TLDR
CLS stock rebounds 9.17% after hours, reversing a 5.14% regular-session drop.
Celestica Q3 revenue surges 83% to $5.83 billion as cloud infrastructure expands.
Adjusted earnings jump 109% to $3.30 per share, with margins reaching 8.5%.
Celestica raises its 2026 revenue outlook to $21 billion and EPS to $11.55.
Celestica targets $40 billion in 2027 revenue as AI infrastructure demand grows.
Celestica Inc. (CLS) shares surged after hours Monday after the company reported an 83% jump in third-quarter revenue. Sales reached $5.83 billion, while adjusted earnings per share more than doubled. CLS gained 9.17% to $268.99 after regular trading ended, reversing an earlier decline.
Celestica Inc., CLS
Celestica Q3 Earnings Drive After-Hours Rebound
During regular trading, Celestica stock fell 5.14% to $246.65, shedding $13.36 before its earnings announcement. The subsequent rally followed results for the quarter ending September 30, 2026. Revenue climbed from $3.19 billion in the comparable 2025 quarter.
Adjusted earnings reached $3.30 per diluted share, compared with $1.58 in the prior-year quarter. Meanwhile, GAAP earnings increased to $3.26 per diluted share from $2.31 a year earlier. Adjusted earnings per share grew 109% year over year.
Celestica reported an 8.5% adjusted operating margin, up from 7.6% in the comparable quarter. However, its GAAP operating margin declined to 7.9% from 10.2% last year. A completed public offering raised $3.45 billion in gross proceeds.
Celestica Raises 2026 Revenue and Earnings Forecasts
Following the quarterly results, Celestica increased its full-year revenue outlook to $21 billion from $20.5 billion. It also raised its adjusted earnings forecast to $11.55 per share from $11.30. Management linked the increases to recent results and stronger fourth-quarter demand.
For the fourth quarter, the company projected revenue between $6.275 billion and $6.575 billion. It expects adjusted earnings of $3.37 to $3.57 per diluted share during that period. Its guidance assumes an 8.7% adjusted operating margin at the forecast midpoint.
Celestica reduced its 2026 free cash flow forecast to $460 million from $600 million. The company attributed the revision to working capital investments supporting faster expansion next year. Its previous forecast for a full-year adjusted operating margin of 8.4% remains unchanged.
AI Infrastructure Demand Supports 2027 Expansion Plans
Celestica expects 2027 revenue to reach $40 billion, representing 90% growth over its updated 2026 target. The company also forecasts adjusted earnings of $21.50 per share for next year. It targets a 9.0% adjusted operating margin, which would set another company record.
Celestica plans capital spending between $1.5 billion and $2 billion during 2027. Its growth strategy centers on equipment and infrastructure for large cloud operators and advanced AI developers. Management also indicated that customer demand projections for 2028 exceed current expectations for 2027.
Celestica operates two segments: Connectivity and Cloud Solutions, and Advanced Technology Solutions. Its cloud business includes networking, servers, and storage products, while other operations serve aerospace, healthcare, and manufacturing. The updated forecasts reflect greater capacity needs as customers expand their orders.
The post Celestica Inc. (CLS) Stock: Jumps as Q3 Revenue Soars 83% to $5.83 Billion appeared first on Blockonomi .
