Sketch-to-Scale Solutions Inves estor or Presentation esentation - - PowerPoint PPT Presentation

Sketch-to-Scale Solutions™

Inves estor

• r Presentation

esentation

February 2017

1

Risks and non-GAAP disclosures

This presentation contains forward-looking statements, which are based on current expectations and assumptions that are subject to risks and uncertainties and actual results could materially differ. Such information is subject to change and we undertake no obligation to update these forward-looking statements. For a discussion of the risks and uncertainties, see our most recent filings with the Securities and Exchange Commission, including our current, annual and quarterly reports. If this presentation references historical non-GAAP financial measures, these measures are located on the “Investor Relations” section of our website, www.flex.com along with the required reconciliation to the most comparable GAAP financial measures. The following business group acronyms will be used throughout this presentation:

Communications & Enterprise Compute

Telecom, Networking, Server & Storage, Storage & Security Appliance, Converged Infrastructure, Software Defined Product Solutions.

Consumer Technologies Group

Wearables, Fashion, Connected Living, Gaming, Mobile, PCs/Printers.

Industrial & Emerging Industries

Semiconductor & Capital Equipment, Office Solutions, Household Industrial & Lifestyle, Industrial Automation & Kiosks, Energy & Metering, Lighting. HRS

High Reliability Solutions

Medical: Consumer Health, Digital Health, Disposables, Drug Delivery, Diagnostics, Life Sciences & Imaging Equipment. Automotive: Vehicle Electronics, Connectivity, Clean Technologies. IEI CEC CTG

2

Table of contents

Riche her r Business iness Mix Sket etch ch-to to-sca scale Why Flex?

Flex is Ready dy / Strateg egical cally Position ioned ed to to Win

Strat trateg egic c M&A A / Finan nanci cial al Updat date

Why Invest in Flex? Strong Free Cash Flow Shareholder Return ROIC Portfolio Evolution Profit Growth & Earnings Power Balanced Capital Structure 4-5 6 7 8 9 10-11 12 The World Has Changed The Flex Advantage US Footprint Flex Platform Megatrends 12 Industries 100+ Locations Globally Innovation & Lab IX Elementum 14 14 15 15 16 16 17 17 18 18 20 20 21 21 22 22-23 23 24 24 Innovation From Sketch-To- Scale % of Sketch-To-Scale Revenue Design-Enabled Manufacturing Growth Silicon Valley Customer Innovation Center Innovation Labs Sketch-To-Scale Impact On HRS Business Nike Partnership 26 26 27 27 28 28 29 29 30 30 31 31 32 32 2020 Revenue & Profit Growth High Reliability Solutions (HRS) Industrial & Emerging Industries (IEI) Communications & Enterprise Compute (CEC) Consumer Technologies Group (CTG) 34 34-35 35 36 36-41 41 42 42-45 45 46 46-48 48 49 49-51 51 M&A Transactions NEXTracker MCi Wink Farm Design Latest Financial Update IR Contact Info 53 53 54 54 55 55 56 56 57 57 59 59-63 63 64 64

Why Flex?

4

Why invest in Flex?

Evolving our portfolio to provide more predictable earnings, higher margins and meaningful earnings power Strong sustainable free cash flow Unwavering shareholder return commitment

1 2 3

5

Financial performance underscores successful evolution

665 751 792

FY14 FY15 FY16

Sustainable

$0.89 $1.08 $1.14

FY14 FY15 FY16

Profitable

Adjusted EPS

Resilient

Free Cash Flow Conversion1

Consistent

Free Cash Flow Returned 126% 87% 99%

FY14 FY15 FY16

68% 75% 66%

FY14 FY15 FY16

9% CAGR 11% CAGR $1.9B FCF generated $1.3B repurchased

Adjusted Operating Profit

($M)

• 1. Free cash flow conversion defined as free cash flow / adjusted net income

(FY14 - 16) (FY14 - 16) (FY13 - 16) (FY13 - 16)

6

Strong sustainable free cash flow

Free ee Ca Cash Flo low w Co Conversion sion 1 Free ee Cash Flo low w Yie ield ld 2

• 1. Free cash flow conversion defined as free cash flow / adjusted net income
• 2. Free cash flow yield based on average market cap at fiscal year-end

