The company is off to a promising start in its new fiscal year, showcasing impressive performance in its latest quarter with significant increases in both revenue and earnings, exceeding analyst expectations. In a period when many stocks on U.S. exchanges faced declines, Jabil saw its shares rise by 1.8%, marking a notable contrast to the S&P 500 index’s 1.2% slump.
In its recently released first-quarter fiscal 2026 results, Jabil reported net revenue of $8.3 billion, reflecting a substantial year-over-year growth of 19%. Its core net income, a measure that excludes variances from generally accepted accounting principles (GAAP), surged even higher, climbing 36% to $309 million, or $2.85 per share. These results significantly outperformed analyst projections, which had estimated revenue of around $8 billion and a core net income of $2.69 per share.
CEO Mike Dastoor emphasized the company’s growth trajectory, highlighting the intelligent infrastructure segment as a “major growth engine.” He pointed to an accelerating demand across various areas, including cloud services, data center infrastructure, networking, and capital equipment. The positive performance was further supported by growth in Jabil’s regulated industries and connected living and digital commerce segments, both of which exceeded management’s expectations.
For the current quarter and the entire fiscal 2026, Jabil provided optimistic guidance, forecasting net revenue of $32.4 billion and core net income of $11.55 per share. These projections outstrip the average analyst estimates of $31.6 billion in revenue and $11.12 in core net income.
Analysts believe that the ongoing demand from clients within Jabil’s intelligent infrastructure business will continue to flourish, particularly driven by the increasing needs of artificial intelligence, which is expected to catalyze advanced data center expansions. Additionally, Jabil’s diverse portfolio positions the company well to capitalize on robust spending trends across various technology sectors.
Market observers remain confident in Jabil’s ability to sustain this momentum as it navigates through the evolving landscape of the tech industry, showcasing a resilient business model capable of adapting to changing market demands.
