Download - FY21 Earnings & Investor Briefing

2021 FOURTH QUARTER EARNINGS & INVESTOR BRIEFING

September 29, 2021

WELCOME

ADAM BERRY

September 29, 2021

$29.3B

NET REVENUE

3

Our Foundation is Solid

JABIL 2021

ABOUT JABIL:WE MAKE ANYTHING POSSIBLE AND

EVERYTHING BETTER FOR OVER 400

OF THE WORLD’S MOST RECOGNIZABLE

BRANDS. OUR AGILITY AND GLOBAL

SCALE ENABLE US TO RESPOND RAPIDLY

AND FLEXIBLY TO CUSTOMER NEEDS.

OUR FY21 FINANCIAL HIGHLIGHTS:

CORE OP MARGIN*

4.2%

CORE DILUTED EPS1

$5.61 $640M

FREE CASH FLOW1

100+SITES LOCATED

STRATEGICALLY

AROUND THE

WORLD

260K+DEDICATED, BEST

IN THE INDUSTRY

EMPLOYEES

50M+SQUARE FEET OF

MANUFACTURING

SPACE

OUR

END-MARKETS:

HEALTHCARE & PACKAGING

*Core operating margin = Core operating income divided by revenue 1 See U.S. GAAP to non-GAAP reconciliation in appendix.

Intentional Diversified Growth

Key End-Markets

(In billions)

REVENUE

4

REVENUE

BY END-MARKET

Networking

& Storage

5G Wireless

& Cloud

Industrial

& Semi-Cap

Automotive &

Transportation

Connected

Devices

Healthcare &

Packaging

MobilityDigital Print

& Retail

$19.1

$22.1

$25.3$27.3

$29.3

FY17 FY18 FY19 FY20 FY21

11%CAGR

5

Long-term

Partnerships

DIGITAL PRINT &RETAIL

INDUSTRIAL &SEMI-CAP

5G WIRELESS &CLOUD

NETWORKING& STORAGE

AUTOMOTIVE& TRANSPORTATION

MOBILITY &CONNECTED

DEVICES

HEALTHCARE &PACKAGING

Financial Priorities

Shareholder Focus

ALIGNED & FOCUSED ON DRIVING CONSISTENT CASH FLOWS & PROFITABILITY

EXPANDOPERATING MARGINS

INCREASE

EARNINGS PER SHAREGENERATE

STRONG CASH FLOWS

6

MIKE DASTOORCHIEF FINANCIAL OFFICER

Financial Update

❖ FY21 Results

❖ End-Market & Supply Chain Update

❖ FY22 Outlook

MARK MONDELLOCHIEF EXECUTIVE OFFICER

Business Update

❖ Our People

❖ Our Culture

❖ Factory Innovation

Forward Looking Statement

9

Forward Looking Statements: This presentation contains forward-looking statements, including those regarding our anticipated financial results for the fourth quarter and

full fiscal year 2021; our guidance for future financial performance in our first quarter of fiscal year 2022 (including, net revenue, segment revenue, U.S. GAAP operating

income, U.S. GAAP diluted earnings per share, core operating income (Non-GAAP), core diluted earnings per share (Non-GAAP), net interest expense, and core tax rate and

the components of each); our guidance for future financial performance in full fiscal year 2022 (including, gross profit margin, net capex, growth investment capex,

maintenance investment capex, net revenue, core operating income, core operating margin, core diluted earnings per share (Non-GAAP), free cash flow, adjusted free cash

flow, core EBITDA, core return on invested capital, and the components and drivers of each); and our outlook for secular trends, the future components of our capital

structure and allocation, segment revenue and core operating margin and end market revenue. They also include our expectations for greenhouse gas reduction. The

statements in this presentation are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes and results

to differ materially from our current expectations. Such factors include, but are not limited to: our determination as we finalize our financial results for the fourth quarter and

full fiscal year 2021 that our financial results and conditions differ from our current preliminary unaudited numbers set forth herein; the scope and duration of the COVID-19

outbreak and its impact on our operations, sites, customers and supply chain; managing growth effectively; our dependence on a limited number of customers; competitive

challenges affecting our customers; managing rapid declines or increases in customer demand and other related customer challenges that may occur; risks arising from

relationships with emerging companies; changes in technology; our ability to introduce new business models or programs requiring implementation of new competencies;

competition; transportation issues; our ability to maintain our engineering, technological and manufacturing expertise; retaining key personnel; our ability to purchase

components efficiently and reliance on a limited number of suppliers for critical components; risks associated with international sales and operations; our ability to achieve

expected profitability from acquisitions; risk arising from our restructuring activities; issues involving our information systems, including security issues; regulatory risks

