Fabrinet reported third-quarter earnings and revenue that surpassed analyst expectations, driven by sustained demand for its networking and optical components used in data centers and telecommunications infrastructure.
The company posted adjusted earnings per share of $1.85, topping the $1.56 consensus estimate by $0.29, according to Refinitiv data. Revenue rose 11% year-over-year to $724 million, exceeding the $705 million forecast.
Fabrinet attributed the outperformance to strong demand from cloud service providers and enterprise customers, as well as improved supply chain efficiencies. The company also noted that its optical interconnect products continued to benefit from the ongoing build-out of 5G and AI-driven data center expansions.
Management reaffirmed its full-year guidance, projecting revenue growth of 8% to 10% and adjusted earnings per share between $6.50 and $6.80. The outlook reflects confidence in sustained demand despite macroeconomic uncertainties.
Shares of Fabrinet were up 2.5% in pre-market trading following the results, indicating investor approval of the quarterly performance and guidance.
