Jabil Inc Stock

Jabil Inc. provides manufacturing services and solutions worldwide. The company provides comprehensive electronics design, production and product management services to companies in various industries and end markets.

The company's manufacturing and supply chain management services and solutions include innovation, design, planning, fabrication and assembly, delivery and managing the flow of resources and products.

The company serves its customers primarily through dedicated business units that combine highly automated, continuous flow manufacturing with advanced electronic design and design for manufacturability. The company conducts its operations in facilities that are located worldwide, including but not limited to China, India, Malaysia, Mexico, Singapore, and the United States. The company's global manufacturing production sites allow customers to manufacture products simultaneously in the optimal locations for their products.

Segments

The company operates through two segments, Electronics Manufacturing Services (EMS) and Diversified Manufacturing Services (DMS).

EMS

This segment focuses around leveraging IT, supply chain design and engineering, technologies largely centered on core electronics, utilizing its large scale manufacturing infrastructure and its ability to serve a broad range of end markets. The company's EMS segment is a high volume business that produces product at a quicker rate (i.e. cycle time) and in larger quantities and includes customers primarily in the 5G, wireless and cloud, digital print and retail, industrial and semi-capital equipment, and networking and storage industries.

DMS

This segment focuses on providing engineering solutions, with an emphasis on material sciences, machining, tooling, and molding of highly engineered plastic and metal parts. The company's DMS includes customers primarily in the automotive and transportation, connected devices, healthcare and packaging, and mobility industries.

Strategy

The key elements of the company's strategy are to establish and maintain long-term customer relationships; utilize customer-centric business units; leverage global production; offer systems assembly, direct-order fulfillment and configure-to-order services; offer design services; and pursue acquisition opportunities selectively.

The company focuses on balancing its portfolio of products and product families to those that align with higher return areas of its business, including manufacturing, supply chain management services, comprehensive electronics design, production and product management services, 5G wireless, cloud, healthcare, packaging, automotive and transportation, and semi-capital equipment.

Design Services

The company offers a wide spectrum of value-add design services to enhance its relationships with customers and to help develop relationships with its new customers. The company's teams are strategically staffed to support Jabil customers for all development projects, including turnkey system design and design for manufacturing activities. These design services include:

Electronic Design: The company's Electronic Design team provides electronic circuit design services, including application-specific integrated circuit design, firmware development and rapid prototyping services. These services have been used by its customers for a variety of products, including smart phones and accessory products, notebook and personal computers, connected consumer products and appliances, servers, radio frequency products, optical communications products, communication and broadband products, and automotive and healthcare components and devices.

Industrial Design: The company's Industrial Design team designs the 'look and feel' of the plastic and metal enclosures that house the products' electro-mechanics, including the printed circuit board assemblies (PCBA).

Mechanical Design: The company's Mechanical Design team specializes in three-dimensional mechanical design with the analysis of electronic, electro-mechanical and optical assemblies using state of the art modeling and analytical tools. This team has extended Jabil's product design offering capabilities to include all aspects of industrial design, advance mechanism development and tooling management.

Computer-Assisted Design: The company's Computer-Assisted Design (CAD) team provides PCBA design services using advanced CAD engineering tools, PCBA design validation and verification services, and other consulting services, which include generating a bill of materials, approved vendor list and assembly equipment configuration for a particular PCBA design. The company's CAD services result in PCBA designs that are optimized for manufacturability and cost efficiencies and accelerate a product's time-to-market and time-to-volume production.

Product Validation: The company's Product Validation team provides complete product and process validation. This includes product system tests, product safety, regulatory compliance and reliability tests.

Manufacturing Test Solution Development: The company's Manufacturing Test Solution Development team provides integral support to the design teams to embed design with testability and to promote efficient capital and resource investment in the manufacturing process. The use of software driven instrumentation and test process design and management has enhanced its product quality and reduced its operating costs relative to human dependent test processes. The full electronic test data-log of customer products has allowed customer product test traceability and visibility throughout the manufacturing test process.

Fabrication and Assembly

The company offers systems assembly, test, direct-order fulfillment and configure-to-order services to its customers. The company's systems assembly services extend its range of assembly activities to include assembly of higher-level sub-systems and systems incorporating multiple PCBAs. In addition, based on quality assurance programs developed with its customers, the company provides testing services for its PCBAs, sub-systems and systems products. The company's quality assurance programs include circuit testing under various environmental conditions to ensure that its products meet or exceed required customer specifications. The company also offers direct-order fulfillment and configure-to-order services for delivery of final products.

Customers and Marketing

A key tenet of the company's strategy is to establish and maintain long-term relationships with leading companies in expanding industries with the size and growth characteristics that can benefit from highly automated, continuous flow manufacturing on a global scale. The company also markets its services and solutions through its website and its Blue Sky Innovation Centers.

For the year ended August 31, 2023, the company's five largest customers accounted for approximately 42% of its net revenue and 84 customers accounted for approximately 90% of its net revenue. For the year ended August 31, 2023, the company's customer Apple, Inc. accounted for 17% of net revenue.

History

The company was founded in 1966. The company was incorporated in Delaware in 1992. It was formerly known as Jabil Circuit, Inc. and changed its name to Jabil Inc. in 2017.