FLEX Reported this cycle

Flex

Austin, TX Founded 1990 Electronics Manufacturing

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Latest analysis

Updated Oct 30, 2026

Flex posts 25% revenue growth in Q2 FY2027, closes $4.4B EPC Power acquisition post-quarter, and flags spin-off execution risk as a new critical liability.

Flex delivered $8.5 billion in Q2 FY2027 net sales, up 25% year-over-year, led by CPI segment growth of 54% on AI and data center infrastructure demand, with CPI segment margin expanding 240 basis points to 10.7%. The $4.4 billion acquisition of EPC Power Corp., completed October 14, 2026 and financed entirely with 364-day short-term debt, is the most consequential new development: repayment depends on completing the CPI/Axiom spin-off by October 2027, introducing a binary refinancing risk that management has now disclosed as a new formal risk factor. The spin-off separation costs of $91 million in the quarter drove SG&A sharply higher, while underlying segment income rose 46% year-over-year to $621 million, reflecting genuine operating leverage across all three segments.

Tone: mixed

Revenue

$27.9B

FLEX 10-K · FY 2026

Employees

149,686

Revenue FY2025

$25.8B

Founded

1990

Profile

FLEX 10-K Item 1 · May 20, 2026

Flex Ltd. is a global advanced manufacturing and supply chain solutions company serving customers across data center, healthcare, industrial, automotive, communications, and lifestyle markets. The company provides end-to-end services including design and engineering, supply chain management, manufacturing, and aftermarket services, plus a portfolio of proprietary power and cooling products. As of May 2026, Flex announced plans to spin off its Cloud and Power Infrastructure segment into an independent public company, targeting completion in Q1 calendar 2027.

Read filing description ↓

Flex is the advanced, end-to-end manufacturing partner of choice that helps a diverse customer base design, build, deliver and manage products that improve the world. Through the collective strength of a global workforce across approximately 30 countries with responsible, sustainable operations, we deliver technology innovation, supply chain, and manufacturing solutions to diverse industries and end markets. The Company's full suite of specialized capabilities includes design and engineering, supply chain, manufacturing, and integrated services, plus a portfolio of power and cooling products. Over time, we have built differentiated scale and expertise across both technology-driven and regulated markets, enabling us to support customers with increasingly complex product, infrastructure, and compliance requirements. We partner with customers across a diverse set of industries including data center, healthcare, industrial, automotive, communications, and lifestyle. Reflecting the evolution of our portfolio and operating model, as of March 31, 2026, Flex's three operating and reportable segments were as follows: Integrated Technology Solutions (ITS), Regulated Manufacturing Solutions (RMS), and Cloud and Power Infrastructure (CPI). Our new CPI segment is focused on delivering integrated compute systems, power, and cooling technologies that support large-scale cloud, data center, and AI-enabled infrastructure deployments. CPI programs are characterized by systems-level integration, high power density requirements, proprietary engineering and complex global manufacturing and supply chain execution, including capabilities that extend across rack-level systems through facility and utility-level electrical infrastructure.

Primary products

Design and Engineering Services
Supply Chain Services
Manufacturing Services
Value-added fulfillment and forward logistics
Aftermarket Services
Critical power products

Business segments

Integrated Technology Solutions (ITS) Regulated Manufacturing Solutions (RMS) Cloud and Power Infrastructure (CPI)

End markets

Communications, high speed networking, enterprise, and satellite communications systems Lifestyle, premium products across commercial, home and personal product categories Industrial, mission-critical automation, energy, and industrial infrastructure Automotive, compute and power electronics platforms, and integrated systems Healthcare, regulated manufacturing for medical devices, drug delivery and equipment Cloud and Cooling, integrated compute systems supporting power-dense digital infrastructure deployments Power, utility and facility-level electrical infrastructure

Geographies

Americas Asia Europe

Named customers

Amazon.com, Inc. (warrant issued August 15, 2025; majority of revenue within CPI segment; 14% of Q2 FY2027 net sales)

In fiscal year 2026, our ten largest customers accounted for 45% of net sales. No customer accounted for greater than 10% of the Company's net sales in fiscal year 2026.

“We believe our global scale and regional capabilities are a significant competitive advantage. Our global expertise, footprint and diverse supply chain network provide customers with the ability to adjust to changing regional, trade and manufacturing dynamics.” Competitive position, as stated in the filing

Revenue commentary · FY 2026

Net sales increased from $25.8 billion in fiscal year 2025 to $27.9 billion in fiscal year 2026, driven by growth across all three geographic regions, with the Americas and Asia showing the largest absolute increases.

The rest of FLEX is for subscribers

Analysis, signals, diligence answers, M&A activity and every quote, each citing the filing it came from.

SeventhBiz analysis 6 signals 17 diligence answers 4 M&A transactions SWOT

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