A：The key messages communicated during the call were that the business is positioned for growth in fiscal 2027, supported by strong customer relationships and capabilities; well-committed customer demand is filling additional capacity; a commitment to product and market diversification is creating meaningful value, particularly in AI, automotive, defense, and aerospace; and focused execution, investment, and capital allocation are expected to convert growth into earnings, cash flow, and shareholder returns.

A：For the fourth quarter and fiscal year ended August 31, 2025, revenue was approximately $10.6 billion, up 29% year over year. GAAP operating income was $602 million, or 5.7% of revenue. Core operating income was $675 million, representing a core operating margin of 6.4%. GAAP diluted earnings per share were $3.08, while core diluted earnings per share were $4.40, up 34% year over year.

A：The company is positioned for growth in intelligent infrastructure with revenue of approximately $5.8 billion, up 56% year over year, driven by strong demand in AI that remained very strong and continued to accelerate, capacity coming online sooner than planned, and better-than-anticipated customer ramps. This growth is supported by the ramp of a second hyperscaler in Mexico, continued strength in networking programs in India, and the power business performing better than expected. Core operating margin for the segment was 6.5%, up 60 basis points year over year, reflecting an improving mix and the contribution of the margin-accretive Hanley energy acquisition.

A：The projected growth outlook for the first quarter of fiscal 2027 is as follows: regulated industries revenue is expected to be approximately $3.5 billion, up about 12% year over year; intelligent infrastructure revenue is expected to be approximately $6.3 billion, up about 63% year over year; and intelligent devices and robotics revenue is expected to be approximately $1.2 billion, down about 10% year over year. Total company revenue for Q1 is expected to be in the range of $10.6 billion.

A：The strategy for growth involves a focus on intelligent infrastructure, which is an asset-light model that enables strong growth while continuing to invest across a diversified portfolio. The company plans to allocate capital toward market and capabilities with the most attractive long-term returns. The approach has consistently focused on strengthening the portfolio, expanding margins, and converting earnings into cash. The company has reduced shares outstanding and returned capital to shareholders through share repurchases and dividends. The outlook for fiscal 2027 includes revenue growth across segments, strong operating income, and earnings per share, with an emphasis on maintaining an investment-grade credit profile.

A：The businesses in the regulated industries segment, which include automotive and transportation, defense and aerospace, healthcare and packaging, and renewable energy infrastructure, are contributing to overall company growth by competing in markets where trust is earned over years. They have durable customer relationships and the opportunity to expand their role over time. These businesses engage in long-term programs often lasting a decade or longer, creating opportunities to deepen relationships and grow through continuous program support and execution.

A：Within the automotive and transportation segment, growth is being driven by strong operational execution, improved win rates with strategic customers, and disciplined portfolio management. The segment is repositioning towards higher-value opportunities such as software-defined vehicles, advanced driver assistance systems, vehicle compute, and powertrain-agnostic technologies. This strategy has reduced the share of electrification and powertrain programs in the portfolio, leading to a more balanced mix that is well-positioned to perform across multiple technology pathways. The business is seeing strong momentum across the US, Europe, and China, with increased adoption of advanced technologies and a robust pipeline.

A：The business strategy for expanding into healthcare and medical technology includes partnering with companies that need integration of engineering, global supply chain expertise, and regulated manufacturing at scale. Jable is investing in high value areas such as minimally invasive technologies, medical device reprocessing, and pharmaceutical solutions, which will broaden the addressable market and support long-term value creation with attractive margin opportunities.

A：Jable is executing its strategy in drug delivery by combining precision manufacturing with deep process expertise to bring next generation therapies to market efficiently. The company expects to manufacture more than 700 million injectors in delivery pens in fiscal 2027, reflecting its broad participation in the drug delivery market and growing role in fast-expanding therapeutic categories.

A：The focus areas for Jable's energy infrastructure segment include expanding into energy storage, electrical infrastructure, and thermal management solutions. Market conditions are improving, and there is a broadening of customer investment across the energy value chain, with solar continuing to be an important part of the portfolio. Electricity demand is accelerating due to factors such as electrification, industrial expansion, and the growth of data centers, which drives investment across the energy infrastructure.

