Cardinal Infrastructure posts Q2 revenue beat, lifts full-year forecast

Cardinal Infrastructure Inc. reported second-quarter revenue of $1.2 billion, exceeding analyst expectations and prompting an upward revision to its full-year guidance.

The company, which designs and builds critical infrastructure for data centers and energy systems, posted adjusted earnings per share of $1.85, above the $1.62 consensus estimate compiled by Refinitiv. Revenue grew 12% year-over-year, driven by strong demand for hyperscale data-center projects and renewable energy installations.

Cardinal Infrastructure raised its 2024 revenue guidance to a range of $4.8 billion to $5.0 billion, up from its prior forecast of $4.5 billion to $4.7 billion. The company also increased its adjusted EPS outlook to $7.20–$7.50 from $6.80–$7.10, citing accelerating project pipelines and improved pricing power.

Chief Executive Officer Mark Reynolds attributed the outperformance to "robust secular tailwinds" in digital infrastructure and energy transition spending. "We are seeing sustained demand across both segments, with particular strength in high-voltage power delivery and modular data-center solutions," Reynolds said in a statement.

Analysts at JPMorgan maintained their Overweight rating on Cardinal Infrastructure, citing the raised guidance as evidence of resilient end-market demand. The stock was up 3.2% in pre-market trading following the results.

Cardinal Infrastructure’s backlog totaled $11.3 billion at quarter-end, up 15% from the prior year, signaling continued growth into 2025.