Free ee Ca Cash Flo low

($M)

680 701 554 639

FY13 FY14 FY15 FY16 FY17E

600 - 700

10%

1 year 10% 3 year 10% 5 year 10%

100%

1 year 99% 3 year 103% 5 year 99%

$3.2B to $3.3B

for FY13 to FY17E

7

Unwavering shareholder return commitment

% of Free e Ca Cash Flo low w Re Returned rned to Shareholders reholders

76% 70%

66%

1 yr 3 yrs 5 yrs

In the la last t 6 Years, rs, we we have repurchased…

~ $2.5 billion in stock ~ 335 million shares ~ 33% net shares outstanding

813 757 684 639 591 563 545 537 400 510 322 475 416 420 260

FY11 FY12 FY13 FY14 FY15 FY16 FY17 YTD

Share re Re Repurc rchase hase

($M)

Committed to returning over 50% of annual free cash flow to shareholders

FY16

FY13-FY16 FY11-FY16

22 19 22 24 22

FY12 FY13 FY14 FY15 FY16

8

Guided by our return on invested capital

Return urn on Inves vested ed Capit ital al1

(ROIC %)

Annual Quarter erly ly

• Improving earnings

efficiency

• Disciplined capital

deployment

• Internal target threshold

stands at 20%

• ROIC well above WACC
• 1. Return on Invested Capital (ROIC) is calculated by dividing the Company's last twelve months after-tax Non-GAAP operating income by the net invested capital asset base as of each date. After-tax non-GAAP operating income excludes charges for

22% 22% Avg.

22 22 22 20 20

Q3FY16 Q4FY16 Q1FY17 Q2FY17 Q3FY17

9

Strategic portfolio evolution

Driving predictable earnings and margin expansion

FY16 19% 16% 29% 36%

35% 19%

FY10 6% 13% 42% 39% FY20E

~45%

$4.5B

HRS + IEI

revenue

$8.6B

HRS + IEI

revenue

~$13.0B

HRS + IEI

revenue

~2

years

~4

years

~6

years Estimated average product life cycle

CTG CEC HRS IEI

~28% ~23% ~27% ~22%

FY16 Adj djusted d Opera rati ting ng Targe get t Opera rating ng Margi gin Pr Profit

($M)

Margi gin Pr Prior Ra r Range ge New Ra w Range ge $295 7.6% 5 - 7% 6 - 9% $158 3.4% 4 - 6% 4 - 6% $265 3.0% 3 - 4% 2.5 - 3.5% $164 2.3% 2 - 3% 2 - 4%

Corporat porate servic ices s & other her1

($90) $792 $792 3.2% 3.2%

10

Positioned for operating profit and margin expansion

HRS IEI CTG CEC

CEC HRS IEI CTG FY20E 20E

>60% 0%

Ta Targe geted ted Operatin rating g Profit it Mix

Targeted 2020 delivers profit growth

11

Positioned to deliver meaningful earnings power

% Sketch-to-scale

FY20E

Po Portfolio folio Evolution

• lution

Sket etch ch-to to- scale le

~3% 3% 10% 10%+ 12% 12%+

Revenue Adj. Operating Profit

• Adj. EPS

2016 - 2020 CAGR

Substantial tantial earnin nings gs le levera verage ge

3x

4x

Revenue mix

CEC HRS IEI CTG

FY20E

~45%

CEC CTG IEI HRS

~35%

Total Flex

12

Balanced Capital Structure

Key Characteristics

• Solid liquidity
• No significant near-term maturities

$1,857 $1,500 $525 $500 $700 $500 $600

Liquidity 2017 2018 2019 2020 2021 2022 2023 2024 2025

Significant Debt Maturities

($M) (Calendar Year)

Cash Revolver

Total Liquidity $3,357 Term Loans

LIBOR + 137.5bps

4.625% Notes 5% Notes 4.75% Notes $56 EURIBOR +100bps

Please refer to the appendix section of this presentation for current period reconciliation of the Non-GAAP financial measures to the most directly comparable GAAP measures. For all historical periods referenced in this presentation, refer to the Investor Relations section of our website.

