Fabrinet (NYSE:FN) Q1 2023 Earnings Conference Call November 7, 2022 5:00 PM ET

Company Participants

Garo Toomajanian – Vice President of Investor Relations

Seamus Grady – Chief Executive Officer

Csaba Sverha – Chief Financial Officer

Conference Call Participants

Alex Henderson – Needham

Samik Chatterjee – J.P. Morgan

Fahad Najam – Loop Capital

Operator

Good afternoon. Welcome to Fabrinet’s Financial Results Conference Call for the First Quarter of Fiscal Year 2023. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions on how to participate will be provided at that time. As a reminder, today’s call is being recorded.

I would now like to turn the call over to your host, Garo Toomajanian, VP of Investor Relations.

Garo Toomajanian

Thank you, operator, and good afternoon, everyone. Thank you for joining us on today’s conference call to discuss Fabrinet’s financial and operating results for the first quarter and fiscal year 2023, which ended September 30, 2022. With me on the call today are Seamus Grady, Chief Executive Officer; and Csaba Sverha, Chief Financial Officer. This call will be webcast, and a replay will be available on the Investors section of our website located at investor.fabrinet.com.

During this call, we will present both GAAP and non-GAAP financial measures. Please refer to the Investors section of our website for important information, including our earnings press release and investor presentation, which include our GAAP to non-GAAP reconciliation.

In addition, today’s discussion will contain forward-looking statements about the future financial performance of the company. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from management’s current expectations. These statements reflect our opinions only as of the date of this presentation and we undertake no obligation to revise them in light of new information or future events, except as required by law.

For a description of the risk factors that may affect our results, please refer to our recent SEC filings in particular, the section captioned Risk Factors in our Form 10-K filed on August 16, 2022. We will begin the call with remarks from Seamus and Csaba followed by time for questions.

I would now like to turn the call over to Fabrinet’s CEO, Seamus Grady.

Seamus Grady

Thank you, Garo. Good afternoon, everyone, and thank you for joining us on our call today. We’re off to a strong start in fiscal 2023 with first quarter results that exceeded our guidance. Total revenue was $655.4 million with a better supply situation than anticipated, which contributed to our strong performance. Revenue increased 21% from a year ago or 17% when we adjust for the contribution of approximately $20 million due to the 14-week quarter. In other words, revenue would’ve been $20 million lower if not for the additional week.