Electronic component manufacturer Jabil announced better than expected fourth quarter results and announced restructuring plans including layoffs.
Jabil produces electronic components such as circuit board components and systems for customers such as Apple, primarily targeting the automotive, cloud computing, and commercial drone, truck, and bus markets.
Jabil stated that as part of its restructuring plan, the company will lay off employees in some departments, but did not provide any figures.
The company expects pre tax restructuring costs and other related expenses for the fiscal year 2025 to be approximately $150 million to $200 million.
Although Jabil faces short-term demand challenges in certain end markets, the company stated that in the medium to long term, it is prepared to seize the development trends in industries ranging from data center power and cooling to electric and hybrid vehicles.
As of August 31st, Jabil's quarterly revenue was $6.96 billion, a decrease of nearly 18% year-on-year, but higher than LSEG's expected $6.58 billion.
After adjustment, Jiepu's earnings per share for the quarter were $2.30, higher than the average analyst expectation of $2.20.
The company expects a net revenue of $27 billion for the fiscal year 2025, while analysts estimate it to be $28.5 billion.
