1. Plexus is like Foxconn, but focused on designing and manufacturing higher-complexity electronic products for industries like healthcare, industrial, and aerospace.

2. Plexus is like TSMC, but for entire electronic products, handling everything from design to manufacturing and support for other companies.

3. Plexus is like the Magna International of the electronics world, building complex electronic systems and products for a wide array of other businesses.

• Product Design & Development: Plexus provides engineering and design services, assisting companies in creating complex electronic products from concept to market.
• Manufacturing & Assembly: The company offers high-quality production, assembly, and testing of printed circuit boards and complete electronic products.
• Supply Chain Management: Plexus delivers comprehensive solutions for sourcing, procurement, logistics, and inventory management of electronic components and materials.
• Aftermarket Services: These services include repair, refurbishment, and warranty support for electronic products throughout their lifecycle.

Plexus (PLXS) is an Electronics Manufacturing Services (EMS) provider, which means it sells its design, manufacturing, and aftermarket services primarily to other companies (B2B) rather than directly to individuals.

Plexus typically does not publicly disclose the specific names of its individual major customers, even those that account for a significant portion of its revenue. This is a common practice in the EMS industry due to customer confidentiality agreements and competitive considerations. For instance, while Plexus reported that one customer represented 11% of its net sales in fiscal 2023, the identity of that customer was not disclosed in public filings.

However, Plexus publicly categorizes its customer base into several key market sectors. These sectors represent the types of companies that are its major customers:

• Industrial: This sector includes companies that design and manufacture products for a wide array of industrial applications, such as factory automation and control systems, test and measurement equipment, instrumentation, energy management, and various safety and security devices.
• Healthcare/Life Sciences: This sector comprises companies specializing in the development and production of complex medical devices, diagnostic equipment, surgical instruments, patient monitoring systems, and various life sciences instruments for research and clinical use.
• Aerospace and Defense: This sector encompasses companies involved in commercial aerospace systems, military and defense applications, and homeland security technologies, providing electronics for avionics, communications, radar, and other mission-critical systems.
• Communications: This sector includes companies focused on creating advanced networking equipment, wired and wireless infrastructure, optical networking products, and other sophisticated communication technologies for data and voice transmission.

Todd Kelsey, President & Chief Executive Officer

Todd Kelsey joined Plexus in 1994 as a Design Engineer. He became Vice President of Plexus' Neenah Design Center in 2002, Senior Vice President of Plexus Engineering Solutions in 2006, Senior Vice President Global Customer Services in 2007, and Executive Vice President Global Customer Services in 2011. He was promoted to Executive Vice President and Chief Operating Officer in 2013, and became President and Chief Executive Officer in September 2016. Kelsey has served on several university boards, including UW-Madison's dean's industrial advisory board of the College of Engineering and the board of the Milwaukee School of Engineering. He currently serves on Wisconsin Manufacturers & Commerce boards and Steelcase Inc., a publicly traded company.

Patrick Jermain, Executive Vice President & Chief Financial Officer

Patrick Jermain joined Plexus in 2010. He has served as Corporate Controller (2010), Treasurer and Vice President of Finance (2013), Chief Financial Officer (since May 2014), Senior Vice President (2015), and Executive Vice President (2019). Prior to joining Plexus, Jermain was the corporate controller at Appleton Papers (now Appvion, Inc.). He also spent eight years at Banta Corporation, where he served as Vice President of Finance of the Book Group Division and Corporate Controller. He began his career in public accounting with Price Waterhouse.

Oliver Mihm, Executive Vice President & Chief Operating Officer

Oliver Mihm has served as Chief Operating Officer and Executive Vice President of Plexus since January 2022. He is responsible for the One Plexus Operational Model and customer service excellence.

Angelo Ninivaggi, Executive Vice President, Chief Administrative Officer, General Counsel and Secretary

Angelo Ninivaggi joined Plexus in 2002 as Director of Legal Services. He was named General Counsel, Corporate Compliance Officer and Secretary in 2006, and was promoted to Chief Administrative Officer in 2013. He is responsible for human resources, legal and compliance functions, and oversees enterprise risk management and social responsibility programs. Before Plexus, he served as Associate General Counsel of Micron Electronics, Inc. and Executive Vice President and General Counsel of MCMS Inc. He began his career at the law firm Weil, Gotshal & Manges.

Steven J. Frisch, President & Chief Strategy Officer

Steven J. Frisch joined Plexus in 1990. He has held various leadership positions, including Senior Vice President at Global Engineering Solutions (2007-2013), Regional President of Plexus EMEA (2010-2013), Executive Vice President at Global Customer Services (2013-2014), Executive Vice President and Chief Customer Officer (since 2014), and Executive Vice President and Chief Operating Officer (since 2016). He became President and Chief Strategy Officer in 2022.

