ABM Industries Sees $1.5 Billion Pipeline in Data Centers and Microgrids Amid Office Pressure

Resumen detallado

ABM Industries (NYSE:ABM) is expanding its exposure to semiconductor facilities, data centers and microgrids as the facility services company faces pricing pressure in parts of…

ABM Industries (NYSE:ABM) is expanding its exposure to semiconductor facilities, data centers and microgrids as the facility services company faces pricing pressure in parts of its commercial real estate business.

Chief Financial Officer David Orr said at Baird's Global Industrial Conference that the three growth areas account for about 11% of ABM's sales, up from roughly 7% last year. Collectively, they have grown at a very high double-digit rate this year, helped by both organic growth and the acquisition of semiconductor services provider WGNSTAR, he said.

Orr described ABM as a $9 billion company with services spanning janitorial work, parking, building engineering and technical services across commercial properties, airports, manufacturing facilities and schools.

Microgrid and semiconductor services have each grown organically at more than 20%, while data center services have grown at about 10%, Orr said. He added that the data center rate could increase as the company's pipeline expands.

Vice President of Investor Relations Paul Goldberg said ABM has a qualified pipeline of about $1.5 billion across microgrids and data centers. The company hopes to convert those opportunities into contracts and revenue, he said.

Orr said most current microgrid and data center revenue comes from five to seven major clients, while the pipeline spans 25 new clients. Converting those opportunities could broaden the customer base and reduce concentration risk, he said.

ABM's data center work includes specialized cleaning and uninterruptible power systems through its Quality Uptime Services business. Its RavenVolt business provides microgrid equipment and services, including battery storage and backup power.

Orr also discussed a joint venture's first task order under an Army Corps of Engineers program, announced in September. The roughly $20 million project involves battery storage and generator work at a New Mexico base and is expected to generate revenue in fiscal 2027.

Orr said…

Inicio del artículo, extracto de Yahoo Finance. Para leer el resto, abra el artículo en el sitio del medio.