• Low cost of debt ~3.5%
• Strong credit metrics (Debt / Adj. EBITDA (LTM): 2.3x)

Investment Grade Rating: Moody’s, S&P, Fitch

Term Loans

LIBOR + 137.5bps

The World Has Changed… Flex is Ready

13

14

The world has changed

Increased regionalization Growth of Asian OEMs Faster product cycles More disruptive products New hardware OEMs Global Citizenship Intelligence of Things

Supply chain complexity Innovation

• n the rise

15

Flex is ready… the Flex advantage

$2 $25B 5B

revenue

50M 50M

• sq. ft. of

manufacturing & services space

20 200,000 0,000

employees

100 100

sites in over 30 countries

2, 2,500 500

design engineers

The Flex US advantage

6M 6M

• sq. ft. of

manufacturin g space

15 st stat ates es

• design & innovation centers
• plastic injection molding
• specialty materials
• automation
• flexible circuits
• tooling
• after-market services
• distribution

$300M+ 00M+

investments in the last 4 years

16

17

Flex Platform

Our company invests across three dimensions

18

Ready for megatrends affecting each business group

Automotive Medical Communications Industrial Consumer

Zero Accidents Car Connectivity Zero Emissions Improved Compliance Patient Centric Smart Connected Solutions Human Machine Interfacing Emerging Wireless Connectivity Converged Infrastructure Smart Energy Flexibility Connected Lifestyle

Strategically Positioned to Win

19

20

Very diversified business across industries

Medical

$2

Billion

Automotive

$2

Billion

Industrial Goods

$1

Billion

Home Appliances

$1

Billion

Capital Equipment

$1

Billion

Energy

$2

Billion

Telecom

$3

Billion

Enterprise Compute

$2

Billion

Wearables

$1

Billion

Connected Living

$1

Billion

Mobile

$2

Billion

Networking

$3

Billion

Purposefully positioned in 100+ sites and 30 countries

Austin, TX ●●●● Dallas, TX ●● Fort Worth, TX ● Houston, TX ● Plano, TX ● Milpitas, CA ●●●● Morgan Hill, CA ● San Jose, CA ● San Carlos, CA ● Ashville, NC ● Charlotte, NC ● Raleigh, NC ●● Stuttgart, Germany ● Althofen, Austria ●● Columbia, SC ● Northfield, MN ● Aguascalientes, MX ●● Guadalajara, MX ●●● Tijuana, MX ●● Manaus, Brazil ●● Jaguariuna, Brazil ● Sorocaba, Brazil ●● Budapest, Hungary ● Gyal, Hungary ● Pecs, Hungary ● Sarvar, Hungary ●● Tab, Hungary ● Zalaegerszeg, Hungary ● Leitrim, Ireland ● Cork, Ireland ● Limerick, Ireland ●● Migdal Haemek, Israel ●● Ofakim, Israel ● Yavne, Israel ● Lodz, Poland ● Tczew, Poland ●● Timisoara, Romania ●● Ronneby, Sweden ●● Mukachevo, Ukraine ● Bangalore, India ● Chennai, India ●● Milan, Italy ●● Treviso, Italy ● Trieste, Italy ● Valencia, CA ● Memphis, TN ● Louisville, KY ● Dubai, UAE ● Manchester, UK ● Swindon, UK ● Istanbul, Turkey ● Oostrum, Netherlands ● Venray, Netherlands ● Brno, Czech Republic ● Pardubice, Czech Republic ●

Global Services Design Manufacturing

Overland Park, KS ● Gushu (Shenzhen), China ●● Huang Tian (Shenzhen), China ●● Nanjing, China ● Shanghai, China ●● Shenzhen, China ●● Suzhou, China ● Wuzhong (Suzhou), China ●●● Zhuhai, China ●● Changi, Singapore ● Joo Koon Singapore ●● Kallang, Singapore ● Batam, Indonesia ● Penang, Malaysia ●● Port of Tanjung Pelepas (Johor), Malaysia ●● Senai (Johor), Malaysia ●● Skudai (Johor), Malaysia ● Delhi, India ● Mumbai, India ● Taipei, Taiwan ●● Ibaraki, Japan ●● Chengdu, China ●●

