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The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $6.25 billion, indicating a fall of approximately 1% from the year-ago quarter’s reported figure. The consensus mark for earnings is pegged at 63 cents per share, up 23.5% year over year.
For the fiscal first quarter, Flex expects revenues to be between $6 billion and $6.5 billion. Management expects adjusted earnings of 58-66 cents per share, excluding 7 cents for net stock-based compensation expense and 5 cents for net intangible amortization.
The company’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters with the average surprise being 16.2%. Shares of the company have gained 80.7% in the past year against the Zacks Electronics - Miscellaneous Products industry's decline of 7.1%.
Image Source: Zacks Investment Research
Factors at Play for FLEX
Positive momentum, fueled by its expanding IP portfolio, recent design wins, acquisitions and strong demand in data center, networking and automotive power electronics markets, is likely to have supported Flex’s performance in the fiscal first quarter. Flex’s strategic initiatives in cloud, power and automotive segments have boosted its fiscal fourth quarter revenues and are expected to have aided its performance in the first quarter.
At its last Investor Day held in May, Flex unveiled the next phase of its EMS + Products + Services strategy. This expands on its strong manufacturing and supply chain capabilities by adding proprietary products and value-added services for better integration and customization. The company’s power products uniquely position it as the only provider with a comprehensive data center solution—from grid to chip. This strategy is expected to deliver higher customer value, foster deeper partnerships and support margin-enhancing growth, going ahead.
Flex continues to benefit from its extensive global footprint of more than 48 million square feet across 110+ sites, enabling efficient, high-scale manufacturing. Strong growth in the Americas, with revenue rising from 38% in fiscal 2020 to 49% in fiscal 2025, reflects its increasing strategic value.
For 2026, Flex anticipates data center revenue to grow approximately mid-30%, with power growth expected to exceed that slightly as domestic capacity expands, while cloud growth may be slightly lower due to tough year-over-year comparisons.
For the Reliability Solutions business, management forecasts sales to remain flat to down high-single digits in the fiscal first quarter owing to weakness in the automotive sector, due to tariff-related disruptions adversely impacting customer volumes. Agility Solutions’ revenues are anticipated to be down by low-single digits to up mid-single digits, with steady growth expected in cloud markets, balanced against softer enterprise, IT and consumer-related end markets.
Uncertain macro environment and changing trade policies act as a burden. Management expects tariff-related costs from raw material sourcing in China and other regions, and plans to pass these costs to customers. However, tariffs are likely to have affected cash flow timing and put slight pressure on margins. While Flex is taking proactive pricing steps to counter these effects, tariffs still pose a major challenge to overall performance.
Key Business Highlights
In June 2025, Flex joined forces with the Massachusetts Institute of Technology (“MIT”) on the Initiative for New Manufacturing (INM) — a cutting-edge Institute-wide project that aspires to rebuild U.S. manufacturing from the core, with sustainability, human experience and advanced technology. As a founding member of the INM Industry Consortium, Flex will work together with MIT researchers, faculty and peer organizations to drive a shared vision of improving manufacturing by harnessing AI, machine learning (ML) and new system-level technologies.
In May 2025, Flex's subsidiary JetCool has introduced its advanced SmartPlate System, a self-contained, direct-to-chip liquid cooling solution available on selected Dell PowerEdge servers. This fully sealed system offers immediate improvements in performance and efficiency without altering existing data center setups or requiring facility water. Independent testing confirmed that the SmartPlate System achieves an average of 15% IT power savings, supporting stable performance and higher utilization even under warmer conditions.
Flex’s Critical Power unit, Anord Mardix, expanded its European operations with a new manufacturing site in Poland, doubling its regional power product capacity to 1.2 million sq. ft. This move supports growing demand for AI-driven data center power solutions. It follows the recent opening of a second facility in Dundalk, Ireland, which doubled capacity there as part of Flex’s broader strategy to strengthen global power and data center infrastructure.
Flex expanded its multi-year partnership with Arch Systems to accelerate its digital transformation and enhance operational efficiency through advanced data and AI solutions. The collaboration will initially focus on major global sites, integrating Arch’s connectivity with Flex’s existing systems and MES. The expansion will scale across hundreds of production lines worldwide within the first year.
What Our Model Says About Flex
Our proven model predicts an earnings beat for FLEX this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is exactly the case here.
Flex has an Earnings ESP of +2.77% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With Favorable Combination
Here are some other companies with the right combination of elements to post an earnings beat in their upcoming releases.
Emerson Electric Co. ((EMR - Free Report) ), expected to release earnings on Aug. 6, currently has an Earnings ESP of +0.46% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Emerson Electric’s earnings for the third quarter of fiscal 2025 is pegged at $1.51 per share, indicating year-over-year growth of 5.6%. EMR has a trailing four-quarter average surprise of 3.4%.
Illinois Tool Works Inc. ((ITW - Free Report) ), slated to release second-quarter 2025 results on July 30, has an Earnings ESP of +1.44% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for Illinois Tool Works’ second-quarter 2025 earnings is pegged at $2.55 per share, suggesting a year-over-year rise of 0.4%. ITW has a trailing four-quarter average surprise of 3%.
SAP SE ((SAP - Free Report) ) is scheduled to post results for the second quarter of 2025 on July 22, has an Earnings ESP of +0.05% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for SAP’s second-quarter earnings is pegged at $1.63 per share, implying a 38% increase from the year-ago reported actuals. It has a trailing four-quarter average surprise of 10%.
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Flex Set to Report Q1 Earnings: Is a Beat in the Offing?
Key Takeaways
Flex Ltd. ((FLEX - Free Report) ) is scheduled to report first-quarter fiscal 2026 results on July 24, before market open.
