French industrial equipment maker Schneider Electric has raised its 2026 revenue and profit growth forecasts for the second time this year, driven by surging demand for data centre infrastructure amid the global artificial intelligence boom.
The company announced on Friday that it now expects adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) to grow by between 18 and 21 per cent organically in 2026, up from its previous forecast of 14 to 19 per cent.
Schneider Electric also raised its organic revenue growth target to between 12 and 14 per cent, compared with its earlier projection of 10 to 13 per cent.
The revised targets reflect strong demand for equipment used in data centres, as major cloud computing companies expand their infrastructure to support artificial intelligence services.
Chief Executive Officer Olivier Blum said data centres remained a major growth driver for the company, adding that demand in the segment recorded triple-digit growth during the third quarter.
The company, which is known for its circuit breakers and industrial electrical equipment, has become a major supplier to the expanding data centre industry, providing cooling systems, server racks and critical power distribution equipment.
Schneider Electric’s revenue rose to a record €11.46bn ($12.87bn) in the third quarter, surpassing analysts’ average forecast of €11.13bn, according to a company-provided consensus.
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Blum said demand remained healthy across all four of the company’s end markets, supporting another record backlog of orders at the end of the quarter.
The company attributed sustained demand for data centre power, cooling and automation equipment to continued strong spending by major US cloud computing companies, commonly known as hyperscalers.
However, China and East Asia led regional growth during the third quarter, with data centre operations serving as the primary driver.
According to Schneider Electric, growth in the region came from direct sales to major customers in the social media, technology and digital infrastructure sectors, as well as domestic and regional co-location providers that offer shared data centre facilities.
The latest forecast increase underscores Schneider Electric’s growing position in the AI infrastructure market, where rising computing demands are driving investment in power management, cooling and other essential data centre systems.
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Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
