Electrical equipment maker Hubbell lifts profit forecast amid demand from data centers

Industrial equipment manufacturers have also benefited from higher utility spending on grid upgrades and aging infrastructure replacement amid growing power demand.

Sales in Hubbell's electrical segment were up 25% to $686 million in the second quarter, while those from its utility solutions business rose 10% to $1.03 billion.

The company now expects a 2026 adjusted profit between $20.25 and $20.55 per share, the midpoint of which is higher than that of its previous forecast range of $19.30 to $19.85.

Excluding items, the company reported a second-quarter profit of $5.52 per share, compared with analysts' estimates of $5.38 per share, according to data compiled by LSEG.

Quarterly net sales came in at $1.71 billion, compared with analysts' average expectation of $1.65 billion.

The company's shares were up more than 1% in premarket trading.

July 28 - Electrical equipment manufacturer Hubbell HUBB.N topped second-quarter earnings estimates and lifted its 2026 profit forecast on Tuesday, driven by robust demand from data centers and energy projects.

Rising demand for AI technologies is driving a global expansion of data center construction, benefiting firms such as Hubbell, a supplier of wiring, lighting, and other electrical equipment.

"Megatrends in grid modernization, load growth and datacenter investment drove 10% organic growth in the second quarter," CEO Gerben Bakker said.