Hammond Power Solutions Reports Record Q2 Sales Driven by Data Center Demand
Hammond Power Solutions (TSE:HPS.A) reported record second-quarter sales of C$324.8 million, a year-over-year increase of 44.7%. The growth was primarily driven by strong demand from U.S. data centers and improved pricing strategies. The company's adjusted EBITDA rose to C$53.2 million (16.4% of sales), reflecting higher shipments and operating leverage. Sales in the U.S. and Mexico surged 73%, with data center projects now accounting for over 30% of revenue. Backlog remained nearly double compared to the prior year, despite a sequential decline as expanded facilities converted more orders into shipments. Hammond also completed its acquisition of AEG Power Solutions on June 29, which is expected to contribute fully in Q3. The integration and capacity expansion are key priorities for management.
Tickers: $HMDPF
Topics: acquisition_integration adjusted_profitability data_centers sales_growth