NASDAQ$PLXS

Plexus Corp · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Announced fiscal third quarter financial results

Plexus reported record quarterly revenue of $857 million and GAAP diluted EPS of $1.20 for the fiscal third quarter of 2020. The company initiates fiscal fourth quarter 2020 revenue guidance of $850 to $890 million with GAAP diluted EPS guidance of $1.05 to $1.20, excluding unforeseen impacts relating to COVID-19.

  • Record quarterly revenue of $857 million for the fiscal third quarter of 2020
  • GAAP diluted EPS of $1.20
  • GAAP operating margin of 5.3%, the best quarterly margin result in three years
  • Won 35 manufacturing programs during the quarter representing an expected $252 million in annualized revenue when fully ramped into production

Headline financials

Total Revenue

$880M

Previous: $833M+5.7%
EPS (adj)

$1.20

Previous: $0.81+48.1%
ROIC

12.9%

No prior period
Economic return

4.1%

No prior period
Capital Expenditures

-$41.2M

Previous: -$74.6M+44.7%
Free Cash Flow

-$5.38M

Previous: -$49.8M+89.2%
Net Income

$35.8M

Previous: $24.8M+44.5%
Operating Income

$45.9M

Previous: $34.4M+33.3%
Gross Profit

$82.9M

Previous: $71M+16.7%
Cash & Equivalents

$297M

Previous: $198M+49.5%
Total Assets

$2.29B

Previous: $2.02B+13.5%
Stock-Based Comp

$6.54M

Previous: $5.43M+20.6%

Revenue & EPS history

Plexus · Revenue · Quarterly

$880M

Q3 2020+5.7%vs Q3 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Plexus · $880M total across 3 segments · Q3 2020

  • Asia-Pacific
    $482M
  • Americas
    $306M
  • EMEA
    $92M

Forward guidance

Plexus is guiding revenue in the range of $850 to $890 million and GAAP diluted EPS in the range of $1.05 to $1.20 for fiscal fourth quarter.

Tailwinds

  • Aggregate demand is anticipated to remain strong in fiscal fourth quarter.
  • Expected sustained solid operating performance.
  • Well-positioned with a strong balance sheet.
  • Full use of the $350 million credit facility.
  • See a path to continued strength in operating performance throughout fiscal 2021.

Headwinds

  • Expect continued end market volatility.
  • Known constraints with the global supply chain.
  • Workforce challenges that could occur due to COVID-19.
  • COVID-related demand to moderate in advance of the anticipated benefit of growth from new program ramps later in the year.
  • Guidance assumes no large scale closures of facilities due to COVID-19.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.1%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+2.5%

Avg return

30 days after

51%

35 / 68 earnings

Positive

+13.2%

Q1 2016

Best reaction

-18.1%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+2.7%+5.8%+7.1%
Q1 2026+9.3%+12.7%+7.3%
Q4 2025+2.8%-1.7%-5.2%
Q2 2025-1.4%-1.1%+1.9%
Q1 2025-10.1%-15.2%-19.4%
Q4 2024+7.5%+6.3%+20.2%
Q3 2024+9.0%+6.3%+7.7%
Q2 2024+2.6%+5.9%+17.3%
Q1 2024-5.1%-6.7%-4.2%
Q4 2023+5.9%+9.4%+17.8%
Q3 2023-3.9%-3.9%-2.9%
Q2 2023-0.5%+0.0%+5.4%
Q1 2023-18.1%-19.6%-16.1%
Q4 2022-1.2%+1.4%+11.7%
Q3 2022+6.5%+9.6%+9.9%
Q2 2022+6.2%+6.5%+9.2%
Q1 2022-6.0%-2.3%+2.8%
Q4 2021-8.0%-5.8%-9.8%
Q3 2021-0.3%+1.4%+2.8%
Q2 2021-1.0%+4.0%+8.9%
Q1 2021-3.7%-3.2%+0.6%
Q4 2020-3.3%-1.2%+8.7%
Q3 2020+2.8%-1.6%+3.4%
Q2 2020+7.0%+9.9%+14.7%
Q1 2020+2.6%-3.2%-7.6%
Q4 2019+9.1%+13.0%+15.4%
Q3 2019-9.1%-8.4%-7.1%
Q2 2019-7.8%-8.8%-17.5%
Q1 2019-2.1%+1.6%+9.3%
Q4 2018+4.1%+3.1%+4.8%
Q3 2018-0.5%-1.5%-1.7%
Q2 2018-11.6%-11.4%-6.3%
Q1 2018-5.7%-6.0%-7.2%
Q4 2017+5.8%+4.9%+8.4%
Q3 2017+3.5%+3.2%-6.2%
Q2 2017-6.8%-7.7%-13.0%
Q1 2017+0.4%-0.0%+8.1%
Q4 2016+1.3%+2.3%+14.7%
Q3 2016-2.2%-0.4%+2.1%
Q2 2016+7.6%
Q1 2016+13.2%
Q4 2015-12.4%
Q3 2015-6.2%
Q2 2015+0.8%
Q1 2015-0.7%
Q4 2014+5.2%
Q3 2014-3.7%
Q2 2014+9.2%
Q1 2014-3.3%
Q4 2013+3.1%
Q3 2013-1.7%
Q2 2013+0.0%
Q1 2013+6.0%
Q4 2012-0.3%
Q3 2012+4.9%
Q2 2012-2.2%
Q1 2012+2.1%
Q3 2009+0.3%
Q4 2011+0.3%
Q3 2011-13.6%
Q2 2011+1.4%
Q1 2010+1.3%
Q1 2011+2.7%
Q2 2010-1.6%
Q4 2008-1.6%
Q4 2010-1.6%
Q4 2009+0.2%
Q3 2010+0.2%

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