Hubbell Inc.

Strong Financial Performance: Hubbell Incorporated reported strong double-digit growth in adjusted operating profit (up 9%), adjusted earnings per share (EPS of $16.57, above guidance), and free cash flow (up 28%) in 2024, despite flat sales of $1.3 billion. Adjusted operating margin expanded by 240 basis points.

2025 Growth Outlook: The company anticipates mid-single-digit organic growth for 2025, projecting an EPS range of $17.35 to $17.85. Specifically, Utility Solutions segment is expected to grow by 4-6% while Electrical Solutions is projected to see 3-5% organic growth, driven by developments in electrification and the data center market.

Challenges in Demand: Despite overall positive forecasts, both IOU customers are still managing inventory levels which have led to lower organic volumes than expected. The telecom enclosures segment has declined by 20% and customer destocking continues to be a temporary headwind.