Dover Posts Strong Q4 Results and Upbeat 2026 Outlook on Surging AI Data Center Cooling Demand
January 29, 2026
Industrial products conglomerate Dover Corporation delivered a robust fourth-quarter performance, significantly driven by soaring demand for its specialized liquid-cooling solutions used in artificial intelligence (AI) data centers. The results underscore a critical industry shift: as AI workloads demand more powerful and densely packed servers, traditional air cooling is becoming inadequate, propelling a rapid transition toward more efficient liquid-based thermal management systems.
For the quarter ended December 2024, Dover reported adjusted earnings per share (EPS) of $2.51, a 14% increase year-over-year and slightly above analyst expectations of $2.50. Revenue climbed 9% to $2.1 billion, also surpassing the consensus forecast of $2.08 billion. The company highlighted that its Pumps & Process Solutions segment, which supplies advanced thermal connectors and cooling hardware, was a primary growth engine. This surge is directly linked to the accelerated AI infrastructure build-out by major hyperscale cloud providers, who are key customers for Dover's data center-focused industrial products.
Looking ahead, Dover provided an optimistic forecast for the full year 2026. The company anticipates adjusted EPS in the range of $10.45 to $10.65, supported by projected revenue growth of 5% to 7%. This guidance reflects management's confidence in the sustained, long-term demand for AI-related cooling infrastructure, a market poised for significant expansion as AI model complexity and data center power densities continue to escalate.
The strong quarterly results and forward-looking statements from Dover serve as a notable indicator for the broader data center hardware sector. They validate the substantial capital expenditure directed toward next-generation cooling technologies, which are now a fundamental bottleneck and enabler for the future of high-performance computing. The company's performance suggests that suppliers at the intersection of industrial engineering and digital infrastructure are well-positioned to benefit from this multi-year investment cycle.
Source: finimize
