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As Of Filer Filing For·On·As Docs:Size 8/03/21 Eaton Corp. plc 10-Q 6/30/21 79:10M |
Document/Exhibit Description Pages Size 1: 10-Q Quarterly Report HTML 1.10M 2: EX-31.1 Certification -- §302 - SOA'02 HTML 26K 3: EX-31.2 Certification -- §302 - SOA'02 HTML 26K 4: EX-32.1 Certification -- §906 - SOA'02 HTML 23K 5: EX-32.2 Certification -- §906 - SOA'02 HTML 23K 12: R1 Cover Page HTML 75K 13: R2 Consolidated Statements of Income HTML 106K 14: R3 Consolidated Statements of Comprehensive Income HTML 67K 15: R4 Consolidated Balance Sheets HTML 176K 16: R5 Consolidated Balance Sheets (Parenthetical) HTML 24K 17: R6 Condensed Consolidated Statements of Cash Flows HTML 107K 18: R7 Basis of Presentation HTML 25K 19: R8 Acquisitions and Divestitures of Businesses HTML 93K 20: R9 Revenue Recognition HTML 89K 21: R10 Credit Losses for Receivables HTML 25K 22: R11 Inventory HTML 29K 23: R12 Goodwill HTML 41K 24: R13 Debt HTML 25K 25: R14 Retirement Benefits Plans HTML 78K 26: R15 Legal Contingencies HTML 24K 27: R16 Income Taxes HTML 29K 28: R17 Equity HTML 224K 29: R18 Fair Value Measurements HTML 46K 30: R19 Derivative Financial Instruments and Hedging HTML 239K Activities 31: R20 Restructuring Charges HTML 75K 32: R21 Business Segment Information HTML 81K 33: R22 Basis of Presentation (Policies) HTML 25K 34: R23 Acquisitions and Divestitures of Businesses HTML 87K (Tables) 35: R24 Revenue Recognition (Tables) HTML 87K 36: R25 Inventory (Tables) HTML 30K 37: R26 Goodwill (Tables) HTML 41K 38: R27 Retirement Benefit Plans (Tables) HTML 74K 39: R28 Equity (Tables) HTML 225K 40: R29 Fair Value Measurements (Tables) HTML 43K 41: R30 Derivative Financial Instruments and Hedging HTML 245K Activities (Tables) 42: R31 Restructuring Charges (Tables) HTML 76K 43: R32 Business Segment Information (Tables) HTML 78K 44: R33 ACQUISITIONS AND DIVESTITURES OF BUSINESSES - HTML 96K Narrative (Details) 45: R34 ACQUISITIONS AND DIVESTITURES OF BUSINESSES - HTML 80K Assets Acquired and Liabilities Assumed (Details) 46: R35 ACQUISITIONS AND DIVESTITURES OF BUSINESSES - Sale HTML 85K of Businesses (Details) 47: R36 REVENUE RECOGNITION - Narrative (Details) HTML 33K 48: R37 REVENUE RECOGNITION - Disaggregation of Sales HTML 65K (Details) 49: R38 REVENUE RECOGNITION - Changes in Deferred Revenue HTML 36K Liabilities (Details) 50: R39 CREDIT LOSSES FOR RECEIVABLES - Narrative HTML 24K (Details) 51: R40 INVENTORY - Summary (Details) HTML 30K 52: R41 GOODWILL - Summary (Details) HTML 43K 53: R42 DEBT - Narrative (Details) HTML 66K 54: R43 Retirement Benefit Plans (Details) HTML 61K 55: R44 INCOME TAXES - Effective Tax Rate (Details) HTML 24K 56: R45 INCOME TAXES - Additional Taxes and Penalties HTML 26K (Details) 57: R46 EQUITY - Narrative (Details) HTML 35K 58: R47 EQUITY - Changes in Shareholders' Equity (Details) HTML 98K 59: R48 EQUITY - Changes in Accumulated Other HTML 61K Comprehensive (Loss) Income (Details) 60: R49 EQUITY - Reclassifications Out of Accumulated HTML 58K Other Comprehensive Loss (Details) 61: R50 EQUITY - Calculation of Net Income per Ordinary HTML 56K Share (Details) 62: R51 FAIR VALUE MEASUREMENTS - Financial Instruments at HTML 42K Fair Value (Details) 63: R52 FAIR VALUE MEASUREMENTS - Narrative (Details) HTML 28K 64: R53 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 30K ACTIVITIES - Narrative (Details) 65: R54 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 98K ACTIVITIES - Derivative Financial Instrument Recognized in the Consolidated Balance Sheet (Details) 66: R55 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 35K ACTIVITIES - Volume of Outstanding Commodity Contracts (Details) 67: R56 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 32K ACTIVITIES - Amounts Recorded on Balance Sheet Related to Fixed-to-Floating Interest Rate Swaps (Details) 68: R57 