Eaton Corporation plc (NYSE:ETN) Q3 2024 Earnings Conference Call October 31, 2024 11:00 AM ET Company Participants Yan Jin - IR Craig Arnold - Chairman & CEO Olivier Leonetti - EVP & CFO Conference Call Participants Andrew Obin - Bank of America Nigel Coe - Wolfe Research Jeffrey Sprague - Vertical Research Partners Chris Snyder - Morgan Stanley Steve Tusa - JPMorgan Jack Pilleteri - Barclays Scott Davis - Melius Research Joe Ritchie - Goldman Sachs Tim Thein - Raymond James Nicole DeBlase - Deutsche Bank ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to ______ Commission file number 000-54863 EATON CORPORATION plc (Exact name of registrant as specified in its charter) | --- | --- | --- | | ...

Eaton Corporation (ETN) reported third-quarter 2024 earnings of $2.84 per share, which surpassed the Zacks Consensus Estimate by 1.4%. The bottom line increased nearly 15% year over year and came ahead of the guidance of $2.73-$2.83. This improvement can be attributed to increased project activity tied to a multi-year restructuring program and the contribution of acquired assets.GAAP earnings for the reported quarter were $2.53 per share, up 14% from $2.22 in the year-ago quarter. The difference between GAA ...

Eaton (ETN) reported $6.35 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 7.9%. EPS of $2.84 for the same period compares to $2.47 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $6.37 billion, representing a surprise of -0.35%. The company delivered an EPS surprise of +1.43%, with the consensus EPS estimate being $2.80.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how th ...

Eaton (ETN) came out with quarterly earnings of $2.84 per share, beating the Zacks Consensus Estimate of $2.80 per share. This compares to earnings of $2.47 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.43%. A quarter ago, it was expected that this power management company would post earnings of $2.61 per share when it actually produced earnings of $2.73, delivering a surprise of 4.60%.Over the last four quarters, the comp ...

Financial Performance - Third quarter earnings per share were $2.53, up 14% from Q3 2023, with record adjusted earnings per share of $2.84, up 15%[1] - Sales for the quarter reached $6.3 billion, an 8% increase from Q3 2023, driven entirely by organic sales growth[2] - Operating cash flow was $1.3 billion and free cash flow was $1.1 billion, both quarterly records, up 15% and 23% respectively from the same period in 2023[3] - The company raised full year 2024 earnings per share guidance to between $9.47 and $9.53, representing an 18% increase at the midpoint over the prior year[4] - Total net sales for the three months ended September 30, 2024, were $6,345 million, a 7.9% increase from $5,880 million in the same period last year[20] - Net income attributable to Eaton ordinary shareholders for the three months ended September 30, 2024, was $1,009 million, up 13.3% from $891 million in the prior year[20] - Free cash flow for the three months ended September 30, 2024, was $1,126 million, compared to $913 million in the same period last year[28] - Adjusted earnings per ordinary share for the year ending December 31, 2024, are projected to be between $10.75 and $10.81[26] Segment Performance - Electrical Americas segment sales were a record $3.0 billion, up 14% from Q3 2023, with operating profits of $892 million, up 24%[5] - Aerospace segment sales reached a record $946 million, up 9% from Q3 2023, with operating profits of $230 million, up 10%[8] - The Electrical Americas segment reported net sales of $2,963 million, a 14.2% increase compared to $2,594 million in the same quarter last year[20] - The Aerospace segment achieved an operating profit of $230 million, reflecting a 10.1% increase from $209 million in the same period last year[20] - The Electrical Global segment reported net sales of $1,573 million, a 4.6% increase from $1,503 million in the same quarter last year[20] - The Vehicle segment reported sales of $696 million, down 7% from Q3 2023, but operating margins improved to a record 19.4%, up 200 basis points[10] - The eMobility segment recorded sales of $167 million, up 2% from Q3 2023, but incurred an operating loss of $7 million due to launch costs[11] Orders and Backlog - The twelve-month rolling average of orders in the third quarter was up 16% organically, with backlog growth of 26% over September 2023[6] - For Q4 2024, the company anticipates organic growth of 6-7% and adjusted earnings per share between $2.78 and $2.84[5] Restructuring and Charges - Eaton incurred total restructuring charges of $382 million since the inception of its multi-year restructuring program, with expected mature year benefits of $265 million by the end of 2024[33] - In Q3 2024, Eaton reported restructuring charges of $54 million, with total charges for the first nine months of 2024 amounting to $132 million[34] - The new multi-year restructuring program is expected to incur additional expenses of $243 million, resulting in total estimated charges of $375 million for the entire program, with anticipated mature year benefits of $325 million[33] - The company recognized a total of $199 million in expenses for workforce reductions and $184 million for plant closing and other costs since the start of the restructuring program[33] - The restructuring program is expected to be completed by 2026, aligning the company's functions to support anticipated growth[33] - Total charges related to workforce reductions in Q3 2024 were $10 million, with total charges for the first nine months of 2024 amounting to $78 million[34] - The company reported a diluted per ordinary share charge of $0.11 for restructuring in Q3 2024, compared to $0.01 in Q3 2023[34] Assets and Liabilities - Eaton's total assets increased to $39,236 million as of September 30, 2024, up from $38,432 million at the end of December 2023[22] - The company’s long-term debt increased to $8,678 million as of September 30, 2024, compared to $8,244 million at the end of December 2023[22] Acquisitions - The company acquired a 49% stake in NordicEPOD AS on May 31, 2024, enhancing its position in the data center power solutions market[29] - Acquisition integration and divestiture charges in 2024 included a reduction in fair value of contingent future consideration from the Green Motion SA acquisition[32] - Total charges after income taxes for acquisition integration and divestiture were $14 million in Q3 2024, compared to $54 million in Q3 2023[32]

Eaton Corporation (ETN) is expected to report an improvement in its top and bottom lines when it reports third-quarter 2024 results on Oct. 31, before market open.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.The Zacks Consensus Estimate for ETN’s third-quarter revenues is pegged at $6.37 billion, indicating an 8.3% increase from the year-ago reported figure.The consensus estimate for earnings is pegged at $2.8 per share. The Zacks Consensus Estimate for ETN’s third-quarter earnin ...

The upcoming report from Eaton (ETN) is expected to reveal quarterly earnings of $2.80 per share, indicating an increase of 13.4% compared to the year-ago period. Analysts forecast revenues of $6.37 billion, representing an increase of 8.3% year over year. The current level reflects an upward revision of 0.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period. Prio ...

Eaton (ETN) closed the latest trading day at $344.49, indicating a -0.23% change from the previous session's end. The stock trailed the S&P 500, which registered a daily loss of 0.03%. Meanwhile, the Dow lost 0.61%, and the Nasdaq, a tech-heavy index, added 0.56%.The power management company's stock has climbed by 3.68% in the past month, exceeding the Industrial Products sector's loss of 2.91% and the S&P 500's gain of 1.39%.Analysts and investors alike will be keeping a close eye on the performance of Eat ...

The most recent trading session ended with Eaton (ETN) standing at $345.29, reflecting a +0.1% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.22% gain on the day. At the same time, the Dow lost 0.33%, and the tech-heavy Nasdaq gained 0.76%.The power management company's shares have seen an increase of 4.99% over the last month, surpassing the Industrial Products sector's loss of 1.98% and the S&P 500's gain of 1.47%.Investors will be eagerly watching for the performance o ...