Earnings Summary: A snapshot of Eaton’s Q3 2025 financial results

Power management company Eaton Corp. (NYSE: ETN) on Tuesday reported financial results for the third quarter of fiscal 2025. The company also provided guidance for the fourth quarter and fiscal 2025.

• Sales in the quarter rose 10% from last year to a record high of $7.0 billion; there was a 7% organic growth and a 3% growth from acquisitions
• Q3 net income was $1.01 billion or $2.59 per share, vs. $1.0 billion or $2.53 per share last year; adjusted EPS was $3.07
• Segment margins improved by 70 basis points from the prior-year quarter to 25.0% in the September quarter
• Operating cash flow was $1.4 billion, and free cash flow came in at $1.2 billion, up 3% and 4% YoY, respectively
• For the fourth quarter of fiscal 2025, the management forecasts organic growth of 10-12%, and segment margins of 24.2-24.6%
• Q4 earnings per share are expected to be between $2.75 and $2.95, while adjusted EPS is expected to be in the $3.23-$3.43 range
• For fiscal 2025, Eaton forecasts organic growth of 8.5-9.5%, and segment margins of 24.1-24.5%
• It is looking for full-year earnings in the range of $10.29 per share to $10.49 per share; the guidance for adjusted EPS is $11.97-$12.17