(including the expense of complying, or failing to comply, with applicable regulations; risk arising from design or manufacturing defects; and intellectual property risk);

financial risks (including customers or suppliers who become financially troubled; turmoil in financial markets; tax risks; credit rating risks; risks of exposure to debt; currency

fluctuations; energy prices; and asset impairment); changes in financial accounting standards or policies; and risk of natural disaster, climate change or other global events.

Additional factors that could cause such differences can be found in our Annual Report on Form 10-K for the fiscal year ended August 31, 2020 and our other filings with the

Securities and Exchange Commission. We assume no obligation to update these forward-looking statements.

2021 FOURTH QUARTER EARNINGS

MIKE DASTOOR

September 29, 2021

Financial Priorities

Shareholder Focus

ALIGNED & FOCUSED ON DRIVING CONSISTENT CASH FLOWS & PROFITABILITY

EXPANDOPERATING MARGINS

INCREASE

EARNINGS PER SHAREGENERATE

STRONG CASH FLOWS

11

Fourth Quarter

FY 2021 Highlights

12

✓ Revenue

• Year-over-year growth in Mobility, Automotive

and Healthcare

✓ Core Operating Margin*

• Solid operating leverage

✓ Core Earnings Per Share1

• Strong year-over-year growth

NET REVENUE

CORE EARNINGS PER SHARE1

7.4$BILLION

CORE OP MARGIN*

4.2%

*Core operating margin = Core operating income divided by revenue

1.44$

1 See U.S. GAAP to non-GAAP reconciliation in appendix.

Fourth Quarter & FY21

Income Highlights

131 See U.S. GAAP to non-GAAP reconciliation in appendix.

THREE MONTHS ENDED

AUGUST 31,

FISCAL YEAR ENDED

AUGUST 31,

2021 2020 2021 2020

Net revenue $7,409 $7,300 $29,285 $27,266

U.S. GAAP operating income $265 $197 $1,055 $500

U.S. GAAP net income $175 $68 $696 $54

U.S. GAAP diluted earnings per share $1.16 $0.44 $4.58 $0.35

Core operating income (non-GAAP)1 $314 $255 $1,241 $864

Core earnings (non-GAAP)1 $216 $151 $853 $450

Core diluted earnings per share (non-GAAP)1 $1.44 $0.98 $5.61 $2.90

(In millions, except for per share data)

Fourth Quarter FY21

Segment Results

DMS

53%

EMS

47%$7.4BREVENUE

DIVERSIFIED MANUFACTURING SERVICES (DMS)

▪ Net Revenue Increase of 9.7%

▪ Core margin* (non-GAAP) of 4.1%

ELECTRONICS MANUFACTURING SERVICES (EMS)

▪ Net Revenue Decrease of 6.4%


TOTAL COMPANY

▪ Net Revenue Increase of 1.5%


* Core margin defined as core operating income divided by net revenue

15

DIVERSIFIED MANUFACTURING ELECTRONICS MANUFACTURING

FY20 FY21 FY20 FY21

Auto & Transportation $1.7 $2.2 Digital Print & Retail $2.3 $2.3

Healthcare & Packaging $4.2 $4.5 Industrial & Semi-Cap $3.5 $3.4

Connected Devices $4.0 $4.5 5G Wireless & Cloud $5.5 $5.3

Mobility $3.3 $4.2 Networking & Storage $2.8 $2.8

Total Revenue $13.2 $15.4 Total Revenue $14.1 $13.9

Core Operating Margin* 3.7% 4.8% Core Operating Margin* 2.7% 3.7%

Our Portfolio

Revenue by End-Markets

$ in billions $ in billions


Numbers may not foot due to rounding.

