Strong Financial Performance#
Sanmina Corporation has reported impressive financial results for the second quarter of fiscal year 2026, exceeding both earnings and revenue expectations. The company achieved an earnings per share (EPS) of $3.16, which is significantly higher than the forecasted $2.40, resulting in a notable 31.67% surprise. Additionally, revenue reached $4.01 billion, surpassing expectations by 21.88%. Following this announcement, Sanmina’s stock rose by 2.41% in aftermarket trading, indicating positive investor sentiment.
Key Highlights#
Sanmina’s revenue of $4.01 billion represents a remarkable 102% growth compared to the same quarter last year. The EPS of $3.16 shows a 125% increase from the previous year. The stock price increase in aftermarket trading reflects investor confidence in the company’s performance. This strong growth was driven by increased shipments of accelerated compute products and the successful integration of ZT Systems.
Detailed Financial Metrics#
- Revenue: $4.01 billion, up 102% year-over-year.
- EPS: $3.16, a 125% increase from the previous year.
- Non-GAAP gross profit: $360 million, which is 9% of revenue.
- Operating cash flow: $399 million.
- Free cash flow: $342 million.
Market Reaction and Future Outlook#
After the earnings announcement, Sanmina’s stock rose to $196.8, nearing its 52-week high of $197.63, which reflects strong investor confidence in the company's growth strategy. The company has provided optimistic guidance for the upcoming quarters, projecting an EPS of $2.58 for Q3 and $2.90 for Q4 of FY2026, with revenue forecasts of $3.50 billion and $3.87 billion, respectively. Analysts expect a full-year revenue growth of 72% for FY2026, highlighting the company’s strong position in high-demand sectors such as cloud and AI infrastructure.