section (only numbers or dates changed in 1 paragraph).
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Management's Discussion & Analysis (MD&A)
New heading “Memory Pricing Environment”
Largest changes
During thesee in full comparisonthreefiscaland nine-month periodsyear endedDecemberMarch 31,2025,2026,the Companywe recognized$5$51 millionand $46 million, respectively,in asset impairments, inventory write-downs and other charges as a result of a missile strike onitsour Mukachevo, Ukraine facility in Western Ukraine on August 21, 2025. The missile strike represents an unusual and infrequent event as hostilities related to the Russian invasion of Ukraine have been primarily focused in Eastern Ukraine. The missile strike caused substantial physical damage and disrupted normal operations at the facility. In response,the Companywe activated contingency manufacturing plans and transitioned production to alternative facilities. As restoration activities progress in Mukachevo,theweCompany expectsexpect to incur additional immaterial near-term inefficiencies.The $46 million in asset impairments, inventory write-downs and other charges are included in restructuring and impairment charges in the condensed consolidated statements of operations.For further information, refer toPart I,Item 1A, “Risk Factors -“Global economicconditions,conditionsincluding inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs,and geopolitical uncertaintyand instability in financial marketshave in the past adversely affected, andmaycould in the future adversely affect, our business, results of operations, financial condition, and access to capital markets.” in our Annual Report on Form 10-K for the fiscal year ended March 31,2025.2026.
“In the fourth quarter of our fiscal year ended March 31, 2025, the U.S. implemented a series of global tariffs, including on a number of countries in which Flex operates. Although we have been and expect to continue to be able to pass tariff costs through to our customers, the global tariff landscape, which continues to evolve, has the potential to meaningfully impact end customer demand. …”see in full comparison
“The U.S. tariffs initially announced in April 2025, which continue to evolve, and other countries' potential retaliatory tariffs and import/export restrictions may materially increase our product input costs and negatively affect global economic conditions, contracting customer demand. As a contract manufacturer, we expect to recover the cost of tariffs by passing tariff costs to our customers which would increase net sales, decrease operating income margins, and negatively affect operating cash flow timing as we recover paid tariffs from our customers. …”see in full comparison
We undertook targeted restructuring activities to improve operational efficiencies by reducing excess workforce capacity. During thesee in full comparisonthreethree-monthand nine-month periodsperiod endedDecemberJune31,26,2025,2026, werecognizedreversed$6 million and $39$2 million of restructuringcharges, respectively,charges primarily related to updated estimates of employee severance.In addition, during the three and nine-month periods ended December 31, 2025, we incurred $5 million and $46 million in impairment and other charges related to a missile strike on our Mukachevo, Ukraine facility, as discussed in the Overview section above.
“We believe free cash flow is an important liquidity metric because it measures, during a given period, the amount of cash generated that is available to repay debt obligations, make investments, fund acquisitions, repurchase company shares and for certain other activities. Our free cash flow is defined as cash from operations, less net purchases of property and equipment allowing us to present adjusted cash flows on a consistent basis for investors. …”see in full comparison
“We believe free cash flow is an important liquidity metric because it measures, during a given period, the amount of cash generated that is available to repay debt obligations, make investments, fund acquisitions, repurchase company shares and for certain other activities. Our free cash flow is defined as cash from operations, less net purchases of property and equipment allowing us to present adjusted cash flows on a consistent basis for investors. Our free cash flow for the nine-month periods ended December 31, 2025 and December 31, 2024 was an inflow of $0.8 billion during both periods. …”see in full comparison
Full comparison: every changed paragraph (69)
This report on Form 10-Q contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. The words “expects,” “anticipates,” “believes,” “intends,” “plans” and similar expressions identify forward-looking statements. In addition, any statements which refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. We undertake no obligation to publicly disclose any revisions to these forward-looking statements to reflect events or circumstances occurring subsequent to filing this Form 10-Q with the Securities and Exchange Commission.Commission, except as required by law. These forward-looking statements are subject to risks and uncertainties, including, without limitation, those risks and uncertainties discussed in this section, as well as any risks and uncertainties discussed in Part I, Item 1A, “Risk Factors” and in Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025.2026. In addition, new risks emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risk factors on our business. Accordingly, our future results may differ materially from historical results or from those discussed or implied by these forward-looking statements. Given these risks and uncertainties, the reader should not place undue reliance on these forward-looking statements.
