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Jabil Inc. (NYSE: JBL), a pivotal supplier to tech giant Apple, has significantly raised its annual profit and revenue forecast for fiscal year 2025, buoyed by robust demand in the data centre infrastructure market. The company’s optimistic outlook underscores the booming investment in cloud and artificial intelligence (AI) driven computing.
Jabil now anticipates its fiscal 2025 revenue to reach $29 billion, an increase from its previous forecast of $27.9 billion. Concurrently, the adjusted profit per share projection has been lifted to $9.33, up from the earlier estimate of $8.95.
This upward revision follows Jabil’s stronger-than-expected third-quarter results, which surpassed Wall Street’s expectations. The company reported a 15.7% rise in third-quarter revenue to $7.83 billion, outperforming analysts’ average estimate of $7.06 billion, with adjusted earnings per share reaching $2.55, exceeding the anticipated $2.31.
The primary catalyst for this elevated forecast is the escalating global appetite for data centres, particularly those supporting vast amounts of AI-driven computing and complex tasks. “Our intelligent infrastructure segment remains a critical growth engine, benefiting from accelerating AI-driven demand,” stated Mike Dastoor, Jabil’s CEO. This segment alone saw a remarkable 51% year-over-year growth, contributing $3.4 billion in revenues.
To capitalize on this sustained growth, Jabil has announced plans to invest approximately $500 million in the United States over the next several years. This strategic investment is aimed at expanding its manufacturing footprint to better support cloud and AI data centre infrastructure customers, with a new facility expected to be operational by mid-2026. The company projects its AI-related revenue to hit approximately $8.5 billion this fiscal year, marking a more than 50% increase from the previous year.
The positive news resonated with investors, as Jabil’s shares rose about 5% in premarket trading following the announcement. The company’s performance highlights how the rapid adoption of AI technology across various industries is creating unprecedented demand for advanced computing infrastructure, positioning key players like Jabil to significantly benefit from this transformative trend.
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