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 64K ACTIVITIES - Impact of Derivatives on Consolidated Statement of Income (Details) 69: R58 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 32K ACTIVITIES - Impact of Derivatives Not Designated as Hedges (Details) 70: R59 DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING HTML 52K ACTIVITIES - Amounts Recognized in Accumulated Other Comprehensive Loss (Details) 71: R60 RESTRUCTURING CHARGES - Narrative (Details) HTML 31K 72: R61 RESTRUCTURING CHARGES - Restructuring Program HTML 36K Charges (Details) 73: R62 RESTRUCTURING CHARGES - Restructuring Program HTML 41K Charges Related to Segments (Details) 74: R63 RESTRUCTURING CHARGES - Liabilities Related to HTML 37K Restructuring (Details) 75: R64 BUSINESS SEGMENT INFORMATION - Summary (Details) HTML 118K 77: XML IDEA XML File -- Filing Summary XML 140K 11: XML XBRL Instance -- etn-20210630_htm XML 3.53M 76: EXCEL IDEA Workbook of Financial Reports XLSX 94K 7: EX-101.CAL XBRL Calculations -- etn-20210630_cal XML 222K 8: EX-101.DEF XBRL Definitions -- etn-20210630_def XML 616K 9: EX-101.LAB XBRL Labels -- etn-20210630_lab XML 1.53M 10: EX-101.PRE XBRL Presentations -- etn-20210630_pre XML 945K 6: EX-101.SCH XBRL Schema -- etn-20210630 XSD 146K 78: JSON XBRL Instance as JSON Data -- MetaLinks 417± 586K 79: ZIP XBRL Zipped Folder -- 0001551182-21-000161-xbrl Zip 304K
etn-20210630 |
i EATON CORPORATION plc | ||
(Exact
name of registrant as specified in its charter) |
i Ireland | i 98-1059235 | ||||||||||||||||
(State or other jurisdiction of incorporation or organization) | (IRS Employer Identification Number) | ||||||||||||||||
i Eaton House, | i 30 Pembroke Road, | i Dublin 4, | i Ireland | i D04 Y0C2 | |||||||||||||
(Address of principal executive offices) | (Zip Code) |
i +353 | i 1637 2900 | ||||||||||||||||||||||||||||||||||
(Registrant's telephone number, including area code) | |||||||||||||||||||||||||||||||||||
Not applicable | |||||||||||||||||||||||||||||||||||
(Former name, former address and former fiscal year if changed since last report) | |||||||||||||||||||||||||||||||||||
Securities registered pursuant to Section 12(b) of the Act: | |||||||||||||||||||||||||||||||||||
Title of each class | Trading Symbol | Name of each exchange on which registered | |||||||||||||||||||||||||||||||||
i Ordinary shares ($0.01 par value) | i ETN | i New York Stock Exchange |
i Large Accelerated Filer | ☑ | Accelerated filer | ☐ | Non-accelerated filer | ☐ | ||||||||||||||||||
Smaller reporting company | i ☐ | Emerging growth company | i ☐ | (Do not check if a smaller reporting company) |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
(In millions except for per share data) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Net sales | $ | i 5,215 | $ | i 3,856 | $ | i 9,907 | $ | i 8,645 | |||||||||||||||
Cost of products sold | i 3,545 | i 2,877 | i 6,729 | i 6,179 | |||||||||||||||||||
Selling and administrative expense | i 876 | i 691 | i 1,671 | i 1,556 | |||||||||||||||||||
Research and development expense | i 154 | i 126 | i 302 | i 279 | |||||||||||||||||||
Interest expense - net | i 37 | i 38 | i 75 | i 72 | |||||||||||||||||||
Gain on sale of business | i — | i — | i — | i 221 | |||||||||||||||||||
Other (income) expense - net | ( i 17) | i 77 | ( i 28) | i 112 | |||||||||||||||||||
Income before income taxes | i 620 | i 47 | i 1,158 | i 668 | |||||||||||||||||||
Income tax expense (benefit) | i 114 | ( i 7) | i 193 | i 176 | |||||||||||||||||||
Net income | i 506 | i 54 | i 965 | i 492 | |||||||||||||||||||
Less net income for noncontrolling interests | i — | ( i 3) | ( i 1) | ( i 3) | |||||||||||||||||||
Net income attributable to Eaton ordinary shareholders | $ | i 506 | $ | i 51 | $ | i 964 | $ | i 489 | |||||||||||||||
Net income per share attributable to Eaton ordinary shareholders | |||||||||||||||||||||||