A：Jable is capitalizing on the growth opportunities in intelligent infrastructure by continuing to feel very good about the demand for AI infrastructure, which remains strong and is accelerating as customers expand their infrastructure. This leads to more complex systems, creating more opportunities for Jable. The company's strategic focus on capabilities resonates with customers and the market, evidenced by more than 40% revenue growth in intelligent infrastructure in fiscal 2026 and the addition of new customers and hyperscale wins.

A：The projected growth for intelligent infrastructure revenue in fiscal 2027 is an expectation of a 43% year-over-year increase, with all three end markets—capital equipment, cloud and data center infrastructure, and networking—growing double digits. It is also anticipated that AI-related revenue will grow more than 50% year over year, with five customers generating revenue above a billion dollars.

A：Jable is managing the volatility in AI investments by focusing on the demand that originates from deployed AI models running at scale for large cloud platforms and enterprises, rather than the frontier research. This ensures a stable revenue stream as the demand for storage, networking, power, and cooling grows with usage. Additionally, the segment's diversified exposure across different end markets reduces volatility, and disciplined investment is being made to turn new capacity into reliable production.

A：The business model for Jable's intelligent devices and robotics segment involves a strategy that reshapes the segment to deliver stronger margins, better returns, and deeper customer relationships. This involves focusing on higher value products that require engineering complexity, supply chain execution, and regional manufacturing. The segment provides a physical AI stack and supports a broad range of automation platforms to improve efficiency, address labor constraints, and increase productivity. This approach is underpinned by a commitment to profitability over volume and a focus on programs that meet return requirements.

A：The strategic approach for the intelligent devices and robotics segment is to leverage expertise in optics, robotics, and advanced precision mechanics to enable the design, industrialization, and delivery of complex engineered products. The segment focuses on delivering higher value products that create meaningful differentiation through engineering complexity, supply chain execution, and regional manufacturing. It aims to benefit from the adoption of complex automation and physical AI systems across various industrial settings.

A：Ailey's global operations are preparing factories for customer growth and expanding their footprint across the United States and internationally in India, Mexico, Brazil, and Vietnam, in order to bring programs into production, increase output, and maintain safety, quality, and delivery standards.

A：Ailey is preparing their people and manufacturing processes around the specialized assembly and test capabilities required for liquid cool systems to ensure customer programs can move seamlessly into mass production, handling greater volume and complexity.

A：Ailey is investing in physical AI and automation on the five floor, expanding automation in areas such as material movement and inspection, which improves consistency and productivity while allowing people to focus on higher value work.

A：Ailey's investment in computer vision for automated optical inspection aims to prevent defects before they occur, using insights to support workflows and automate transactions, which helps programs identify issues earlier, use equipment more effectively, and support faster launches.

A：Ailey's diversified portfolio allows them to improve how they serve customers in various sectors, including healthcare and automotive (with validated processes), and commerce and robotics (with complex automation product production), and helps to improve productivity and disciplined investment as customers grow.

A：Supply chain resilience is an operating discipline for Ailey that affects continuity, cost, and growth for their customers, ensuring confidence that components will be available when needed.

A：Strategic partnerships and identifying constrained markets are significant because they help Ailey understand potential impacts on production schedules and allow for early action, as well as work through material supply issues, allocate resources, qualify alternate sources, and coordinate commitments.

A：Ailey manages their supply chain by improving visibility across suppliers and logistic networks, evaluating regional production, developing AI tools for early constraint identification, and coordinating with large customers to secure supply and align requirements.

A：Ailey's outlook for fiscal 2027 is positive with several end markets contributing to growth. In regulated industries, they expect revenue growth with automotive, defense and aerospace, healthcare, and energy infrastructure sectors contributing. Additionally, intelligent infrastructure is expected to continue to grow with strong demand.

A：The projected growth in AI-related revenue for fiscal 2027 is approximately $22.1 billion, up 24% from fiscal 2026.

A：In fiscal 2027, the semiconductor equipment sector is expected to generate approximately $4.2 billion in revenue, up approximately 40%, while the data center infrastructure sector is expected to generate approximately $17.5 billion in revenue, reflecting a 52% increase.

