https://assets.capyfin.com/instruments/678fdc13234e27009c5d5a81.png avatar
Eaton
🇮🇪 NYSE:ETN
View Company
OverviewEarningsDividends
•
Mar 31, 2024

Eaton Q1 2024 Earnings Report

Reported record first quarter earnings, driven by strong orders and backlog growth.

Key Takeaways

Eaton Corporation reported a strong first quarter in 2024, with record earnings per share and adjusted earnings per share, both up 28% over 2023. Sales reached a first quarter record of $5.9 billion, up 8% year-over-year, driven by organic sales growth. The company raised its full year 2024 guidance for organic sales, segment margin, earnings per share, and adjusted earnings per share.

Earnings per share of $2.04 and adjusted earnings per share of $2.40, both up 28% over 2023 and first quarter records.

Record segment margins of 23.1%, 340 basis points above the first quarter of 2023.

Organic sales growth of 8%, at the high end of guidance, and strong backlog growth of 27% in Electrical and 11% in Aerospace.

Raised full year 2024 organic sales, segment margin, earnings per share and adjusted earnings per share guidance.

Total Revenue
$5.94B
Previous year: $5.48B
+8.4%
EPS
$2.4
Previous year: $1.88
+27.7%
Segment margins
23.1%
Previous year: 19.7%
+17.3%
Gross Profit
$2.22B
Previous year: $1.88B
+17.7%
Cash and Equivalents
$473M
Previous year: $235M
+101.3%
Free Cash Flow
$292M
Previous year: $209M
+39.7%
Total Assets
$38.5B
Previous year: $35.5B
+8.5%

Eaton

Eaton

Eaton Revenue by Segment

Forward Guidance

For the full year 2024, the company is raising organic growth guidance from 6.5-8.5% to 7-9%, segment margin guidance from 22.4-22.8% to 22.8-23.2%, earnings per share guidance to between $8.95 and $9.35, and adjusted earnings per share guidance to between $10.20 and $10.60. For the second quarter of 2024, the company anticipates organic growth of 6.5-8.5%, segment margins of 22.4-22.8%, earnings per share between $2.19 and $2.29, and adjusted earnings per share between $2.52 and $2.62.

Positive Outlook

  • Raising organic growth guidance from 6.5-8.5% to 7-9%.
  • Raising segment margin guidance from 22.4-22.8% to 22.8-23.2%.
  • Raising earnings per share guidance to between $8.95 and $9.35.
  • Raising adjusted earnings per share guidance to between $10.20 and $10.60.
  • Anticipates organic growth of 6.5-8.5% for the second quarter of 2024.

Challenges Ahead

  • Second quarter of 2024, anticipates segment margins of 22.4-22.8%.
  • Second quarter of 2024, anticipates earnings per share between $2.19 and $2.29.
  • Second quarter of 2024, anticipates adjusted earnings per share between $2.52 and $2.62.
  • Unanticipated changes in the markets for the company’s business segments.
  • Unanticipated downturns in business relationships with customers or their purchases from us.

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

View Eaton