Eaton Corp. Q2 Profit Decreases, But Beats Estimates; Raises FY22 Outlook - Update

(RTTNews) - (adds outlook)

Eaton Corp. (ETN) released earnings for its second quarter that increased from the same period last year but beat the Street estimates.

The company's earnings totaled $601 million, or $1.51 per share. This compares with $506M, or $1.27 per share, in last year's second quarter.

Excluding items, Eaton Corp. reported adjusted earnings of $751 million or $1.87 per share for the period.

Analysts on average had expected the company to earn $1.82 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

The company's revenue for the quarter fell 0.2% to $5.21 billion from $5.22 billion last year.

Outlook

Eaton provided adjusted earnings and organic growth guidance for the third quarter and raised its outlook for the full-year 2022.

For the third quarter of 2022, the company anticipates organic growth of 13-15% and adjusted earnings per share of between $1.95 and $2.05.

For the full year 2022, the company now expects organic growth guidance from to 11% to 13% from previously expected 9% to 11%. The company also raised adjusted earnings per share to between $7.36 and $7.76 from previously expected range $7.32 and $7.72 per share .

Analysts expect earnings of $1.99 per share for the third quarter, and $7.49 per share for the year.

Eaton Corp. earnings at a glance (GAAP) :

-Earnings (Q2): $601 Mln. vs. $506M. last year. -EPS (Q2): $1.51 vs. $1.27 last year. -Analyst Estimate: $1.82 -Revenue (Q2): $5.21 Bln vs. $5.22 Bln last year.

-Guidance: Next quarter EPS guidance: $1.95 - $2.05 Full year EPS guidance: $7.36 - $7.76