Detailed financial statements for Eaton Corporation plc (ETN): income statement, balance sheet and cash-flow summary. Track margins, debt, liquidity and profitability trends year over year: ten fiscal years free and up to 20 with Premium.
Eaton Corp. Plc is a power management company, which provides energy-efficient solutions for electrical, hydraulic, and mechanical power. It operates through the following segments: Electrical Americas and Electrical Global; Aerospace, Vehicle, and eMobility.
Analysis Summary
Eaton Corporation plc reported revenue of $27.45B in the most recent fiscal year, growing at a 5-year CAGR of 9.0%. Net income reached $4.09B, with a 23.7% 5-year CAGR.
Trailing-twelve-month margins: gross margin 35.9%, operating margin 17.7%, net margin 12.8%. Free cash flow grew at 6.8% CAGR over 5 years.
At $369.97 (closing price, October 30, 2026), ETN trades at a P/E of 37.64 and an ROE of 19.56%. Market capitalisation stands at $143.7B, placing it among large-cap names.
Balance sheet quality for ETN: current ratio of 1.3, net debt of $10.37B. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Cash flow quality is decent: free cash flow of $3.55B represents 87% conversion of reported net income. High conversion (above 90%) suggests earnings translate cleanly into cash; lower conversion may indicate working capital tightness or accounting timing differences.
Income Statement (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $19.75B | $20.40B | $21.61B | $21.39B | $17.86B | $19.63B | $20.75B | $23.20B | $24.88B | $27.45B |
| Cost of Revenue | $13.40B | $13.74B | $14.49B | $14.34B | $12.41B | $13.31B | $13.85B | $14.76B | $15.38B | $17.13B |
| Gross Profit | $6.35B | $6.67B | $7.11B | $7.05B | $5.45B | $6.32B | $6.91B | $8.43B | $9.50B | $10.32B |
| Research & Development | $589.0M | $584.0M | $584.0M | $606.0M | $551.0M | $616.0M | $665.0M | $754.0M | $794.0M | $796.0M |
| Selling, General & Admin | $3.29B | $3.41B | $3.55B | $3.38B | $2.57B | $2.83B | $3.00B | $3.68B | $3.84B | $4.28B |
| Operating Expenses | $3.88B | $3.99B | $4.13B | $3.99B | $3.12B | $3.44B | $3.67B | $4.44B | $4.63B | $5.08B |
| Operating Income | $2.47B | $2.67B | $2.98B | $3.06B | $2.32B | $2.87B | $3.24B | $4.00B | $4.87B | $5.23B |
| EBITDA | $3.28B | $4.53B | $3.60B | $3.71B | $2.78B | $3.96B | $3.95B | $4.96B | $5.63B | $6.20B |
| Interest Expense | $233.0M | $246.0M | $271.0M | $236.0M | $221.0M | $144.0M | $88.0M | $208.0M | $144.0M | $264.0M |
| Pre-tax Income | $2.13B | $3.37B | $2.42B | $2.59B | $1.75B | $2.90B | $2.91B | $3.83B | $4.57B | $4.93B |
| Income Tax | $202.0M | $382.0M | $278.0M | $378.0M | $331.0M | $750.0M | $445.0M | $604.0M | $768.0M | $840.0M |
| Net Income | $1.92B | $2.98B | $2.15B | $2.21B | $1.41B | $2.14B | $2.46B | $3.22B | $3.79B | $4.09B |
| EPS | $4.21 | $6.71 | $4.94 | $5.28 | $3.51 | $5.38 | $6.18 | $8.06 | $9.54 | $10.49 |
| EPS (Diluted) | $4.20 | $6.68 | $4.91 | $5.25 | $3.49 | $5.34 | $6.14 | $8.02 | $9.50 | $10.46 |
| Shares Outstanding (Diluted) | 456.5 M | 447.0 M | 436.9 M | 420.8 M | 404.0 M | 401.6 M | 400.8 M | 401.1 M | 399.4 M | 389.5 M |
Income Statement (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Revenue | $6.99B | $7.05B | $7.45B | $8.53B |
| Gross Profit | $2.67B | $2.60B | $2.65B | $2.85B |
| Operating Income | $1.37B | $1.38B | $1.17B | $1.39B |
| EBITDA | $1.60B | $1.63B | $1.49B | $1.74B |
| Net Income | $1.01B | $1.13B | $866.0M | $821.0M |
| EPS | $2.60 | $2.92 | $2.23 | $2.11 |
| EPS (Diluted) | $2.59 | $2.91 | $2.22 | $2.11 |
Balance Sheet (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash & Equivalents | $543.0M | $561.0M | $283.0M | $370.0M | $438.0M | $297.0M | $294.0M | $488.0M | $555.0M | $622.0M |
