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Jun 25, 2021

Fabrinet Q4 2021 Earnings Report

Fabrinet's Q4 2021 revenue exceeded guidance, with strong demand in the telecom market and excellent operating margins, propelling record operating and net income for fiscal year 2021.

Key Takeaways

Fabrinet announced strong Q4 2021 results with revenue of $509.6 million, exceeding guidance. GAAP net income was $42.4 million, or $1.13 per diluted share, while non-GAAP net income was $49.4 million, or $1.31 per diluted share. The company also reported record fiscal year 2021 revenue of $1.88 billion.

Q4 revenue exceeded guidance at $509.6 million.

GAAP net income for Q4 was $42.4 million, or $1.13 per diluted share.

Non-GAAP net income for Q4 was $49.4 million, or $1.31 per diluted share.

Record fiscal year 2021 revenue reached $1.88 billion.

Total Revenue
$510M
Previous year: $405M
+25.8%
EPS
$1.31
Previous year: $0.96
+36.5%
Gross Profit
$61.1M
Previous year: $46.6M
+31.0%
Cash and Equivalents
$303M
Previous year: $225M
+34.4%
Free Cash Flow
$30M
Previous year: $31.4M
-4.2%
Total Assets
$1.62B
Previous year: $1.38B
+17.0%

Fabrinet

Fabrinet

Forward Guidance

Fabrinet expects first quarter revenue to be in the range of $510 million to $530 million. GAAP net income per diluted share is expected to be in the range of $1.08 to $1.15, and non-GAAP net income per diluted share is expected to be in the range of $1.29 to $1.36.

Positive Outlook

  • First quarter revenue to be in the range of $510 million to $530 million.
  • GAAP net income per diluted share is expected to be in the range of $1.08 to $1.15.
  • Based on approximately 37.5 million fully diluted shares outstanding.
  • Non-GAAP net income per diluted share is expected to be in the range of $1.29 to $1.36.
  • Company remains optimistic about demand trends and confident in their ability to execute.

Challenges Ahead

  • Effects of the COVID-19 pandemic on business.
  • Less customer demand for products and services than forecasted.
  • Less growth in the optical communications, industrial lasers and sensors markets than forecasted.
  • Difficulties expanding into additional markets.
  • Increased competition in the optical manufacturing services markets.