Companies /Technology

Celestica Inc

NYSE: CLS Electronic Components
$317.53
â–² $10.21 (+3.32%) today
Markets closed · 5:54pm ET

Q3 2025 Earnings

Reported Oct 27, 2025, 4:20pm ET · SEC source
$1.58
Beat +6.03%
EPS · est. $1.49
$3.2B
Beat +5.10%
Revenue · est. $3.0B
+6.0%
Beating market
CLS vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−10%−5%0+5%Oct 27Oct 28report 4:20pm ETearnings+0.2%−3.4%
−10%−5%0+5%Oct 27Oct 28earnings+0.2%−3.4%
CLS −3.4%S&P 500 +0.2%
−10%−5%0+5%Oct 27Oct 28report 4:20pm ETearnings+0.7%−3.4%
−10%−5%0+5%Oct 27Oct 28earnings+0.7%−3.4%
CLS −3.4%NASDAQ +0.7%
−5%0+5%Oct 27Nov 4report 4:20pm ETearnings−1.5%+0.6%
−5%0+5%Oct 27Nov 4earnings−1.5%+0.6%
CLS +0.6%S&P 500 −1.5%
−5%0+5%Oct 27Nov 4report 4:20pm ETearnings−1.6%+0.6%
−5%0+5%Oct 27Nov 4earnings−1.6%+0.6%
CLS +0.6%NASDAQ −1.6%
+8.16%
Day of report
+3.47%
Next session
+2.86%
One week
+5.50%
30 days

S&P 500 over the same 30 days: −0.53%.

Did CLS Beat Earnings? Q3 2025 Results

Celestica delivered a standout Q3 2025, with the electronics manufacturing giant beating expectations on both the top and bottom lines as surging AI data center demand continued to power its results. Revenue climbed 27.8% year-over-year to $3.19 billion, ahead of the $3.04 billion consensus, while non-GAAP adjusted EPS of $1.58 topped the $1.49 estimate by 6.03%. The primary catalyst was the Connectivity & Cloud Solutions segment, where Hardware Platform Solutions revenue jumped 79% versus a year ago as hyperscalers ramped AI infrastructure spending, lifting overall CCS revenue to roughly $2.41 billion and pushing adjusted operating margin to a company high of 7.6%. <a href="https://247wallst.com/investing/2025/10/27/live-complete-coverage-of-celestica-cls-q3-earnings/">Tracking the quarter closely</a>, investors responded sharply, with shares surging roughly 15% in the days following the report. Looking ahead, Celestica raised its full-year 2025 revenue outlook to $12.20 billion and adjusted EPS to $5.90, and introduced 2026 guidance of $16.00 billion in revenue and $8.20 in adjusted EPS, representing 31% and 39% growth respectively, underpinned by demand the company expects to persist into 2027.

Key Takeaways
  • Strong demand from hyperscaler, AI, and data center customers driving CCS segment growth
  • Hardware Platform Solutions revenue growth of 79% YoY
  • Communications end market strength exceeding expectations
  • Stronger than anticipated operating leverage in Communications end market
  • Adjusted operating margin expansion to 7.6%, up from 6.8% in Q3 2024

“We achieved very strong results in the third quarter, with revenue of $3.19 billion and non-GAAP adjusted EPS of $1.58, representing growth of 28% and 52%, respectively, each exceeding the high end of our guidance ranges. In the quarter we achieved strong adjusted operating margin of 7.6%, another high for the company, reflecting the continued strength of our execution.”

Celestica CEO, on the earnings call

Forward Guidance & Outlook

Celestica raised its 2025 annual outlook to revenue of $12.2 billion (from $11.55 billion), adjusted EPS of $5.90 (from $5.50), and non-GAAP free cash flow of $425 million (from $400 million), with adjusted operating margin unchanged at 7.4%. Q4 2025 guidance calls for revenue of $3.325–$3.575 billion and adjusted EPS of $1.65–$1.81 with adjusted operating margin of 7.6% at the mid-point. The company also introduced a 2026 annual outlook of $16.0 billion in revenue, 7.8% adjusted operating margin, $8.20 adjusted EPS, and $500 million free cash flow, representing 31% and 39% growth in revenue and EPS respectively. Management noted that demand from largest customers investing in AI data center infrastructure remains strong, with indications of these dynamics continuing into 2027. All outlook assumes no material changes to tariffs or trade restrictions from those in effect as of October 27, 2025, with substantially all tariffs expected to be recovered from customers.

CLS YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$900.0M$1.8B$2.7B$2.5B$3.2BRevenue$259.1M$416.1MGross Profit$136.4M$325.0MOperating Income$91.7M$267.8MNet Income
$0$900.0M$1.8B$2.7BRevenueGross ProfitOperating IncomeNet Income

CLS Revenue by Segment

Connectivity & Cloud Solutions$2.4B+43.0%
Hardware Platform Solutions$1.4B+79.0%
Advanced Technology Solutions$780.0M−4.0%

Figures from SEC filings and company reports. Not investment advice.