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Oct 01, 2022

Plexus Q4 2022 Earnings Report

Reported record revenue and exceeded guidance, driven by mitigating supply chain challenges.

Key Takeaways

Plexus reported record fiscal fourth quarter revenue of $1.12 billion, a 33% year-over-year growth, with a GAAP operating margin of 5.5% and GAAP EPS of $1.78. The company's success in mitigating supply chain challenges led to strong sequential revenue growth and outstanding profitability.

Achieved record fiscal fourth quarter revenue of $1.12 billion.

GAAP operating margin was 5.5% and GAAP diluted EPS was $1.78, including $0.18 of stock-based compensation expense.

Won 32 manufacturing programs during the quarter representing $214 million in annualized revenue when fully ramped into production.

Trailing four-quarter manufacturing wins totaled $1 billion in annualized revenue when fully ramped into production.

Total Revenue
$1.12B
Previous year: $843M
+33.3%
EPS
$1.78
Previous year: $1.16
+53.4%
Economic Return
3.7%
Previous year: 7.3%
-49.3%
Cash Cycle
100
Gross Profit
$107M
Previous year: $79M
+35.6%
Cash and Equivalents
$275M
Previous year: $270M
+1.7%
Free Cash Flow
-$17.1M
Previous year: -$11.7M
+46.2%
Total Assets
$3.39B
Previous year: $2.46B
+37.8%

Plexus

Plexus

Forward Guidance

Plexus is guiding fiscal first quarter revenue of $1.08 billion to $1.13 billion, GAAP operating margin of 5.0% to 5.5% and GAAP EPS of $1.40 to $1.58. The guidance reflects the benefit from ongoing new program ramps and robust customer demand with consideration given to the continuation of supply chain challenges and macroeconomic uncertainty.

Positive Outlook

  • Ongoing new program ramps
  • Robust customer demand

Challenges Ahead

  • Continuation of supply chain challenges
  • Macroeconomic uncertainty
  • Impact to GAAP EPS due to the absence of foreign exchange gains
  • Greater interest expense relative to the prior quarter
  • Greater income tax expense relative to the prior quarter