Summary
Flextronics International Ltd. (FLEX) reported revenues of $26.1 billion for the fiscal year ended March 31, 2015, with net income reaching $600.8 million. The company operates as a global provider of design, manufacturing, and supply chain solutions, serving diverse industries including high-reliability solutions (medical, automotive, aerospace), consumer technology, industrial and emerging industries, and integrated network solutions. Key financial highlights include a gross profit margin of 5.9% and a notable increase in income from continuing operations, driven by improved cost structures and operating efficiencies following earlier restructuring efforts. The company also emphasized its strategic shift towards higher-margin, longer product lifecycle businesses, such as IEI and HRS. FLEX generated $554.3 million in free cash flow, demonstrating its ability to manage cash effectively. The company continues to invest in innovation, expanding its design and engineering capabilities and its global operations network. Despite a challenging market, FLEX maintained strong customer relationships and a diversified business model.
Financial Highlights
54 data points| Revenue | $26.15B |
| Cost of Revenue | $24.60B |
| Gross Profit | $1.55B |
| R&D Expenses | $26.30M |
| SG&A Expenses | $844.47M |
| Operating Income | $600.80M |
| Interest Expense | $76.40M |
| Net Income | $596.53M |
| EPS (Basic) | $1.04 |
| EPS (Diluted) | $1.02 |
| Shares Outstanding (Basic) | 579.98M |
| Shares Outstanding (Diluted) | 591.56M |
Key Highlights
- 1For the fiscal year ended March 31, 2015, Flex Ltd. generated $26.1 billion in net sales, maintaining revenue levels consistent with the previous year.
- 2Net income from continuing operations saw a significant increase of 64.3% year-over-year, reaching $600.8 million, largely due to improved cost structures and operational efficiencies.
- 3Gross margin improved to 5.9% from 5.5% in the prior year, benefiting from a favorable business mix and operational improvements.
- 4The company generated $554.3 million in free cash flow, indicating strong cash generation and management capabilities.
- 5Flex Ltd. continued its strategic focus on higher-margin businesses like Industrial & Emerging Industries (IEI) and High Reliability Solutions (HRS), which saw revenue growth.
- 6A single major customer, Motorola Mobility (including its parent companies), accounted for over 10% of net sales in fiscal year 2015.
- 7The company maintained a robust global operational footprint with over 100 facilities in approximately 30 countries, supported by a workforce of around 150,000 employees.