Jabil Announces New $1 Billion Share Repurchase Authorization

Rhea-AI Summary

Jabil Inc. (NYSE: JBL) has announced a $1 billion share repurchase program, demonstrating its commitment to returning capital to shareholders. The buyback will occur over fiscal year 2023, with shares repurchased at the company's discretion. CEO Mark Mondello expressed confidence in Jabil's ability to generate strong earnings and free cash flow. Since 2016, Jabil has returned approximately $2 billion to shareholders through share repurchases and dividends. The company has repurchased 63.6 million shares at an average price of $28.73.

Positive

• Authorization of a $1 billion share repurchase program enhances shareholder value.
• Confidence in generating strong earnings and free cash flow.
• Returned approximately $2 billion to shareholders since 2016.

Negative

• None.

Today, Jabil Inc. (NYSE: JBL), announced that its Board of Directors has authorized a share repurchase program of up to $1 billion in common stock. The shares will be repurchased from time-to-time through fiscal year 2023 using various methods, including in the open market at the Company's discretion and subject to market conditions and other factors.

“This is continued evidence of our ongoing commitment to return capital to shareholders,” said CEO Mark Mondello. “This $1 billion authorization reflects our belief in Jabil’s ability to generate strong earnings and free cash flows,” added Mondello.

Since 2016, Jabil has returned approximately $2 billion to shareholders through both share repurchases and dividends. As part of this shareholder return framework, Jabil has repurchased 63.6 million shares at an average price of $28.73.

“The Jabil team continues to deliver strong results as we focus on best-in-class financial targets at scale. We look forward to sharing more detail, including our outlook for FY22, during our fourth annual investor briefing in September,” continued Mondello.

About Jabil: Jabil (NYSE: JBL) is a manufacturing solutions provider with over 260,000 employees across 100 locations in 30 countries. The world's leading brands rely on Jabil's unmatched breadth and depth of end-market experience, technical and design capabilities, manufacturing know-how, supply chain insights and global product management expertise. Driven by a common purpose, Jabil and its people are committed to making a positive impact on their local community and the environment. Visit www.jabil.com to learn more.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210723005046/en/

FAQ

What is the purpose of Jabil's $1 billion share repurchase program?

The purpose is to return capital to shareholders and demonstrate confidence in the company's financial strength.

How much has Jabil returned to shareholders since 2016?

Jabil has returned approximately $2 billion to shareholders through share repurchases and dividends since 2016.

What is the average price of shares repurchased by Jabil?

Jabil has repurchased shares at an average price of $28.73.

When will Jabil's share repurchase program take place?

The share repurchase program will occur throughout fiscal year 2023, subject to market conditions.

How does the share buyback impact Jabil's stock price?

The buyback is expected to support the stock price by reducing the number of shares outstanding and enhancing shareholder value.