8d115b83a580fefd55789fcb93de37c21a2f8733552411267631c54c36ed5d4d

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

d031b7589225bec391467ce22720344bc3a0e587eff4338b1c736ba8cd3caf4e

United States

International

- Canada and UK

- Switzerland

- Brazil

- Mexico

Total Revenue

65de5064a450955a7008c10203c2f263f1bc78e53a339209f5b8f3a955c2eb9f

ed3abe65cc77fd162feafd7d669b43546e0af0fd4d6df78330cec17dcf9c526f

c9e0d495d1b23d469e1234ac91606f0195096af2a5f76a57bf5a2f926991ca42

Organic net sales growth for Utility Solutions segment (millions of dollars)

Organic net sales growth for Electrical Solutions segment (millions of dollars)

Organic net sales growth for the total company (millions of dollars)

Number of employees worldwide (employees)

8519be85ffb150d10bf999dbe2480b7251fbc4d764b322f7cef4f8de0ef47d11

Net Sales (USD, millions)

Cost of Goods Sold (USD, millions)

Gross Profit (USD, millions)

Selling & Administrative Expenses (USD, millions)

Operating Income (USD, millions)

Loss on Disposition of Business (USD, millions)

Pension Charge (USD, millions)

Interest Expense, Net (USD, millions)

Other (Expense) Income, Net (USD, millions)

Total Other Expense (USD, millions)

Income Before Income Taxes (USD, millions)

Provision for Income Taxes (USD, millions)

Net Income from Continuing Operations (USD, millions)

Net Income from Continuing Operations Attributable to Hubbell Incorporated (USD, millions)

Income from Discontinued Operations, Net of Tax (USD, millions)

Net Income Attributable to Hubbell Incorporated (USD, millions)

Basic Earnings per Share from Continuing Operations (USD)

Basic Earnings per Share from Discontinued Operations (USD)

Basic Earnings per Share (USD)

Diluted Earnings per Share from Continuing Operations (USD)

Diluted Earnings per Share from Discontinued Operations (USD)

Diluted Earnings per Share (USD)

68d80d39d8717ad60df7930c854dbe139e1912c27b82df3059977c9db7ecb68a

Net Cash Provided by Operating Activities (USD, millions)

Net Cash (Used in) Provided by Investing Activities (USD, millions)

Net Cash (Used in) Provided by Financing Activities (USD, millions)

Cash (Used in) Provided by Discontinued Operations (USD, millions)

Effect of Foreign Currency Exchange Rate Changes on Cash and Cash Equivalents (USD, millions)

Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash (USD, millions)

Cash and Cash Equivalents, Beginning of Year (USD, millions)

Cash and Cash Equivalents, End of Year/Period (USD, millions)

da76bc649663861b8b8b0ea390f484ca08f124f1a46f3769879eee0417796907

Cash and cash equivalents (USD, millions)

Short-term investments (USD, millions)

Accounts receivable (net) (USD, millions)

Inventories, net (USD, millions)

Other current assets (USD, millions)

Assets held for sale - current (USD, millions)

Total Current Assets (USD, millions)

Property, Plant, and Equipment, net (USD, millions)

Investments (USD, millions)

Goodwill (USD, millions)

Other intangible assets, net (USD, millions)

Other long-term assets (USD, millions)

Assets held for sale - non-current (USD, millions)

TOTAL ASSETS (USD, millions)

Short-term debt and current portion of long-term debt (USD, millions)

Accounts payable (USD, millions)

Accrued salaries, wages and employee benefits (USD, millions)

Accrued insurance (USD, millions)

Other accrued liabilities (USD, millions)

Liabilities held for sale - current (USD, millions)

Total Current Liabilities (USD, millions)

Long-term Debt (USD, millions)

Other Non-Current Liabilities (USD, millions)

Liabilities held for sale - non-current (USD, millions)

TOTAL LIABILITIES (USD, millions)

Common stock (USD, millions)

Additional paid-in capital (USD, millions)

Retained earnings (USD, millions)

Accumulated other comprehensive loss (USD, millions)

Total Hubbell Incorporated Shareholders’ Equity (USD, millions)

Noncontrolling interest (USD, millions)

TOTAL EQUITY (USD, millions)

