Celestica Raises 2026 Revenue Outlook to $17B Amid AI Infrastructure Boom

Key Facts

1Q4 2025 revenue surged 44% YoY to $3.65B, driven by CCS segment strength.

2Management raised FY2026 revenue outlook to $17B.

3The company plans $1B in CAPEX to support capacity expansion for CCS and HPS growth.

Celestica Inc. (CLS) reported a robust 44% year-over-year surge in Q4 2025 revenue, reaching $3.65 billion driven by its Connectivity & Cloud Solutions (CCS) segment. The company’s management has significantly upgraded its fiscal year 2026 revenue guidance to $17 billion, reflecting strong momentum in the hyperscale market. A key driver of this growth is the company's collaboration with Alphabet on TPU systems, positioning Celestica as a critical player in AI infrastructure. To support this expansion, Celestica plans to invest $1 billion in capital expenditures (CAPEX) to boost production capacity for its CCS and HPS segments. Analysts maintain a 'Buy' rating on the stock, noting that the current price consolidation offers an attractive entry point as valuation multiples compress despite strong fundamentals.