Diluted | $ | i 1.26 | $ | i 0.13 | $ | i 2.40 | $ | i 1.20 | |||||||||||||||
Basic | i 1.27 | i 0.13 | i 2.42 | i 1.21 | |||||||||||||||||||
Weighted-average number of ordinary shares outstanding | |||||||||||||||||||||||
Diluted | i 401.4 | i 401.3 | i 401.2 | i 406.2 | |||||||||||||||||||
Basic | i 398.8 | i 400.4 | i 398.6 | i 404.8 | |||||||||||||||||||
Cash dividends declared per ordinary share | $ | i 0.76 | $ | i 0.73 | $ | i 1.52 | $ | i 1.46 |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
(In millions) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Net income | $ | i 506 | $ | i 54 | $ | i 965 | $ | i 492 | |||||||||||||||
Less net income for noncontrolling interests | i — | ( i 3) | ( i 1) | ( i 3) | |||||||||||||||||||
Net income attributable to Eaton ordinary shareholders | i 506 | i 51 | i 964 | i 489 | |||||||||||||||||||
Other comprehensive income (loss), net of tax | |||||||||||||||||||||||
Currency translation and related hedging instruments | i 80 | i 116 | ( i 92) | ( i 493) | |||||||||||||||||||
Pensions and other postretirement benefits | i 161 | i 26 | i 208 | i 112 | |||||||||||||||||||
Cash flow hedges | ( i 47) | i 15 | i 48 | ( i 138) | |||||||||||||||||||
Other
comprehensive income (loss) attributable to Eaton ordinary shareholders | i 194 | i 157 | i 164 | ( i 519) | |||||||||||||||||||
Total
comprehensive income (loss) attributable to Eaton ordinary shareholders | $ | i 700 | $ | i 208 | $ | i 1,128 | $ | ( i 30) |
(In millions) | June
30, 2021 | December 31, 2020 | |||||||||
Assets | |||||||||||
Current assets | |||||||||||
Cash | $ | i 279 | $ | i 438 | |||||||
Short-term investments | i 261 | i 664 | |||||||||
Accounts receivable - net | i 3,341 | i 2,904 | |||||||||
Inventory | i 2,668 | i 2,109 | |||||||||
Assets held for sale | i 2,604 | i 2,487 | |||||||||
Prepaid expenses and other current assets | i 636 | i 576 | |||||||||
Total current assets | i 9,789 | i 9,178 | |||||||||
Property, plant and equipment | |||||||||||
Land and buildings | i 2,259 | i 2,184 | |||||||||
Machinery and equipment | i 5,557 | i 5,404 | |||||||||
Gross property, plant and equipment | i 7,816 | i 7,588 | |||||||||
Accumulated depreciation | ( i 4,758) | ( i 4,624) | |||||||||
Net property, plant and equipment | i 3,058 | i 2,964 | |||||||||
Other noncurrent assets | |||||||||||
Goodwill | i 14,880 | i 12,903 | |||||||||
Other intangible assets | i 6,195 | i 4,175 | |||||||||
Operating lease assets | i 470 | i 428 | |||||||||
Deferred income taxes | i 445 | i 426 | |||||||||
Other assets | i 1,967 | i 1,750 | |||||||||
Total assets | $ | i 36,804 | $ | i 31,824 | |||||||
Liabilities and shareholders’ equity | |||||||||||
Current liabilities | |||||||||||
Short-term debt | $ | i 3,373 | $ | i 1 | |||||||
Current portion of long-term debt | i 8 | i 1,047 | |||||||||
Accounts payable | i 2,484 | i 1,987 | |||||||||
Accrued compensation | i 425 | i 351 | |||||||||
Liabilities held for sale | i 527 | i 468 | |||||||||
Other current liabilities | i 2,089 | i 2,027 | |||||||||
Total current liabilities | i 8,906 | i 5,881 | |||||||||
Noncurrent liabilities | |||||||||||
Long-term debt | i 8,721 | i 7,010 | |||||||||
Pension liabilities | i 1,085 | i 1,588 | |||||||||
Other postretirement benefits liabilities | i 322 | i 330 | |||||||||
Operating lease liabilities | i 366 | i 326 | |||||||||
Deferred income taxes | i 494 | i 277 | |||||||||
Other noncurrent liabilities | i 1,460 | i 1,439 | |||||||||
Total noncurrent liabilities | i 12,448 | i 10,970 | |||||||||
Shareholders’ equity | |||||||||||
Ordinary shares ( i 398.6 million outstanding in 2021 and i 398.1
million in 2020) | i 4 | i 4 | |||||||||
Capital in excess of par value | i 12,368 | i 12,329 | |||||||||
Retained earnings | i 7,068 | i 6,794 | |||||||||
Accumulated other comprehensive loss | ( i 4,031) | ( i 4,195) | |||||||||
