Eaton Corp.'s (ETN) first-quarter earnings rose 83%, beating
analysts' estimates, as the diversified manufacturer said sales
were stronger than expected in the electrical, hydraulics and truck
markets.
The company raised its full-year earnings estimate from February
by 15 cents a share, to $3.70 to $4 before acquisition costs. It
also forecast second-quarter earnings of 90 cents to 96 cents a
share, excluding acquisition costs. Analysts surveyed by Thomson
Reuters currently expect 93 cents.
The company has reported a string of double-digit profit and
sales gains on increased demand for its auto, truck and hydraulic
products. As such, it has steadily increased earnings
expectations.
Eaton reported a profit of $286 million, or 83 cents a share, up
from $156 million, or 46 cents a share, a year earlier. Excluding
acquisition charges, earnings rose to 84 cents a share from 48
cents. Eaton had predicted in January earnings of 75 cents to 80
cents a share, ahead of estimates at the time.
Sales jumped 23% to $3.8 billion. Analysts polled by Thomson
Reuters had most recently forecast revenue of $3.65 billion.
Electrical sales in the Americas, Eaton's biggest segment by
revenue, jumped 20% as the unit's operating profit rose 26%.
Shares closed at $52.63 and were inactive premarket. As of
Tuesday's close, the stock had risen 34% the past year.
-By Melodie Warner, Dow Jones Newswires; 212-416-2283;
melodie.warner@dowjones.com