•
Mar 31, 2022

Eaton Q1 2022 Earnings Report

Eaton had a record first quarter, with organic sales growth and adjusted earnings per share exceeding expectations, driven by robust demand and strong execution.

Key Takeaways

Eaton Corporation reported a record first quarter in 2022, with earnings per share at $1.33 and adjusted earnings per share at $1.62, a 13% increase over 2021. Sales reached $4.8 billion, reflecting 10% organic sales growth and contributions from acquisitions. The company raised its full-year 2022 organic sales and adjusted earnings per share guidance due to strong demand and backlog.

Earnings per share were $1.33, and adjusted earnings per share were $1.62, up 13% over 2021.

Organic sales grew by 10%, surpassing the high end of guidance.

Segment margins reached a record 18.8%, a 110-basis point improvement over the first quarter of 2021.

The company raised its full-year 2022 organic sales and adjusted earnings per share guidance.

Total Revenue
$4.84B
Previous year: $4.69B
+3.2%
EPS
$1.62
Previous year: $1.44
+12.5%
Segment margins
18.8%
Gross Profit
$1.57B
Previous year: $1.51B
+4.4%
Cash and Equivalents
$237M
Previous year: $354M
-33.1%
Free Cash Flow
-$73M
Previous year: $341M
-121.4%
Total Assets
$35.2B
Previous year: $34.1B
+3.3%

Eaton

Eaton

Eaton Revenue by Segment

Forward Guidance

The company is increasing its organic growth guidance from 7-9% to 9-11% and raising adjusted earnings per share to between $7.32 and $7.72 for the full year 2022. For the second quarter of 2022, the company anticipates organic growth of 9-11% and adjusted earnings per share to be between $1.78 and $1.88.

Positive Outlook

  • Increasing organic growth guidance from 7-9% to 9-11% for full year 2022
  • Raising adjusted earnings per share guidance to between $7.32 and $7.72 for full year 2022
  • Anticipating organic growth of 9-11% for the second quarter of 2022
  • Expecting adjusted earnings per share to be between $1.78 and $1.88 for the second quarter of 2022

Revenue & Expenses

Visualization of income flow from segment revenue to net income