01—Abstract
Summary
Summary of the 10-Q filed April 8, 2026. Cited figures are marked; the original filing is the authoritative source.
Jabil Inc. (JBL) reported its fiscal second-quarter 2026 results (three months ended February 28, 2026) in this Form 10-Q.
Net revenue rose to $8.28 billiona from $6.73 billion a year earlier, and gross profit increased to $746 million from $576 million. Operating income was $374 million versus $245 million, and net income attributable to Jabil Inc. was $223 million, or $2.08 per diluted share, compared with $117 million, or $1.06 per diluted share, a year earlier. For the six months, net revenue was $16.59 billion and diluted EPS was $3.43.
Management attributed the Intelligent Infrastructure segment's 52% revenue growth primarily to cloud and data center infrastructure customers, while the Connected Living and Digital Commerce segment declined 8%. Diluted core EPS (non-GAAP) was $2.69b for the quarter versus $1.94 a year earlier. The balance sheet grew over the period, with total assets of $20.63 billion and total debt and notes of $3.88 billion at February 28, 2026, compared with $2.89 billion at August 31, 2025.
The company issued $1.0 billionc of senior notes in January 2026 (4.200% due 2029 and 4.750% due 2033) and intends to use the proceeds to repay $500 million of 1.700% notes due April 2026. Cash and cash equivalents were $1.83 billion. Six-month operating cash flow was $734 million, and the company repurchased $600 million of treasury stock during the six months.
The company completed the Hanley Energy Group acquisition for $748 milliond in cash on January 2, 2026, and the Rebound Technologies acquisition for $133 million on September 1, 2025. The filing notes that no refunds of tariffs struck down by the U.S. Supreme Court on February 20, 2026 have been recorded because the company cannot reasonably estimate the financial impact. Remaining authorization under the 2026 Share Repurchase Program was $334 million as of April 1, 2026.
02—Key points
Key Highlights
- Net revenue of $8.28 billion for the quarter, up from $6.73 billion, and $16.59 billion for the six months, up from $13.72 billion.
- Net income attributable to Jabil Inc. of $223 million ($2.08 diluted EPS) for the quarter versus $117 million ($1.06) a year earlier; diluted core EPS (non-GAAP) of $2.69 versus $1.94.
- Intelligent Infrastructure segment revenue rose 52% in the quarter, driven by a 42% increase from existing cloud and data center infrastructure customers, while Connected Living and Digital Commerce fell 8%.
- Total notes payable and long-term debt rose to $3.88 billion from $2.89 billion at August 31, 2025, following $1.0 billion of new senior notes issued in January 2026.
- Acquired Hanley Energy Group for $748 million in cash on January 2, 2026, adding $366 million of intangible assets and $340 million of goodwill.
- Six-month operating cash flow of $734 million; $600 million of treasury stock repurchased, with $334 million remaining under the 2026 Share Repurchase Program as of April 1, 2026.
- Goodwill increased to $1.23 billion and total assets to $20.63 billion, with no tariff refunds recorded following the February 20, 2026 Supreme Court ruling.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q2 FY2026, Jabil kept $0.03.
- Revenue$8.28B100.0%
- Cost of revenue−$7.54B91.0%
- Gross profit$746.0M9.0%
- Operating costs−$372.0M4.5%
- Operating income$374.0M4.5%
- Interest, other & tax−$151.0M1.8%
- Net income$223.0M2.7%
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2026filed April 8, 2026Financial Statements
Q2 FY2026 against Q2 FY2025
| Line item | Q2 FY2026Q2 FY2025 | Change |
|---|---|---|
| Revenue | $8.28B$6.73B | +23.1% |
| Cost of Revenue | $7.54B$6.15B | +22.5% |
| Gross Profit | $746.00M$576.00M | +29.5% |
| R&D Expenses | $7.00M$7.00M | 0.0% |
| SG&A Expenses | $329.00M$256.00M | +28.5% |
| Operating Income | $374.00M$245.00M | +52.7% |
| Net Income | $223.00M$117.00M | +90.6% |
| EPS (Basic) | $2.10$1.07 | +96.3% |
| EPS (Diluted) | $2.08$1.06 | +96.2% |
| Shares Outstanding (Basic) | 106.00M110.00M | −3.6% |
| Shares Outstanding (Diluted) | 106.90M111.10M | −3.8% |
05—Questions
Frequently Asked Questions
What drove the increase in Jabil's revenue and profitability this quarter?
Net revenue increased 23.1% to $8.28 billion, primarily because the Intelligent Infrastructure segment grew 52%, driven by a 42% increase in revenue from existing cloud and data center infrastructure customers. Gross profit as a percentage of net revenue rose to 9.0% from 8.6%, which the company attributed primarily to product mix.
How did Jabil's debt and liquidity position change?
Total notes payable and long-term debt increased to $3.88 billion from $2.89 billion at August 31, 2025, after issuing $1.0 billion of senior notes in January 2026. The company had $4.2 billion of unused borrowing capacity under its revolving credit facilities and $1.83 billion in cash and cash equivalents as of February 28, 2026, and stated it was in compliance with its debt covenants.
What is the status of the company's share repurchases?
Under the 2026 Share Repurchase Program, 3.0 million shares had been repurchased for $666 million as of April 1, 2026, leaving $334 million of authorization remaining. During the six months ended February 28, 2026, the company paid $600 million to acquire treasury stock.
Did the Supreme Court tariff ruling affect Jabil's financial statements?
No potential tariff refunds have been recorded in the financial statements because management cannot reasonably estimate the financial impact of the February 20, 2026 Supreme Court ruling striking down certain IEEPA tariffs. The company says it continues to monitor the situation and evaluate the impact on its results.
06—Continue