TOTAL LIABILITIES AND EQUITY (USD, millions)

afe2fbb37bfc3da404b6a0f20459fbdfe10fdb59137c0598efd7cb21d1ed3fea

Operating income in Q1 2024 was lower due to several factors. In the **Utility Solutions Segment**, operating income declined from **$177.5 million** in Q1 2023 to **$157.5 million** in Q1 2024 because of **lower unit volume**—notably in the telecom market—and **material cost inflation** that offset improvements from operational productivity. Additionally, increased **amortization of acquisition-related intangibles** and higher **transaction, integration, and separation costs** contributed to the margin contraction.  **[0001628280-24-019191_exhibit991_04302024.htm:1]** **[0001628280-24-019474_hubb-20240331.htm:32]**  The **Electrical Solutions Segment** also experienced a slight decline because of **cost inflation** and **investments in restructuring activities**.  **[0001628280-24-019191_exhibit991_04302024.htm:1]** **[0001628280-24-019474_hubb-20240331.htm:33]**  Furthermore, corporate-level challenges, including a **$5.3 million pre-tax loss** on the sale of the residential lighting business, further reduced overall operating income.  **[0001628280-24-019191_exhibit991_04302024.htm:1]** 

Why was Operating Income lower in Q1 2024?

In Q1 2024, the **decline in net income** was driven by several factors. First, Hubbell incurred a **$5.3 million pre-tax loss** from the disposition of its residential lighting business. Second, the company experienced **increased costs** due to material and other cost inflation, which pushed down operating margins from **19.4%** to **16.3%**. Third, there was a significant **rise in interest expense** (from **$9.7 million** to **$21.1 million**) that further impacted profitability. Additionally, **restructuring and related costs** increased substantially (from **$2.5 million** to **$6.5 million**), and weaker performance in the telecom markets negatively affected sales and margins. Collectively, these factors led to the **18.7% decline** in net income, even though some of the negative impacts were partially offset by gains in price realization and operational productivity.  **[0001628280-24-019474_hubb-20240331.htm:31]** **[0001628280-24-019474_hubb-20240331.htm:25]** **[0001628280-24-019191_exhibit991_04302024.htm:9]** **[0001628280-24-019474_hubb-20240331.htm:3]** **[0001628280-24-019191_exhibit991_04302024.htm:12]** **[HUBB_3381517_1]** 

What drove the decline in Net Income in Q1 2024?

EPS fell significantly in Q1 2024 primarily because the company experienced a marked decline in net income (an **18.7% decrease**, from **$181.9 million to $147.8 million**) driven by several factors. These included **higher interest expense** (rising from **$9.7 million to $21.1 million**) due to increased financing costs associated with acquisitions, a **$5.3 million pre-tax loss** from the disposition of the residential lighting business, and **margin contraction** caused by material and other cost inflation, lower volumes, and increased investments in growth and productivity initiatives. Additionally, the tough year-over-year comparison—stemming from a particularly strong Q1 2023 boosted by favorable price-cost dynamics and pre-destocking conditions—worsened the impact on EPS.  **[0001628280-24-019191_exhibit991_04302024.htm:9]** **[0001628280-24-019474_hubb-20240331.htm:3]** **[0001628280-24-019191_exhibit991_04302024.htm:0]** **[0001628280-24-019474_hubb-20240331.htm:25]** **[HUBB_3381517_3]** **[HUBB_3381517_1]** 

Why did EPS fall significantly in Q1 2024?

The jump in **Interest Expense, Net** in Q1 2024 was primarily caused by the financing of three acquisitions—**Systems Control, Balestro, and EIG**—which had a combined investment value of approximately **$1.25 billion**. This financing, achieved through a mix of debt and cash, led to significantly higher interest expenses.  **[0001628280-24-019191_exhibit991_04302024.htm:9]** **[HUBB_3381517_3]** 

What caused the jump in Interest Expense in Q1 2024?

8008175248282fd3eb4f93404736ad0af69d64e593b87ac1f95f5bbfc2ce3987

The spike in short-term debt in Q3 2024 was primarily driven by a significant increase in commercial paper borrowings, which rose from **$100.0 million as of December 31, 2023** to **$274.0 million as of September 30, 2024**. This increase was mainly used to partially fund the Systems Control acquisition. Additionally, the current portion of long-term debt remained unchanged at **$15.0 million**, and there was only a slight decrease in other short-term debt, indicating that the key driver of the change was the rise in commercial paper borrowings.  **[0001628280-24-044201_hubb-20240930.htm:47]** **[0001628280-24-044201_hubb-20240930.htm:24]** 

Why did short-term debt spike in Q3 2024?

The significant drop in long-term debt in Q4 2024 was primarily driven by the **repayment of the Term Loan Agreement**. The company had borrowed **$600 million** in December 2023 to finance the acquisition of Systems Control, and it repaid the remaining balance during Q4 2024, which resulted in a reduction in long-term debt from **$2,023.2 million** at the end of 2023 to **$1,442.7 million** at the end of 2024.  **[0001628280-25-005311_hubb-20241231.htm:102]** **[0001628280-25-005311_hubb-20241231.htm:44]** 

Why did long-term debt drop so significantly in Q4 2024?