Shares held in trust | ( i 1) | ( i 2) | |||||||||
Total Eaton shareholders’ equity | i 15,408 | i 14,930 | |||||||||
Noncontrolling interests | i 42 | i 43 | |||||||||
Total equity | i 15,450 | i 14,973 | |||||||||
Total liabilities and equity | $ | i 36,804 | $ | i 31,824 |
Six months ended
June 30 | |||||||||||
(In millions) | 2021 | 2020 | |||||||||
Operating activities | |||||||||||
Net income | $ | i 965 | $ | i 492 | |||||||
Adjustments to reconcile to net cash provided by operating activities | |||||||||||
Depreciation and amortization | i 437 | i 397 | |||||||||
Deferred income taxes | ( i 73) | i 32 | |||||||||
Pension and other postretirement benefits expense | i 27 | i 109 | |||||||||
Contributions to pension plans | ( i 268) | ( i 65) | |||||||||
Contributions to other postretirement benefits plans | ( i 13) | ( i 9) | |||||||||
Gain on sale of business | i — | ( i 91) | |||||||||
Changes in working capital | ( i 169) | i 95 | |||||||||
Other - net | ( i 9) | i 120 | |||||||||
Net cash provided by operating activities | i 897 | i 1,080 | |||||||||
Investing activities | |||||||||||
Capital expenditures for property, plant and equipment | ( i 272) | ( i 202) | |||||||||
Cash paid for acquisitions of businesses, net of cash acquired | ( i 4,500) | ( i 195) | |||||||||
Proceeds from sale of business | i — | i 1,408 | |||||||||
Investments in associate companies | ( i 122) | ( i 15) | |||||||||
Sales of short-term investments - net | i 401 | i 4 | |||||||||
Proceeds from (payments for) settlement of currency exchange contracts not designated as hedges - net | i 30 | ( i 82) | |||||||||
Other - net | ( i 20) | ( i 18) | |||||||||
Net cash provided by (used in) investing activities | ( i 4,483) | i 900 | |||||||||
Financing activities | |||||||||||
Proceeds from borrowings | i 1,798 | i — | |||||||||
Payments on borrowings | ( i 1,009) | ( i 5) | |||||||||
Short-term debt, net | i 3,380 | ( i 116) | |||||||||
Cash dividends paid | ( i 613) | ( i 592) | |||||||||
Exercise of employee stock options | i 31 | i 17 | |||||||||
Repurchase of shares | ( i 76) | ( i 1,300) | |||||||||
Employee taxes paid from shares withheld | ( i 44) | ( i 34) | |||||||||
Other - net | ( i 14) | ( i 4) | |||||||||
Net cash provided by (used in) financing activities | i 3,453 | ( i 2,034) | |||||||||
Effect of currency on cash | ( i 13) | ( i 22) | |||||||||
Less: Increase in cash classified as held for sale | ( i 13) | ( i 2) | |||||||||
Decrease in cash | ( i 159) | ( i 78) | |||||||||
Cash at the beginning of the period | i 438 | i 370 | |||||||||
Cash at the end of the period | $ | i 279 | $ | i 292 |
Preliminary Allocation | Measurement Period Adjustments | Adjusted Preliminary Allocation | ||||||||||||||||||||||||
Short-term investments | $ | i 5 | $ | — | $ | i 5 | ||||||||||||||||||||
Accounts receivable | i 94 | — | i 94 | |||||||||||||||||||||||
Inventory | i 184 | — | i 184 | |||||||||||||||||||||||
Prepaid expenses and other current assets | i 6 | ( i 1) | i 5 | |||||||||||||||||||||||
Property, plant and equipment | i 6 | — | i 6 | |||||||||||||||||||||||
Other intangible assets | i 630 | — | i 630 | |||||||||||||||||||||||
Accounts payable | ( i 13) | — | ( i 13) | |||||||||||||||||||||||
Other current liabilities | ( i 32) | ( i 2) | ( i 34) | |||||||||||||||||||||||
Other noncurrent liabilities | ( i 157) | i 10 | ( i 147) | |||||||||||||||||||||||
Total identifiable net assets | i 723 | i 7 | i 730 | |||||||||||||||||||||||
Goodwill | i 928 | ( i 7) | i 921 | |||||||||||||||||||||||
Total consideration, net of cash received | $ | i 1,651 | $ | i — | $ | i 1,651 |
June 1, 2021 | ||||||||||||||
Accounts receivable | $ | i 84 | ||||||||||||
Inventory | i 179 | |||||||||||||
Prepaid expenses and other current assets | i 45 | |||||||||||||
Property, plant and equipment | i 86 | |||||||||||||
Other intangible assets | i 1,575 | |||||||||||||
