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Flex Ltd. (FLEX-3.72%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing reports net sales of $6.6 billion for the three-month period, a 2% increase from the same period in the previous year. Net sales for the nine-month period ended December 31, 2024, were $19.4 billion, a 4% decrease from the previous year.
Flex Agility Solutions segment sales increased by 4% to $3.6 billion for the quarter, driven by higher demand in cloud and consumer devices. Flex Reliability Solutions segment sales remained flat at $3.0 billion.
Cost of sales for the quarter was $6.0 billion, representing 91% of net sales, a slight decrease from 92% in the previous year. This was attributed to cost efficiencies and favorable product mix.
Gross profit for the quarter increased to $594 million, or 9.1% of net sales, compared to 6.7% in the previous year. This improvement was due to favorable mix and operational execution.
Operating income for the quarter was $334 million, up from $198 million in the previous year. This increase was driven by higher gross profit and stable operating expenses.
Net income from continuing operations for the quarter was $263 million, compared to $129 million in the previous year. There was no net income from discontinued operations for the quarter, following the spin-off of Nextracker.
Interest expense for the quarter increased to $57 million from $50 million in the previous year, primarily due to new debt issuance.
Cash provided by operating activities was $1.1 billion for the nine-month period, with adjusted free cash flow of $757 million.
Flex repurchased approximately 5.5 million shares for $201 million during the quarter, with $1.3 billion remaining available under the current repurchase program.
The company reported a decrease in net working capital to $3.7 billion as of December 31, 2024, from $4.5 billion as of March 31, 2024, mainly due to increased current liabilities.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Flex Ltd. quarterly 10-Q report dated January 31, 2025. To report an error, please email earnings@qz.com.