We are the advanced, end-to-end manufacturing partner of choice that helps a diverse customer base design, build, deliver and manage innovative products that improve the world. Through the collective strength of a global workforce across approximately 30 countries with responsible, sustainable operations, we deliver technology innovation, supply chain, and manufacturing solutions to diverse industries and end markets. Our full suite of specialized capabilities includes design and engineering, supply chain, manufacturing, post-productionand integrated services, plus a portfolio of power and post-salecooling services,products. Over time, we have built differentiated scale and proprietaryexpertise products.across both technology-driven and regulated markets, enabling us to support customers with increasingly complex product, infrastructure, and compliance requirements. We partner with customers across a diverse set of industries including data center, communications,healthcare, enterprise, consumer,industrial, automotive, industrial, healthcare,communications, and power.lifestyle. As of DecemberJune 31,26, 2025,2026, our twothree operating and reportable segments were as follows:
•FlexIntegrated AgilityTechnology Solutions ("FASITS"), which is comprised of the following end markets:
◦Communications, high speed networking, enterprise, and satellite communications systems ◦Lifestyle, premium products across commercial, home and personal product categories
◦Communications, Enterprise and Cloud ("CEC"), including data center, edge, and communications infrastructure ◦Lifestyle, including appliances, floorcare, smart living, Heating, Ventilation and Air-Conditioning ("HVAC"), and power tools ◦Consumer Devices, including mobile and high velocity consumer devices
•FlexRegulated ReliabilityManufacturing Solutions ("FRSRMS"), which is comprised of the following end markets:
◦Industrial, mission-critical automation, energy, and industrial infrastructure ◦Automotive, compute and power electronic platforms, and integrated systems ◦Healthcare, regulated manufacturing for medical devices, drug delivery and equipment
•Cloud and Power Infrastructure ("CPI"), which is comprised of the following end markets:
◦Industrial, including industrial devices, capital equipment, renewables, critical power,Cloud and embeddedCooling, integrated compute systems supporting power-dense digital infrastructure deployments, and advanced liquid cooling solutions supporting higher-density, power-intensive rack architectures ◦Power, utility and facility-level electrical infrastructure enabling reliable, scalable power ◦Automotive,delivery includingand high-density rack and board-level power systems supporting power-intensive compute platforms, power electronics, motion, and interface ◦Health Solutions, including medical devices, medical equipment, and drug deliveryworkloads Our strategy is to provide customers with a full range of cost competitive, vertically-integrated global supply chain solutions through which we can design, build, ship and service a complete packaged product for our customers. This enables our customers to leverage our supply chain solutions to meet their product requirements throughout the entire product lifecycle.
Russian Invasion of Ukraine and Israel-HamasMiddle ConflictEast Conflicts
We continue to monitor and respond to the conflict in Ukraine and the associated sanctions and other restrictions. We also are monitoring and responding to the Israel-Hamas conflict.conflict and recent U.S. and Israel military operations in Iran. The full impact of thethese conflicts on our business operations and financial performance remains uncertain and will depend on future developments, including the severity and duration of the conflicts and their impact on regional and global economic conditions. We will continue to monitor the conflicts and assess the related restrictions and other effects and pursue prudent decisions for our team members, customers, and business.
During the threefiscal and nine-month periodsyear ended DecemberMarch 31, 2025,2026, the Companywe recognized $5$51 million and $46 million, respectively, in asset impairments, inventory write-downs and other charges as a result of a missile strike on itsour Mukachevo, Ukraine facility in Western Ukraine on August 21, 2025. The missile strike represents an unusual and infrequent event as hostilities related to the Russian invasion of Ukraine have been primarily focused in Eastern Ukraine. The missile strike caused substantial physical damage and disrupted normal operations at the facility. In response, the Companywe activated contingency manufacturing plans and transitioned production to alternative facilities. As restoration activities progress in Mukachevo, thewe Company expectsexpect to incur additional immaterial near-term inefficiencies. The $46 million in asset impairments, inventory write-downs and other charges are included in restructuring and impairment charges in the condensed consolidated statements of operations. For further information, refer to Part I, Item 1A, “Risk Factors - “Global economic conditions,conditions including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs,and geopolitical uncertainty and instability in financial markets have in the past adversely affected, and maycould in the future adversely affect, our business, results of operations, financial condition, and access to capital markets.” in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025.2026.
The U.S. tariffs initially announced in April 2025, which continue to evolve, and other countries' potential retaliatory tariffs and import/export restrictions may materially increase our product input costs and negatively affect global economic conditions, contracting customer demand. As a contract manufacturer, we expect to recover the cost of tariffs by passing tariff costs to our customers which would increase net sales, decrease operating income margins, and negatively affect operating cash flow timing as we recover paid tariffs from our customers. During the quarter ended June 26, 2026, tariff costs paid and recoveries from our customers impacted our revenues and costs of goods by approximately one percent and had a negligible impact on our profitability. If, in the future, we are no longer able to fully pass through these tariffs, our results from operations and cash flows would be negatively impacted. On February 20, 2026, the U.S. Supreme Court struck down tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") and on April 20, 2026 the U.S. government opened a system to facilitate refunds for IEEPA tariffs paid. We have requested and received a portion of our requested IEEPA tariff refunds and do not expect refunds received will have a material effect on our financial performance. We will continue to monitor changes in global trade policy and employ measures to mitigate the impact of tariffs and leverage competitive opportunities. However, despite these efforts, the Company may not be able to fully mitigate the impact of changes in trade policies. For further information, refer to Item 1A, “Risk Factors - Tariffs, trade restrictions, export controls, and changes in trade policy, including heightened trade volatility and uncertainty regarding trade agreements, have in the past adversely affected, and could in the future adversely affect, our business, results of operations, and financial condition” in our Annual Report on Form 10-K for the fiscal year ended March 31, 2026.