| Short-term Investments | $203.0M | $534.0M | $157.0M | $221.0M | $664.0M | $271.0M | $261.0M | $2.12B | $1.52B | $181.0M |
| Receivables | $3.56B | $3.94B | $3.86B | $3.44B | $2.90B | $3.30B | $4.08B | $4.47B | $4.62B | $5.39B |
| Inventory | $2.25B | $2.62B | $2.79B | $2.81B | $2.11B | $2.97B | $3.43B | $3.74B | $4.23B | $4.72B |
| Total Current Assets | $6.94B | $8.31B | $7.59B | $8.73B | $9.18B | $7.51B | $8.76B | $11.68B | $11.80B | $12.36B |
| Property, Plant & Equipment | $3.44B | $3.50B | $3.47B | $3.93B | $3.39B | $3.51B | $3.72B | $4.18B | $4.54B | $5.08B |
| Goodwill | $13.20B | $13.57B | $13.33B | $13.46B | $12.90B | $14.75B | $14.80B | $14.98B | $14.71B | $15.77B |
| Intangible Assets | $5.51B | $5.26B | $4.85B | $4.64B | $4.17B | $5.86B | $5.49B | $5.09B | $4.66B | $5.05B |
| Total Assets | $30.42B | $32.60B | $31.09B | $32.80B | $31.82B | $34.03B | $35.03B | $38.43B | $38.38B | $41.25B |
| Accounts Payable | $1.72B | $2.17B | $2.13B | $2.11B | $1.99B | $2.80B | $3.07B | $3.37B | $3.68B | $4.17B |
| Short-term Debt | $1.57B | $584.0M | $753.0M | $503.0M | $1.05B | $1.75B | $334.0M | $1.02B | $674.0M | $1.14B |
| Total Current Liabilities | $5.49B | $5.08B | $5.15B | $5.13B | $5.88B | $7.21B | $6.36B | $7.75B | $7.86B | $9.37B |
| Long-term Debt | $6.71B | $7.17B | $6.77B | $7.82B | $7.01B | $6.83B | $8.32B | $8.24B | $8.48B | $9.39B |
| Total Liabilities | $15.48B | $15.31B | $14.95B | $16.67B | $16.85B | $17.58B | $17.95B | $19.36B | $19.85B | $21.78B |
| Retained Earnings | $7.50B | $8.67B | $8.16B | $8.17B | $6.79B | $7.59B | $8.47B | $10.30B | $10.10B | $10.70B |
| Total Equity | $14.90B | $17.25B | $16.11B | $16.08B | $14.93B | $16.41B | $17.04B | $19.04B | $18.49B | $19.43B |
| Total Debt | $8.28B | $7.75B | $7.52B | $8.65B | $8.38B | $8.92B | $9.11B | $9.80B | $9.82B | $11.17B |
| Net Debt | $7.53B | $6.66B | $7.08B | $8.06B | $7.28B | $8.35B | $8.56B | $7.19B | $7.74B | $10.37B |
| Working Capital | $1.46B | $3.24B | $2.44B | $3.60B | $3.30B | $299.0M | $2.40B | $3.93B | $3.94B | $2.98B |
Balance Sheet (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Cash & Equivalents | $328.0M | $622.0M | $565.0M | $483.0M |
| Total Assets | $40.65B | $41.25B | $55.09B | $56.18B |
| Total Liabilities | $21.77B | $21.78B | $35.32B | $35.88B |
| Total Equity | $18.89B | $19.43B | $19.77B | $20.25B |
| Total Debt | $11.22B | $11.17B | $21.83B | $21.33B |
Cash Flow (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Income | $1.93B | $2.99B | $2.15B | $2.21B | $1.41B | $2.15B | $2.46B | $3.22B | $3.80B | $4.09B |
| Depreciation & Amortization | $929.0M | $914.0M | $903.0M | $884.0M | $811.0M | $922.0M | $954.0M | $926.0M | $921.0M | $1.01B |
| Stock-based Compensation | -$1.0M | 0 | 0 | $87.0M | 0 | 0 | 0 | 0 | 0 | -$50.0M |
| Change in Working Capital | -$138.0M | $100.0M | -$341.0M | $64.0M | $830.0M | -$287.0M | -$648.0M | -$225.0M | -$219.0M | 0 |
| Operating Cash Flow | $2.57B | $2.67B | $2.66B | $3.45B | $2.94B | $2.16B | $2.53B | $3.62B | $4.33B | $4.47B |
| Capital Expenditure | -$497.0M | -$520.0M | -$565.0M | -$587.0M | -$389.0M | -$575.0M | -$598.0M | -$757.0M | -$808.0M | -$919.0M |
| Acquisitions | $1.0M | $607.0M | 0 | -$1.22B | $1.21B | -$1.50B | -$621.0M | $74.0M | $35.0M | -$1.41B |
| Stock Repurchased | -$730.0M | -$850.0M | -$1.27B | -$1.03B | -$1.61B | -$122.0M | -$286.0M | 0 | -$2.49B | -$1.86B |
| Dividends Paid | -$1.04B | -$1.07B | -$1.15B | -$1.20B | -$1.18B | -$1.22B | -$1.30B | -$1.38B | -$1.50B | -$1.63B |
| Free Cash Flow | $2.07B | $2.15B | $2.09B | $2.86B | $2.56B | $1.59B | $1.94B | $2.87B | $3.52B | $3.55B |
