Hubbell Reports Mixed Q3 Results, Raises Year-End Outlook; Shares Dip 2%

SHELTON, Connecticut - Hubbell Incorporated (NYSE: HUBB) announced third-quarter earnings that exceeded analyst estimates and raised its year-end guidance, but shares fell by 2.15% due to revenues coming in below expectations.
The electrical and utility solutions provider reported adjusted earnings of $4.49 per share, a 14% increase from the same period last year, surpassing the consensus estimate of $4.46. Revenues rose 5% to $1.44 billion but fell short of the expected $1.48 billion.
Organic sales fell 1% in the quarter, while acquisitions contributed to a 6% growth. The company's Utility Solutions segment experienced an 11% sales increase, whereas Electrical Solutions sales decreased by 5%.
"Hubbell delivered strong operational performance in the third quarter, achieving solid operating margin expansion and double-digit growth in operating income," said Chairman, President, and CEO Gerben Bakker.
The company raised its adjusted earnings per share guidance for 2024 from a previous outlook of $15.50-$16.00 to $16.35-$16.55. Hubbell now expects approximately 6% total sales growth for the year.
Bakker added, "As network modernization and electrification mega trends accelerate, Hubbell remains uniquely positioned to continue delivering differentiated long-term performance for our customers and shareholders."
The company reported $189 million in free cash flow for the quarter and continues to expect approximately $800 million in free cash flow by year-end.