Other assets | i 19 | |||||||||||||
Accounts payable | ( i 40) | |||||||||||||
Other current liabilities | ( i 159) | |||||||||||||
Other noncurrent liabilities | ( i 77) | |||||||||||||
Total identifiable net assets | i 1,712 | |||||||||||||
Goodwill | i 1,088 | |||||||||||||
Total consideration, net of cash received | $ | i 2,800 |
June 30, 2021 | December 31, 2020 | |||||||||||||
Cash | $ | i 13 | $ | i — | ||||||||||
Accounts receivable - net | i 389 | i 345 | ||||||||||||
Inventory | i 419 | i 369 | ||||||||||||
Prepaid expenses and other current assets | i 14 | i 18 | ||||||||||||
Net property, plant and equipment | i 529 | i 504 | ||||||||||||
Goodwill | i 909 | i 920 | ||||||||||||
Other intangible assets | i 246 | i 248 | ||||||||||||
Operating lease assets | i 66 | i 61 | ||||||||||||
Deferred income taxes | i 1 | i 6 | ||||||||||||
Other noncurrent assets | i 18 | i 16 | ||||||||||||
Assets held for sale - current | $ | i 2,604 | $ | i 2,487 | ||||||||||
Accounts payable | $ | i 293 | $ | i 241 | ||||||||||
Accrued compensation | i 28 | i 26 | ||||||||||||
Other current liabilities | i 111 | i 101 | ||||||||||||
Pension liabilities | i 59 | i 60 | ||||||||||||
Operating lease liabilities | i 30 | i 35 | ||||||||||||
Deferred income taxes | i 3 | i 3 | ||||||||||||
Other noncurrent liabilities | i 3 | i 2 | ||||||||||||
Liabilities held for sale - current | $ | i 527 | $ | i 468 |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Electrical Americas | |||||||||||||||||||||||
Products | $ | i 555 | $ | i 439 | $ | i 1,075 | $ | i 1,163 | |||||||||||||||
Systems | i 1,294 | i 1,051 | i 2,396 | i 2,115 | |||||||||||||||||||
Total | $ | i 1,849 | $ | i 1,490 | $ | i 3,471 | $ | i 3,278 | |||||||||||||||
Electrical Global | |||||||||||||||||||||||
Products | $ | i 846 | $ | i 598 | $ | i 1,559 | $ | i 1,255 | |||||||||||||||
Systems | i 572 | i 513 | i 1,112 | i 1,000 | |||||||||||||||||||
Total | $ | i 1,418 | $ | i 1,111 | $ | i 2,671 | $ | i 2,255 | |||||||||||||||
Hydraulics | |||||||||||||||||||||||
United States | $ | i 235 | $ | i 183 | $ | i 457 | $ | i 410 | |||||||||||||||
Rest of World | i 325 | i 228 | i 664 | i 508 | |||||||||||||||||||
Total | $ | i 560 | $ | i 411 | $ | i 1,121 | $ | i 918 | |||||||||||||||
Aerospace | |||||||||||||||||||||||
Original Equipment Manufacturers | $ | i 239 | $ | i 199 | $ | i 447 | $ | i 524 | |||||||||||||||
Aftermarket | i 191 | i 149 | i 337 | i 369 | |||||||||||||||||||
Industrial and Other | i 195 | i 113 | i 360 | i 248 | |||||||||||||||||||
Total | $ | i 625 | $ | i 461 | $ | i 1,144 | $ | i 1,141 | |||||||||||||||
Vehicle | |||||||||||||||||||||||
Commercial | $ | i 384 | $ | i 166 | $ | i 726 | $ | i 458 | |||||||||||||||
Passenger and Light Duty | i 291 | i 161 | i 603 | i 467 | |||||||||||||||||||
Total | $ | i 675 | $ | i 327 | $ | i 1,329 | $ | i 925 | |||||||||||||||
eMobility | $ | i 88 | $ | i 56 | $ | i 171 | $ | i 128 | |||||||||||||||
Total net sales | $ | i 5,215 | $ | i 3,856 | $ | i 9,907 | $ | i 8,645 |
Deferred Revenue | |||||
Balance at January 1, 2021 | $ | i 257 | |||
Customer deposits and billings | i 570 | ||||
Revenue recognized in the period | ( i 545) | ||||
Deferred revenue from business acquisitions | i 99 | ||||
Translation and other | ( i 3) | ||||
Balance at June 30, 2021 | $ | i 378 |
Deferred Revenue | |||||
Balance at January 1, 2020 | $ | i 234 | |||
Customer deposits and billings | i 464 | ||||
Revenue recognized in the period | ( i 459) | ||||
Translation | ( i 1) | ||||
Deferred revenue reclassified to held for sale | ( i 11) | ||||
Balance at June 30, 2020 | $ | i 227 |
June 30, 2021 | December 31, 2020 | ||||||||||
Raw materials | $ | i 987 | $ | i 803 | |||||||
Work-in-process | i 595 | i 498 | |||||||||
Finished goods | i 1,086 | i 808 | |||||||||
Total inventory | $ | i 2,668 | $ | i 2,109 |
January
