8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): December 20, 2004

Jabil Circuit, Inc.

(Exact name of registrant as specified in its charter)

Delaware	001-14063	38-1886260
(State or other jurisdiction	(Commission File Number)	(IRS Employer
of incorporation)		Identification No.)

10560 Dr. Martin Luther King, Jr. Street North, St. Petersburg, Florida 33716

(Address of principal executive offices)                      (Zip Code)

Registrant’s telephone number, including area code:      (727) 577-9749

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

TABLE OF CONTENTS

Ex-99.1 December 20, 2004 Press Release

Item 2.02. Results of Operations and Financial Condition.

     On December 20, 2004, Jabil Circuit, Inc. issued a press release announcing its results of operations for the first fiscal quarter ended November 30, 2004. A copy of the press release is furnished as Exhibit 99.1 hereto and is incorporated herein by reference.

     The information furnished herewith pursuant to Item 2.02 of this Current Report shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information in this Current Report shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date of this Current Report, regardless of any general incorporation language in the filing.

Item 9.01. Financial Statements and Exhibits.

     (c) Exhibits

          The following exhibit is furnished herewith:

Exhibit
Number	Description
99.1	Press release dated December 20, 2004.

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	JABIL CIRCUIT, INC. (Registrant)
December 20, 2004	By:	/s/ Forbes I.J. Alexander
		Forbes I.J. Alexander,
		Chief Financial Officer

EXHIBIT INDEX

99.1 Press release dated December 20, 2004.

EX-99.1

Exhibit 99.1

     This news release contains forward-looking statements, including those regarding the anticipated outlook for our business, our currently estimated second quarter and full fiscal year 2005 net revenues and earnings results and our long-term outlook for our company, our industry and our customers. These statements are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties include, but are not limited to: fluctuations in operating results; changes in technology; competition; anticipated growth for us and our industry may not occur; managing rapid growth; managing any rapid declines in customer demand that may occur; our ability to successfully consummate our acquisitions; managing the integration of businesses we acquire; risks associated with international sales and operations; retaining key personnel; our dependence on a limited number of customers; the consolidation of our customer base; business and competitive factors generally affecting the electronic manufacturing services industry, our customers and our business; other factors that we may not have currently identified or quantified; and other risks, relevant factors and uncertainties identified in our Annual Report on Form 10-K for the fiscal year ended August 31, 2004, any subsequent Reports on Form 10-Q and Form 8-K and our other securities filings. Jabil disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

JABIL REPORTS FIRST QUARTER FISCAL 2005 RESULTS
Company Posts Record Net Revenue & Earnings

St. Petersburg, FL – December 20, 2004...Jabil Circuit, Inc. (NYSE: JBL), a global electronics manufacturing services provider, today reported results for the first quarter of fiscal 2005, ended November 30, 2004. Net revenue for the first quarter of fiscal 2005 increased 21 percent to $1.83 billion compared to $1.51 billion for the same period of fiscal 2004.

Under accounting principles generally accepted in the United States of America (“GAAP”), net income for the first quarter of fiscal 2005 increased to $55.9 million as compared to $42.5 million for the same period in fiscal 2004. GAAP diluted earnings per share for the first quarter of fiscal 2005 were $0.27 compared to $0.20 for the same period of fiscal 2004.

Jabil’s first quarter of fiscal 2005 core earnings increased 26 percent to $65.0 million, compared to $51.6 million for the first quarter of fiscal 2004. Core earnings per share increased 28 percent to $0.32 per diluted share for the period, compared to $0.25 for the first quarter of fiscal 2004. (Jabil defines core earnings as GAAP net income before amortization of intangibles, acquisition-related charges, restructuring and impairment charges and other income/loss, net of tax. Jabil reports core earnings and core earnings per share to provide its investors with an alternative method for assessing its earnings from what it believes to be its core manufacturing operations. See the accompanying reconciliation of Jabil’s core earnings and core earnings per share to its GAAP net income and additional information in the supplemental information below).

Gross profit for the first quarter of fiscal 2005 increased 16 percent to $154.9 million or 8.4 percent of net revenue compared to $133.4 million or 8.8 percent of net revenue for the same period of fiscal 2004.

On a GAAP basis, operating income for the first quarter of fiscal 2005 increased 32 percent to $70.3 million compared to $53.0 million for the same period of fiscal 2004.

Core operating income for the first quarter of fiscal 2005 increased 25 percent to $80.9 million or 4.4 percent of net revenue compared to $64.5 million or 4.3 percent of net revenue for the first quarter of fiscal 2004. (Jabil defines core operating income as GAAP operating income before amortization of intangibles, acquisition-related charges and restructuring and impairment charges. Jabil reports core operating income to provide its investors with an alternative method for assessing its operating income from what it believes to be its core manufacturing operations. See the accompanying reconciliation of Jabil’s core operating income to its GAAP operating income and additional information in the supplemental information below).

