Eaton Reports Record Third Quarter 2025 Results, with Accelerating Orders and Continued Backlog Growth

• Twelve-month rolling average order acceleration in Electrical Americas to up 7%, driven by data center momentum, with strong Aerospace order growth, up 11%
• Strong year-over-year backlog growth of 18% in Electrical sector and 15% in Aerospace segment
• Total book-to-bill ratio of 1.1 for both the Electrical sector and Aerospace segment on a rolling twelve-month basis
• Record segment margins of 25.0%, above the high end of guidance
• For full year 2025, earnings per share expected to be between $10.29 and $10.49, and adjusted earnings per share expected to be between $11.97 and $12.17​

DUBLIN – Intelligent power management company Eaton Corporation plc (NYSE:ETN) today announced that third quarter 2025 earnings per share were $2.59. Excluding charges of $0.11 per share related to acquisitions and divestitures, $0.26 per share related to intangible amortization, and $0.11 per share related to a multi-year restructuring program, adjusted earnings per share of $3.07 were a quarterly record.

Sales in the quarter were $7.0 billion, a third quarter record and up 10% from the third quarter of 2024. The sales increase consisted of 7% growth in organic sales and 3% growth from acquisitions.

Segment margins were 25.0%, a quarterly record and a 70-basis point improvement over the third quarter of 2024.

Operating cash flow was $1.4 billion and free cash flow was $1.2 billion, both third quarter records and up 3% and 4%, respectively, over the same period in 2024.

Paulo Ruiz, Eaton chief executive officer, said, “We continued to see strong demand in the quarter with order acceleration, as well as sustained growth in our backlog and positive book-to-bill ratio, driven primarily by our Electrical Americas and Aerospace businesses. While we continue to ramp-up significant capacity investment projects, we remain confident in our ability to deliver our commitments for the year and achieve our 2030 targets. Looking ahead, our strategy to lead, invest and execute for growth will continue to position us well to capitalize on the generational growth opportunities driven by digitalization and AI, reindustrialization, infrastructure spending and more.”

Guidance

For the full year 2025, the company anticipates:

• Organic growth of 8.5-9.5%
• Segment margins of 24.1-24.5%
• Earnings per share between $10.29 and $10.49
• Adjusted earnings per share between $11.97 and $12.17

For the fourth quarter of 2025, the company anticipates:

• Organic growth of 10-12%
• Segment margins of 24.2-24.6%
• Earnings per share between $2.75 and $2.95
• Adjusted earnings per share between $3.23 and $3.43

Business Segment Results

Sales for the Electrical Americas segment were a record $3.4 billion, up 15% from the third quarter of 2024. The sales increase consisted of 9% growth in organic sales and 6% growth from acquisitions. Operating profits were a record $1.0 billion, up 16% over the third quarter of 2024. Operating margins of 30.3% were a third quarter record, up 20 basis points over the third quarter of 2024.

The twelve-month rolling average of orders in the third quarter was up 7% organically. Backlog at the end of September remained strong and was up 20% over September 2024.

Sales for the Electrical Global segment were a third quarter record $1.7 billion, up 10% from the third quarter of 2024. Organic sales were up 8%, and positive currency translation added 2%. Operating profits were a third quarter record $330 million, up 12% over the third quarter of 2024. Operating margins in the quarter were 19.1%, up 40 basis points over the third quarter of 2024.

The twelve-month rolling average of orders in the third quarter was up 2% organically. Backlog at the end of September was up 7% over September 2024.

On a rolling twelve-month basis, the book-to-bill ratio for the Electrical businesses increased to 1.1.

Aerospace segment sales were a third quarter record $1.1 billion, up 14% from the third quarter of 2024. Organic sales were up 13%, and positive currency translation added 1%. Operating profits were a quarterly record $280 million, up 22% over the third quarter of 2024. Operating margins of 25.9% were a quarterly record, up 150 basis points over the third quarter of 2024.

The twelve-month rolling average of orders in the third quarter was up 11% organically. The backlog at the end of September was up 15% over September 2024. On a rolling twelve-month basis, the book-to-bill ratio for the Aerospace segment remained strong at 1.1.

The Vehicle segment posted sales of $639 million, down 8% from the third quarter of 2024. Organic sales declined 9%, which was partially offset by 1% from positive currency translation. Operating profits were $114 million and operating margins in the quarter were 17.8%.

eMobility segment sales were $136 million, down 19% from the third quarter of 2024. Organic sales declined 20%, which was partially offset by 1% from positive currency translation. The segment recorded an operating loss of $9 million.

Eaton is an intelligent power management company dedicated to protecting the environment and improving the quality of life for people everywhere. We make products for the data center, utility, industrial, commercial, machine building, residential, aerospace and mobility markets. We are guided by our commitment to do business right, to operate sustainably and to help our customers manage power ─ today and well into the future. By capitalizing on the global growth trends of electrification and digitalization, we’re helping to solve the world’s most urgent power management challenges and building a more sustainable society for people today and generations to come.  

Founded in 1911, Eaton has continuously evolved to meet the changing and expanding needs of our stakeholders. With revenues of nearly $25 billion in 2024, the company serves customers in more than 160 countries. For more information, visit www.eaton.com. Follow us on LinkedIn.

Notice of conference call: Eaton’s conference call to discuss its third quarter results is available to all interested parties today as a live audio webcast at 11 a.m. United States Eastern time via a link on Eaton’s home page. This news release can be accessed under its headline on the home page. Also available on the website before the call will be a presentation on third quarter results, which will be covered during the call.

This news release contains forward-looking statements concerning fourth quarter and full year 2025 earnings per share, adjusted earnings per share, organic growth and segment margins; anticipated capital deployment; as well as anticipated multi-year restructuring program charges and savings. These statements should be used with caution and are subject to various risks and uncertainties, many of which are outside the company’s control. The following factors could cause actual results to differ materially from those in the forward-looking statements: a global pandemic; geopolitical tensions or war, unanticipated changes in the markets for the company’s business segments; unanticipated downturns in business relationships with customers or their purchases from us; competitive pressures on sales and pricing; supply chain disruptions, unanticipated changes in the cost of material, labor, and other production costs, or unexpected costs that cannot be recouped in product pricing; the introduction of competing technologies; unexpected technical or marketing difficulties; unexpected claims, charges, litigation or dispute resolutions; strikes or other labor unrest at Eaton or at our customers or suppliers; natural disasters; the performance of recent acquisitions; unanticipated difficulties completing or integrating acquisitions; new laws and governmental regulations; interest rate changes; changes in tax laws or tax regulations; stock market and currency fluctuations; and unanticipated deterioration of economic and financial conditions in the United States and around the world. We do not assume any obligation to update these forward-looking statements.

Financial Results

The company’s comparative financial results for the three months ended September 30, 2025, are available here.

Contact:

Jennifer Tolhurst
Media Relations
+1 (440) 523-4006
jennifertolhurst@eaton.com

Yan Jin
Investor Relations
+1 (440) 523-7558