Memory Pricing Environment
During the first quarter of fiscal 2027, market prices for memory components, including DRAM and NAND products, remained elevated as industry supply continued to be constrained by strong demand from AI and data center applications. The Company generally expects to pass through increases in memory costs to its customers, where contractual mechanisms permit recovery of component cost increases, however, sustained increases in memory pricing could continue to favorably impact net sales, while unfavorably impacting our gross profit percentage and increasing inventory balances and working capital requirements.
In the fourth quarter of our fiscal year ended March 31, 2025, the U.S. implemented a series of global tariffs, including on a number of countries in which Flex operates. Although we have been and expect to continue to be able to pass tariff costs through to our customers, the global tariff landscape, which continues to evolve, has the potential to meaningfully impact end customer demand. During the three and nine-month periods ended December 31, 2025, tariff costs paid and recoveries from our customers impacted our revenues and costs of goods by approximately one percent and had a negligible impact on our profitability. If, in the future, we are no longer able to fully pass through these tariffs, our results from operations and cash flows would be negatively impacted. There are several court cases challenging the U.S. administration’s authority to impose tariffs, including a case pending before the U.S. Supreme Court, the outcomes of which could add complexity to our operations in terms of seeking refunds from the U.S. government and adjusting pricing with customers. For further information, refer to Part I, Item 1A, Risk Factors - "Global economic conditions, including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, tariffs, geopolitical uncertainty and instability in financial markets have in the past adversely affected, and may in the future adversely affect, our business, results of operations, financial condition, and access to capital markets." in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025.
We are one of the world's largest providers of global supply chain solutions, with revenues of $20.4$7.9 billion for the nine-monththree-month period ended DecemberJune 31,26, 20252026 and $25.8$27.9 billion in the fiscal year ended March 31, 2025.2026. We have established an extensive network of manufacturing facilities in the world's major consumer and enterprise markets (Asia, the Americas, and Europe) to serve the growing outsourcing needs of both multinational and regional customers. We design, build, ship, and service consumer and enterprise products for our customers through a network of approximatelymore than 100 facilities inacross approximately 30 countries acrosson four continents. The following tables set forth the relative percentages and dollar amounts of net sales by region and by country, and net property and equipment by country, based on the location of our manufacturing sites.sites:
•global economic conditions, including inflationary pressures, currency volatility, stagflation, slower economic growth or recession, high or rising interest rates, trade conflicts, including trade restrictions impacting the semiconductor supply chain, tariffs, geopolitical uncertainty and conflicts (including the ongoing Russia-Ukraine conflict) and instability in financial markets;
•the impacts on our business due to supply chain issues, including component shortages, semiconductors and particularly involving suppliers who are our sole or primary sources, disruptions in transportation or other supply chain related constraints;
• the mix of the manufacturing services we are providing, the number, size, and complexity of new manufacturing programs, the degree to which we utilize our manufacturing capacity, seasonal demand, and other factors;
• the effects on our business when our customers are not successful in marketing their products, or when their products do not gain widespread commercial acceptance;
• the effects on our business due to certain customers' products having short product lifecycles, our customers' ability to cancel or delay orders or change production quantities or locations, the short-term nature of our customers' commitments and rapid changes in demand;
• the effects that current credit and market conditions could have on the liquidity and financial condition of our customers and suppliers, including any impact on their ability to meet their contractual obligations;
• the impacts on our business due to supply chain issues, including component shortages, disruptions in transportation or other supply chain related constraints including disruptions in international commerce as a result of disruptions in the Strait of Hormuz and the Red Sea, including as a result of attacks on shipping vessels;
• integration of acquired businesses and facilities;
• increased labor costs due to adverse labor conditions in the markets we operate;
• changes in tax legislation; and
• changes in trade regulations and treaties; and
• exposure to infectious disease, epidemics and pandemics on our business operations in geographic locations impacted by an outbreak and on the business operations of our customers and suppliers.
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP" or "GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Due to global economic conditions, including the impact of ongoing trade conflicts and tariffs, and geopolitical conflicts (including the Russian invasion of Ukraine and therecent Israel-HamasU.S. conflictand Israel military operations in Iran), there has been and we expect there will continue to be uncertainty and disruption in the global economy and financial markets. We have made estimates and assumptions taking into consideration certain possible impacts due to the foregoing factors. These estimates may change, as new events occur, and additional information is obtained. Actual results may differ from previously estimated amounts, and such differences may be material to the condensed consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period they occur.
