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Power equipment maker Hubbell raises annual profit forecast on strong data center demand
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Power equipment maker Hubbell raises annual profit forecast on strong data center demand
Jul 29, 2025 6:06 AM

July 29 (Reuters) - Electrical equipment maker Hubbell

raised its full-year profit forecast on Tuesday,

betting on strong demand for products used by data centers

needed for artificial intelligence.

The development of data centers is a crucial step in

building key infrastructure required for tackling complex tasks

employed by generative AI.

The Connecticut-based company, which makes and sells

products including wiring and lighting systems, expects 2025

adjusted profit to be between $17.65 and $18.15 per share,

compared with its earlier forecast of $17.35 to $17.85 per

share.

Net sales in its electrical solutions segment, which sells

wiring devices and other electrical products, rose 4% during the

second quarter, "driven by strength in data center markets".

Its utility solutions segment posted net sales increase of

1%. That was aided by 7% growth in the power grid infrastructure

end-markets, which offset a decline in sales for grid automation

products during the quarter.

The company's total net sales for quarter ended June 30 was

$1.48 billion, up 2.2% from a year earlier. Analysts on average

estimated $1.51 billion, according to data compiled by LSEG.

It posted an adjusted profit of $4.93 per share, compared

with the estimate of $4.41 per share.

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