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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.
Eaton
Eaton
Eaton Revenue by Segment
Revenue by Segment
Electrical Americas Revenue
CapyFin.comElectrical Global Revenue
CapyFin.comAerospace Revenue
CapyFin.comVehicle Revenue
CapyFin.comeMobility Revenue
CapyFin.com 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