See U.S. GAAP to non-GAAP reconciliation in appendix.

Net Capex

FY21

16See U.S. GAAP to non-GAAP definitions and reconciliations located at https://investors.jabil.com/

FY21 Net Capex($ millions)

Fiscal Year Ended

August 31, 2021

Acquisition of property, plant and equipment ($1,159)

Proceeds and advances from sale of property,

plant and equipment$366

Net Capex ($793)

$1,193 $1,257$1,433

$787 $796 $793

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

FY19 FY20 FY21

Cash Flow from Operations Net CapEx

Net capex1 as a % of net revenue

3.1% 2.9% 2.7%

1 See U.S. GAAP to non-GAAP reconciliation in appendix and U.S. GAAP to non-GAAP definitions located at https://investors.jabil.com/

Strong Cash Flow &

Disciplined Investment

($ millions)

Consistent

Shareholder Return

18

SHARE COUNT(millions)

203194 192 187

178165

154 150 144

100

120

140

160

180

200

220

FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21

CUMULATIVE SHAREHOLDER RETURN

FY13 – FY21Share Repurchases

Dividends

$3B

29%

reduction

Jabil 2021

A Tremendous Year

$247

$503$461

$640

FY18 FY19 FY20 FY21

(In millions)

CORE OP INCOME & CORE MARGIN1 CORE EPS1

(In millions)

ADJ. FREE CASH FLOW1

$768$877 $864

$1,241

3.5% 3.5%

3.2%

4.2%

FY18 FY19 FY20 FY21

$2.62 $2.98 $2.90

$5.61

FY18 FY19 FY20 FY21

1 See U.S. GAAP to non-GAAP reconciliation in appendix and U.S. GAAP to non-GAAP definitions located at https://investors.jabil.com/

HEALTHCARERising Costs, Aging Population,

Connectivity, Digitization

AUTOMOTIVEClimate Change, Fuel Efficiency ACE - Autonomous, Connected, Electric

5GInfrastructure & Devices. Accelerated Connectivity, Work & Learn from Home

PACKAGINGSustainability, Eco-friendly &

Smart Packaging

SEMI-CAPAccelerated Convergence

of Technology

CLOUDAccelerated Connectivity, Digitization, Massive Data Growth,

Security

Secular Trends Driving Growth

Across Multiple End-Markets

20

DRIVING GROWTH

AGING

POPULATION

RISING

COSTS

DIGITIZATIONPERSONALIZED

CARE

WHAT WE DO:

END-TO-END GLOBAL SOLUTIONS

DIAGNOSTICS &

INSTRUMENTATIONORTHOPEDICS

PHARMACEUTICAL

DELIVERY DEVICES

MEDICAL

DEVICES

Secular Trends

Healthcare

21

Secular Trends

Vehicle Electrification

ELECTRIFICATIONIncreasing electrification of the powertrain

from mild HEV’s to full HEV’s, PHEV’s and EV’s,

charging infrastructureEAADAS / AUTONOMOUSShort-term: emergency braking, lane

departure, etc.

Long-term: hands, eyes & brain-off driving CCONNECTIVITYRemote diagnostics, over the air updates,

V2X, V2I, V2V, self parking, etc.

Charging Cable

Charging Station

Battery Monitoring

Park Assist

Inverter

DCDC Converter

On-Board Charging

Display Modules

Driver Information

Telematics Control Unit

V2X Communication

Gateway Module

ADAS Camera

LiDAR

Driver Monitoring Cameras

Domain Compute

RADAR

Surround View Cameras

Combiner HUD Kinematics

Windshield HUD Optics

External Charger

22

23

Secular Trends

Infrastructure Spending

• 5G

• CLOUD

• SEMI-CAP

• EDGE COMPUTING

• MICRO-GRID

• SMART INFRASTRUCTURE

• POWER GENERATION

• ENERGY STORAGE

24

* Growth rates rounded.


