Plexus Announces Preliminary Fiscal Q1 Results

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Plexus Corp. announced that it will not meet its fiscal first quarter revenue guidance of $825 to $865 million with GAAP diluted EPS of $1.01 to $1.17, as issued October 27, 2021, due to unanticipated supply chain challenges that accelerated in the final weeks of the quarter. Plexus now expects to announce fiscal first quarter revenue of $815 to $820 million with GAAP diluted EPS of $0.80 to $0.84, which will include approximately $2 million or $0.06 per share of unanticipated severance costs associated with a facility transition in our Asia-Pacific region.

Todd Kelsey, President and CEO, commented, “While the demand environment remains robust, new and unexpected supplier delivery shortfalls in the Americas region resulted in a revenue, GAAP operating margin, GAAP EPS and free cash flow shortfall. We anticipate these supply chain headwinds will persist in the near term. For our fiscal second quarter, we currently anticipate sequential growth in revenue, but limited improvement in GAAP diluted EPS since ongoing costs to support expected robust customer demand and a seasonal increase in compensation expenses will burden profitability. Based upon the strength seen in customer forecasts that are supported by numerous new program ramps, we anticipate sequential growth in revenue and an expansion in profitability during the second half of fiscal 2022. Further, we remain focused on returning to our long-term 9-12% revenue CAGR and 5.5% GAAP operating margin goals.”