Hubbell Inc beats Q3 revenue on Electrical Solutions growth, raises FY outlook
Overview
U.S. utility and electrical solutions maker's Q3 revenue rose 25% yr/yr, beating analyst expectations
Adjusted EPS for Q3 increased 14% and beat analyst expectations
Company raised full-year adjusted EPS outlook on strong Electrical Solutions growth
Outlook
Hubbell expects 2026 total sales growth of 18-19%, with organic growth of 10-11%
Company raises 2026 adj diluted EPS outlook to $20.40-$20.60
Hubbell sees 2026 free cash flow conversion at about 90% of adjusted net income
Result Drivers
ELECTRICAL SOLUTIONS GROWTH - Co said >20% organic growth in Electrical Solutions was driven by strong datacenter markets, content gains and capacity expansion investments
NSI ACQUISITION - Co said strong NSI results and faster-than-expected integration contributed to performance
UTILITY SOLUTIONS DEMAND - Co said Utility Solutions segment growth was led by distribution, transmission and substation markets
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $1.87 bln | $1.85 bln (12 Analysts) |
Q3 Adjusted EPS | Beat | $5.91 | $5.75 (14 Analysts) |
Q3 EPS | $4.94 | ||
Q3 Net Income | $264.60 mln | ||
Q3 Adjusted Operating Margin | 25.50% | ||
Q3 Free Cash Flow | $280 mln | ||
Q3 Operating Margin | 21.80% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 8 "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 $550.00, about 19.7% above its October 26 closing price of $459.40
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 25 three months ago
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(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.)