FY20 FY21 FY22 Y/Y Growth* FY20 FY21

FY22 Y/Y Growth*

Auto & Transportation $1.7 $2.2 41% Digital Print & Retail $2.3 $2.3 13%

Healthcare & Packaging $4.2 $4.5 11% Industrial & Semi-Cap $3.5 $3.4 9%

Connected Devices $4.0 $4.5 2% 5G Wireless & Cloud $5.5 $5.3 8%

Mobility $3.3 $4.2 0% Networking & Storage $2.8 $2.8 (7%)

Total Revenue $13.2 $15.4 $16.9 Total Revenue $14.1 $13.9 $14.6

Core Operating Margin* 3.7% 4.8% 5.0%Core Operating Margin*

2.7% 3.7% 3.8%

Revenue by End-Markets

Continued Mix Shift in Targeted Areas

* Core margin defined as core operating income divided by net revenueNumbers may not foot due to rounding.


25

Continued Mix Shift in Targeted Areas

Driving Margin Expansion

Gross Profit Margin Core Operating Margin


*

Net Capex

Disciplined Investment


FY22E Net Capex($ millions)

Net Capex FY22E

Growth Investment $330

Maintenance Investment $500

• Replacement

• Factory Innovation

• Engineering & Innovation

Company Total $830

$787 $796 $793 $830

3.1%2.9%

2.7% 2.6%

0

100

200

300

400

500

600

700

800

900

FY19 FY20 FY21 FY22E

Net Capex Net CapEx % of Revenue

Net Capex($ millions)

Solid Liquidity Profile

Consistent Free Cash Flow Generation


$1.6 $1.6

$2.1$2.3


$503$461

$640

$700


Adjusted FCF ($ millions)

CORE EBITDA($ billions)

Drivers of Future

Free Cash Flow

1. Earnings expansion

2. Working capital efficiencies

3. Disciplined investment

Actively Driving

Core ROIC

28

19% 21% 20%

30%

FY18 FY19 FY20 FY21

CORE RETURN ON

INVESTED CAPITALCONSISTENT RETURNS

• Aligning investments with higher

growth and more profitable end-

markets

• Disciplined approach towards

optimal capital structure and investor

returns

See U.S. GAAP to non-GAAP definitions and reconciliations located at https://investors.jabil.com/

29

-

500

1,000

1,500

2,000

2,500

3,000

2022 2023 2024 2025 2026 2027 2028 2029 2030 2031

Sr. Note & Private Placements Securitization Revolver capacity Fully committed to maintaining

investment grade profile

($ in millions)

• Balance sheet debt of $2.9B, as

of August 31, 2021

• Credit Agency Ratings/Outlook

➢ Moody’s: Baa3 / Stable

➢ S&P: BBB- / Stable

➢ Fitch: BBB- / Positive

FINANCIAL STRENGTH

Note: Years reflect calendar year. All other slides reflect fiscal years (September to August).1 Undrawn capacity as of August 31, 2021.2 A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time. Each credit rating should be evaluated independently of any other credit rating.

1

2

Financial Flexibility

Solid Capital Structure

Balanced and Thoughtful

Capital Allocation Framework

➢ Continued reinvestment to expand

capabilities and support customer

relationships

➢ Prioritize share repurchases & dividends

➢ Disciplined approach to M&A

➢ Continue optimize capital structure

30

VALUE CREATION FOR JABIL SHAREHOLDERS

Cash flow from operations

Free Cash Flow

Share Repurchases

& Dividends~ 80%

Debt Optimization

& M&A

~ 20%

Net Capex

~ 55%

First Quarter FY22

Guidance

EMS

Segment Revenue Guidance Q1 FY21 Q1 FY22E YoY Change

▪ Diversified Manufacturing Services $4.2B $4.7B Increase 10%

▪ Electronics Manufacturing Services $3.6B $3.6B 0%

Consolidated Guidance Q1 FY22E

Net revenue $8.0B - $8.6B

U.S. GAAP operating income $321M - $381M

U.S. GAAP diluted earnings per share $1.41 - $1.61

Core operating income (non-GAAP)1 $365M - $425M

Net interest expense2 $38M

Core tax rate (non-GAAP)3 ~25%

Core diluted earnings per share (non-GAAP)1 $1.70 - $1.90

1 See U.S. GAAP to non-GAAP reconciliation on Form-8K filed on September 29, 2021.2 Net interest expense = interest expense + loss on sale of AR - interest income 3 Core tax rate excludes the tax impacts related to amortization of intangibles, stock-based compensation expense and related charges.