(   M   O   R   E   )

Q1 2005 Earnings Release—Add One
December 20, 2004

Quarterly Highlights

• Cash flow from operations was approximately $35 million for the first quarter of fiscal 2005.

• Sales cycle for the first quarter of fiscal 2005 was 28 days.

• Inventory turns for the first quarter of fiscal 2005 were nine.

• Capital expenditures for the first quarter of fiscal 2005 were approximately $55 million.

• Depreciation for the first quarter of fiscal 2005 was approximately $45 million.

• Cash balances were $620 million at the end of the first quarter of fiscal 2005.

• Return on Invested Capital (ROIC) increased to 17 percent for the first quarter of fiscal 2005.

Business Outlook

“We are pleased to have started our fiscal 2005 with another record quarter. We increased net revenues 21 percent, grew core earnings 26 percent and improved diluted core earnings per share 28 percent over the first quarter of fiscal 2004,” said Timothy L. Main, President and Chief Executive Officer. “While the end markets and the economy are just beginning to show signs of improvement, Jabil clearly has the strong trend for electronics companies to outsource in its favor.”

Jabil provided guidance for its second quarter of fiscal 2005 indicating that it currently foresees net revenue in a range of $1.65 to $1.75 billion and core earnings per share in a range of $0.26 to $0.28 per diluted share, depending upon actual levels of production. GAAP earnings per share are currently estimated to be $0.22 to $0.24 per diluted share. (Expected GAAP earnings per share for the second quarter of fiscal year 2005 are currently estimated to include $0.04 per share for amortization of intangibles.)

Jabil management maintained its previous full fiscal 2005 guidance, indicating expectations of net revenue to range from $7.2 to $7.4 billion and core earnings per share to be in a range of $1.20 to $1.24 per diluted share, depending upon actual levels of production. GAAP earnings per share are currently estimated to be $1.05 to $1.09 per diluted share. (Expected GAAP earnings per share for the quarter are currently estimated to include $0.15 per share for amortization of intangibles.)

# #

Supplemental Information

The financial results disclosed in this release include certain measures calculated and presented in accordance with GAAP. In addition to the GAAP financial measures, Jabil provides supplemental, non-GAAP financial measures to facilitate evaluation of Jabil’s core operating performance. The non-GAAP financial measures disclosed in this release exclude certain amounts that are included in the most directly comparable GAAP measures. The non-GAAP, or core financial measures disclosed in this release do not have standard meanings and may vary from the non-GAAP financial measures used by other companies.

Due to its acquisitions, Jabil has incurred incremental charges that are included in the GAAP financial measures disclosed in this release. Management believes that the nature of these amounts does not impact the performance of its core manufacturing operations. Management believes core financial measures (which exclude the effects of the amortization of intangibles, acquisition-related charges, restructuring and impairment charges and other income) are a useful measure that facilitates evaluating the past and future performance of Jabil’s ongoing operations on a comparable basis. Jabil reports core earnings, core earnings per share and core operating income to provide its investors with an alternative method for assessing its earnings and operating income from what it believes to be its core manufacturing operations. Included in this release is a Consolidated Statement of Earnings as well as a reconciliation of the disclosed core financial measures to the most directly comparable GAAP financial measures.

Company Conference Call Information

Jabil Circuit will conduct a conference call to announce its first quarter of fiscal 2005 earnings today at 4:30 p.m. EDT, live on the Internet at http://jabil.com. This earnings conference call will be recorded and archived for playback on the web at http://jabil.com.

Q1 2005 Earnings Release—Add Two
December 20, 2004

The news release and information about Jabil’s earnings will also be available in the investor relations’ section of the web site (jabil.com) by approximately 4:00 p.m., EDT. A taped replay of the conference call will also be available December 20, 2004 at approximately 7:30 p.m. EDT through midnight on December 21, 2004. To access the replay, call (800) 642-1687 from within the United States, or (706) 645-9291 outside the United States. The passcode is 112853 . An archived webcast of the conference call will be available at http://jabil.com/investors/

Jabil is an electronic solutions company providing comprehensive electronics design and product management services to global electronics and technology companies. Jabil helps bring electronics products to the market faster and more cost effectively by providing complete electronic product supply chain management around the world. With more than 40,000 employees and facilities in 19 countries, Jabil provides comprehensive, individualized-focused solutions to customers in a broad range of industries. Jabil common stock is traded on the New York Stock Exchange under the symbol, “JBL.” Further information is available on the company’s website: jabil.com.