Net sales during the three-month period ended DecemberJune 31,26, 20252026 totaled $7.1$7.9 billion, representing an increase of $0.5$1.4 billion, or 8%21% from $6.6 billion during the three-month period ended DecemberJune 31,27, 2024.2025. Net sales for our FASITS segment increased $0.2$0.5 billion, or 6%20% from the three-month period ended DecemberJune 31,27, 2024,2025, primarily driven by astrong high single-digit percentage increasegrowth in ourthe CECCommunications business due to increased demand and aincreased midmemory single-digit percentage increasepricing in Lifestyleboth primarilyCommunications due to net sales contributed byand our OrangeburgLifestyle Manufacturing Facility acquired on February 4, 2025. This was partially offset by a mid single-digit percentage decrease in Consumer Devices due to lower demand.businesses. Net sales for our FRSRMS segment increased $0.3 billion, or 10%12% from the three-month period ended DecemberJune 31,27, 2024,2025, which was primarily driven by high-teen percentagestrong growth in Industrial. Net sales for our IndustrialCPI businesssegment withincreased strength$0.6 inbillion, poweror and35% highfrom single-digitthe percentagethree-month period ended June 27, 2025, which was driven by strong growth in HealthPower, Solutions,which partiallyincludes offsetcontributions byfrom athe lowrecent single-digitEPP percentageacquisition decreasecombined with growth in ourCloud Automotiveand businessCooling due to lowerincreased demand. Net sales increased $0.2$0.8 billion in the Americas, $0.2$0.5 billion in Asia, and $0.1 billion in Europe for a total gainincrease of $0.5$1.4 billion.
Net sales during the nine-month period ended December 31, 2025 totaled $20.4 billion, representing an increase of $1.0 billion, or 5% from $19.4 billion during the nine-month period ended December 31, 2024. Net sales for our FAS segment increased $0.7 billion, or 7% from the nine-month period ended December 31, 2024, primarily driven by a mid-teen percentage increase in our CEC business most notably from increased demand in data center cloud, partially offset by a high-teen percentage decrease in our Consumer Devices business due to lower demand. Net sales for our FRS segment increased $0.3 billion, or 4% from the nine-month period ended December 31, 2024, primarily driven by a high single-digit percentage increase in our Industrial business, primarily in power due to data center growth and business acquisitions, and a low single-digit percentage increase in our Health Solutions business, offset by a low single-digit percentage decrease in our Automotive business due to lower demand. Net sales increased $0.8 billion in the Americas and $0.2 billion in Asia and remained consistent in Europe for a total gain of $1.0 billion.
Our ten largest customers during both the three and nine-monththree-month periods ended DecemberJune 31,26, 2026 and June 27, 2025 accounted for approximately 46%49% and 48% of net sales. A significant customer accounted for 12% of net sales during the first quarter of fiscal year 2027 with the majority of this revenue being reported in our CPI segment. No other customer accounted for more than 10% of net sales during the nine-monththree-month periods ended DecemberJune 31,26, 20252026 or DecemberJune 31,27, 2024.2025.
Cost of sales during the three-month period ended DecemberJune 31,26, 20252026 totaled $6.4$7.2 billion, representing an increase of $0.4$1.2 billion, or 7%20% from $6.0 billion during the three-month period ended DecemberJune 31,27, 2024.2025. The higher cost of sales for the three-month period ended DecemberJune 31,26, 20252026 was primarily driven by a $0.5$1.4 billion, or 8%,21%, increase in consolidated sales, partially offset by cost efficiencies and favorable mix.sales. Cost of sales in our FASITS segment for the three-month period ended DecemberJune 31,26, 20252026 increased by 6%20% from the three-month period ended DecemberJune 31,27, 2024,2025, in line with revenue growth. Cost of sales in our FRSRMS segment for the three-month period ended DecemberJune 31,26, 20252026 increased by 9%10% from the three-month period ended DecemberJune 31,27, 2024,2025, primarily driven by revenue growth of 10%,12%, partially offset by favorable mix and cost efficiencies. Cost of sales in our CPI segment for the three-month period ended June 26, 2026 increased by 35% from the three-month period ended June 27, 2025, in line with revenue growth for the segment.
Cost of sales during the nine-month period ended December 31, 2025 totaled $18.5 billion, representing an increase of $0.8 billion, or 4% from $17.8 billion during the nine-month period ended December 31, 2024. The higher cost of sales for the nine-month period ended December 31, 2025 was primarily driven by a $1.0 billion, or 5% increase in consolidated sales, partially offset by favorable mix and cost efficiencies. Cost of sales in our FAS segment for the nine-month period ended December 31, 2025 increased $0.6 billion, or 6%, from the nine-month period ended December 31, 2024 due to revenue growth of 7%. Cost of sales in our FRS segment for the nine-month period ended December 31, 2025 increased $0.2 billion, or 2%, from the nine-month period ended December 31, 2024 due to revenue growth of 4%, partially offset by favorable mix and cost efficiencies.