The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $6.25 billion, indicating a fall of approximately 1% from the year-ago quarter’s reported figure. The consensus mark for earnings is pegged at 63 cents per share, up 23.5% year over year.
For the fiscal first quarter, Flex expects revenues to be between $6 billion and $6.5 billion. Management expects adjusted earnings of 58-66 cents per share, excluding 7 cents for net stock-based compensation expense and 5 cents for net intangible amortization.
The company’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters with the average surprise being 16.2%. Shares of the company have gained 80.7% in the past year against the Zacks Electronics - Miscellaneous Products industry's decline of 7.1%.
Image Source: Zacks Investment Research
Factors at Play for FLEX
Positive momentum, fueled by its expanding IP portfolio, recent design wins, acquisitions and strong demand in data center, networking and automotive power electronics markets, is likely to have supported Flex’s performance in the fiscal first quarter. Flex’s strategic initiatives in cloud, power and automotive segments have boosted its fiscal fourth quarter revenues and are expected to have aided its performance in the first quarter.
At its last Investor Day held in May, Flex unveiled the next phase of its EMS + Products + Services strategy. This expands on its strong manufacturing and supply chain capabilities by adding proprietary products and value-added services for better integration and customization. The company’s power products uniquely position it as the only provider with a comprehensive data center solution—from grid to chip. This strategy is expected to deliver higher customer value, foster deeper partnerships and support margin-enhancing growth, going ahead.
Flex continues to benefit from its extensive global footprint of more than 48 million square feet across 110+ sites, enabling efficient, high-scale manufacturing. Strong growth in the Americas, with revenue rising from 38% in fiscal 2020 to 49% in fiscal 2025, reflects its increasing strategic value.
For 2026, Flex anticipates data center revenue to grow approximately mid-30%, with power growth expected to exceed that slightly as domestic capacity expands, while cloud growth may be slightly lower due to tough year-over-year comparisons.
Flex Ltd. Price and EPS Surprise
Flex Ltd. price-eps-surprise | Flex Ltd. Quote
For the Reliability Solutions business, management forecasts sales to remain flat to down high-single digits in the fiscal first quarter owing to weakness in the automotive sector, due to tariff-related disruptions adversely impacting customer volumes. Agility Solutions’ revenues are anticipated to be down by low-single digits to up mid-single digits, with steady growth expected in cloud markets, balanced against softer enterprise, IT and consumer-related end markets.
Uncertain macro environment and changing trade policies act as a burden. Management expects tariff-related costs from raw material sourcing in China and other regions, and plans to pass these costs to customers. However, tariffs are likely to have affected cash flow timing and put slight pressure on margins. While Flex is taking proactive pricing steps to counter these effects, tariffs still pose a major challenge to overall performance.
Key Business Highlights
In June 2025, Flex joined forces with the Massachusetts Institute of Technology (“MIT”) on the Initiative for New Manufacturing (INM) — a cutting-edge Institute-wide project that aspires to rebuild U.S. manufacturing from the core, with sustainability, human experience and advanced technology. As a founding member of the INM Industry Consortium, Flex will work together with MIT researchers, faculty and peer organizations to drive a shared vision of improving manufacturing by harnessing AI, machine learning (ML) and new system-level technologies.
In May 2025, Flex's subsidiary JetCool has introduced its advanced SmartPlate System, a self-contained, direct-to-chip liquid cooling solution available on selected Dell PowerEdge servers. This fully sealed system offers immediate improvements in performance and efficiency without altering existing data center setups or requiring facility water. Independent testing confirmed that the SmartPlate System achieves an average of 15% IT power savings, supporting stable performance and higher utilization even under warmer conditions.
Flex’s Critical Power unit, Anord Mardix, expanded its European operations with a new manufacturing site in Poland, doubling its regional power product capacity to 1.2 million sq. ft. This move supports growing demand for AI-driven data center power solutions. It follows the recent opening of a second facility in Dundalk, Ireland, which doubled capacity there as part of Flex’s broader strategy to strengthen global power and data center infrastructure.
Flex expanded its multi-year partnership with Arch Systems to accelerate its digital transformation and enhance operational efficiency through advanced data and AI solutions. The collaboration will initially focus on major global sites, integrating Arch’s connectivity with Flex’s existing systems and MES. The expansion will scale across hundreds of production lines worldwide within the first year.
What Our Model Says About Flex
Our proven model predicts an earnings beat for FLEX this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is exactly the case here.
Flex has an Earnings ESP of +2.77% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks With Favorable Combination
Here are some other companies with the right combination of elements to post an earnings beat in their upcoming releases.
Emerson Electric Co. ((EMR - Free Report) ), expected to release earnings on Aug. 6, currently has an Earnings ESP of +0.46% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Emerson Electric’s earnings for the third quarter of fiscal 2025 is pegged at $1.51 per share, indicating year-over-year growth of 5.6%. EMR has a trailing four-quarter average surprise of 3.4%.
Illinois Tool Works Inc. ((ITW - Free Report) ), slated to release second-quarter 2025 results on July 30, has an Earnings ESP of +1.44% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for Illinois Tool Works’ second-quarter 2025 earnings is pegged at $2.55 per share, suggesting a year-over-year rise of 0.4%. ITW has a trailing four-quarter average surprise of 3%.
SAP SE ((SAP - Free Report) ) is scheduled to post results for the second quarter of 2025 on July 22, has an Earnings ESP of +0.05% and a Zacks Rank of 3 at present.
The Zacks Consensus Estimate for SAP’s second-quarter earnings is pegged at $1.63 per share, implying a 38% increase from the year-ago reported actuals. It has a trailing four-quarter average surprise of 10%.