Overview

• Precision power solutions firm's Q4 revenue and adjusted EPS beat analyst expectations

• Company's 2025 revenue grew 21%, driven by semiconductor market demand

• Data Center Computing revenue grew 107% to a record level in 2025

Outlook

• Advanced Energy expects Q1 2026 revenue between $480 mln and $520 mln

• Company anticipates Q1 2026 GAAP EPS between $1.19 and $1.69

• Advanced Energy projects Q1 2026 non-GAAP EPS between $1.69 and $2.19

Result Drivers

• SEMICONDUCTOR DEMAND - Increased demand in the semiconductor market drove Q4 results, according to CEO Steve Kelley

• DIVERSIFICATION STRATEGY - Improved gross and operating margins attributed to diversification strategy and operational initiatives

• DATA CENTER GROWTH - Data Center Computing revenue grew 107% to a record level, contributing to overall revenue growth

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q4 Sales	Beat	$489.40 mln	$473.89 mln (10 Analysts)
Q4 Adjusted EPS	Beat	$1.94	$1.76 (10 Analysts)
Q4 EPS		$1.31
Q4 Adjusted Net Income	Beat	$75 mln	$66.73 mln (10 Analysts)
Q4 Net Income		$52.30 mln
Q4 Gross Margin		38.60%
Q4 Gross Profit		$189.10 mln
Q4 Operating Income		$56.60 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electrical components & equipment peer group is "buy"

• Wall Street's median 12-month price target for Advanced Energy Industries Inc is $290.00, about 3.9% above its February 9 closing price of $279.17

• The stock recently traded at 36 times the next 12-month earnings vs. a P/E of 31 three months ago

Press Release: ID:nBw1h7cxZa

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