Gross profit during the three-month period ended DecemberJune 31,26, 20252026 increased $0.1$0.2 billion to $0.7 billion, or 9.6%9.4% of net sales, from $0.6 billion, or 9.1%8.7% of net sales, during the three-month period ended DecemberJune 31,27, 2024.2025. Gross margin improved 5070 basis points year over year primarily due to revenue growth, favorable mix and continued operational execution.
Gross profit during the nine-month period ended December 31, 2025 increased $0.3 billion to $1.9 billion, or 9.1% of net sales, from $1.6 billion, or 8.2% of net sales, during the nine-month period ended December 31, 2024. Gross margin improved 90 basis points year over year primarily due to the same factors as for the three-month periods described above.
The Company's Chief Executive Officer is our Chief Operating Decision Maker ("CODM") who usescompares actual segment income to budgeted financial performance in evaluating how we allocate resources, assess performance and make strategic and operational decisions.
FAS segment margin remained consistent for the three-month period ended December 31, 2025, compared to the three-month period ended December 31, 2024, primarily driven by growth in our higher margin CEC business, offset by unfavorable mix in our consumer businesses. The FAS segment margin increased 40 basis points, to 6.3% for the nine-month period ended December 31, 2025 from 5.9% for the nine-month period ended December 31, 2024, primarily due to favorable mix with growth being driven by our cloud business.
FRSITS segment margin increased 5010 basis points to 7.2%5.2% for the three-month period ended DecemberJune 31,26, 2025,2026, compared to 6.7%5.1% for the three-month period ended DecemberJune 31,27, 2024,2025, primarily driven by growth in Communications from increased demand with higher margins partially offset by the impact of lower margins due to favorablememory mixprice with growth in core Industrial, Health Solutions and our power business. FRS segment margin increased 90 basis points to 6.6% for the nine-month period ended December 31, 2025 compared to 5.7% for the nine-month period ended December 31, 2024, primarily due to the same factors as for the three-month period.increases.
RMS segment margin increased 130 basis points to 6.6% for the three-month period ended June 26, 2026, compared to 5.3% for the three-month period ended June 27, 2025, primarily due to favorable mix in Industrial and Automotive.
CPI segment margin increased 20 basis points to 9.7% for the three-month period ended June 26, 2026, compared to 9.5% for the three-month period ended June 27, 2025, primarily due to growth and margin expansion in Power, offset by continued investments in the growth of the CPI businesses.
We undertook targeted restructuring activities to improve operational efficiencies by reducing excess workforce capacity. During the threethree-month and nine-month periodsperiod ended DecemberJune 31,26, 2025,2026, we recognizedreversed $6 million and $39$2 million of restructuring charges, respectively,charges primarily related to updated estimates of employee severance. In addition, during the three and nine-month periods ended December 31, 2025, we incurred $5 million and $46 million in impairment and other charges related to a missile strike on our Mukachevo, Ukraine facility, as discussed in the Overview section above.
Selling, general and administrative expenses (“SG&A”) was $0.3 billion, or 3.8%4.2% of net sales, during the three-month period ended DecemberJune 31,26, 2025,2026, increasing by $29$101 million compared to the three-month period ended DecemberJune 31,27, 2024.2025. The increase was largely driven by $53 million of costs associated with the intended spin-off of the CPI business, $18 million of increases in employeestock based compensation and other corporatecost costs.increases SG&Ain wasline $0.8with billionthe or 3.7%,growth of net sales, during the nine-month period ended December 31, 2025, increasing by $93 million from $0.7 billion or 3.5% of net sales during the nine-month period ended December 31, 2024, driven by the same factors as noted for the three-month period.business.
Amortization of intangible assets decreasedincreased to $15$23 million for the three-month period ended DecemberJune 31,26, 2025,2026, compared to $17$21 million in the previous year due to increased amortization as the result of the EPP acquisition entered into during the period, partially offset by certain intangible assets being fully amortized during fiscal year 2026.2026 Amortization increased to $52 million duringand the nine-monthfirst period ended December 31, 2025, from $49 million for the nine-month period ended December 31, 2024 as a result of acquisitions in the second halfquarter of fiscal year 2025.2027.
Interest expense increased to $60 million for the three-month period ended June 26, 2026, from $51 million during the three-month period ended June 27, 2025, primarily due to debt issuances during the quarter.
Interest expense increased to $58 million for the three-month period ended December 31, 2025, from $57 million during the three-month period ended December 31, 2024, primarily due to senior debt issuances during the quarter. Interest expense decreased to $161 million during the nine-month period ended December 31, 2025 compared to $166 million during the nine-month period ended December 31, 2024. Decreased interest expense for the nine-month period was primarily driven by reduced receivables factoring costs, partially offset by increased interest expense on our long-term debt.
Interest income remained unchanged at $13 million for the three-month period ended June 26, 2026 compared to $13 million for the same period in fiscal year 2026.
