Jabil Inc’s AI Ambitions—Is An $8.5 Billion Bet On Data Centers The Ultimate Power Move?

Jabil Inc. presented a strong performance in its third quarter of fiscal year 2025, surpassing expectations in multiple financial metrics. The company reported net revenue of $7.8 billion, marking a 16% increase year-over-year and exceeding earlier guidance by $800 million. This boost was primarily attributed to the Intelligent Infrastructure sector, particularly in AI-related revenue, supporting robust demand in cloud and data center infrastructure markets. Core operating income reached $420 million, leading to core operating margins of 5.4%, up 20 basis points year-over-year. The core diluted earnings per share improved significantly, rising 35% year-over-year to $2.55.