01—Abstract
Summary
Summary of the 10-Q filed July 30, 2025. Cited figures are marked; the original filing is the authoritative source.
Hubbell Incorporated's second-quarter 2025 Form 10-Q shows net sales of $1,484.3 milliona, up from $1,452.5 million in the prior-year quarter, with organic net sales growth of 2.0% driven by price realization while volumes were flat.
Operating income rose to $336.3 millionb (22.7% of net sales) from $306.3 million, and net income attributable to Hubbell Incorporated increased to $244.2 million. Diluted earnings per share were $4.56 versus $4.01 a year earlier. For the six months, net sales were $2,849.5 million, essentially flat year over year, while diluted EPS rose to $7.58 from $6.55.
The company changed its U.S. inventory accounting method from LIFO to FIFO in the second quarter, applied retrospectively to all prior periods. The filing states the change provides better matching of costs and revenues, conforms to a single inventory method and improves comparability with peers. Under this change, inventories increased by $167.1 millionc at January 1, 2024, and the cumulative effect raised retained earnings by $126.7 million net of tax.
Operating cash flow for the six months was $298.0 milliond, down from $331.8 million, mainly due to working capital increases in accounts receivable and accounts payable timing. Balance sheet activity included the Ventev acquisition for approximately $73 million in the first quarter, $225.0 million of share repurchases, $140.9 million of dividends paid, and total debt rising to $1,847.1 million, including $399.5 million of senior notes due March 2026 classified as current. Subsequent to quarter end, the company acquired Nicor for approximately $56 million, and the One Big Beautiful Bill Act was enacted on July 4, 2025, with the company assessing its impact.
02—Key points
Key Highlights
- Second-quarter net sales of $1,484.3 million rose $31.8 million year over year, with organic net sales growth of 2.0%.
- Operating margin expanded to 22.7% from 21.1%, with operating income of $336.3 million versus $306.3 million.
- Diluted EPS was $4.56 for Q2 2025 compared with $4.01 in Q2 2024; six-month diluted EPS was $7.58 versus $6.55.
- Inventory accounting changed from LIFO to FIFO for certain U.S. inventory, applied retrospectively; the Q2 2025 impact increased operating income by $28.8 million.
- Cash from operations fell to $298.0 million for the first six months from $331.8 million, driven by higher working capital.
- Total debt rose to $1,847.1 million at June 30, 2025 from $1,568.1 million, with $399.5 million of 2026 notes now classified as current.
- Share repurchases of $225.0 million in the first six months, with total authorization of approximately $535.0 million outstanding at June 30, 2025.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q2 FY2025, Hubbell kept $0.16.
- Revenue$1.48B100.0%
- Cost of revenue−$932.2M62.8%
- Gross profit$552.1M37.2%
- Operating costs−$215.8M14.5%
- Operating income$336.3M22.7%
- Interest, other & tax−$92.1M6.2%
- Net income$244.2M16.5%
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2025filed July 30, 2025Financial Statements
Q2 FY2025 against Q2 FY2024
| Line item | Q2 FY2025Q2 FY2024 | Change |
|---|---|---|
| Revenue | $1.48B$1.45B | +2.2% |
| Cost of Revenue | $932.20M$938.70M | −0.7% |
| Gross Profit | $552.10M$513.80M | +7.5% |
| SG&A Expenses | $215.80M$207.50M | +4.0% |
| Operating Income | $336.30M$306.30M | +9.8% |
| Net Income | $244.20M$217.50M | +12.3% |
| EPS (Basic) | $4.58$4.04 | +13.4% |
| EPS (Diluted) | $4.56$4.01 | +13.7% |
| Shares Outstanding (Basic) | 53.20M53.70M | −0.9% |
| Shares Outstanding (Diluted) | 53.50M54.10M | −1.1% |
05—Questions
Frequently Asked Questions
How did Hubbell perform in the second quarter of 2025?
Net sales were $1,484.3 million, up 2.2% from $1,452.5 million, with organic growth of 2.0% led by price realization. Operating income increased to $336.3 million and net income attributable to Hubbell rose to $244.2 million from $217.5 million.
What drove the change in operating margin?
The filing attributes gross margin expansion of about four percentage points to favorable price, improved operational productivity, lower acquisition-related intangible amortization and business mix, partially offset by about two points of cost inflation including tariff expense.
Why did Hubbell change its inventory accounting method?
The company switched certain U.S. inventory from LIFO to FIFO, stating the change provides better matching of costs and revenues, conforms to a single inventory method and improves comparability with peers. Prior periods were restated accordingly.
How is the company managing its debt and capital returns?
Total debt was $1,847.1 million at June 30, 2025, with a $1.0 billion undrawn revolving credit facility. The company paid $140.9 million in dividends and repurchased $225.0 million of shares in the first six months, and it has about $535.0 million of total repurchase authorization remaining.
What significant events occurred after the quarter ended?
In July 2025 Hubbell acquired Nicor, Inc. for approximately $56 million, net of cash acquired, adding polymer meter box lids and covers to the Utility Solutions segment. The One Big Beautiful Bill Act was also enacted on July 4, 2025, and the company is assessing its impact.
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