A：Revenue from hyperscale is expected to grow with the second hyperscaler contributing to growth and becoming a 10% plus customer in fiscal 2027. The third hyperscale event is expected to contribute modestly in fiscal 2027 with a greater opportunity in the future, and the company is broadening its role in the data center business to include more sophisticated power distribution and liquid cooling.

A：The company is an early participant in the physical AI market and has the engineering, robotics, and system integration capabilities to support automation investments by retailers, warehouses, and distribution centers. The revenue forecast for physical AI is modest and conservative, but it is expected to grow substantially in the mid to longer term beyond fiscal 2027.

A：The intelligent devices and robotics segment is expected to generate approximately $3 billion in revenue, up approximately 11% from the previous fiscal year, driven by investments in digital commerce and robotics.

A：The company expects robust growth in warehouse and retail automation, defense and aerospace, and automotive sectors, alongside robust AI growth. This diverse set of sectors is expected to contribute to the company's revenue growth without a single point of dependence.

A：The expected core operating margin for fiscal 2027 is 6.1%, with an improvement of 30 basis points, and the core delivered earnings per share is expected to be $17.55, up about 34%.

A：The company plans to maintain a strong balance sheet with low leverage, investing organically in areas such as AI infrastructure, healthcare, and warehouse and retail automation. They will also consider acquisitions that add capabilities to offer end-to-end solutions and remain committed to returning 80% or more of adjusted free cash flow to shareholders.

A：Share repurchases are a top priority, evidenced by aggressive buybacks. The company has utilized prior authorizations and has initiated buying shares under a new $1.5 billion program. They expect to maintain an investment grade credit profile, support customers, and generate strong free cash flow while returning substantial cash to shareholders.

A：The company views continued growth potential beyond fiscal 2027 with strong customer demand across multiple end markets and committed business. The revenue mix is expected to keep pushing core operating margin higher over time with revenue growth and margin expansion combined with buybacks leading to strong earnings per share growth. They also expect free cash flow conversion above 100% over time.

A：The main factor contributing to a more flat year in revenue is the capacity coming online as the year progresses, which suggests a revenue growth that is more uniform throughout the year rather than the significant increases seen in past years.

A：A seasonal event is expected to cause a drop in Q2 revenue due to the end of the holiday season and some built-in seasonality in end markets. This event affects income, which tends to be more back-end loaded as the company ramps up capacity and utilization.

A：The company is well positioned regarding supply from materials and semiconductor perspectives because of decades of development and strong, mature relationships that have been established, which provide visibility and confidence in their ability to navigate challenges in the constrained market.

A：Margins are expected to be lighter in the first half of the year and to ramp up as capacity is filled and utilization increases in the back half. This trajectory is in line with historical trends where the second half typically shows better margins.

A：The company's view is that the 15% growth in the networking and communications market is below the growth in other intelligent infrastructure markets. However, the actual growth in the networking space is approximately 45% to 50%, which is ahead of market growth, and they are very happy with the performance.

A：The expectations for CapEx requirements in the asset light model are in the 1.5 to 2% range, which is closer to 1.5% according to the speaker.

A：The company can support incremental revenue above their guidance with CapEx ranging from 1.5 to 2%. They feel good about managing working capital as they expect a dollar increase, but still anticipate generating free cash flow.

A：The status of the Croatia facility is that it remains on track with a ramp in fiscal year 27 and full production in fiscal year 28. The growth in the healthcare segment is across all sub-segments and not just related to a specific product like GLP 1.

A：Factors that might lead to upside in the revenue margin forecast include flawless execution, capacity increases without major supply chain issues, and demand for the new capacity being added, especially in data center infrastructure and intelligent devices.

A：The company assesses longer-term growth potential by looking at trends in end markets like regulated, which is showing signs of recovery, and data center infrastructure where demand continues to exceed supply. They also look at their offerings in intelligent infrastructure and automation, and consider the strength in key markets.

A：To add more capacity in intelligent infrastructure, the company needs to see signs of unanticipated demand from new customer wins, particularly if the demand is for highly complex solutions that require significant power. If there is strong demand, the company has the ability to add capacity quickly.

A：The company is managing inventory and supply chain challenges through hard work, keeping inventory as lean as possible, and ensuring customer support for inventory processes. They are also closely working with operations, tools, and people to execute the strategy.