Jabil Forecasts Strong Growth Driven by AI-Powered Data Center Demand

Jabil forecasts upbeat full-year results on AI-driven data center demand

Sept 25 (Reuters) - Jabil (JBL.N), opens new tab forecast profit and revenue for the fiscal year 2026 above Wall Street estimates on Thursday, as the electronics component maker banks on an artificial intelligence-driven boom for data centers. The company, which supplies electronic components to Apple (AAPL.O), opens new tab, also surpassed Street expectations for its fourth-quarter results. An influx of capital to build data centers, driven by strong demand for computing to support AI technologies, has benefited companies like Jabil. Jabil expects full-year 2026 revenues of $31.3 billion, above analysts' average expectations of $30.75 billion, according to data compiled by LSEG. It expects an adjusted profit per share of $11.00 for the year, also above estimates of $10.83. Fourth-quarter revenue rose 18.5% to $8.25 billion, surpassing estimates of $7.59 billion. Adjusted profit per share was $3.29, while analysts expected $2.92. Reporting by Utkarsh Shetti in Bengaluru; Editing by Sahal Muhammed Our Standards: The Thomson Reuters Trust Principles., opens new tab

Jabil outlines 25% AI revenue growth for FY '26 as North Carolina facility ramps (NYSE:JBL)

Earnings Call Insights: Jabil Inc. (JBL) Q4 2025 Management View * CEO Michael Meheryar Dastoor stated fiscal 2025 was "a great year for Jabil," highlighting solid revenue growth, core operating margin expansion, and strong free cash flow. He emphasized, "FY '25 demonstrated 2 things at once. Some end markets Jabil forecasts 25% AI-related revenue growth to about $11.2 billion in fiscal 2026, driven by investments in system-level AI integration, liquid cooling, advanced power solutions, and a new North Carolina facility supporting capacity. Jabil is focusing on portfolio pruning by shifting away from low-margin, commoditized products toward higher-margin, engineering-led offerings, improving utilization, and expanding core operating margin by 20 basis points to 5.6%, despite some underutilized capacity outside the U.S. Jabil offsets auto/renewable softness with AI demand, manages geopolitical and tariff risks through region-for-region manufacturing, and reports positive positioning in regulated/pharmaceutical supply chains, despite recognizing ongoing margin headwinds from certain markets.