The decline in total assets in Q4 2024 was primarily due to a few key factors. **Goodwill** decreased by **$32.6 million** and **other intangible assets** declined by **$116.0 million**, which significantly impacted the overall asset base. In addition, **accounts receivable** fell by **$29.4 million** and the elimination of **assets held for sale** (from **$162.4 million** to **$0**) further contributed to the reduction. Although there was an increase in **property, plant, and equipment** by **$74.0 million** and a slight rise in **other current assets**, these offsets were not enough to counterbalance the declines, leading to a net drop of **$234.9 million** in total assets.  **[0001628280-25-005311_hubb-20241231.htm:68]** 

What led to the decline in total assets in Q4 2024?

The drop in **cash** in Q4 2024 was driven by a mix of factors. Despite improved cash generation from operating activities (net cash of **$432 million** in Q4 2024 compared to **$346 million** in the same period of 2023), the overall decline was largely due to significant **cash outflows in financing activities** totaling **$923.4 million**—reflecting the extinguishment of a term loan, increased dividends, and higher share repurchases. Additionally, **investing activities** impacted the cash position, with the company using much less cash on investing (only **$59.1 million** due in part to a **$122.9 million** cash receipt from the disposition of its residential lighting business) compared to the previous period, and there was also an unfavorable **foreign currency exchange** impact of **$16.4 million**. Collectively, these factors contributed to a reduction in cash from **$336.1 million** at the beginning of the year to **$329.1 million** at the end of Q4 2024.  **[0001628280-25-003586_exhibit991_02042025.htm:1]** **[0001628280-25-005311_hubb-20241231.htm:42]** **[0001628280-25-005311_hubb-20241231.htm:68]** 

What caused the drop in cash in Q4 2024?

c83d6842df504276f16e7a3728a0f0bd5b56808749904de7b0148ed0e74b5164

Operating cash flow was lower in Q1 2024 primarily because **net income decreased** from **$181.9 million** to **$147.8 million**.  **[0001628280-24-019191_exhibit991_04302024.htm:10]** **[0001628280-24-019191_exhibit991_04302024.htm:9]**  This decline was compounded by **increased cash payments for employee incentives** and adverse working capital changes, including a larger negative change in **accounts receivable** (from **-$36.6 million** in Q1 2023 to **-$84.6 million** in Q1 2024) and a greater reduction in **current liabilities** (from **-$54.4 million** down to **-$92.9 million**).  **[0001628280-24-019191_exhibit991_04302024.htm:10]** **[0001628280-24-019474_hubb-20240331.htm:4]**  These factors, although partially offset by higher **depreciation and amortization expenses** (increasing from **$35.6 million** to **$59.9 million**), resulted in a lower operating cash flow in Q1 2024.  **[0001628280-24-019191_exhibit991_04302024.htm:10]** **[0001628280-24-019474_hubb-20240331.htm:4]** 

Why was Operating Cash Flow lower in Q1 2024?

In Q4 2024, the jump in operating cash flow was driven by **higher net income** (an increase from **$171 million** to **$197 million**) which generated stronger cash flow, **improved non-cash adjustments** such as higher depreciation and amortization expenses, more effective **working capital management**, and robust **operational execution** through initiatives like price/cost productivity improvements and business simplification.  **[0001628280-25-003586_exhibit991_02042025.htm:11]** **[0001628280-25-005311_hubb-20241231.htm:69]** **[0001628280-25-003586_exhibit991_02042025.htm:1]** **[0001628280-25-003586_exhibit991_02042025.htm:0]** 

What drove the jump in Operating Cash Flow in Q4 2024?

The significant shift to a positive investing activities cash flow in Q1 2024 was primarily driven by **proceeds from the sale of the residential lighting business**, which provided **$122.9 million** in cash, and by ongoing **capital expenditures totaling $40.3 million** to support footprint optimization, automation, and productivity initiatives. These factors combined to reverse the negative trend seen in Q1 2023, turning it positive in Q1 2024.  **[0001628280-24-019474_hubb-20240331.htm:34]** **[0001628280-24-019474_hubb-20240331.htm:4]** **[0001628280-24-019191_exhibit991_04302024.htm:10]** 

What caused Investing Activities cash flow to turn positive in Q1 2024?

81161a7397b8e22335d8beffc301308ee5abd744c2d0e2ea35f51e430709e48f

Hubbell Inc (HUBB)

Financials