Fabrinet beats Q1 revenue estimates on strong telecom sector performance

Fabrinet

03/11/2025 21:30

Overview

Fabrinet fiscal Q1 revenue grows to $978 mln, beating analyst expectations

Adjusted EPS for fiscal Q1 beats consensus, driven by telecom and HPC contributions

Company expects fiscal Q2 revenue between $1.05 bln and $1.10 bln

Outlook

Fabrinet expects second-quarter revenue between $1.05 bln and $1.10 bln

Company anticipates GAAP EPS of $2.91 to $3.06 for Q2

Fabrinet forecasts non-GAAP EPS of $3.15 to $3.30 for Q2

Result Drivers

TELECOM PERFORMANCE - Strong telecom sector performance contributed to record Q1 revenue

HPC CONTRIBUTION - Early contributions from High-Performance Computing revenue supported Q1 results

DATACOM REVENUE - Smaller than anticipated sequential decline in datacom revenue helped Q1 results

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$978.1 mln
$933.70 mln (6 Analysts)
Q1 Adjusted EPS
Beat
$2.92
$2.82 (7 Analysts)
Q1 EPS
$2.66
Q1 Adjusted Net Income
Beat
$105.3 mln
$102.20 mln (5 Analysts)
Q1 Net Income
$95.9 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electronic equipment & parts peer group is "buy"

Wall Street's median 12-month price target for Fabrinet is $375.00, about 17.5% below its October 31 closing price of $440.57

The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nGNX3cd8kh

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)