Keysight forecasts quarterly profit above estimates on strong data center-led demand

Feb 23 (Reuters) - Electronic ‌equipment maker ​Keysight ​Technologies forecast second-quarter profit ahead of Wall Street estimates on Monday, sending its shares ‌up more than 15% in after-market trading.

Keysight, ⁠which offers electronic design, testing and simulation software, has benefited ‌from sustained demand from ‌data centers as they expand to support AI workloads.

The Santa Rosa, California-based company expects second-quarter revenue ​in the range of $1.69 billion to $1.71 billion, ahead of analysts' average estimate of $1.51 billion, ⁠according to data compiled by LSEG.

Adjusted earnings per share for the quarter ​are forecast at $2.27 to $2.33, compared with estimates of $1.91 per share.

However, the company said its ​outlook doesn't include any potential ‌impact from the U.S. Supreme Court ruling that struck down President Donald ⁠Trump's IEEPA-based tariffs on February 20, or subsequent actions by the U.S. administration.

Keysight also beat Wall Street revenue ⁠and profit estimates for the first quarter ended January 31, ​helped by strong performance in its communications solutions unit.

The unit's revenue rose 27% to $1.12 billion in the quarter, driven ‌by continued investments in AI-focused data center infrastructure, non-terrestrial network applications and defense ‌modernization.

The company reported quarterly revenue of $1.6 billion, above ⁠estimates of $1.54 billion.

First-quarter adjusted ‌profit per share ​came in at $2.17, beating estimates of $2 per share.

(Reporting by Parth Chandna; Editing by Jonathan ‌Ananda)

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