1, 2021 | Additions | Translation | June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
Electrical Americas | $ | i 6,456 | $ | i 921 | $ | i 3 | $ | i 7,380 | ||||||||||||||||||||||||||||||||||||
Electrical Global | i 4,295 | i 64 | ( i 60) | i 4,299 | ||||||||||||||||||||||||||||||||||||||||
Aerospace | i 1,777 | i 1,088 | ( i 37) | i 2,828 | ||||||||||||||||||||||||||||||||||||||||
Vehicle | i 293 | i — | ( i 1) | i 292 | ||||||||||||||||||||||||||||||||||||||||
eMobility | i 82 | i — | ( i 1) | i 81 | ||||||||||||||||||||||||||||||||||||||||
Total | $ | i 12,903 | $ | i 2,073 | $ | ( i 96) | $ | i 14,880 |
United
States pension benefit expense (income) | Non-United States pension benefit expense (income) | Other postretirement benefits expense (income) | |||||||||||||||||||||||||||||||||
Three months ended June 30 | |||||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||
Service cost | $ | i 10 | $ | i 24 | $ | i 19 | $ | i 18 | $ | i — | $ | i 1 | |||||||||||||||||||||||
Interest cost | i 16 | i 26 | i 11 | i 11 | i 1 | i 2 | |||||||||||||||||||||||||||||
Expected return on plan assets | ( i 55) | ( i 58) | ( i 30) | ( i 27) | i — | i — | |||||||||||||||||||||||||||||
Amortization | i 10 | i 26 | i 18 | i 14 | i — | ( i 3) | |||||||||||||||||||||||||||||
( i 19) | i 18 | i 18 | i 16 | i 1 | i — | ||||||||||||||||||||||||||||||
Settlements and special termination benefits | i 12 | i 18 | i 1 | i 3 | i — | i — | |||||||||||||||||||||||||||||
Total expense (income) | $ | ( i 7) | $ | i 36 | $ | i 19 | $ | i 19 | $ | i 1 | $ | i — | |||||||||||||||||||||||
United
States pension benefit expense (income) | Non-United States pension benefit expense (income) | Other postretirement benefits expense (income) | |||||||||||||||||||||||||||||||||
Six months ended June 30 | |||||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||
Service cost | $ | i 20 | $ | i 48 | $ | i 38 | $ | i 36 | $ | i — | $ | i 1 | |||||||||||||||||||||||
Interest cost | i 33 | i 52 | i 21 | i 22 | i 3 | i 4 | |||||||||||||||||||||||||||||
Expected return on plan assets | ( i 111) | ( i 115) | ( i 60) | ( i 54) | i — | i — | |||||||||||||||||||||||||||||
Amortization | i 20 | i 51 | i 37 | i 29 | ( i 1) | ( i 6) | |||||||||||||||||||||||||||||
( i 38) | i 36 | i 36 | i 33 | i 2 | ( i 1) | ||||||||||||||||||||||||||||||
Settlements, curtailments and special termination benefits | i 26 | i 35 | i 1 | i 6 | i — | i — | |||||||||||||||||||||||||||||
Total expense (income) | $ | ( i 12) | $ | i 71 | $ | i 37 | $ | i 39 | $ | i 2 | $ | ( i 1) |
Ordinary shares | Capital in excess of par value | Retained earnings | Accumulated other comprehensive loss | Shares held in trust | Total Eaton shareholders' equity | Noncontrolling interests | Total equity | ||||||||||||||||||||||||||||||||||||||||||||||
(In millions) | Shares | Dollars | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2021 | i 398.1 | $ | i 4 | $ | i 12,329 | $ | i 6,794 | $ | ( i 4,195) | $ | ( i 2) | $ | i 14,930 | $ | i 43 | $ | i 14,973 | ||||||||||||||||||||||||||||||||||||
Net income | — | — | — | i 458 | — | — | i 458 | i 1 | i 459 | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | ( i 30) | ( i 30) | — | ( i 30) | |||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends paid and accrued | — | — | — | ( i 309) | — | — | ( i 309) | — | ( i 309) | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of shares under equity-based compensation plans | i 0.9 | — | i 6 | ( i 1) | — | — | i 5 | — | i 5 | ||||||||||||||||||||||||||||||||||||||||||||
Changes in noncontrolling interest of consolidated subsidiaries - net | — | — | — | — | — | — | — | ( i 2) | ( i 2) | ||||||||||||||||||||||||||||||||||||||||||||
Repurchase of shares | ( i 0.5) | — | — | ( i 59) | — | — | ( i 59) | — | ( i 59) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2021 | i 398.5 | $ | i 4 | $ | i 12,335 | $ | i 6,883 | $ | ( i 4,225) | $ | ( i 2) | $ | i 14,995 | $ | i 42 | $ | i 15,037 | ||||||||||||||||||||||||||||||||||||
