v3.26.1
REVENUE RECOGNITION
 9 Months Ended
Jun. 27, 2026
Revenue from Contract with Customer [Abstract]  
Revenue from Contract with Customer [Text Block] Revenue Recognition
The Company derives revenue principally from sales of integrated manufacturing solutions, components and Company-proprietary products. Other sources of revenue include warranty services, logistics and repair services; design, development and engineering services; defense and aerospace programs and sales of raw materials to customers whose requirements change after the Company has procured inventory to fulfill the customer’s forecasted demand.

The Company recognizes revenue based on assessment of whether control of the products or services under the contract transfers to the customer over time or at a point in time. For some customer contracts, the Company recognizes revenue on an over time basis due to the fact that the Company does not have an alternative use for the end products it manufactures for its customers and has an enforceable right to payment, including a reasonable profit, for work-in-progress and finished goods upon a customer’s cancellation of a contract for convenience. In other circumstances, the Company recognizes revenue over time because its customer simultaneously receives and consumes the benefits provided by the Company’s services or the Company’s customer controls the end product as the Company performs manufacturing services (continuous transfer of control). For these contracts, revenue is recognized on an over time basis using the cost-to-cost method (ratio of costs incurred to date to total estimated costs at completion) which the Company believes best depicts the transfer of control to the customer. For contracts for which revenue is required to be recognized at a point in time, the Company recognizes revenue when it has transferred control of the related goods, which generally occurs upon shipment or delivery of the goods to the customer.

The Company procures certain components for manufacturing of the finished products at the direction of the customers and evaluates whether it acts as a principal or an agent under these customer contracts. If the Company concludes that it does not control the components before they are transferred to the customer, then it accounts for the revenue and associated cost of sales on a net basis.

Application of the cost-to-cost method for government contracts in the Company’s Defense and Aerospace division requires the use of significant judgments with respect to estimated materials, labor and subcontractor costs included in the total estimated costs at completion. Additionally, the Company evaluates whether contract modifications for claims have been approved and, if so, estimates the amount, if any, of variable consideration that can be included in the transaction price of the contract.

Changes in the Company’s estimates of transaction price and/or costs to complete result in a favorable or unfavorable impact to revenue and operating income. The impact of changes in estimates on revenue and operating income resulting from application of the cost-to-cost method for recognizing revenue was as follows:
Three Months EndedNine Months Ended
June 27,
2026		June 28,
2025		June 27,
2026		June 28,
2025
Revenue(In thousands)
Favorable
$2,549 $5,694 $12,018 $17,309 
Unfavorable
(1,656)(762)(4,416)(2,811)
Net
$893 $4,932 $7,602 $14,498 

Three Months EndedNine Months Ended
June 27,
2026		June 28,
2025		June 27,
2026		June 28,
2025
Operating income(In thousands)
Favorable
$3,631 $6,071 $15,372 $17,903 
Unfavorable
(3,429)(9,095)(9,410)(15,427)
Net
$202 $(3,024)$5,962 $2,476 

The following table presents revenue disaggregated by segment, market sector and geography.

Three Months EndedNine Months Ended
June 27,
2026		June 28,
2025		June 27,
2026		June 28,
2025
(In thousands)
Segments:
Reportable segment - IMS$2,947,574$1,639,258$9,299,140$4,842,513
Other segments - Components, Products and Services (“CPS”)$516,442$402,304$1,367,840$1,189,477
Total$3,464,016$2,041,562$10,666,980$6,031,990
End Markets:
Industrial and Energy, Medical, Defense and Aerospace, and Automotive and Transportation$1,315,603$1,255,297$3,783,853$3,775,853
Communications Networks and Cloud and AI Infrastructure$2,148,413$786,265$6,883,127$2,256,137
Total$3,464,016$2,041,562$10,666,980$6,031,990
Geography:
Americas (1)$2,392,129$1,210,923$7,766,089$3,445,419
APAC$725,206$612,363$2,010,915$1,928,712
EMEA$346,681$218,276$889,976$657,859
Total$3,464,016$2,041,562$10,666,980$6,031,990
Percentage of net sales represented by ten largest customers62 %53 %67 %51 %
Number of customers representing 10% or more of net sales and primarily related to IMS1 — 2 — 
(1)    The U.S. represents approximately 59% and 29% of Americas net sales for the three months ended June 27, 2026 and June 28, 2025, respectively and Mexico represents approximately 40% and 68% of Americas net sales for the three months ended June 27, 2026 and June 28, 2025, respectively.
The U.S. represents approximately 64% and 30% of Americas net sales for the nine months ended June 27, 2026 and June 28, 2025, respectively and Mexico represents approximately 35% and 67% of Americas net sales for the nine months ended June 27, 2026 and June 28, 2025, respectively.
One customer represented 10% or more of the Company’s gross accounts receivable as of June 27, 2026. Two customers represented 10% or more of the Company’s gross accounts receivable as of September 27, 2025.

Segment revenue is attributable to the segment for which the products are manufactured or services are performed. As an electronics manufacturing services company, the Company primarily provides manufacturing and related services for products built to its customers’ unique specifications. Therefore, it is impracticable for the Company to provide revenue from external customers for each product and service it provides.

Contract Asset

A contract asset is recognized when the Company has recognized revenue, but has not issued an invoice to its customer for payment. Contract assets are classified separately on the condensed consolidated balance sheets and transferred to accounts receivable when rights to payment become unconditional. Because of the Company’s short manufacturing cycle times, the transfer from contract assets to accounts receivable generally occurs within the next fiscal quarter.

Deferred Revenue and Customer Advances

As of June 27, 2026 and September 27, 2025, customer advances for raw materials inventory of $944 million and $852 million, respectively, were recorded under deferred revenue and customer advances in the condensed consolidated balance sheets. These customer advances received by the Company as an advance on customer-specific raw materials acquired at the customer’s request are not designed as a financing arrangement and do not contain any interest or repayment terms.
Deferred revenue is recognized when the Company has received payments from its customers in advance of performance. As of June 27, 2026, deferred revenue was $180 million and primarily represents warranty service obligations. Deferred revenue as of September 27, 2025 was $16 million.