Flex Q2 FY2027: revenue up 24.8% to $8.49 billion, adjusted EPS $1.18
Flex beat on both lines and guided higher again: adjusted EPS of $1.18 came in 10.4% above the $1.0691 consensus, and FY27 revenue guidance moved up to $34.9–35.9 billion. The catch is quality: GAAP operating margin was 4.9% against 7.1% adjusted, with $110 million of legal and other costs. Read revenue growth first, then the gap between the two profit lines.
1 · Expected vs. Actual
Free preview belowGAAP EPS came in at $0.70, up from $0.52, while adjusted EPS of $1.18 topped the $1.0691 consensus by 10.4%. The $0.48 gap between the two is mostly $110 million of legal and other costs, $43 million of stock-based compensation and $27 million of intangible amortization. Non-GAAP is doing a lot of lifting here, so treat $1.18 as management's definition of earnings, not the accounting one.
Revenue of $8.49 billion rose 24.8% from $6.80 billion a year earlier, the fastest growth in any quarter shown here. Gross margin edged up to 9.7% from 9.2%, so the growth came with slightly better economics rather than a discount-driven push. SG&A, however, jumped 42.7% to $371 million, well ahead of the 24.8% sales gain.
Third-quarter guidance calls for revenue of $8.87–9.17 billion (midpoint $9.02 billion, 28% growth) and adjusted EPS of $1.19–1.25. Full-year revenue is now $34.9–35.9 billion with adjusted operating margin of 7.6%–7.8% and adjusted EPS of $4.84–5.16, up from a prior $4.42–4.74. That is a raise on every line, not a shuffle between them.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-03
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