Cash Flow (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Operating Cash Flow | $1.35B | $1.97B | $507.0M | $1.13B |
| Capital Expenditure | -$178.0M | $178.0M | -$193.0M | -$253.0M |
| Free Cash Flow | $1.17B | $2.14B | $314.0M | $874.0M |
| Dividends Paid | -$404.0M | -$404.0M | -$415.0M | -$443.0M |
| Stock-based Compensation | 0 | -$50.0M | 0 | 0 |
Growth & Margins (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue Growth (YoY) | +3.3% | +5.9% | -1.0% | -16.5% | +9.9% | +5.7% | +11.8% | +7.3% | +10.3% | |
| Net Income Growth (YoY) | +55.3% | -28.1% | +3.1% | -36.2% | +52.1% | +14.8% | +30.7% | +17.9% | +7.8% | |
| EPS Growth (YoY) | +59.4% | -26.4% | +6.9% | -33.5% | +53.3% | +14.9% | +30.4% | +18.4% | +10.0% | |
| Shares Change (YoY) | -2.1% | -2.3% | -3.7% | -4.0% | -0.6% | -0.2% | +0.1% | -0.4% | -2.5% | |
| FCF Growth (YoY) | +3.5% | -2.5% | +36.8% | -10.8% | -37.8% | +21.9% | +48.2% | +22.7% | +1.0% | |
| Gross Margin | 32.1% | 32.7% | 32.9% | 33.0% | 30.5% | 32.2% | 33.3% | 36.4% | 38.2% | 37.6% |
| Operating Margin | 12.5% | 13.1% | 13.8% | 14.3% | 13.0% | 14.6% | 15.6% | 17.2% | 19.6% | 19.1% |
| EBITDA Margin | 16.6% | 22.2% | 16.7% | 17.3% | 15.6% | 20.2% | 19.0% | 21.4% | 22.6% | 22.6% |
| Net Margin | 9.7% | 14.6% | 9.9% | 10.3% | 7.9% | 10.9% | 11.9% | 13.9% | 15.3% | 14.9% |
| FCF Margin | 10.5% | 10.5% | 9.7% | 13.4% | 14.3% | 8.1% | 9.3% | 12.4% | 14.1% | 12.9% |
| Effective Tax Rate | 9.5% | 11.3% | 11.5% | 14.6% | 19.0% | 25.9% | 15.3% | 15.8% | 16.8% | 17.0% |
Per-Share Data (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| FCF Per Share | $4.54 | $4.80 | $4.79 | $6.81 | $6.32 | $3.95 | $4.83 | $7.15 | $8.81 | $9.12 |
| Dividends Per Share | $2.27 | $2.39 | $2.63 | $2.85 | $2.91 | $3.04 | $3.24 | $3.44 | $3.76 | $4.17 |
| Shares Outstanding (Basic) | 455.0 M | 444.5 M | 434.3 M | 419.0 M | 402.2 M | 398.7 M | 398.7 M | 399.1 M | 397.6 M | 388.2 M |
What to look at in Industrials
Aerospace, defence, machinery, transport. Semi-cyclical. Key: backlog, operating margins, and FCF conversion.
- 5y revenue growth — Without growth, there is no long-term value creation
- Operating margin — The best indicator of operational discipline in industrials
- ROIC — Quality industrials have ROIC >15% — the rest destroy capital
- FCF conversion — FCF / Net Income — in industrials good >85%
- Net debt / EBITDA — Cyclical industrials with high debt suffer hard in recessions
- Capex / Revenue — Maintaining the machinery. <4% = possible underinvestment (future decline)
- Altman Z-Score — Bankruptcy model (NYU 1968) — combines liquidity, leverage and profitability. Key in cyclicals
Profitability
| Return on Equity | 19.56% |
| Return on Invested Capital | 9.09% |
| Return on Assets | 6.82% |
| Gross Margin | 35.90% |
| Operating Margin | 17.68% |
| Net Margin | 12.76% |
Financial Health
| Debt / Equity | 1.05 |
| Current Ratio | 1.24 |
| Piotroski F-Score | 6 |
| Altman Z-Score | 4.94 |
Key Ratios (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| P/E | 15.94 | 11.77 | 13.90 | 17.94 | 34.23 | 32.12 | 25.40 | 29.88 | 34.79 | 30.36 |
| P/B | 2.05 | 2.04 | 1.85 | 2.47 | 3.24 | 4.20 | 3.67 | 5.05 | 7.14 | 6.37 |
| P/S | 1.55 | 1.72 | 1.38 | 1.86 | 2.71 | 3.51 | 3.02 | 4.14 | 5.30 | 4.50 |
| Gross Margin | 32.1% | 32.7% | 32.9% | 33.0% | 30.5% | 32.2% | 33.3% | 36.4% | 38.2% | 37.6% |
| Operating Margin | 12.5% | 13.1% | 13.8% | 14.3% | 13.0% | 14.6% | 15.6% | 17.2% | 19.6% | 19.1% |
| Net Margin | 9.7% | 14.6% | 9.9% | 10.3% | 7.9% | 10.9% | 11.9% | 13.9% | 15.3% | 14.9% |
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Explore sector: Industrials · Electrical Equipment & Parts
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