Power systems firm Hubbell's Q2 adjusted EPS beats estimates

Hubbell

29/07/2025 12:40

Overview

Hubbell Q2 net sales rise 2% but miss analyst expectations

Adjusted EPS of $4.93 beats estimates, reflecting strong operational performance

Co raises 2025 adjusted EPS outlook, reflecting confidence in growth

Outlook

Hubbell expects 2025 adjusted EPS outlook of $17.65-$18.15

Company expects 2025 organic net sales growth of 4-6%

Hubbell anticipates 90% free cash flow conversion on adjusted net income

Result Drivers

GRID INFRASTRUCTURE - 7% organic growth driven by strong demand for substation and transmission products

ELECTRICAL SOLUTIONS - 4% organic growth fueled by strength in datacenter markets

INVENTORY ACCOUNTING CHANGE - Transition to FIFO method decreased COGS by $29 mln, improving margins

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$1.48 bln
$1.51 bln (11 Analysts)
Q2 Adjusted EPS
Beat
$4.93
$4.41 (12 Analysts)
Q2 EPS
$4.56
Q2 Net Income
$245.50 mln
Q2 Adjusted Operating Margin
24.4%
Q2 Free Cash Flow
$221 mln
Q2 Operating Margin
22.7%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electrical components & equipment peer group is "buy"

Wall Street's median 12-month price target for Hubbell Inc is $428.50, about 2.3% below its July 28 closing price of $438.31

The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nGNX1YyJJT

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)