Eaton Reports Record Third Quarter 2026 Results, with Strong Organic Growth, Accelerating Record Orders and Backlog; Raises Organic Growth Guidance
November 12, 2026
- Third quarter sales for Eaton increased 28%, with organic sales growth of 19%, above the high end of guidance
- Twelve-month rolling average organic orders increased 39% in Electrical Americas, 51% in Electrical Global and 20% in Aerospace, with order dollars reaching record levels in all three segments, driven by broad end-market strength
- Strong year-over-year total backlog growth of 46% in Electrical and 33% in Aerospace
- Record segment margins of 25.3%, above the high end of guidance, with Electrical Americas margins improving 230 basis points sequentially
- Announced agreement to acquire COL Group, expanding manufacturing capacity and power distribution capabilities for data center and utility markets in Europe
- Full year 2026 earnings per share expected to be between $10.39 and $10.49; adjusted earnings per share expected to be between $13.70 and $13.80
Intelligent power management company Eaton Corporation plc (NYSE:ETN) reported strong third quarter 2026 results on November 2, 2026, including earnings per share of $2.77. Adjusted earnings per share were a record of $3.68, excluding charges of $0.62 per share related to intangible amortization, $0.30 per share related to acquisitions and divestitures, and income of $0.01 per share related to a multi-year restructuring program.
Sales in the quarter were a record $8.9 billion, up 28% from the third quarter of 2025. The sales increase consisted of 19% growth in organic sales, 8% growth from acquisitions, and 1% growth from foreign exchange.
Segment margins were a record 25.3%, 30 basis points above both the high end of the guidance range and the third quarter of 2025, driven by higher sales and improved performance amid continued capacity investments to support growth.
The Company continued to generate solid cash flow, supporting investment in growth initiatives while maintaining financial flexibility. Operating cash flow was $1.31 billion, and free cash flow was $1.03 billion.
Paulo Ruiz, Eaton chief executive officer, said, “Our strong third quarter performance reflects the focus and discipline our teams have demonstrated all year as we expand capacity, strengthen execution and position the business to meet accelerating customer demand. We delivered organic growth and segment margins above the high end of our guidance, driven by strong demand across our markets and continued momentum across our Electrical businesses. Record orders grew sequentially, backlog continued to expand, and we remain well-positioned to help customers deliver on their critical power infrastructure investments. These results reinforce our confidence in the remainder of the year.”
In the quarter, the company also announced an agreement to acquire COL Group, a leader in medium-voltage electrical distribution solutions, expanding the company’s European power distribution capabilities and manufacturing footprint and enhancing its ability to support growing customer demand across data center and utility markets.
Guidance
For the full year 2026, the company anticipates:
- Organic growth of 13-15%
- Segment margins of 24.1-24.5%
- Earnings per share between $10.39 and $10.49
- Adjusted earnings per share between $13.70 and $13.80
For the fourth quarter of 2026, the company anticipates:
- Organic growth of 13-15%
- Segment margins of 25.4-25.8%
- Earnings per share between $3.28 and $3.38
- Adjusted earnings per share between $4.05 and $4.15
Business Segment Results
Demand remained robust across key end markets, as sales for the Electrical Americas segment were a record $4.2 billion, up 22% organically from the third quarter of 2025. Operating profits were a record $1.2 billion, up 20% over the third quarter of 2025, and operating margins in the quarter were 29.8%, up 230 basis points sequentially.
The twelve-month rolling average of orders in the third quarter was up 39% organically. Total backlog at the end of September remained strong and was up 33% over September 2025.
Sales for the Electrical Global segment were a record $2.7 billion, up 58% from the third quarter of 2025. The sales increase consisted of 27% growth in organic sales and 31% contribution from Boyd Thermal in its second full quarter post-acquisition. Operating profits were a record $576 million, up 75% over the third quarter of 2025. Operating margins in the quarter were 21.1%, up 200 basis points over the third quarter of 2025.
The twelve-month rolling average of orders in the third quarter was up 51% organically. Total backlog at the end of September was up 121% over September 2025.
On a rolling twelve-month basis, the book-to-bill ratio for the Electrical businesses remained strong at 1.2.
Aerospace segment sales were a third quarter record $1.2 billion, up 11% from the third quarter of 2025. The sales increase consisted of 6% growth in organic sales and 5% growth from the Ultra PCS acquisition. Operating profits were a third quarter record $298 million, up 6% over the third quarter of 2025. Operating margins of 24.9% were down 100 basis points over the third quarter of 2025.
The twelve-month rolling average of orders in the third quarter was up 20% organically. Total backlog at the end of September was up 33% over September 2025. On a rolling twelve-month basis, the book-to-bill ratio for the Aerospace segment remained strong at 1.2.
The Mobility segment posted sales of $852 million. Organic sales increased 9%. Operating profits were $146 million, up 39% from the third quarter of 2025. Operating margins in the quarter of 17.2% were up 370 basis points from the third quarter of 2025.
Eaton is an intelligent power management company dedicated to protecting the environment and improving the quality of life for people everywhere. They make products for the data center, utility, industrial, commercial and institutional, machine building, residential, aerospace and mobility markets. They are guided by their commitment to do business right, to operate sustainably and to help their customers manage power ─ today and well into the future. By capitalizing on the global growth trends of electrification and digitalization, they are helping to solve the world’s most urgent power management challenges and building a more sustainable society for people today and generations to come.
Founded in 1911, Eaton has continuously evolved to meet the changing and expanding needs of our stakeholders. With revenues of $27.4 billion in 2025, the company serves customers in 180 countries.
More Information
Results
The company’s comparative financial results for the three months ended September 30, 2026, are available here.
For more information, visit www.eaton.com. Follow them on LinkedIn.