Hubbell Raises 2025 Sales Growth Outlook

Hubbell reported first-quarter 2025 earnings that missed analyst expectations, with adjusted EPS of $3.50 (below the $3.72-$3.73 consensus) and revenue of $1.37 billion (under the $1.39 billion estimate), affected by soft demand in grid automation and higher raw material and tariff costs. Management raised its 2025 sales growth outlook to 6%-8% and reaffirmed its adjusted EPS guidance of $17.35-$17.85, both above current analyst consensus. The Electrical Solutions segment achieved 5% organic growth, particularly from datacenter markets, while Utility Solutions declined due to continued grid automation weakness. CEO Gerben Bakker emphasized strong operational execution, margin expansion, and optimism regarding long-term growth opportunities in grid modernization and electrification. Hubbell projects a robust free cash flow conversion of at least 90% for 2025. The stock rose 2.4% following the earnings release and positive guidance.