Mechanicals

Zurich, Switzerland ● Dalingshan (Dongguan), China ● Hong Kong, China ●● Qiaotou (Dongguan), China ● Atlanta, GA ● Burlington, Canada ● Newmarket, Canada ● Ottawa, Canada ● Toronto, Canada ● Coopersville, MI ●● Farmington Hills, MI ● Tempe, AZ ● Buffalo Grove, IL ● Manchester, CT ● Sonderborg, Denmark ●

Headquarters

Juarez, MX ●●● Reynosa, MX ●

21

22

Innovation at Flex

Cultivate

and accelerate collective innovation

Develop

the smart components that enable intelligence

Identify

and leverage technology across industries

Commercialize

relevant product solutions

To innovate is to do something that has never been done before

Automotive Healthcare Industrial Connected Living Consumer Electronics Energy Fitness/Wellness Communications Aerospace & Defense Consortia Investments Suppliers OEMs Employees Centers of Excellence Startups Research Institutions Universities LabIX Sensor Actuators Human Machine Interface Connectivity Smart Software Battery & Power Flexible Technologies & Miniaturization Security & Computing Design Prototyping New Product Introduction Certification Manufacturing Distribution Reverse Logistics Tax & Trade

23

Accelerating innovation with portfolio companies

Lab IX portfolio highlights

Smart art Softwa ftware re Batt atter ery y & Powe wer Sensors sors & Actuat tuators

• rs

Connect nectivity vity Human man Machin hine e Inter erfa face ce Flexi xible ble Te Techno nolog logies es & Miniatu iaturiz izat ation

• n

Security urity & Compu puting ting

Autonomous crime prevention robots

3D augmented interactive reality platform

Smart drones for transportation Landscape computing solutions for smart cities Ultrathin, flexible, rechargeable batteries Smart adapter to wirelessly control lights

Biometric smart clothing Breath quality measurement Advanced adaptive irrigation system Brain sensing headband Electro-adhesion technology Mood enhancing / altering wearable

Women's health device Stretchable biometric circuits and sensors High-speed contactless data connectivity Low power Wi-Fi chip for wireless peripherals Miniaturized global navigation modules Secure long range wireless network Extending the cloud via smart storage hub Shared, interactive shopping list Analytics for home & building automation 3D display technology for personal use Force-sensitive touch technology

24

Real-time solutions to improve decision making

Incubated in 2012 by Flex – Now a majority-

• wned subsidiary of Flex
• Consolidated financial with Flex
• Flex owns the majority of outstanding

equity and Board of Directors control Board of Directors, Advisory Board and Investors include:

• Lightspeed Venture Partners
• Workday
• Silverlake
• Flex
• Yahoo
• LinkedIN

Over $60M in total funding

Powered by Elementum: mobile software for end-to-end supply chain management

Sketch-to-Scale

25

24

Innovation from Sketch-to-Scale

New Product Introduction Active Tracking Concepting Manufacturing Design & Engineering Market Expansion End of Life Distribution & Logistics IP Protection Certification Prototyping Reverse Logistics

27

Sketch-to-Scale

3% 9% 5% 18%

CEC CTG IEI HRS

FY 2013

7%

Total Flex

12% 27% 21% 30%

CEC CTG IEI HRS

FY 2016

21%

Total Flex

CEC CTG IEI HRS

FY 2020E

~35%

Total Flex

25-30% 35-40%

% of Sketch-to-Scale revenue

28

Design-enabled manufacturing growth

Mcor 3D printer Pella home automation Ford transmission solenoids Whirlpool display panel Fossil smartwatch Itron gas meter Ciena 6500 platform

$1.6B $3B

FY16 FY15

330+ 400+

FY16 FY15

>20%

YoY design win growth

>85%

YoY manufacturing pull-through increase

Flex e-inhaler

Sketch-to-Scale delivers greater value

29

Enabling disruption with our innovative services

Manufacturing

• Scalable

Manufacturing

• Procurement &

Sourcing

Advanced Engineering & Robotics Labs

• Value Engineering Services
• Manufacturing Technology

Innovation

Interconnect Technology Center

• Multek (PCBs, Flexible & Rigid)
• Advanced Printed Circuits
• Integrated Design Capabilities

Failure Analysis Labs & Mechanicals

• Materials

Characterization

• Sheet Metal

Manufacturing

System Integration

• Configure to

Order

• Build to Order

New Product Introduction

• Prototype to Product Launch
• 3D Printing (plastic)

