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Eaton forecasts annual profit above estimates on strong data center demand
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Eaton forecasts annual profit above estimates on strong data center demand
Jul 31, 2026 4:22 AM

July 31 (Reuters) - Eaton forecast its annual profit

above Wall Street expectations on Friday, citing steady demand

for its electrical components amid a rapid surge in AI data

centers, sending its shares up 5% in premarket trading.

Apart from data centers, rising demand from power grids and

domestic manufacturing has boosted orders for electrical

equipment makers such as Eaton, prompting them to expand

capacity and invest in infrastructure.

* "While data centers remain a key growth driver, we are

benefiting from robust demand across our end markets," CEO Paulo

Ruiz said.

* The supplier of electrical components and wiring across

sectors such as aerospace, automobiles and utilities posted

second-quarter adjusted profit of $3.15 per share, compared with

analysts' estimates of $3.07 per share.

* Total quarterly revenue rose 21% to $8.53 billion, beating

estimates of $8.13 billion.

* The Dublin, Ireland-based company expects 2026 adjusted

profit between $13.4 and $13.6 per share, the midpoint of which

is above analysts' expectations of $13.24 per share, according

to data compiled by LSEG.

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