Jacobs Solutions Shares Fall After Earnings Despite Revenue Beat and AI Infrastructure Growth

Jacobs Solutions shares fell 13.8% to $117.71 from $136.55 before its earnings report, even after the company posted a stronger-than-expected top-line result and backlog growth. Management said revenue was driven by demand in data centers, advanced manufacturing and critical infrastructure. CEO Robert Pragada said AI infrastructure spending is driving business, with data center revenue rising more than 100% year over year. The company also cited the PA Consulting acquisition as a positive contributor. However, management flagged higher transaction costs and a wider gap between GAAP and non-GAAP earnings, which weighed on investor reaction. Analysts are expected to focus on AI project execution, PA Consulting synergies and margin improvement from global delivery and digital initiatives in coming quarters.