Net income | — | — | — | i 506 | — | — | i 506 | i — | i 506 | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | i 194 | i 194 | i 194 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends paid | — | — | — | ( i 304) | — | — | ( i 304) | i — | ( i 304) | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of shares under equity-based compensation plans | i 0.2 | — | i 33 | i — | — | i 1 | i 34 | — | i 34 | ||||||||||||||||||||||||||||||||||||||||||||
Repurchase of shares | ( i 0.1) | — | — | ( i 17) | — | — | ( i 17) | — | ( i 17) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | i 398.6 | $ | i 4 | $ | i 12,368 | $ | i 7,068 | $ | ( i 4,031) | $ | ( i 1) | $ | i 15,408 | $ | i 42 | $ | i 15,450 | ||||||||||||||||||||||||||||||||||||
Ordinary shares | Capital in excess of par value | Retained earnings | Accumulated other comprehensive loss | Shares held in trust | Total Eaton shareholders' equity | Noncontrolling interests | Total equity | ||||||||||||||||||||||||||||||||||||||||||||||
(In millions) | Shares | Dollars | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2020 | i 413.3 | $ | i 4 | $ | i 12,200 | $ | i 8,170 | $ | ( i 4,290) | $ | ( i 2) | $ | i 16,082 | $ | i 51 | $ | i 16,133 | ||||||||||||||||||||||||||||||||||||
Net income | — | — | — | i 438 | — | — | i 438 | — | i 438 | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss, net of tax | ( i 676) | ( i 676) | — | ( i 676) | |||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends paid and accrued | — | — | — | ( i 300) | — | — | ( i 300) | ( i 5) | ( i 305) | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of shares under equity-based compensation plans | i 0.9 | — | i 3 | ( i 1) | — | ( i 1) | i 1 | — | i 1 | ||||||||||||||||||||||||||||||||||||||||||||
Changes in noncontrolling interest of consolidated subsidiaries - net | — | — | — | — | — | — | — | ( i 3) | ( i 3) | ||||||||||||||||||||||||||||||||||||||||||||
Repurchase of shares | ( i 14.2) | — | — | ( i 1,300) | — | — | ( i 1,300) | — | ( i 1,300) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2020 | i 400.0 | $ | i 4 | $ | i 12,203 | $ | i 7,007 | $ | ( i 4,966) | $ | ( i 3) | $ | i 14,245 | $ | i 43 | $ | i 14,288 | ||||||||||||||||||||||||||||||||||||
Net income | — | — | — | i 51 | — | — | i 51 | i 3 | i 54 | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | i 157 | i 157 | — | i 157 | |||||||||||||||||||||||||||||||||||||||||||||||||
Cash dividends paid | — | — | — | ( i 292) | — | — | ( i 292) | ( i 1) | ( i 293) | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of shares under equity-based compensation plans | i 0.1 | — | i 25 | i 1 | — | i 1 | i 27 | — | i 27 | ||||||||||||||||||||||||||||||||||||||||||||
Changes in noncontrolling interest of consolidated subsidiaries - net | — | — | — | — | — | — | — | i 2 | i 2 | ||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2020 | i 400.1 | $ | i 4 | $ | i 12,228 | $ | i 6,767 | $ | ( i 4,809) | $ | ( i 2) | $ | i 14,188 | $ | i 47 | $ | i 14,235 | ||||||||||||||||||||||||||||||||||||
Currency translation and related hedging instruments | Pensions and other postretirement benefits | Cash flow hedges | Total | ||||||||||||||||||||
Balance at January 1, 2021 | $ | ( i 2,647) | $ | ( i 1,481) | $ | ( i 67) | $ | ( i 4,195) | |||||||||||||||
Other
comprehensive income (loss) before reclassifications | ( i 92) | i 143 | i 48 | i 99 | |||||||||||||||||||
Amounts
reclassified from Accumulated other comprehensive loss (income) | i — | i 65 | i — | i 65 | |||||||||||||||||||
Net
current-period Other comprehensive income (loss) | ( i 92) | i 208 | i 48 | i 164 | |||||||||||||||||||
Balance at June 30, 2021 | $ | ( i 2,739) | $ | ( i 1,273) | $ | ( i 19) | $ | ( i 4,031) |
Six months ended June 30, 2021 | Consolidated statements of income classification | ||||||||||
