Jabil lowers forecast - reduced demand in mobility

"I'm pleased to report second quarter results that were largely in line with our guidance and expectations," said CEO Mark Mondello. "The performance of our EMS segment was outstanding and above expectations, while our DMS segment grew modestly as we faced a slight downturn in product demand late in our fiscal quarter specific to our mobility business," he added. U.S. GAAP operating income for the second quarter was USD 154.9 million. Core operating income was USD 186.3 million. U.S. GAAP net income amounted to USD 78.9 million during the second quarter, compared to USD 52.0 million during the same period last year. Jabil's two reporting segments delivered the following revenue results for the company's second fiscal quarter: Diversified Manufacturing Services: USD 1.7 billion. Electronics Manufacturing Services: USD 2.7 billion. For the third quarter of 2016 the company expects net revenues between USD 4.1 billion to USD 4.3 billion.The company has also updated the fiscal year 2016 revenue outlook to approximately USD 18.5 billion. "Our updated outlook for the third quarter reflects reduced demand in mobility," said CEO Mark Mondello. "The strength in our EMS business further illustrates the positive impact of our portfolio strategy. A strategy well grounded in diverse income streams," he added.