Interest income decreased to $15 million for the three-month period ended December 31, 2025 compared to $16 million for the same period in fiscal year 2025. Interest income decreased to $38 million for the nine-month period ended December 31, 2025 compared to $48 million for the nine-month period ended December 31, 2024. The decrease in interest income is primarily due to lower interest rates, and lower average cash balances.
Other charges, net was $25$(37) million during the three-month period ended DecemberJune 31,26, 20252026 compared to $5$7 million during the three-month period ended DecemberJune 31,27, 2024.2025. The increasechange was primarily due to anthe impairmentsale recordedof a non-strategic North American business, generating a gain on onesale of Flex's$46 unconsolidatedmillion. costThis methodwas investmentspartially ofoffset $21by millionlosses duringrelated theto quarter.foreign exchange.
Other charges, net was $19 million for the nine-month periods ended December 31, 2025 compared to $1 million in income during the nine-month periods ended December 31, 2024. The increase was due to the aforementioned impairment on one of Flex's unconsolidated cost method investments.
Equity in losses of unconsolidated affiliates was $1$5 million during the three-month period ended DecemberJune 31,26, 2025,2026, compared to zero$20 million in the three-month period ended DecemberJune 31,27, 2024,2025, primarily due to losses in certain non-core equity method investments.
Equity in losses of unconsolidated affiliates was $26 million during the nine-month periods ended December 31, 2025, compared to $3 million in the nine-month period ended December 31, 2024, primarily due to losses related to a specific venture capital fund.
The consolidated effective tax rate was 25% and 24% for the threethree-month period ended June 26, 2026 and nine-month periods ended December 31, 2025, and 9% and 17%22% for the threethree-month and nine-month periodsperiod ended DecemberJune 31,27, 2024, respectively.2025. The effective tax rate varies from the Singapore statutory rate of 17% as a result of recognition of earnings in different jurisdictions (we generate most of our revenues and profits from operations outside of Singapore), operating loss carryforwards, income tax credits, release of previously established valuation allowances for deferred tax assets, liabilities for uncertain tax positions, as well as the effects of certain tax holidays and incentives granted to our subsidiaries primarily in China, Costa Rica, Malaysia, the Netherlands and Israel. The effective tax rate for the three-month period ended DecemberJune 31,26, 20252026 was higher than the effective tax rate for the three-month period ended DecemberJune 31,27, 20242025 for a variety of reasons, primarily due to the changing jurisdictionsjurisdictional mix of income andas recognitionwell ofas athe $19 million incomeadditional tax expense relatedrecorded toon anthe auditgain settlement withfrom a foreignbusiness taxdisposition authorityoccurring during thecurrent three-month period ended December 31, 2025 and recognition of a $26 million interest receivable on an income tax receivable for prior period taxes paid by one of its Brazilian subsidiaries during the three-month period ended December 31, 2024.period.
The OECD Pillar Two Global Anti-Base Erosion (“GloBE”) model rules, issued under the OECD Inclusive Framework on Base Erosion and Profit Shifting, introduce a global minimum tax of 15% applicable to multinational enterprise groups with consolidated financial statement revenue in excess of €750 million. Numerous foreign jurisdictions have already enacted tax legislation based on the GloBE rules, with some effective as early as January 1, 2024. As of DecemberJune 31,26, 20252026 the Company has reflected all estimated impacts of the Pillar Two GloBE minimum tax accordingly within its estimated annual effective tax rate for the year.
On July 4, 2025, The One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S. The OBBBA makes permanent various provisions of the Tax Cuts and Jobs Act which otherwise would have expired as well as makes significant modifications to the U.S. international tax framework. The Company isdoes innot theexpect processa of evaluating thematerial impact ofto the OBBBA on our consolidated financial statements.statements from the OBBBA, however, the Company will continue to monitor developments and evaluate any potential future impacts.
Net income was $239$285 million during the three-month period ended DecemberJune 31,26, 2025,2026, compared to $263$192 million during the three-month period ended DecemberJune 31,27, 2024 and net income was $630 million during the nine-month period ended December 31, 2025 compared to $616 million during the nine-month period ended December 31, 2024,2025, driven by the factors discussed above.
We continuously evaluate our ability to meet our obligations over the next 12 months and beyond and proactively reset our capital structure to improve maturities and liquidity. We expect that our current financial condition, including our liquidity sources are adequate to fund current and future commitments. As of DecemberJune 31,26, 2025,2026, we had cash and cash equivalents of approximately $3.1$2.8 billion, bank and other borrowings of approximately $4.4$5.2 billion and a $2.75 billion revolving credit facility under which we had no borrowings outstanding. We also issued $600 million of 5.375% Notes due November 2035 and $150 million of 5.250% Notes due January 2032 in the third quarter of fiscal year 2026. As of DecemberJune 31,26, 2025,2026, we were in compliance with the covenants under all of our credit facilities and indentures; we also expect to remain in compliance with the covenants in the upcoming 12 months for our credit facilities and indentures.
