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Flex shares tumble 7% on revenue miss, weak guidance

EditorRachael Rajan
Published 10/30/2024, 08:40 PM
© Reuters.
FLEX
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AUSTIN - Flex Ltd. (NASDAQ:FLEX) reported second quarter earnings that beat estimates, but shares plunged 7.5% after hours as revenue fell short of analsyt expectations and the company provided disappointing guidance.

The electronics manufacturer posted adjusted earnings per share of $0.64, surpassing the analyst consensus of $0.57. However, revenue of $6.5 billion missed expectations of $6.53 billion and declined 5.6% YoY.

For the third quarter, Flex forecasts revenue between $6 billion and $6.4 billion, below Wall Street's $6.53 billion estimate. The company expects adjusted EPS of $0.60 to $0.66, compared to the $0.64 consensus.

Flex also lowered its full-year outlook, now projecting revenue of $24.9 billion to $25.5 billion, down from its previous guidance of $25.5 billion to $26.5 billion and below analysts' $25.82 billion forecast.

"In fiscal Q2, our teams delivered another quarter of strong results," said CEO Revathi Advaithi. "This quarter we announced the pending Crown Technical Systems acquisition, another great example of our strategy to grow in higher value markets."

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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