Eaton

Eaton (ETN) Q1 2025 Earnings

Reported May 2, 2025 at 7:00 AM ET · SEC Source

Q1 25 EPS

$2.72

BEAT +0.55%

Est. $2.71

Q1 25 Revenue

$6.38B

BEAT +2.02%

Est. $6.25B

vs S&P Since Q1 25

+4.8%

BEATING MARKET

ETN +36.2% vs S&P +31.4%

Market Reaction

Did ETN Beat Earnings? Q1 2025 Results

Eaton Corporation kicked off 2025 on a strong note, posting first-quarter results that beat Wall Street expectations on both revenue and earnings, with accelerating organic growth as the clearest headline. The power management company reported adjust… Read more Eaton Corporation kicked off 2025 on a strong note, posting first-quarter results that beat Wall Street expectations on both revenue and earnings, with accelerating organic growth as the clearest headline. The power management company reported adjusted EPS of $2.72, edging past the $2.71 consensus estimate by 0.55%, while revenue of $6.38 billion topped forecasts by 2.02% and grew 7.3% year over year. The primary engine behind those figures was the Electrical Americas segment, which delivered $3.01 billion in sales on 13% organic growth and operating margins of 30.0%, reflecting sustained demand from data center and grid infrastructure customers. Free cash flow of $91 million trailed prior-year levels, as Eaton accelerated capital expenditures to expand capacity, a trade-off management appears willing to make given the demand backdrop. Looking ahead, the company raised its full-year 2025 organic growth outlook to 7.5%-9.5% and narrowed adjusted EPS guidance to $11.80-$12.20, representing approximately 11% growth at the midpoint, with tariff assumptions as of late April baked into those figures.

Key Takeaways

  • 9% organic sales growth, above high end of guidance
  • Electrical Americas organic growth of 13% driven by strong end-market demand
  • Aerospace organic growth of 13% with 16% backlog increase
  • First quarter record segment margins of 23.9%, up 80 basis points year-over-year
  • Book-to-bill ratio of 1.1 for combined Electrical and Aerospace on rolling 12-month basis
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ETN YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

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ETN Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26