TORONTO, Ontario — January 28, 2026 — Leads & Copy — Celestica Inc. (NYSE: CLS) (TSX: CLS) reported its financial results for the fourth quarter ended December 31, 2025 (Q4 2025), which exceeded guidance, and raised its 2026 annual outlook due to the demand for AI-related data center technologies.
Q4 2025 highlights include revenue of $3.65 billion, a 44% increase compared to $2.55 billion for Q4 2024; GAAP earnings from operations as a percentage of revenue of 8.6%, compared to 8.0% for Q4 2024; adjusted operating margin (non-GAAP) of 7.7%, compared to 6.8% for Q4 2024; GAAP earnings per share (EPS) of $2.31, compared to $1.29 for Q4 2024; and adjusted EPS (non-GAAP) of $1.89, compared to $1.11 for Q4 2024. Celestica repurchased 0.1 million common shares for cancellation for $35.7 million.
2025 highlights include revenue of $12.39 billion, a 28% increase compared to $9.65 billion for 2024; GAAP EPS of $7.16, compared to $3.61 for 2024; and adjusted EPS (non-GAAP) of $6.05, compared to $3.88 for 2024.
Celestica now expects revenue of $17.0 billion and adjusted EPS (non-GAAP) of $8.75 for 2026. The company anticipates the revenue growth trajectory that it anticipates in 2026 will be sustained into 2027 and is strategically increasing its planned capital investments to $1 billion this year, which it anticipates being able to fully fund organically through its operating cash flow.
Celestica has two operating and reportable segments: Connectivity & Cloud Solutions (CCS) (Communications and Enterprise (servers and storage) end markets) and Advanced Technology Solutions (ATS) (Aerospace and Defense, Industrial, HealthTech, and Capital Equipment businesses). Segment performance is evaluated based on segment revenue, segment income, and segment margin (segment income as a percentage of segment revenue).
First Quarter of 2026 (Q1 2026) Guidance includes revenue between $3.850 billion to $4.150 billion; adjusted operating margin (non-GAAP) of 7.8% at the mid-point of the revenue and adjusted EPS (non-GAAP) guidance ranges; and adjusted EPS (non-GAAP) between $1.95 to $2.15.
The 2026 Annual Outlook Update includes revenue of $17.0 billion (previous outlook $16.0 billion); and adjusted EPS (non-GAAP) of $8.75 (previous outlook $8.20). The previous adjusted operating margin (non-GAAP) outlook of 7.8% and free cash flow (non-GAAP) outlook of $500 million remain unchanged.
CCS segment revenue was $2.86 billion, a 64% increase compared to Q4 2024; CCS segment margin was 8.4% compared to 7.9% for Q4 2024. Hardware Platform Solutions (HPS) revenue of approximately $1.4 billion increased 72% compared to Q4 2024.
ATS segment revenue was $0.80 billion, a 1% decrease compared to Q4 2024; ATS segment margin was 5.3% compared to 4.6% for Q4 2024.
Celestica is expanding its manufacturing capacity in the United States to support the growing demand for next-generation AI infrastructure. This expansion, scheduled for completion in 2027, is designed to enhance Celestica’s ability to support the production of complex data center hardware, including Google Tensor Processing Unit (TPU) systems. Celestica will also continue to invest in the growth of its manufacturing capacity in South East Asia, to support Google’s TPU platform and leading-edge networking technologies.
Celestica has been awarded the program for the design and manufacturing of the 1.6 terabyte switching platform with a third hyperscaler customer. The HPS program is expected to begin ramping production in 2027.
Celestica’s investments will include a combination of capacity additions, upgrades to manufacturing capabilities (including investments in power), and new customer driven investments in the United States. Some highlights of the planned investments include the expansion of our manufacturing footprint in the Dallas-Fort Worth, Texas metro area, the construction of multiple new buildings at our Thailand campus, investments in our existing sites in Mexico and Japan, as well as new HPS design centers in Asia and the United States.
Management will host its Q4 2025 financial results conference call on January 29, 2026 at 8:00 a.m. Eastern Time (ET). The webcast can be accessed at www.celestica.com.
Celestica is a technology leader dedicated to driving customer success and market advancements. With expertise in design, engineering, manufacturing, supply chain, and platform solutions, Celestica enables critical data center infrastructure for AI, cloud, and hybrid cloud and advances technologies in high-growth markets. With a talented team and a strategic global network, Celestica helps its customers achieve competitive advantages.
Our securities filings can be accessed at www.sedarplus.ca and www.sec.gov.
“Our financial performance in the fourth quarter was very strong, with revenue of $3.65 billion and adjusted EPS (non-GAAP)* of $1.89, both exceeding the high end of our guidance ranges. We had a solid finish to 2025, achieving revenue of $12.4 billion, up 28%, while our adjusted EPS (non-GAAP)* grew 56% year-over-year,” said Rob Mionis, President and CEO of Celestica.
“Driven by very strong results in 2025, and improved momentum into 2026, we are pleased to be raising our annual outlook. As demand for AI-related data center technologies continues to strengthen, we now expect revenue of $17.0 billion and adjusted EPS (non-GAAP)* of $8.75 for 2026.”
“We are continuing to align with our largest customers on their multi-year capacity roadmaps in support of their long-term AI infrastructure investments. We believe the revenue growth trajectory that we anticipate in 2026 will be sustained into 2027, and as a result, we are strategically increasing our planned capital investments to $1 billion this year. Importantly, we anticipate being able to fully fund this expansion organically through our operating cash flow.”
Source: Celestica
