Hubbell reported strong Q4 results with 12% total sales growth, 9% organic, driven by data centers and grid infrastructure. Management raised 2026 guidance, expecting continued growth and margin expansion, supported by robust demand across key end markets. Q4 2025 total sales up 12% to $1.493B, organic growth 9%.
Hubbell reported strong Q4 results with 12% total sales growth, 9% organic, driven by data centers and grid infrastructure. Management raised 2026 guidance, expecting continued growth and margin expansion, supported by robust demand across key end markets. Q4 2025 total sales up 12% to $1.493B, organic growth 9%.
Management expressed confidence in strong order momentum, favorable end markets, and the ability to drive margin expansion in 2026.
Guidance · revenue to 8%
Data center growth exceeded 60% in Q4, driven by capacity investments and modular power distribution.. Management expressed confidence in strong order momentum, favorable end markets, and the ability to drive margin expansion in 2026.
Data center growth exceeded 60% in Q4, driven by capacity investments and modular power distribution.. Management expressed confidence in strong order momentum, favorable end markets, and the ability to drive margin expansion in 2026.
Data center growth exceeded 60% in Q4, driven by capacity investments and modular power distribution.. Management expressed confidence in strong order momentum, favorable end markets, and the ability to drive margin expansion in 2026.
Management highlighted targeted capacity investments in high-growth areas like data center components, citing an example of automated production cells for copper lugs that reduced factory processing time from days to minutes, and they plan to continue investing in high-return growth and productivity initiatives in 2026.
Management expressed confidence in strong order momentum, favorable end markets, and the ability to drive margin expansion in 2026.
“Data center growth exceeded 60% in the quarter. In addition to healthy end market dynamics, our data center performance in the fourth quarter was bolstered by targeted capacity investments...”
“Our outlook contemplates $130 million of revenue and roughly 40% operating margins, which is net of integration costs.”
“We're anticipating about mid-single digits for cost inflation in 2026. And our price actions and productivity is anticipated to address that level of cost inflation.”
“Data center markets... expected to expand mid-teens...”
| Metric | Period | Range | Midpoint | Status |
|---|---|---|---|---|
| EPS | FY2026 | $19.15–$19.85 | $19.50 | GUIDED |
| Free cash flow | FY2026 | 90% | 90% | GUIDED |
| Revenue | FY2026 | 7%–9% | 8% | GUIDED |
| RevenueUTILITY_SOLUTIONS | FY2026 | 5%–7% | 6% | GUIDED |
| RevenueELECTRICAL_SOLUTIONS | FY2026 | 4%–6% | 5% | GUIDED |
Hubbell is experiencing significant demand from data center build-outs, with data center growth exceeding 60% in Q4 and an expectation of mid-teens growth in 2026, specifically in electrical solutions segment. — Indicates sustained demand for electrical infrastructure components supporting data centers, benefiting suppliers in that chain.
Cost inflation is expected to be mid-single digits in 2026, with price and productivity actions anticipated to offset it, indicating potential pricing power in supply chain. — Pricing power in materials could signal broader inflationary pressures in industrial supply chains.
Hubbell sees demand from data centers as a secular growth driver, with investments in capacity expansion for products like connectors and grounding.