SPX Technologies Q1 2026: The Data Center Engine Keeps Purring as Guidance Gets a Lift

Executive snapshot

SPX Technologies, Inc. reported first-quarter results for 2026 that align with a company betting on continued market demand and operational leverage. Revenue rose 17.4% year over year to $566.8 million, with about 7.4% of that growth coming from organic improvements. GAAP income from continuing operations came in at $64.4 million, up roughly 24.6%, yielding GAAP earnings per share of $1.27. On a non-GAAP basis, Adjusted EPS reached $1.69, up about 22.5%, while Adjusted EBITDA climbed to $126.1 million, up 22.9% year over year.

First Quarter Highlights

• Revenue of $566.8 million, up 17.4% year over year; organic growth contributed 7.4% of the increase.
• GAAP income from continuing operations of $64.4 million; GAAP EPS of $1.27.
• Adjusted EPS of $1.69 and Adjusted EBITDA of $126.1 million; each metric up more than 21% from the prior-year period.
• The company notes the press release is focused on continuing operations; comparisons are against the first quarter of 2025 unless noted otherwise.

Guidance and Outlook

SPX raised its full-year projections, signaling confidence in the trajectory from the March quarter. The revenue forecast for 2026 now sits in a range of $2.575 to $2.645 billion, representing roughly a 15% year-on-year increase at the midpoint (up from the prior range of $2.535 to $2.605 billion). The company also lifted its Adjusted EBITDA guidance to a range of $600 to $625 million, about a 21% improvement at the midpoint versus the prior outlook. Adjusted EPS guidance was raised to a range of $7.75 to $8.15, reflecting roughly an 18% year-over-year increase at the midpoint.

In short, the company’s current-year plan hinges on continued demand in its key end markets, with a particular note on data center solutions and capacity investments that should support ongoing revenue growth and margin expansion.

Management Commentary

Gene Lowe, SPX’s President and CEO, framed the quarter as a solid start to the year that was augmented by growth in both continuing operations and Adjusted EBITDA. He highlighted healthy demand across core end markets and the contribution from recent acquisitions. On the guidance revision, he stated the upgrade reflects the strength of the first-quarter performance and the outlook for the remainder of the year. Mr. Lowe also pointed to ongoing investments in production capacity expansions as a driver of sustained long-term growth, including support for rising demand in data center solutions. He noted the company’s resilience in navigating a changing tariff environment and expressed confidence in continued value creation through acquisitions and a robust pipeline.

What this could mean for SPXC and sector peers

The Q1 results reinforce SPX’s narrative of growth through a mix of organic expansion and strategic acquisitions. The strong revenue and EBITDA trajectory, paired with a raised full-year forecast, suggests the firm is leveraging its capital investments to push operating leverage. For investors, the sequence of higher EPS (GAAP and Adjusted) and a broader margin uplift increases the odds of a continued multiple re-rating, provided the optionality from the acquisitions and capex remains on track.

For sector peers, the message is twofold. First, demand signals in data-center-related solutions appear healthy enough to sustain above-market growth, which could lift peers with similar end-market exposure. Second, the emphasis on capacity expansion hints at a broader industry theme: if capex cycles and integration of acquisitions prove productive, revenue forecasts across the sector may rise and earnings surprises—if they occur—could be more a reflection of execution than a sudden market windfall.

Risks to watch include variability in customer demand across end markets, potential tariff and geopolitical headwinds, and the pace of integration for recent acquisitions. The balance sheet and cash-flow discipline will also matter as SPX continues to fund capacity upgrades and pursue M&A opportunities that could alter the revenue mix and EBITDA profile over the medium term.

Bottom-line take

SPX’s Q1 results and raised 2026 guidance present a coherent story: demand remains supportive, the company is investing to capture the growth runway, and earnings quality is improving. The numbers—EPS, Adjusted EPS, and EBITDA—reflect a business moving beyond a single-quadrant rebound toward a steadier growth cadence. For the stock to sustain momentum, investors will want to see continued execution on capacity expansions, a favorable tariff environment, and a constructive cadence of acquisitions that meaningfully broadens the margin profile and revenue visibility. In the near term, the combination of a clear revenue forecast and a disciplined approach to capital allocation should keep SPXC on investors’ radar as a benchmark for how to translate growth into cash flow and, eventually, into a higher implied multiple on the equity side.