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Eaton (ETN) FY2025 results: revenue $27.4 billion, up 10.3% on the year

Eaton Corp. plc (ETN) reported revenue of $27.4 billion for fiscal 2025, the year ended 31 December 2025, up 10.3% on the year before. Net income was $4.1 billion, up 7.7%, and diluted earnings per share $10.45. The figures are the company's own, from the 10-K it filed with the SEC on 26 February 2026.

Revenue
$27.4 billion
+10.3% on the year
FY2018FY2025
Operating margin
n/a
FY2018FY2025
Net income
$4.1 billion
+7.7% on the year
FY2018FY2025
Diluted EPS
$10.45
+10.0% on the year
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 2 lowered, 11 new, 2 kept.

  • Fourth quarter sales rose 13%: Sales of $7.1 billion came from 9% organic growth, 2% from acquisitions and 2% from foreign exchange.
  • Full-year adjusted EPS record: Full-year 2025 diluted EPS was $10.45, up 10%; adjusted EPS was $12.07, up 12%.
  • Electrical Americas sales up 21%: Sales of $3.5 billion: 15% organic growth, 5% from acquisitions, 1% from foreign exchange. Operating profit was $1.0 billion, up 14%, with a 29.8% margin.
  • Electrical Americas orders and backlog growth: Twelve-month rolling orders rose 16% organically, driven by data center demand. Backlog at December 31 was up 31% over December 2024.
  • Boyd Thermal acquisition pending: Eaton agreed to pay $9.5 billion for Boyd Thermal, a U.S.-based maker of thermal components, systems and ruggedized solutions with more than 5,000 employees.
Read the Q4 FY2025 earnings call summary

From this 10-K

Eaton calls itself an intelligent power management company, making products for the data centre, utility, industrial, commercial, machine building, residential, aerospace and mobility markets. It was founded in 1911 and serves customers in 180 countries. For the year ended 31 December 2025 it reported five segments: Electrical Americas, Electrical Global, Aerospace, Vehicle and eMobility. During the first quarter of 2026 it re-segmented the business, folding the legacy Vehicle and eMobility segments into a single Mobility segment, and it states that financial information on that new segment will follow in the quarterly report for the period ended 31 March 2026.

Eaton Corp. plc, the 10-K for 2025

Eaton calls itself an intelligent power management company, making products for the data centre, utility, industrial, commercial, machine building, residential, aerospace and mobility markets. It was founded in 1911 and serves customers in 180 countries. For the year ended 31 December 2025 it reported five segments: Electrical Americas, Electrical Global, Aerospace, Vehicle and eMobility. During the first quarter of 2026 it re-segmented the business, folding the legacy Vehicle and eMobility segments into a single Mobility segment, and it states that financial information on that new segment will follow in the quarterly report for the period ended 31 March 2026.

The electrical business

The electrical sector covers power management from the grid to homes, buildings, data centres and industrial sites, and the company states that it is strengthening its participation across the whole electrical power value chain while the data centre and utility end markets carry momentum. It competes in these two segments on the performance of products and systems, on technology, on customer service and support, and on price, and describes its position in many of these products as among the market leaders. In a normal economic cycle, sales here are historically lower in the first quarter and higher in the third and fourth. In 2025, 22% of the sales of these two segments went to six large customers of electrical products, systems and services.

Aerospace

The segment sells aerospace technologies for commercial, military and space customers, aimed at aircraft efficiency, safety and performance, and the company positions itself for more electric and sustainable aviation platforms. Competition here runs on total cost of ownership, product and system performance, quality, design engineering capability and timely delivery, and the company again describes itself as among the market leaders across many products and platforms. In 2025, 20% of the segment's sales went to three large original equipment manufacturers of aircraft. The January 2026 purchase of Ultra PCS is described as expanding and integrating the company's offerings in next-generation aerospace.

