
Eaton Achieves Record First Quarter 2025 Performance, Raises Full-Year Growth Guidance Amid Strong Market Demand
Eaton Corporation plc (NYSE: ETN), a global leader in intelligent power management, has reported its best-ever first quarter results for the three-month period ending March 31, 2025. With strong momentum across key business segments, the company delivered record earnings and sales, signaling accelerating demand and strategic resilience amid macroeconomic uncertainty.
The company posted earnings per share (EPS) of $2.45 in Q1 2025—marking a 20% increase from the same period in 2024 and establishing a new record for first quarter performance. After accounting for special items including $0.21 per share in intangible amortization charges, $0.04 per share in restructuring costs, and $0.02 per share in acquisition and divestiture-related costs, Eaton’s adjusted EPS came in at $2.72. This figure also represented a first quarter record and reflected a 13% year-over-year increase.
Quarterly net sales reached $6.4 billion, the highest in Eaton’s history for a first quarter, representing a 7% rise compared to Q1 2024. Organic sales growth contributed 9%, though this was partially offset by a 2% decline due to unfavorable currency translation.
Segment operating margins climbed to 23.9%, another first quarter high, representing an 80 basis point improvement year-over-year. Operating cash flow for the quarter stood at $238 million, with free cash flow totaling $91 million.
“Our strong first-quarter performance underscores the strength of our portfolio and our ability to execute,” said Paulo Ruiz, President and Chief Operating Officer of Eaton. “Demand across our end markets continues to grow, and we are responding with strategic investments, operational excellence, and consistent execution. Despite broader macroeconomic uncertainty, we are well-positioned to meet rising demand and continue delivering value.”
Revised Full-Year Guidance for 2025
Given its strong first-quarter results, Eaton has raised its full-year 2025 guidance. The company now anticipates:

- Organic revenue growth of 7.5% to 9.5%
- Segment operating margins between 24.0% and 24.4%
- GAAP EPS in the range of $10.29 to $10.69 (up 10% year-over-year at the midpoint)
- Adjusted EPS of $11.80 to $12.20 (up 11% year-over-year at the midpoint)
For Q2 2025 specifically, Eaton expects:
- Organic sales growth of 6% to 8%
- Segment margins of 23.5% to 23.9%
- GAAP EPS of $2.35 to $2.45
- Adjusted EPS of $2.85 to $2.95
Segment-Level Performance Overview
Electrical Americas
The Electrical Americas division posted record sales of $3.0 billion, up 12% from Q1 2024. Organic growth was 13%, partially offset by a 1% hit from negative currency impacts. Operating profits for the segment rose 15% to $904 million, setting a new first quarter record. Segment margins improved by 80 basis points to 30.0%, also a new first quarter benchmark.
Order activity was solid despite a 4% organic decline in the twelve-month rolling average. However, when excluding a significant multi-year data center order from Q1 2024, the rolling average improved by 4%. Backlog remains strong, increasing 6% organically over the prior year.
Electrical Global
Sales in the Electrical Global segment reached a record $1.6 billion, a 7% increase compared to Q1 2024. Organic sales grew 9%, counterbalanced by a 2% decline due to currency exchange rates. Operating profits increased 9% year-over-year to $300 million, marking another first quarter record. Operating margins improved 30 basis points to 18.6%.
The twelve-month rolling order average held flat organically, while backlog rose 5% organically year-over-year. The book-to-bill ratio remained above 1.0, indicating robust demand.
Aerospace
The Aerospace segment recorded first-quarter sales of $979 million, up 12% from Q1 2024. Organic sales climbed 13%, offset slightly by a 1% decline due to currency effects. Operating profits reached a first quarter record of $226 million, a 12% increase from the previous year. Operating margins rose to 23.1%, another record for the segment.
Orders remained strong with a 14% organic increase in the twelve-month rolling average. The segment’s backlog increased 16% organically over March 2024. The book-to-bill ratio for the Aerospace business stayed solid at 1.1, indicating a healthy demand pipeline.