$768$877 $864

$1,241

$1,405

3.5% 3.5%

3.2%

4.2%4.5%

FY18 FY19 FY20 FY21 FY22E

Our Outlook

The Momentum Continues

$247

$503$461

$640$700


(In millions)

CORE OP INCOME & CORE OP MARGIN CORE EPS(In millions)

ADJ. FREE CASH FLOW


$7004.5%

CORE OPERATING MARGIN

$6.35CORE EPS ADJ. FREE CASH FLOW

$2.62 $2.98 $2.90

$5.61 $6.35


Our FY22 Outlook

Deliver a Credible Financial Plan

BILLION

$31.5

NET REVENUE CORE OP MARGIN

4.5%

FREE CASH FLOW

$700MILLION

$6.35

CORE EPS

See U.S. GAAP to non-GAAP definitions located at https://investors.jabil.com/

MANAGEMENT’S OUTLOOK FOR FY22

We have a Vision

To be the most Technologically Advanced and Trusted manufacturing solutions provider.

34

MARK MONDELLO

September 29, 2021

Thank you for being your True Self

OUR PEOPLEA Team which promotes an Inclusive Environment

Jabil

Construct and Pedigree

36

OUR APPROACH

OUR SOLUTIONS

OUR PORTFOLIO

OUR OUTLOOK

BELONGING

Dei EnterpriseStrategy

Mitigating

Biases

Inclusive

Leadership

Diverse Talent

Development

We’re Listening

We’re Learning

Our Approach

A more Diverse, Equitable & Inclusive Jabil

We’re Actioning

OUR INNOVATIVE SOLUTIONS

OUR PEOPLE & COMMUNITIES

OUR OPERATIONS & RESOURCES

United NationsSustainable Development – alignment

GENDER

EQUALITY5

3

CLEAN WATER

& SANITATION6AFFORDABLE

& CLEAN

ENERGY7

DECENT WORK

& ECONOMIC

GROWTH8

10 REDUCED

INEQUALITIES

11SUSTAINABLE

CITIES AND

COMMUNITIES

12RESPONSIBLE

CONSUMPTION

& PRODUCTION

13 CLIMATE

ACTION

16PEACE, JUSTICE

AND STRONG

INSTITUTIONS

17PARTNERSHIPS

FOR THE

GOALS

Environmental Action

Greenhouse Gas reduction

by 2030

Factories to have a plan

for conserving water

50%

All

Factories strive for

maximum landfill diversion

New strategy and our 3 sustainability pillars

Employee well-being

Employee well-being includes feeling welcomed, valued, and respected.

Seek more circular

economy

partnerships

Health & Safety remains a core value

Community service, human rights, and diversity, equity, and inclusion.

Our Approach

A more Sustainable Jabil

Our Solutions

Enabled by Structure, Investments, Customers

EXECUTION

Operations

IT

Supply

Chain

OBSESSION

AT OUR VERY CORE WE ‘BUILD STUFF’

COLLABORATION

Our Portfolio

Critical and Trusted Partner

Mobility

Healthcare & Packaging

Connected Devices

Automotive & Transportation

Networking &

Storage

Digital Print & Retail

Industrial & Semi-Cap

5G Wireless & Cloud

41

Numbers may not foot due to rounding.