Vehicle and eMobility

Vehicle supplies technologies for the automotive, commercial vehicle, aftermarket and off-road markets, with the company stating that it is enabling the transition to electrified vehicles while continuing to supply internal combustion engine products. Competition in both Vehicle and eMobility runs on product performance, technology, global service and price. In 2025, 37% of Vehicle sales went to four large original equipment manufacturers of vehicles and related components, and 18% of eMobility sales went to a single such manufacturer. On 26 January 2026 the company announced its intention to pursue a spin-off of the Mobility business, made up of these two operating segments, into an independent publicly traded company.

What it has bought

During 2025 the company acquired Fibrebond Corporation and Resilient Power Systems, and announced an agreement to acquire Boyd Thermal; it closed the purchase of Ultra PCS on 23 January 2026. It states that Resilient strengthens its power distribution range and accelerates the commercialisation of solid-state transformer technology for data centres and energy storage, and that Fibrebond expands its presence in modular products for multi-tenant and hyperscale data centre customers. Boyd Thermal is described as adding liquid cooling technology so the company can serve hyperscale and colocation customers from the chip to the grid. Earlier additions listed in the portfolio table include Jiangsu Ryan Electrical in April 2023, Exertherm in May 2024 and NordicEPOD in May 2024.

Inputs, patents and people

Major raw material requirements are iron, steel, copper, nickel, aluminium, lead, silver, gold, titanium, rubber, plastic, electronic components, chemicals and fluids, bought in forms such as coils, sheets, strips, ingots, bars, extrusions, castings, forgings, stampings, powder metal, plastic resins and pellets, from many suppliers. Under normal circumstances the company has no difficulty obtaining them, and it continues to invest in supply chain resiliency alongside its partners. Products may be made, marketed and sold using a portfolio of patents, trademarks, licences and other intellectual property, some of which expires in future years, and the company states that, given the breadth of its product lines, losing any single such right would not by itself have a material effect. It employs approximately 97,000 people worldwide.

From Eaton's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 26 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue27,44824,87823,196+10.3%
Cost of revenue17,13115,37514,762+11.4%
Gross profit10,3179,5038,434+8.6%
Gross margin37.6%38.2%36.4%
Research and development797794754+0.4%
Selling, general and administrative4,3114,0773,795+5.7%
Interest expense241130151+85.4%
Pre-tax income4,9324,5663,827+8.0%
Income tax841768604+9.5%
Effective tax rate17.1%16.8%15.8%
Net income4,0873,7943,218+7.7%
Net margin14.9%15.3%13.9%
Diluted EPS$10.45$9.50$8.02+10.0%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow4,4724,3273,624+3.4%
Capital expenditure919808757+13.7%
Free cash flow3,5533,5192,867+1.0%
Free cash flow margin12.9%14.1%12.4%
Cash from investing-1,101-271-2,575
Cash from financing-3,173-3,936-871
Depreciation and amortisation1,006921926+9.2%
Buybacks1,8622,4920.0-25.3%
Dividends paid1,6261,5001,379+8.4%
Dividend per share$4.16$3.76$3.44+10.6%
Diluted shares, weighted391m399m401m-2.1%
Shares outstanding at period end388m393m399m-1.3%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity19,42518,48819,036+5.1%
Non-controlling interest44.043.033.0+2.3%
Short-term borrowings1.00.08.0
Debt9,8949,1529,261+8.1%
Operating lease liabilities637669533-4.8%
Finance lease liabilities18.019.022.0-5.3%
Other liabilities11,23210,0109,539+12.2%
Total liabilities and equity41,25138,38138,432+7.5%
Fixed assets4,3163,7293,530+15.7%
Goodwill15,76914,71314,977+7.2%
Intangible assets5,0544,6585,091+8.5%
Investments1811,5252,121-88.1%
Cash and equivalents622555488+12.1%
Receivables5,3874,6194,475+16.6%
Inventory4,7214,2273,739+11.7%
Other assets5,2014,3554,011+19.4%
Total assets41,25138,38138,432+7.5%

10-K for the year ended 31 December 2025, filed 26 February 2026: the filing.