Confidential Center

• Private & Secure

Manufacturing Room

Lab IX

• Startup hardware

Accelerator

• Business Scaling

Resources

Global Services

• Forward & Reverse

Logistics

• Vendor Managed

Inventory

Innovation Labs & Design Center

• Technology Innovation &

Engineering

• Design for ‘X’ Services
• 3D Printing (metal)

Silicon Valley’s Customer Innovation Center

30

Flex Innovation Labs

Shar ared ed explorat

• ration
• n of disrupti

uptive ve te techn chnol

• log
• gies

es across

• ss all indus

ustries ries

• Headquartered in the heart of Silicon Valley
• A new concept lab focused on technology ideation, prototyping and new co-

innovation models

• World-class product, system and architecture expertise
• Environment designed to foster collaboration across Flex, our customers and

partners

Innovation Labs: where sketch-to-scale starts

Innovation Workshops Concepting Product Design & Engineering Minimum Viable Product Design Qualification

31

Sketch-to-scale impact on HRS business

De Design ign rela lated ed growth wth Chin ina a & I & India ia expans ansion ion

FY11 11

(HRS revenue)

Large e deal l growth wth

FY FY16 FY FY16

FY11 11 2X 2X 3X 3X

7% 7% 18% 18%

30% 30%

(% HRS revenue) ($25Mil+)

32

Revolutionary partnerships

• In 18 months, 20 inventions on the factory floor
• Fastest new Nike factory ramp,150 days from start to first ship
• On track to have meaningful revenue in FY18
• Enabling customization & regionalization

Richer Business Mix

33

34

Structured to deliver profitable growth

Annual l Revenu venue Growth wth Target get Comment ments 10% +

• Megatrends driving growth
• Deep & broad global technical capabilities

10% +

• Redefining Energy engagement model
• Positioned to penetrate massive TAM across Industrials
• 5% to 0%
• Navigating challenging industry dynamics
• Maintaining market leading position across the board

3% to 5%

• Success with ICE and Strategic customers
• New industry growth vectors

HRS IEI CTG CEC

Targeted 2020 revenue growth model

FY16 Adjusted Operating Target Operating Margin Pr Profit

($M)

Margi gin Pr Prior Ra r Range ge New Ra w Range ge $295 7.6% 5 - 7% 6 - 9% $158 3.4% 4 - 6% 4 - 6% $265 3.0% 3 - 4% 2.5 - 3.5% $164 2.3% 2 - 3% 2 - 4%

Corporat porate servic ices s & other her1

($90) $792 $792 3.2% 3.2%

35

Positioned for operating profit and margin expansion

HRS IEI CTG CEC

CEC HRS IEI CTG FY20E 20E

>60% 0%

Targeted Operating Profit Mix

Targeted 2020 delivers profit growth

3,557 3,899 3,100

FY15 FY16 FY17 YTD

36

High Reliability Solutions (HRS)

Revenue venue

($M)

FY FY16 19% 16% 29% 36%

35% 19%

FY FY10 6% 13% 42% 39%

CTG CEC HRS IEI

37

HRS markets grow with predictability & longer life cycles

Automotive Medical Aerospace & Defense

16

FDA regulated sites

~$2B

Auto segment

~$1.7B

Medical segment

#1 #1

Industry*

(Technology & Revenue)

#1 #1

Industry*

(Technology & Revenue)

79% 79%

(Bookings increase over FY14)

65+

Medical products designed

60+

manufacturing transfers made

~9,000

Auto employees

25+

locations

15

countries

* Compared to traditional competitors

Autonomous vehicles

13%

2014-2024 Global revenue CAGR

$61B

ADAS Market by 2024

Clean tech

28%

2012-2022 Global volume CAGR

13M

Electric Cars by 2022

26%

2013-2020 Global volume CAGR

48M

Connected Cars by 2020

Connectivity

38

Automotive megatrends

139M

X-by-Wire Systems by 2019

Vehicle electrification

15%

2014-2021 Global volume CAGR

39

Automotive repositioned to focus on growth industries

Clean Tech Smart Electronics Lighting

• Smart rearview camera
• Connectivity & infotainment

products

• Motion & power controls
• Center high mounted stop

lights (CHMSL)

