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Fabrinet is like **Foxconn for high-precision optical and electro-optical devices**, serving as a specialized contract manufacturer for critical components in telecom, data center, and industrial applications.

Fabrinet is like **TSMC for advanced photonics and electro-mechanical systems**, providing a high-tech 'foundry' service to manufacture complex optical modules and subsystems for other companies.

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• Optical Manufacturing Services: Provides high-precision manufacturing and assembly of complex optical components and modules for various industries including optical communications, industrial lasers, and sensors.
• Electro-Mechanical Manufacturing Services: Offers integrated manufacturing services for products that combine optical, mechanical, and electronic components, often for high-performance systems and instruments.
• Precision Mechanical Manufacturing: Specializes in the fabrication of high-tolerance mechanical parts and assemblies essential for advanced technological products.
• Advanced Electronic Manufacturing Services: Delivers circuit board assembly, system integration, and box-build services for complex and high-reliability electronic products.

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Fabrinet (symbol: FN) primarily sells its products and services to other companies, specifically Original Equipment Manufacturers (OEMs).

Based on the company's most recent annual reports, its major customers include:

• Lumentum Operations LLC (a subsidiary of Lumentum Holdings Inc. - symbol: LITE)
• Applied Materials, Inc. (symbol: AMAT)
• Cisco Systems, Inc. (symbol: CSCO)
• Ciena Corporation (symbol: CIEN)

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Seamus Grady, Chairman & Chief Executive Officer

Seamus Grady joined Fabrinet in September 2017 as Chief Executive Officer and was appointed Chairman in October 2025. Prior to Fabrinet, he served as Executive Vice President & Chief Operating Officer of the Mechanical Systems Division at Sanmina Corporation for thirteen years, overseeing ten facilities in five countries. He also held leadership positions in operations, materials, and supply chain management at Lucent Technologies (formerly Ascend Communications) and Manufacturers' Services Limited (now Celestica). Mr. Grady holds a Bachelor's Degree in Manufacturing Technology from the National University of Ireland, Galway.

Csaba Sverha, Chief Financial Officer

Csaba Sverha has served as Fabrinet's Chief Financial Officer since February 2020, having initially joined the company in March 2018 as Vice President of Operations Finance. Before his tenure at Fabrinet, Mr. Sverha spent thirteen years at Sanmina Corporation, where he held various finance roles of increasing responsibility, including VP Finance & Controller of the Mechanical Systems Division. He also served as Controller with Benetton Hungary.

Harpal Gill, President & Chief Operating Officer

Dr. Harpal Gill has been Fabrinet's Chief Operating Officer since 2009 and President since 2011. His prior experience includes serving as Senior Vice President of Engineering for Maxtor Corporation from 2003 to 2005, Vice President of Engineering for Read Rite Corporation from 1999 to 2003, and Managing Director of JTS Corporation from 1996 to 1998. He also held senior management positions with Seagate Technology Inc. Dr. Gill holds a Ph.D. in Engineering from the University of Bradford, UK, and a Bachelor's Degree in Mechanical Engineering from Brunel University, UK.

Edward T. Archer, Executive Vice President, Sales and Marketing

Edward T. Archer joined Fabrinet in January 2019 as Executive Vice President for Sales and Marketing. He brings over thirty years of experience in the electronics industry, with broad sales and marketing expertise in technical services, products, and electronic manufacturing services. Prior to Fabrinet, Mr. Archer was the Senior Vice President of Sales for the Integrated Marketing Services Division of Sanmina Corporation. He earned a B.S. in Industrial Technology (Technical Marketing) from California Polytechnic State University.

Colin R. Campbell, Vice President & General Counsel

Colin R. Campbell joined Fabrinet in August 2014 as Senior Corporate Counsel. He possesses over thirty years of experience as an attorney in both private and corporate practice, and began his career as a mechanical engineer. Mr. Campbell was a senior partner in two law firms, one of which he co-founded, and previously served as General Counsel for Read-Rite Corporation. He holds a B.S. in Mechanical Engineering from the University of California at Berkeley and a J.D. in Law from Santa Clara University.

