On February 25, electronic equipment manufacturer Keysight Technologies announced that it anticipates its second-quarter profits to exceed analysts' projections, following a strong quarterly performance.
The company attributes the robust demand for AI-related technology to the increasing data center needs over the past year.
CEO Satish Dhanasekaran expressed that "The demand environment remains consistent with our view of a gradual recovery in 2025."
Keysight specializes in electronic design, testing, and software products like oscilloscopes and network emulators utilized in radar, satellites, space programs, and both commercial and military aircraft.
The company forecasts earnings for the second quarter of fiscal 2025 to fall between $1.61 to $1.67 per share, higher than analysts' average forecast of $1.59 per share according to data from LSEG.
Moreover, Keysight caters to diverse markets including automotive, energy, semiconductor, and general electronics.
In December, the company warned that U.S. tariffs on imports from China could have a business impact.
On an adjusted basis, the California-based corporation reported earnings of $1.82 per share in the first quarter, surpassing the estimated $1.69 per share.
Quarterly revenue totaled $1.3 billion, slightly above the estimated $1.28 billion from analysts.