• Overhead consoles &

ambient lighting

• LED driver modules
• Flexible LED lighting

(Q-Prime)

• Power & signal distribution
• Electrohydraulic controls
• Power conversion, storage &

charging

Rising costs

5.2%

2014-2018 Global expense CAGR

$19T

Healthcare Spending by 2018

6.1%

2013-2020 Global revenue CAGR

$14B

Diabetes Market by 2020

Chronic disease

40

Medical megatrends

$59B

Digital Health by 2020

Connected health

33%

2015-2020 Global volume CAGR

41

Medical innovations in the connected world

Health Monitoring Drug Delivery Health Treatment

• DIVG delivery patches
• Insulin pump patches
• Electromechanical drug

delivery systems

• Smart patches
• 3D motion sensors
• Hearing aids
• EEG/EMG devices
• Electronic glasses
• Wearable sensor patches
• Electronic tattoos
• Artificial limbs
• Smart pills
• Bionic eye
• Dental hearing systems
• Smart implants

4,459 4,681 3,673

FY15 FY16 FY17 YTD

42

Industrial & Emerging Industries (IEI)

Revenue venue

($M)

FY FY16 19% 16% 29% 36%

35% 19%

FY FY10 6% 13% 42% 39%

CTG CEC HRS IEI

43

Broad Industrial market and massive TAM

2015 Flex TAM

Industrial Home & Lifestyle TAM: $170B Agriculture TAM: $35B Capital Equipment TAM: $175B Lighting TAM: $20B Industrial Automation TAM: $115B Appliance TAM: $170B

Flex Energy Solutions

TAM: $100B+ B+

44

There is significant opportunity in solar and storage

1 4.4 4.7 10.6 16.3 21.7 41.3

Solar Oil Other Nuclear Hydroelectric Natural Gas Coal

Glo lobal l Ele lect ctri ricity city Productio ction in in 2 2015

10 2 4 6 8 10 12 14

CO CO2 Emis issio ions ns in in 2 2015 from Ele lect ctri rici city ty and Heat t Generatio ation

Billion tonnes CO2

Source: International Energy Agency (IEA), SolarPower Europe, GreenTech Media (GTM), Flex Estimates

Global market size in $B, CAGR in %

Sola lar & S Storage rage Growth th

93 5 9 130 195 35 Storage Solar 98 139 230

2015 2020 2026

+8%

Energy source as a % Oil Natural Gas Coal

45

Flex Energy solutions

Supporting broad markets

Utility Community Distributed Generation Residential Solar Tracking Systems Energy Storage Analytics

FY FY16 19% 16% 29% 36%

35% 19%

FY FY10 6% 13% 42% 39%

CTG CEC HRS IEI

46

Communications & Enterprise Compute (CEC)

Revenue venue

($M)

9,191 8,842 6,400

FY15 FY16 FY17 YTD

47

CEC leading market share position

Wirel eless 4G/5G SDN Optical al 100G/40 400G 0G Conve nverg rged Stora rage ge Switchi hing ng & IP Routi uting ng

Tele leco com

• No. 1

. 1 WW WW Network working ing

• No. 1

. 1 WW Enter erpr pris ise e Compute pute

• No. 1

. 1 WW

Security ity Appliance ance

Examples mples of establis ablished hed custom

• mer

ers

48

Strategy for growth

• Expansion of new market segment
• Open Source & Software defined infrastructure
• Expand customer base
• Converged Infrastructure
• Maintain leadership position
• Enable transition via hybrid

Core OEM Solution Providers Cloud Disruptive OEM Solutions

49

Consumer Technologies Group (CTG)

Revenue venue

($M)

8,940 6,998 4,828

FY15 FY16 FY17 YTD

FY FY16 19% 16% 29% 36%

35% 19%

FY FY10 6% 13% 42% 39%

CTG CEC HRS IEI

50

Developing growth vectors

Fashion Connected Home Consumer Health New Generation Products Digital Sport Nike

• Smart Appliances
• Home Hubs
• Media Devices
• Connected Audio
• Connected Jewelry
• Bags with Power
• Smart Accessories
• Advanced Wearables
• Telehealth
• Personalized Monitoring
• Drones
• Virtual & Augmented Reality
• Telematics
• Activity Trackers
• Smart Helmets
• Smart Watches
• Athletic Apparel
• Shoes

