Celestica Reports Record Q3 Results Driven by AI Hardware Demand
Celestica (CLS) delivered a significant beat in its third-quarter earnings, reporting an 83% year-over-year revenue increase and a 109% rise in earnings per share (EPS). The growth was primarily fueled by the Compute & Storage division, which saw a massive 242% year-over-year surge as demand for AI data center hardware continues to accelerate. Following these results, management raised its long-term financial guidance. The revenue target for 2027 has been increased from $35 billion to $40 billion, with EPS projections reaching $21.50. Despite a slight reduction in 2024 free cash flow guidance and higher projected capital expenditures for 2027, the company maintains a strong balance sheet with low leverage of 0.5x.
Tickers: $CLS
Topics: AI hardware demand Data center infrastructure EPS beat Guidance increase Revenue growth
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