Cash provided by operating activities was $1.3$0.3 billion during the nine-monththree-month period ended DecemberJune 31,26, 2025,2026, primarily driven by $0.6$0.3 billion of net income for the period plus $0.4$0.1 billion of non-cash charges such as depreciation,depreciation and amortization, andslightly impairmentoffset chargesby and $0.2$(0.1) billion of changes in working capital and other. Cash provided by operating activities for the three month period ended June 26, 2026 was negatively impacted by $24 million of separation costs incurred in connection with the announced intention to spin-off of Flex's CPI segment.
We believe net working capital is a key metric that measures our liquidity. Net working capital is calculated as current assets less current liabilities. Net working capital increased $1.3$0.7 billion to $4.3$5.0 billion as of DecemberJune 31,26, 2025,2026, from $3.0$4.3 billion as of March 31, 2025.2026. The increase was primarily the result of a $0.5 billion decrease in the current portion of long-term debt driven by the repayment of the 4.750% Senior Notes during the first quarter, along with a $0.8 billion increase in cash and cash equivalents driven by the net increase from our senior noteterm issuancesloan andborrowings repayments.along with a $0.6 billion increase in our inventory balance. Other movements in working capital largely offset themselves withinclude increases of $0.2$0.4 billion in accounts receivable, $0.3 billion in contract assets, $0.5 billion in inventory, and $0.6$0.2 billion in other current assets (principally customer-controlled inventory), against increases of $1.3$1.1 billion in accounts payable and $0.2$0.3 billion in other current liabilities.
FLEX insider buying and selling (Form 4)
Since 2026-04-11, insiders reported open-market purchases in 0 Form 4 filings and open-market sales in 24 filings (8 insiders, 12 trade dates, 771,950 shares, about $110.4M; 5 of these filings say the sales were made under a Rule 10b5-1 trading plan). Net open-market shares: -771,950 (purchases minus sales); net value about -$110.4M.Totals add up every open-market (code P and S) line in those filings, using the prices reported in the filings. Awards, option exercises, tax withholding and gifts are listed below but not counted.
| Trade date | Insider | Transaction | Shares | Price | Value |
|---|---|---|---|---|---|
| 2026-09-24 | Oliver George |
Grant/award | 1,802 | — | — |
| 2026-09-24 | Eubanks Richard M. |
Grant/award | 1,802 | — | — |
| 2026-08-18 | Hartung Michael P |
Open-market sale | 8 | $123.25 | $986 |
| 2026-08-18 | Hartung Michael P |
Open-market sale | 196 | $122.60 | $24.0K |
| 2026-08-18 | Hartung Michael P |
Open-market sale | 272 | $121.76 | $33.1K |
| 2026-08-18 | Hartung Michael P |
Open-market sale | 1,272 | $120.74 | $153.6K |
| 2026-08-18 | Hartung Michael P |
Open-market sale | 1,007 | $119.79 | $120.6K |
| 2026-08-18 | Advaithi Revathi |
Other | 35,051 | — | — |
| 2026-08-05 | Watkins William D |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Watkins William D |
Grant/award | 820 | — | — |
| 2026-08-05 | Watkins William D |
Grant/award | 410 | — | — |
| 2026-08-05 | Ward Pat |
Grant/award | 410 | — | — |
| 2026-08-05 | Ward Pat |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Tan Lay Koon |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Sylvester Maryrose |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Sylvester Maryrose |
Grant/award | 410 | — | — |
| 2026-08-05 | Stevens Charles K. Iii |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Stevens Charles K. Iii |
Grant/award | 1,230 | — | — |
| 2026-08-05 | Mcsweeney Erin |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Hurlston Michael E. |
Grant/award | 410 | — | — |
| 2026-08-05 | Hurlston Michael E. |
Grant/award | 1,928 | — | — |
| 2026-08-05 | Harris John D |
Grant/award | 1,928 | — | — |
| 2026-07-15 | Watkins William D |
Grant/award | 316 | — | — |
| 2026-07-15 | Tan Lay Koon |