The key risks to Plexus's (PLXS) business include customer concentration, long-term revenue growth and profitability concerns, and intensifying price competition.

1. Customer Concentration Risk: A significant portion of Plexus's revenue is dependent on a limited number of customers. Approximately 50% of the company's net sales are derived from its top 10 customers, indicating a substantial concentration risk.
2. Long-Term Revenue Growth and Profitability Concerns: Plexus has experienced challenges in its long-term financial performance. The company's annualized revenue growth over the last five years was 3.5%, which is considered tepid for the business services sector. Furthermore, Plexus has shown weak cash profitability, with a free cash flow margin averaging 2.9% over the past five years. Its Return on Invested Capital (ROIC) has also seen a decline, averaging 3.4 percentage point decreases each year.
3. Intensifying Price Competition and Customer Demand Pushouts: The electronic manufacturing services industry, in which Plexus operates, is characterized by intensifying price competition. Additionally, the company faces the risk of customer demand pushouts in crucial sectors.

Plexus Corp. (PLXS) is expected to drive future revenue growth over the next 2-3 years through several strategic initiatives and market dynamics:

1. Strong Program Wins in High-Growth Sectors: Plexus has consistently secured significant manufacturing program wins, particularly in its Healthcare/Life Sciences, Aerospace/Defense, and Industrial market sectors. For instance, in fiscal year 2024, the company generated over $1 billion in manufacturing program wins, with a record $568 million specifically in the healthcare life sciences sector, which is anticipated to drive exceptional long-term revenue growth. Similarly, in fiscal year 2025, Plexus secured 141 manufacturing wins, representing $941 million in annualized revenue when fully ramped. Analysts note that the increasing success in winning programs within these complex, high-margin sectors, including a strong defense pipeline in Europe, is shifting Plexus's revenue mix towards segments with greater pricing power and more stable, long-term contracts.

2. Anticipated Growth in Key Market Segments: The company projects continued revenue expansion within its primary market sectors. In fiscal year 2025, the Healthcare/Life Sciences and Industrial sectors saw year-over-year revenue increases of 2.2% and 2%, respectively, with the Industrial growth driven by strength in broadband, semicap, and energy. Management expects robust demand and ongoing program ramps in the Aerospace/Defense, Healthcare/Life Sciences, and Industrial sectors to support revenue growth for fiscal year 2025 and beyond. Plexus specifically targets a 9% to 12% revenue growth for fiscal year 2026, aiming to exceed overall end-market growth, supported by strong program ramps and market share gains.

3. Strategic Partnerships and Market Expansion: Plexus is actively pursuing partnerships to expand its global reach and competitive edge. A recent significant contract manufacturing agreement with Evolv Technologies Holdings aims to boost production, scale operations worldwide, and penetrate new markets, which is expected to be a growth catalyst.

4. Enhanced Operational Efficiency and Margin Expansion: While not a direct revenue driver, improved operational efficiency and resulting margin expansion contribute to future growth by freeing up capital for strategic investments. Plexus achieved its target of over 6% non-GAAP operating margin in Q4 fiscal year 2024, a year ahead of schedule. This focus on driving efficiency is expected to lead to healthy margin leverage and positively impact revenue consistency and net margin expansion, enabling the company to deploy free cash flow for additional shareholder value and investments that fuel growth.

Share Repurchases

• Plexus authorized a new share repurchase program in August 2024 to buy back up to $50 million of its common stock, effective upon the expiration of the prior program.
• In May 2025, the Board approved a new share repurchase program, authorizing the buyback of up to $100 million of common stock, to commence after the then-current $50 million program (which had $17.9 million remaining as of May 13, 2025) expires.
• For fiscal year 2025, Plexus purchased $65.0 million of its shares at an average price of $136.80 per share.

Share Issuance

• Plexus recognized stock-based compensation expense of approximately $24.76 million in fiscal year 2021, $23.34 million in fiscal year 2022, $21.3 million in fiscal year 2023, and $30.31 million in fiscal year 2024.
• For fiscal year 2025, non-GAAP diluted EPS excluded $1.02 of stock-based compensation expense.

Capital Expenditures

• Capital expenditures for fiscal year 2025 were $95.2 million.
• The company's capital expenditures were approximately $-57.1 million in fiscal year 2021, $-101.61 million in fiscal year 2022, $-104.05 million in fiscal year 2023, and $-95.18 million in fiscal year 2024.
• Plexus continues to invest in talent, technology, facilities, and advanced capabilities to expand its solutions, drive greater long-term operational efficiency, and prepare for expected fiscal year 2026 revenue growth. Key investments include automation initiatives such as warehouse upgrades in Penang, Malaysia, to boost labor productivity and space utilization.