51

Investing in new business models

+5% +2% 3-4% 42 6 7 113%

• 34%

48%

FY16 Achieved STRATEGIC CORE ICE1

Operating Profit Customers Added Revenue Growth

Strategic M&A

52

53

Targeted M&A strategy aligned with portfolio evolution

$25-$100M

8

2

<$25M

Target capabilities Strategic customers Longer product lifecycles EPS accretive Barriers to entry Higher margins

Key Sele lection tion Crit iteria ria # of Acquis isition itions

Based on purchase price 1

3

>$100M % of M&A spend by business group 1 72%

HRS

27%

IEI

1%

CTG

54

Expanded solar offerings through strategic acquisitions

Leader in predictive modeling software and machine- learning technologies

• Provides the ability to do advanced diagnostics and real-time

control of solar tracking systems

Smart, connected, and most efficient solar panel tracker technology on market

• Globally recognized for delivering the most advanced single axis PV

trackers for dozens of projects across five continents

• NEXTracker’s technology allows a 120-degree tracking range that

yields 20-40% more energy than a non-tracker system

• Globally, trackers are only 15% of total installed base of utility

grade solar installations, and we think it will grow to 25% in the next three years

• The acquisition augments the Flex Energy business and contribute

to its more than $1 billion in sales, and is accretive to Flex's growth, margin, EPS and cash flow generation

55

Smart investment to extend leadership in Smart Tech

• Customer and Global Expansion
• Accelerates our position with strategic OEM’s
• #1 market share leader in China
• Specified by the OEM’s
• Extends Flex’s market leadership in Automotive
• #1 global market leader in exterior mirror motion controls
• Extends existing $100M motion control business
• “Smart” mirror embedded with electronics

MCi i is is a le leading ding glo lobal al manufac ufactur turer er of gla lass ss and power werfold fold mir irror

• r actuat

uator

• rs

s

56

Doubling down on the Intelligence of Things

• Smart Home platform connecting devices seamlessly and

globally

• Wink is a connected home IoT software that connects the

world’s greatest brands together

• 30+ OEM partners, most of which are Flex customers
• Synergy for Flex to drive new and exciting relationships

400K+ users & 1.7M+ devices New home added every 2 minutes

57

Shaping the future of healthcare with Farm Design

Human Factors Engineering (HFE)1 & Design Company

Supports the Flex sketch-to-scale strategy

• 40+ years in operation
• New Hampshire facilities and Cleveland Clinic - desirable geographic

proximity for Northeast-based customers

• Over 300 utility & design patents
• Increases Flex HFE capabilities - HFE is now a FDA requirement and

many customers do not have the expertise

• Design expertise in orthopaedics, cardiology, med-surgery, and

diagnostics

• 50+ Employees with medical HFE expertise
• 1. Human Factors Engineering (HFE): Understanding how people interact with technology and studying how user interface design affects the

interactions people have with technology is the focus of human factors engineering (HFE) and usability engineering (UE). - FDA

trained researchers • human factor engineers • generative research • formative usability testing • usability validation testing • domestic and international experience

Latest Financial Update

Results for Q4 Fiscal 2016 Earnings Announcement: April 28, 2016

58

Revenue & Adjusted Gross Margin

($M)

59

Quarterly Financial Highlights

22% 22% 22% 20% 20%

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

Return on Invested Capital

(ROIC %)

$0.35 $0.29 $0.27 $0.28 $0.34

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

Adjusted Earnings Per Share

(EPS)

6,763 5,773 5,877 6,009 6,115 6.7% 7.1% 6.9% 6.9% 7.1%

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

• Adj. Gross Margin

Adjusted Operating Income

($M)

236 200 190 197 223 3.5% 3.5% 3.2% 3.3% 3.6%

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

• Adj. Operating Margin

Please refer to the appendix section of this presentation for current period reconciliation of the Non-GAAP financial measures to the most directly comparable GAAP measures. For all historical periods referenced in this presentation, refer to the Investor Relations section of our website.

Q3 FY17 17

(December 31, 2016)

Targe get t Adju justed ed Opera ratin ting g Margi gin Range ge

($M)

Rev$ v$ OP$ P$

(adj.)