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Customer Concentration

Supply Chain and Operational Challenges

Market Consolidation and Competition

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Fabrinet (FN) operates in several key markets, with the following addressable market sizes:

• Optical Communications: The global optical communication systems and networking market was valued at approximately USD 15.53 billion in 2024 and is projected to grow to USD 29.52 billion by 2032, at a Compound Annual Growth Rate (CAGR) of 8.2% from 2025 to 2032. Another estimate places the global optical communication and networking equipment market at USD 25.7 billion in 2023, with a projection to reach USD 54.0 billion by 2032, growing at a CAGR of 8.7%. North America accounts for approximately 40% of the global optical communications market.
• Automotive LiDAR: The global automotive LiDAR market was estimated at USD 504.2 million in 2023 and is projected to reach USD 942.1 million by 2030, growing at a CAGR of 9.4% from 2024 to 2030. Other estimates project the global automotive LiDAR market to reach USD 9.59 billion by 2030, from USD 1.19 billion in 2024, at a CAGR of 41.6%. The North American automotive LiDAR market is projected to reach USD 1.98 billion by 2030, with a CAGR of 44.1%.
• Medical Devices: The global medical devices market was valued at USD 542.21 billion in 2024 and is projected to grow to USD 886.68 billion by 2032, exhibiting a CAGR of 6.5%. Another source estimates the global market for medical devices to increase from USD 810.4 billion in 2024 to USD 1.3 trillion by 2029, at a CAGR of 9.8%. North America held the largest share of the medical devices market, at 38.17% in 2024. The U.S. medical device manufacturers market size was estimated at USD 256.2 billion in 2024.
• Data Center (supporting Datacom and High-Performance Computing): The global data center market size was estimated at USD 347.60 billion in 2024 and is projected to reach USD 652.01 billion by 2030, growing at a CAGR of 11.2% from 2025 to 2030. Another report valued the global data center market at USD 242.72 billion in 2024, projecting it to reach USD 584.86 billion by 2032, at a CAGR of 11.7%. North America held a significant share, over 40.0%, of the data center market in 2024.

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Fabrinet (FN) is expected to drive future revenue growth over the next 2-3 years through several key areas:

1. Strong Demand for 800-gig and Faster Datacom Products for AI Applications: Fabrinet has experienced significant growth in its datacom revenue, particularly driven by robust demand for 800-gig products for artificial intelligence (AI) and related applications. This segment saw over 120% year-over-year growth in fiscal year 2024, and products rated at 800 gig and above were the biggest contributor to growth. The company anticipates continued revenue growth in the datacom sector, propelled by these high-speed products. Fabrinet's transition to next-generation datacom products, including 800G and 1.6T transceivers, is a key short-term growth driver.
2. Growth in Data Center Interconnect (DCI) Products within Telecom: While the traditional telecom sector faced inventory digestion, Fabrinet has seen strong growth in its telecom revenue driven by data center interconnect (DCI) products. DCI revenue nearly doubled year-over-year in Q1 FY26 and comprised 14% of Fabrinet's total revenue. The company expects strong sequential growth in telecom, with increasing DCI momentum and new system wins making larger contributions.
3. Expansion into High-Performance Computing (HPC) Products: Fabrinet has introduced a new revenue category for High-Performance Computing (HPC) products within its non-optical communications segment. In Q1 FY26, the initial HPC program contributed $15 million to revenue, and the company believes this program will scale considerably in future quarters, becoming a significant overall growth driver. An Amazon partnership is also noted as opening doors for additional cloud web opportunities within the HPC segment.
4. New System Wins and Improving Traditional Telecom Trends: Beyond DCI, Fabrinet has highlighted new system wins in the telecom sector as a contributor to its strong performance. The company also noted improving trends for traditional telecom products contributing to significant increases in telecom revenue. This indicates a broader recovery and expansion within the telecom market, supported by Fabrinet's increasing market share and deeper customer relationships.
5. Increased Manufacturing Capacity and Operational Expansion: To support its anticipated growth, Fabrinet is expanding its manufacturing capabilities. The company announced plans to break ground on a new 2 million square foot facility, known as Building 10, at its Chonburi campus. This expansion is expected to be completed in mid-2026 and signals confidence in future production capacity to meet growing demand across various segments.

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Share Repurchases

• Fabrinet repurchased 125,733 ordinary shares for $39.49 million during fiscal year 2025.
• Between March 29, 2025, and June 27, 2025, the company repurchased 107,945 shares for $22.26 million.
• From December 28, 2024, to March 28, 2025, Fabrinet completed the repurchase of 162,133 shares for $34.77 million.

Share Issuance

• Fabrinet's basic shares outstanding have consistently declined over the past few fiscal years, with a 0.63% decrease from 2024 to 2025, a 0.74% decrease from 2023 to 2024, and a 0.98% decrease from 2022 to 2023.

Capital Expenditures

• Capital expenditures for the last 12 months were approximately $146.09 million.
• The company continues its strategic focus on expanding manufacturing capacity and enhancing operational efficiency, with capital spending including commitments tied to a new manufacturing building.
• Capital expenditures are expected to decrease in fiscal year 2026 as major construction projects are completed, with some expenditures fueled by the artificial intelligence revolution.