Vehicle
Sales in the Vehicle segment declined 15% year-over-year to $617 million. Organic sales were down 11%, and foreign currency impacts added a 4% drag. Operating profit stood at $96 million, with operating margins of 15.5%. This segment continues to face headwinds from global vehicle market trends, but maintains profitability through cost controls and operational efficiencies.
eMobility
The eMobility segment reported first quarter sales of $162 million, a 2% increase over Q1 2024. Organic growth was 3%, offset by a 1% foreign exchange impact. Despite higher sales, the segment posted an operating loss of $4 million, attributed to launch costs tied to new programs expected to ramp up in subsequent quarters. Eaton remains optimistic about the long-term growth potential of this segment as electrification trends accelerate globally.
Strategic Positioning and Sustainability Commitment
As a leader in intelligent power management, Eaton remains focused on its mission to enhance quality of life and protect the environment. The company supplies critical components and systems for data centers, utilities, industrial operations, commercial infrastructure, machine building, residential energy management, aerospace applications, and transportation systems.
Guided by the global megatrends of electrification and digitalization, Eaton is positioning itself as a cornerstone of sustainable infrastructure. The company’s approach combines robust R&D, targeted capital investment, and a commitment to responsible governance and environmental stewardship.
“Our focus is on building a smarter, more efficient, and more resilient energy future,” said Ruiz. “By aligning our business with the global shift toward clean energy and digital integration, we’re not just creating value—we’re creating impact.”
A Legacy of Innovation and Global Reach
Founded in 1911, Eaton has continuously evolved to meet the dynamic needs of a global marketplace. With operations in more than 160 countries and 2024 revenues approaching $25 billion, the company has grown into a diversified industrial powerhouse.
As Eaton adapts to the challenges of a fast-changing energy landscape, its long-term strategy emphasizes innovation, digital transformation, and operational agility. The company’s strong financial foundation enables continued investment in high-growth areas, including grid modernization, electrified mobility, and aerospace systems.
Conference Call and Additional Resources
Eaton is hosting a live audio webcast to discuss its Q1 2025 results today at 11 a.m. U.S. Eastern Time. The webcast, along with a presentation covering the quarterly results, can be accessed through Eaton’s homepage (www.eaton.com).
Forward-Looking Statements
This press release includes forward-looking statements related to Eaton’s expected performance in the second quarter and full year 2025, including estimates for earnings, adjusted earnings, organic sales growth, segment margins, and the impact of ongoing restructuring initiatives. These statements are subject to a range of risks and uncertainties that may cause actual outcomes to differ significantly.
Factors that could impact actual results include global economic volatility, geopolitical tensions, supply chain disruptions, fluctuating material and labor costs, changes in regulatory frameworks, evolving tax laws, and other external variables. Additionally, tariff structures—such as Section 301 and Section 232 tariffs, IEEPA duties, and reciprocal tariffs—could shift depending on international trade policies.
Eaton’s guidance reflects tariff conditions as of April 28, 2025, including the assumption that the current 90-day pause on reciprocal tariffs will remain in effect through year-end. Tariff rates currently considered include: Chapter 1-97 tariffs, Section 301, IEEPA (20% on China; 25% on Mexico and Canada; 0% USMCA), Section 232 (25% on steel and aluminum), and reciprocal tariffs (125% on China; 10% for rest of world, with some exceptions).
Eaton assumes no obligation to update these forward-looking statements and advises stakeholders to consult its quarterly filings and investor resources for ongoing updates.
About Eaton
Eaton is an intelligent power management company dedicated to improving the quality of life and protecting the environment for people everywhere. With a focus on electrification, digitalization, and sustainability, Eaton is at the forefront of helping customers manage power safely, efficiently, and reliably. For more information, visit www.eaton.com and follow Eaton on LinkedIn.