One year after acquiring Pharmaceuticals International (Pii) and expanding into the “wet side” of pharma, how has Jabil’s transition toward CDMO services progressed?
We are very excited about the capabilities we have gained in aseptic fill and oral solid dose manufacturing. The Pii acquisition enables Jabil to provide a true end-to-end solution for our pharmaceutical customers. As the market evolves, customers increasingly expect that from their partners. It simplifies their supply chains, significantly reduces lead times, and builds on our reputation as a safe and trusted pair of hands in the marketplace.
The response from customers has been very positive. The market is fragmented, with a few large players, and Jabil’s brand expanding into these capabilities has been well received. We have gained strong momentum in this area and are moving forward with confidence as we deepen those customer relationships.
What are the main supply chain challenges you are addressing today?
Supply chains are evolving quickly, almost on a week-to-week basis, which creates challenges that require anticipation and close collaboration with customers. At Jabil, we are proud of our global manufacturing reach and the scale of our operations. That scale gives us strong relationships with supply partners and the ability to leverage our tools to anticipate market tightening in specific commodities and adjust proactively.
When regulations or tariff policies shift, our global footprint allows us to move production as needed. Increasingly, we are operating on a local-for-local model, producing for customers in their end market, which helps hedge against regulatory and trade risks. We work closely with customers to position manufacturing where they need it, ensuring continuity and resilience.
Over the past year, what has surprised you most about the evolution of AI and connected devices?
What has surprised me most is how quickly AI has moved from being used sporadically to becoming an everyday occurrence. It represents another major point of acceleration across markets.
In life sciences specifically, AI is accelerating innovation. In pharma, companies can run simulations and leverage digital twins to bring innovative drugs to market faster. In medical devices, AI is being used in early design iterations to simulate performance and refine products more quickly.
Because Jabil collaborates with brands early in the design and product development cycle, we are well positioned to support customers in shortening time to market for new therapies and devices that patients need around the world.
What types of partnerships are you currently pursuing, and have there been notable new collaborations?
We believe we offer one of the most comprehensive sets of capabilities in life sciences and healthcare across manufacturing, supply chain, and design. That said, we do not have everything, and we continue to close capability gaps through organic investments, acquisitions, and partnerships.
Over the past year, we partnered with Midwest Interventional Solutions (MIS), a Minneapolis-based boutique design and quick-turn firm supporting complex catheter development in electrophysiology and neuro. That is a market growing 15 to 20 percent annually and is an area where we wanted to strengthen our capabilities. We also partnered with Kymanox, which supports regulatory strategy and 510(k) preparation. These partnerships allow us to present a more complete solution to customers by integrating specialized expertise where needed.
How do these partnerships complement your relationships with large pharma companies?
We already work with most of the largest pharmaceutical companies in the world. When they need a solution, we can integrate the capabilities of our partners to close any gaps and provide a complete, seamless offering.
Our relationships with big pharma are well established. As they seek innovative solutions or regional manufacturing strategies, we can supplement our already comprehensive capabilities with these partnerships. That enables us to deliver exactly what they need while maintaining the scale and reliability they expect.
Have you focussed more on regional manufacturing, particularly in the US?
We have taken a thoughtful approach to regional manufacturing for some time. Jabil has more than 100 sites globally, and within healthcare alone we have roughly 35 specialized sites that we can leverage. We collaborate closely with customers to ensure we are manufacturing where they want us to be with the capabilities they require.
The local-for-local model has gained traction, particularly in light of regulatory and policy changes, but it is not new for us. In healthcare, moving production between sites requires significant regulatory rigor, so we plan carefully. Ultimately, we position ourselves wherever our customers need us, and we have done a strong job executing on that strategy.
GLP-1 therapies continue to boom. How has this demand reshaped your investment priorities?
We continue to ride the wave of growth in the GLP-1 marketplace. Our investments are focused on ensuring we have the right facilities in place to support customers as that demand accelerates. Because the market moves so quickly, you must have capacity ready when awards are made.
We have been proactive globally. Our site in Osijek, Croatia, was built in anticipation of customer needs, and we are expanding our healthcare manufacturing site in Hendersonville, North Carolina. The acquisition of Pii also positioned us well, not only for aseptic filling but also for oral solid dose manufacturing. As oral GLP-1 products enter the market, we are prepared to support both auto-injector and oral formats.
Numerically, what are your expectations for the GLP-1 market relative to your services?
We currently build hundreds of millions of auto-injectors each year, not only for GLP-1 but also for insulin delivery platforms. In that segment, we are seeing approximately 10 to 15 percent growth in what we support for customers.
Over the next five years, it would not surprise us if that volume reached into the billions globally. Supporting a billion devices worldwide is a realistic scenario given the continued expansion of GLP-1 related therapies and the continued growth in self-administered biologics across multiple disease states.
Looking ahead to 2026, what will define success for Jabil’s healthcare division?
First and foremost, success begins with the patient. Delivering world-class quality across every product, every day, is foundational. We emphasize internally that every piece matters because every piece has a patient impact. Maintaining that safe, trusted reputation in the marketplace is paramount.
Beyond quality, we aim to grow both organically and inorganically. We recently opened an advanced catheter development lab in St. Petersburg, Florida, co-located with our innovation center and global headquarters. It is one of the most comprehensive labs for cardiac and neuro catheter manufacturing, and customer feedback has been very positive. We are also bringing new sterilization capabilities online, including an ETO facility in the Dominican Republic and an X-ray sterilization facility in Mississippi. Delivering on those investments and continuing to pursue strategic acquisitions to close capability gaps are key short-term priorities for our team