Investor & Media Contact:
Beth Walters
(727) 803-3511
investor_relations@jabil.com

JABIL CIRCUIT, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands)

	November 30,			August 31,
	2004			2004
	(Unaudited)
ASSETS
Current assets
Cash and cash equivalents	$	619,836		$	621,322
Accounts receivable, net		1,066,416			777,357
Inventories		751,127			656,681
Prepaid expenses and other current assets		85,177			70,143
Deferred income taxes		56,915			57,172
Total current assets		2,579,471			2,182,675
Property, plant and equipment, net		807,297			776,353
Goodwill and intangible assets, net		360,506			352,426
Deferred income taxes		14,572			5,923
Other assets		13,330			11,979
Total assets	$	3,775,176		$	3,329,356
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Current installments of notes payable, long-term debt and long-term lease obligations	$	1,966		$	4,412
Accounts payable		1,213,068			937,636
Accrued expenses		253,498			213,418
Income taxes payable		11,691			3,618
Total current liabilities		1,480,223			1,159,084
Notes payable, long-term debt and long-term lease obligations, less current installments		294,993			305,194
Other liabilities		51,771			45,738
Total liabilities		1,826,987			1,510,016
Stockholders’ equity
Common stock		202			201
Additional paid-in capital		989,149			976,129
Retained earnings		845,868			789,953
Deferred compensation		(10,048	)		—
Accumulated other comprehensive income		123,018			53,057
Total stockholders’ equity		1,948,189			1,819,340
Total liabilities and stockholders’ equity	$	3,775,176		$	3,329,356

JABIL CIRCUIT, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except for per share data)
(Unaudited)

	Three months ended
	November 30,			November 30,
	2004			2003
Net revenue	$	1,833,375		$	1,508,994
Cost of revenue		1,678,517			1,375,545
Gross profit		154,858			133,449
Operating expenses:
Selling, general and administrative		68,089			66,009
Research and development		5,919			2,906
Amortization of intangibles		10,545			10,159
Acquisition-related charges (1)		—			1,339
Operating income		70,305			53,036
Interest income		(1,865	)		(1,656	)
Interest expense		5,386			4,760
Income before income taxes		66,784			49,932
Income tax expense		10,869			7,436
Net income	$	55,915		$	42,496
Earnings per share:
Basic	$	0.28		$	0.21
Diluted	$	0.27		$	0.20
Common shares used in the calculation of earnings per share:
Basic		201,467			199,626
Diluted		205,843			213,940

(1) There were no acquisition-related charges recorded during the three months ended November 30, 2004. During the three months ended November 30, 2003, we recorded acquisition-related charges of $1.3 million ($1.0 million after-tax) primarily in connection with the acquisitions of certain operations of Royal Philips Electronics and NEC Corporation.

JABIL CIRCUIT, INC. AND SUBSIDIARIES
SUPPLEMENTAL DATA
RECONCILIATION OF GAAP FINANCIAL RESULTS TO NON-GAAP MEASURES
(In thousands, except for per share data)
(Unaudited)

	Three months ended
	November 30,		November 30,
	2004		2003
Operating income (GAAP)	$	70,305	$	53,036
Amortization of intangibles		10,545		10,159
Acquisition-related charges		—		1,339
Core operating income (Non-GAAP)	$	80,850	$	64,534
Net income (GAAP)	$	55,915	$	42,496
Amortization of intangibles, net of tax		9,040		8,117
Acquisition-related charges, net of tax		—		987
Core earnings (Non-GAAP)	$	64,955	$	51,600
Earnings per share: (GAAP)
Net income	$	55,915	$	42,496
Interest expensed on convertible debt, net of tax (1)		—		942
Adjusted net income	$	55,915	$	43,438
Basic	$	0.28	$	0.21
Diluted	$	0.27	$	0.20
Core earnings per share: (Non-GAAP)
Core earnings	$	64,955	$	51,600
Interest expensed on convertible debt, net of tax (1)		—		942
Adjusted core earnings	$	64,955	$	52,542
Basic	$	0.32	$	0.26
Diluted	$	0.32	$	0.25
Common shares used in the calculations of earnings per share:
Basic		201,467		199,626
Diluted (2)		205,843		213,940

(1) The computation of earnings per diluted share and core earnings per diluted share for the three months ended November 30, 2003 includes the elimination of $0.9 million in interest expense, net of tax, on the then outstanding convertible subordinated notes, which would have been extinguished had the conversion occurred, as the effect of the conversion would have been dilutive. The notes were redeemed for cash in the third quarter of fiscal year 2004.

(2) Diluted common shares for the three months ended November 30, 2003 include 8,406,960 shares of common stock issuable upon the conversion of the then outstanding convertible subordinated notes as the effect of the conversion would have been dilutive. The notes were redeemed for cash in the third quarter of fiscal year 2004.