Advanced Energy Industries' stock surged 6.34% intraday following the release of its fourth-quarter 2025 financial results, which significantly exceeded analyst expectations.
The precision power solutions company reported adjusted earnings per share of $1.94 for the quarter, beating the consensus estimate of $1.76. Revenue came in at $489.4 million, also topping the expected $473.9 million. The strong performance was primarily driven by increased demand in the semiconductor market, with the company's Data Center Computing segment revenue growing 107% to a record level in 2025.
Looking ahead, Advanced Energy issued optimistic guidance for the first quarter of 2026, forecasting revenue between $480 million and $520 million and adjusted EPS between $1.69 and $2.19. The company's full-year 2025 revenue grew 21%, with management attributing improved gross and operating margins to its successful diversification strategy and operational initiatives.