SHELTON, CT. – Hubbell Incorporated today reported operating results for the third quarter ended September 30, 2026.
“Hubbell delivered strong financial performance in the third quarter, with double digit growth in organic sales, adjusted operating profit, adjusted earnings per share and free cash flow” said Gerben Bakker, Chairman, President and CEO.
Mr. Bakker continued, “Third quarter results were highlighted by >20% organic growth in Electrical Solutions, led by strong datacenter markets and bolstered by content gains and capacity expansion investments. NSI results were strong in the quarter, and performance and integration efforts are trending ahead of our initial expectations. Utility Solutions delivered solid organic growth in the quarter, led by distribution, transmission and substation markets. Orders and end market demand remained strong, driving continued backlog build in the quarter, and we remain focused on proactively investing in capacity expansion to serve our customers in high growth areas.”
Mr. Bakker concluded, “We are raising our full year 2026 outlook, primarily driven by stronger anticipated Electrical Solutions growth.”
THIRD QUARTER FINANCIAL HIGHLIGHTS
The comments and year-over-year comparisons in this segment review are based on third quarter results in 2026 and 2025.
Utility Solutions segment net sales in the third quarter of 2026 increased 9% to $1,028 million compared to $944 million reported in the third quarter of 2025. Organic net sales increased approximately 5% in the quarter compared to the third quarter of 2025. Grid Infrastructure net sales increased approximately 13% and Grid Automation net sales decreased approximately 4%. Segment operating income in the third quarter of 2026 was $241 million, or 23.5% of net sales, compared to $219 million, or 23.2% of net sales, in the same period of 2025. Adjusted operating income was $267 million, or 26.0% of net sales, in the third quarter of 2026 as compared to $242 million, or 25.7% of net sales, in the same period of the prior year. Changes in operating income and operating margin were primarily due to volume growth, the impact of acquisitions, favorable price realization, productivity and a net tariff benefit, partially offset by higher cost inflation and raw material costs.
Electrical Solutions segment net sales in the third quarter of 2026 increased 51% to $845 million compared to $559 million reported in the third quarter of 2025. Organic net sales increased 22% in the quarter, while acquisitions added 29%. Segment operating income in the third quarter of 2026 was $168 million, or 19.8% of net sales, compared to $111 million, or 19.9% of net sales, in the same period of 2025. Adjusted operating income was $210 million, or 24.8% of net sales, in the third quarter of 2026 as compared to $116 million, or 20.8% of net sales, in the same period of the prior year. Changes in operating income and operating margin were driven primarily by volume growth, the impact of acquisitions, favorable price realization, productivity and a net tariff benefit, partially offset by higher cost inflation and raw material costs.
Adjusted diluted EPS in the third quarter of 2026 excluded $0.89 of amortization of acquisition-related intangible assets and $0.08 of transaction, integration & separation costs. Adjusted diluted EPS in the third quarter of 2025 excluded $0.35 of amortization of acquisition-related intangible assets and $0.05 of transaction, integration, & separation costs.
Net cash provided by operating activities was $323 million in the third quarter of 2026 versus net cash provided by operating activities of $284 million in the same period in 2025. Free cash flow was $280 million in the third quarter of 2026 versus $254 million in the comparable period of 2025.
SUMMARY & OUTLOOK
For the full year 2026, Hubbell anticipates total sales growth of 18-19%, including organic sales growth of 10-11%. Hubbell expects 2026 GAAP diluted earnings per share in the range of $17.30 to $17.50 and adjusted diluted earnings per share (“Adjusted EPS”) in the range of $20.40 to $20.60. For the full year, Adjusted EPS excludes amortization of acquisition-related intangible assets, which the Company expects to be approximately $2.50 per share, and transaction, integration, and separation costs, which the Company expects to be approximately $0.60 per share. The Company believes Adjusted EPS is a useful measure of underlying performance in light of our acquisition strategy.
The diluted earnings per share and Adjusted EPS ranges are based on an adjusted tax rate of 22.0% to 22.5% and include approximately $20 million of anticipated restructuring and related investment. The Company expects full year 2026 free cash flow conversion of approximately 90% on adjusted net income.
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