FY20 FY21 FY22 FY20 FY21 FY22

Auto & Transportation $1.7 $2.2 $3.1 Digital Print & Retail $2.3 $2.3 $2.6

Healthcare & Packaging $4.2 $4.5 $5.0 Industrial & Semi-Cap $3.5 $3.4 $3.7

Connected Devices $4.0 $4.5 $4.6 5G Wireless & Cloud $5.5 $5.3 $5.7

Mobility $3.3 $4.2 $4.2 Networking & Storage $2.8 $2.8 $2.6

Total Revenue $13.2 $15.4 $16.9 Total Revenue $14.1 $13.9 $14.6

Core Operating Margin* 3.7% 4.8% 5.0% Core Operating Margin* 2.7% 3.7% 3.8%

Our Portfolio

Intentionally Diversified and Evermore Resilient



Our Outlook

Credible FY22 Financial Plan

BILLION

$31.5

NET REVENUE CORE OP MARGIN

4.5%

FREE CASH FLOW

$700MILLION

$6.35

CORE EPS

See U.S. GAAP to non-GAAP definitions located at https://investors.jabil.com/

MANAGEMENT’S OUTLOOK FOR FY22

Our Outlook

What we’re doing is Working


$768 $877 $864

$1,241 $1,405


(In millions)CORE OP INCOME

$2.62 $2.98 $2.90

$5.61 $6.35


CORE EPS

$22.1 $25.3

$27.3 $29.3

$31.5


(In billions)

REVENUE

10%

CAGR15%

CAGR25%

CAGR

Enables our path forward, as we care for each other, treat one another with complete respect, give back to those in need and respect the environment.

44

OUR PURPOSE

Our Path Forward

Trust and Belief in our Team

• A well Diversified Portfolio with solid exposure to Secular Trends

• Proven ability to Execute fueled by operational investments

• Innovative solutions put forth as we obsess about our Customers

• Unique combination of Approach, Structure, Scale and Experience

• The commitment and continuation of Capital returns to Shareholders

Thank you for being your True Self

OUR PEOPLEA Team which promotes an Inclusive Environment

47

Our PathGrounded by a Straight-forward Strategy

✓ Jabil has undergone deep and sustainable improvements

✓ The business is extremely well-diversified

✓ Demand for innovative global manufacturing partners with robust supply chain capabilities has

never been stronger

✓ Jabil is well-positioned to benefit from long-term secular trends

✓ Management is focused on achieving industry-leading Core Margins and Adjusted Free Cash

Flow, at scale

✓ Well-balanced and disciplined capital allocation framework

MARK MONDELLOCHIEF EXECUTIVE OFFICER

MIKE DASTOORCHIEF FINANCIAL OFFICER

ADAM BERRYVP, INVESTOR RELATIONS

APPENDIX

49

GAAP to Non-GAAP Reconciliations

50

August 31, 2021 August 31, 2020 August 31, 2021 August 31, 2020Operating income (U.S. GAAP) 265$ 197$ 1,055$ 500$ Amortization of intangibles 12 13 47 56 Stock-based compensation expense and related charges 26 21 102 83 Restructuring, severance and related charges 4 12 10 157 Distressed customer charge - - - 15 Net periodic benefit cost 7 9 24 16 Business interruption and impairment charges, net - 1 (1) 6 Acquisition and integration charges - 2 4 31 Adjustments to operating income 49 58 186 364 Core operating income (Non-GAAP) 314$ 255$ 1,241$ 864$ - - #REF! #REF!

Core operating income (Non-GAAP) 314$ 255$ 1,241$ 864$ Depreciation expense 219 181 828 739 Core EBITDA (Non-GAAP) 533$ 436$ 2,069$ 1,603$

Net income attributable to the Company (U.S. GAAP) 175$ 68$ 696$ 54$ Adjustments to operating income 49 58 186 364 Loss (gain) on securities - 36 (2) 49 Net periodic benefit cost (7) (9) (24) (16) Adjustment for taxes (1) (2) (3) (1)

216$ 151$ 853$ 450$ - -

Diluted earnings per share (U.S. GAAP) 1.16$ 0.44$ 4.58$ 0.35$ -$ -$ 0 0Diluted core earnings per share (Non-GAAP) 1.44$ 0.98$ 5.61$ 2.90$

Diluted weighted average shares outstanding (U.S. GAAP & Non-GAAP) (in

thousands) 150,124 154,453 152,051 155,274

JABIL INC. AND SUBSIDIARIESOPERATING INCOME, EBITDA and NET INCOME NON-GAAP RECONCILIATION

(In millions, except for per share data)(Unaudited)

Three months ended Fiscal year ended

Core earnings (Non-GAAP)

Download - FY21 Earnings & Investor Briefing

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