Grant/award | 101 | — | — |
| 2026-07-15 | Hurlston Michael E. |
Grant/award | 174 | — | — |
| 2026-06-18 | Wendler Daniel |
Open-market sale | 17 | $146.31 | $2.5K |
| 2026-06-18 | Wendler Daniel |
Open-market sale | 806 | $144.98 | $116.9K |
| 2026-06-18 | Wendler Daniel |
Open-market sale | 488 | $145.53 | $71.0K |
| 2026-06-18 | Offer David Scott |
Open-market sale | 208 | $146.39 | $30.4K |
| 2026-06-18 | Offer David Scott |
Open-market sale | 2,249 | $144.88 | $325.8K |
| 2026-06-18 | Offer David Scott |
Open-market sale | 4,200 | $145.36 | $610.5K |
| 2026-06-18 | Hartung Michael P |
Open-market sale | 4,801 | $145.36 | $697.9K |
| 2026-06-18 | Hartung Michael P |
Open-market sale | 2,368 | $144.89 | $343.1K |
| 2026-06-18 | Hartung Michael P |
Open-market sale | 100 | $146.26 | $14.6K |
| 2026-06-18 | Tan Kwang Hooi |
Open-market sale | 100 | $146.41 | $14.6K |
| 2026-06-18 | Tan Kwang Hooi |
Open-market sale | 2,947 | $144.85 | $426.9K |
| 2026-06-18 | Tan Kwang Hooi |
Open-market sale | 5,934 | $145.33 | $862.4K |
| 2026-06-18 | Advaithi Revathi |
Open-market sale |
921 | $146.31 | $134.8K |
| 2026-06-18 | Advaithi Revathi |
Open-market sale |
16,282 | $144.88 | $2.4M |
| 2026-06-18 | Advaithi Revathi |
Open-market sale |
21,985 | $145.35 | $3.2M |
| 2026-06-17 | Wendler Daniel |
Open-market sale | 120 | $142.28 | $17.1K |
| 2026-06-17 | Wendler Daniel |
Open-market sale | 928 | $143.26 | $132.9K |
| 2026-06-17 | Wendler Daniel |
Open-market sale | 918 | $144.35 | $132.5K |
| 2026-06-17 | Wendler Daniel |
Open-market sale | 63 | $145.93 | $9.2K |
| 2026-06-17 | Wendler Daniel |
Open-market sale | 1,861 | $145.23 | $270.3K |
| 2026-06-17 | Offer David Scott |
Open-market sale | 10,252 | $145.19 | $1.5M |
| 2026-06-17 | Offer David Scott |
Open-market sale | 529 | $141.72 | $75.0K |
| 2026-06-17 | Offer David Scott |
Open-market sale | 4,560 | $143.18 | $652.9K |
| 2026-06-17 | Offer David Scott |
Open-market sale | 4,575 | $144.21 | $659.8K |
| 2026-06-17 | Offer David Scott |
Open-market sale | 896 | $145.83 | $130.7K |
| 2026-06-17 | Hartung Michael P |
Open-market sale | 5,118 | $144.19 | $738.0K |
| 2026-06-17 | Hartung Michael P |
Open-market sale | 553 | $141.78 | $78.4K |
| 2026-06-17 | Hartung Michael P |
Open-market sale | 4,900 | $143.18 | $701.6K |
| 2026-06-17 | Hartung Michael P |
Open-market sale | 10,949 | $145.19 | $1.6M |
| 2026-06-17 | Hartung Michael P |
Open-market sale | 1,107 | $145.77 | $161.4K |
| 2026-06-17 | Tan Kwang Hooi |
Open-market sale | 500 | $141.65 | $70.8K |
| 2026-06-17 | Tan Kwang Hooi |
Open-market sale | 4,830 | $143.09 | $691.1K |
| 2026-06-17 | Tan Kwang Hooi |
Open-market sale | 5,753 | $143.98 | $828.3K |
| 2026-06-17 | Tan Kwang Hooi |
Open-market sale | 2,378 | $145.68 | $346.4K |
| 2026-06-17 | Tan Kwang Hooi |
Open-market sale | 13,196 | $145.10 | $1.9M |
Well-known investors holding FLEX (13F)
| Investor | Quarter | Shares | Reported value | % of their 13F | Change vs prior quarter |
|---|---|---|---|---|---|
| PRIMECAP Management | 2026-06-30 | 23,358,875 | $3.8B | 2.24% | Reduced 8% |
| Citadel Advisors (Ken Griffin) | 2026-06-30 | 1,386,824 | $224.8M | 0.13% | Added 62% |
| Point72 Asset Management (Steve Cohen) | 2026-06-30 | 1,278,970 | $207.3M | 0.32% | New position |
| Millennium Management (Israel Englander) | 2026-06-30 | 1,176,136 | $190.6M | 0.13% | Added 642% |
| Third Point (Dan Loeb) | 2026-06-30 | 1,030,000 | $166.9M | 3.59% | New position |
| AQR Capital Management (Cliff Asness) | 2026-06-30 | 954,605 | $154.7M | 0.05% | Added 35% |
| D. E. Shaw & Co. | 2026-06-30 | 85,169 | $13.8M | 0.01% | Reduced 88% |
| Gotham Asset Management (Joel Greenblatt) | 2026-06-30 | 38,749 | $6.3M | 0.01% | New position |
| Bridgewater Associates | 2026-06-30 | 34,390 | $5.6M | 0.02% | Reduced 39% |
| Two Sigma Investments | 2026-06-30 | 23,300 | $3.8M | 0.0% | New position |
| First Eagle Investment Management | 2026-06-30 | 16,568 | $2.7M | 0.0% | Reduced 18% |