Eaton Corporation PLC reported fourth-quarter 2025 revenue of $4.8 billion, surpassing analyst expectations by 3.2%, driven by robust performance in electrical infrastructure and automotive segments. The company also announced a 12% increase in adjusted earnings per share.
- Q4 2025 revenue: $4.8 billion, up 6.1% YoY
- Adjusted EPS: $2.18, a 12% year-over-year increase
- Electrical segment revenue: $2.9 billion, +7.5% YoY
- Aerospace segment revenue: $1.1 billion, +5.3% YoY
- Automotive segment revenue: $800 million, +3.8% YoY
- New $1.2 billion share repurchase program announced
Eaton Corporation PLC delivered a strong finish to 2025, reporting fourth-quarter revenue of $4.8 billion, a 6.1% year-over-year increase and exceeding consensus estimates by $140 million. The results reflect sustained demand across industrial automation, power management, and electric vehicle (EV) components, particularly in North America and Europe. Adjusted earnings per share reached $2.18, up 12% from the prior-year quarter, supported by cost optimization initiatives and favorable product mix. The company’s Electrical segment contributed $2.9 billion in revenue, driven by high demand for smart grid solutions and industrial power distribution equipment. This segment grew 7.5% YoY, outpacing the overall company growth rate. Meanwhile, the Aerospace division saw a 5.3% revenue increase to $1.1 billion, bolstered by ongoing aircraft production ramp-ups and aftermarket service orders. The Automotive segment, though impacted by global supply chain adjustments, posted a 3.8% revenue gain, reaching $800 million, with EV power electronics leading the growth. Eaton also announced a $1.2 billion share repurchase program, signaling confidence in its long-term cash generation capacity. The company maintained its full-year 2026 revenue guidance between $19.3 billion and $19.8 billion, with operating margin expectations in the range of 18.5% to 19.0%. Capital expenditures for 2026 are projected at approximately $650 million, focused on expanding manufacturing capacity in renewable energy and smart infrastructure. The stock responded positively, with a 2.4% gain in after-hours trading. Investors appear encouraged by Eaton’s resilience amid macroeconomic uncertainty, particularly in industrial capex cycles. The company’s diversified exposure across utilities, transportation, and commercial infrastructure continues to provide stable growth momentum.