OP%

(adj.)

$2,102 $62 3.0%

Challenging demand environment but continuing to

• perate within the targeted range.

$1,849 $59 3.2%

Driving a more diversified customer base by leveraging new technologies and the expansion into new markets.

$1,141 $40 3.5%

Sequential improvement and progressing towards targeted range, despite energy project delays.

$1,023 $83 8.1%

Strong execution and margins remain meaningfully inside the targeted range.

Corporate Services & Other1

• ($21)
• Total

$6,1 ,115 $223 $223 3.6 .6%

6 4 2 2.5 9 6 4 3.5

Operating Performance by Business Group

• 1. Corporate services and other: corporate service costs that are not included in the assessment of the performance of each of the identified business groups.

3.2%

3.0% 3.5% 8.1%

60

Please refer to the appendix section of this presentation for current period reconciliation of the Non-GAAP financial measures to the most directly comparable GAAP measures. For all historical periods referenced in this presentation, refer to the Investor Relations section of our website.

CEC CTG IEI HRS

26% 16% 34% 24%

61

Q3 FY2017 Highlights and Key Trends

158 114 121 144 363 9.3% 9.7% 8.3% 7.3% 9.6%

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

FCF Yield

Free Cash Flow

($M)

90 89 95 90 75 551 545 546 541 537

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

Shares Outstanding (M)

Share Repurchases

($M)

HRS IEI CTG CEC

Strong Cash Flow Continued Portfolio Evolution Capital Return Commitment

Adj.

• Op. Profit

Mix

Please refer to the appendix section of this presentation for current period reconciliation of the Non-GAAP financial measures to the most directly comparable GAAP measures. For all historical periods referenced in this presentation, refer to the Investor Relations section of our website.

50%

34% 19% 17% 30% Revenue Mix

36%

CTG CEC IEI HRS

37% 18% 15% 30%

62

Revenue by Business Group

Communications & Enterprise Compute

Telecom, Networking, Server & Storage, Storage & Security Appliance, Converged Infrastructure, Software Defined Product Solutions.

Consumer Technologies Group

Wearables, Fashion, Connected Living, Gaming, Mobile, PCs/Printers.

Industrial & Emerging Industries

Semiconductor & Capital Equipment, Office Solutions, Household Industrial & Lifestyle, Industrial Automation & Kiosks, Energy & Metering, Lighting.

High Reliability Solutions

Medical: Consumer Health, Digital Health, Disposables, Drug Delivery, Diagnostics, Life Sciences & Imaging Equipment. Automotive: Vehicle Electronics, Connectivity, Clean Technologies.

Dec 2015 33%

HRS IEI CTG CEC

Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17E

($M)

$ $ $ $ $ Q/Q % Y/Y % Outlook Q/Q %

CEC

2,469 2,201 2,196 2,102 2,102 0% (15%)

Down 5 - 10% CTG

2,058 1,364 1,314 1,665 1,849 11% (10%)

Down 20 - 30% IEI

1,214 1,190 1,289 1,243 1,141 (8%) (6%)

Up 10% - 15% HRS

1,022 1,018 1,078 999 1,023 2% 0%

Flat to Up 5% Total Revenue

$6,763 $5,773 $5,877 $6,009 $6,115 2% (10%)

34% 19% 17% 30%

Dec 2016 36%

HRS IEI CTG CEC

63

Q4 FY2017 Guidance – March 2017

GAAP Income Before Income Taxes

$100 - $130 million

GAAP Earnings Per Share

$0.17 - $0.21

Other er Inform

• rmation:

ation:

Interest & Other Expense $25 to $30 million Adjusted Income Tax Rate 8.0% to 10.0% WASO ~543 million shares

($M, except per share amounts)

$5,500 - $5,900 Revenue $185 - $215 Adjusted Operating Income $0.27 - $0.31 Adjusted Earnings Per Share

» » »

Creating a smarter, more connected world

For more information contact:

Kevin Kessel

VP , Investor Relations kevin.kessel@flextronics.com (408) 576 - 7985 Or visit us at investors.flex.com

Mary Lee

Director, Investor Relations mary.lee@flextronics.com (408) 576 - 5167

Katherine Chen

Analyst, Investor Relations katherine.chen@flextronics.com (408) 577 - 4037