Finance
Johnson Controls lifts 2026 profit forecast on AI-driven demand for cooling equipment
Published by Global Banking and Finance Review
Posted on February 4, 2026
2 min readLast updated: February 4, 2026
Home > Finance > Johnson Controls lifts 2026 profit forecast on AI-driven demand for cooling equipment
Quick Summary
Johnson Controls boosts 2026 profit forecast, driven by AI demand for cooling equipment, exceeding Wall Street expectations.
Johnson Controls Raises 2026 Profit Outlook Amid AI Cooling Demand
Johnson Controls' Profit Forecast and Market Impact
Feb 4 (Reuters) - Johnson Controls International forecast 2026 profit above Wall Street expectations on Wednesday, anticipating sustained demand for its thermal management and cooling equipment used in data centers.
AI's Role in Cooling Equipment Demand
U.S.-listed shares of the Cork, Ireland-based company rose 9.2% in premarket trading. They had gained 51.7% in 2025.
Financial Performance and Adjusted Profit
The industrial supplier, whose portfolio spans IT cooling, security, and fire systems, is gaining from the data-center expansion fueled by artificial intelligence companies, part of a broader upswing for industrial companies supplying the infrastructure behind the AI boom.
Industry Applications and Customer Base
With more AI computing coming online, demand for cooling infrastructure is climbing, and customers are prioritizing robust, energy-efficient thermal management.
"As rack densities rise and hardware content per rack increases, the thermal load moves higher, ultimately driving greater spending on cooling infrastructure," Jefferies analyst Stephen Volkmann wrote in a note.
Johnson Controls raised its full-year adjusted profit forecast to $4.70 per share from $4.55 per share, topping analysts' average estimate of $4.61 per share, according to data compiled by LSEG.
The company caters to companies in the aerospace manufacturing, healthcare and commercial construction industries. Its products include heating, ventilation and cooling (HVAC) systems, security, fire systems and refrigeration equipment.
The company's second-quarter adjusted profit forecast of $1.11 per share also came in above analysts' average estimates of $1.05 per share.
It reported adjusted profit of 89 cents per share for the quarter ended December 31, compared with 64 cents per share last year.
Revenue in the first quarter was $5.79 billion, above $5.43 billion a year earlier.
(Reporting by Abhinav Parmar and Aishwarya Jain in Bengaluru; Editing by Sahal Muhammed)
Key Takeaways
- •Johnson Controls raises 2026 profit forecast due to AI demand.
- •Shares rose 9.2% in premarket trading.
- •Company benefits from data-center expansion.
- •Increased demand for energy-efficient cooling solutions.
- •Revenue and profit forecasts exceed analyst expectations.
Frequently Asked Questions about Johnson Controls lifts 2026 profit forecast on AI-driven demand for cooling equipment
1What is thermal management?
Thermal management refers to the process of controlling the temperature of a system or device to ensure optimal performance and prevent overheating.
2What is AI-driven demand?
AI-driven demand refers to the increased need for products or services that are influenced by advancements in artificial intelligence technology, often leading to new market opportunities.
3What are adjusted profits?
Adjusted profits are earnings figures that have been modified to exclude certain one-time expenses or income, providing a clearer view of a company's ongoing profitability.
4What is HVAC?
HVAC stands for Heating, Ventilation, and Air Conditioning, a technology used for indoor environmental comfort and air quality control.