Amortization
of defined benefit pensions and other postretirement benefits items | |||||||||||
Actuarial loss and prior service cost | $ | ( i 83) | 1 | ||||||||
Tax benefit | i 18 | ||||||||||
Total, net of tax | ( i 65) | ||||||||||
Gains and (losses) on cash flow hedges | |||||||||||
Currency exchange contracts | ( i 5) | Net sales and Cost of products sold | |||||||||
Commodity contracts | i 5 | Cost of products sold | |||||||||
Tax expense | i — | ||||||||||
Total, net of tax | i — | ||||||||||
Total reclassifications for the period | $ | ( i 65) |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
(Shares in millions) | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||
Net income attributable to Eaton ordinary shareholders | $ | i 506 | $ | i 51 | $ | i 964 | $ | i 489 | |||||||||||||||
Weighted-average number of ordinary shares outstanding - diluted | i 401.4 | i 401.3 | i 401.2 | i 406.2 | |||||||||||||||||||
Less dilutive effect of equity-based compensation | i 2.6 | i 0.9 | i 2.6 | i 1.4 | |||||||||||||||||||
Weighted-average number of ordinary shares outstanding - basic | i 398.8 | i 400.4 | i 398.6 | i 404.8 | |||||||||||||||||||
Net income per share attributable to Eaton ordinary shareholders | |||||||||||||||||||||||
Diluted | $ | i 1.26 | $ | i 0.13 | $ | i 2.40 | $ | i 1.20 | |||||||||||||||
Basic | i 1.27 | i 0.13 | i 2.42 | i 1.21 |
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||
Cash | $ | i 279 | $ | i 279 | $ | i — | $ | i — | |||||||||||||||
Short-term investments | i 261 | i 261 | i — | i — | |||||||||||||||||||
Net derivative contracts | i 42 | i — | i 42 | i — | |||||||||||||||||||
Contingent consideration from acquisition of Green Motion (Note 2) | ( i 56) | i — | i — | ( i 56) | |||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||
Cash | $ | i 438 | $ | i 438 | $ | i — | $ | i — | |||||||||||||||
Short-term investments | i 664 | i 664 | i — | i — | |||||||||||||||||||
Net derivative contracts | i 31 | i — | i 31 | i — |
Notional amount | Other current assets | Other
noncurrent assets | Other current liabilities | Other noncurrent liabilities | Type of hedge | Term | |||||||||||||||||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedges | |||||||||||||||||||||||||||||||||||||||||
Fixed-to-floating interest rate swaps | $ | i 1,800 | $ | i — | $ | i 76 | $ | i — | $ | i — | Fair value | i 1 to i 13 years | |||||||||||||||||||||||||||||
Forward
starting floating-to-fixed interest rate swaps | i 950 | i — | i 39 | i — | i 69 | Cash flow | i 11 to i 31 years | ||||||||||||||||||||||||||||||||||
Currency exchange contracts | i 1,337 | i 16 | i 6 | i 17 | i 1 | Cash flow | i 1 to i 36 months | ||||||||||||||||||||||||||||||||||
Commodity contracts | i 31 | i 4 | i — | i 1 | i — | Cash flow | i 1 to i 12 months | ||||||||||||||||||||||||||||||||||
Total | $ | i 20 | $ | i 121 | $ | i 18 | $ | i 70 | |||||||||||||||||||||||||||||||||
Derivatives
not designated as hedges | |||||||||||||||||||||||||||||||||||||||||
Currency exchange contracts | $ | i 5,894 | $ | i 14 | $ | i 27 | i 1
to i 12 months | ||||||||||||||||||||||||||||||||||
Commodity contracts | i 27 | i 2 | i — | i 1
month | |||||||||||||||||||||||||||||||||||||
Total | $ | i 16 | $ | i 27 | |||||||||||||||||||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedges | |||||||||||||||||||||||||||||||||||||||||
Fixed-to-floating
interest rate swaps | $ | i 2,075 | $ | i 2 | $ | i 100 | $ | i — | $ | i — | Fair value | i 6 months to i 14 years | |||||||||||||||||||||||||||||
Forward
starting floating-to-fixed interest rate swaps | i 900 | i — | i 17 | i — | i 108 | Cash flow | i 12 to i 32 years | ||||||||||||||||||||||||||||||||||
Currency exchange contracts | i 946 | i 20 | i 6 | i 20 | i 1 | Cash flow | i 1 to i 36 months | ||||||||||||||||||||||||||||||||||
Commodity contracts | i 24 | i 4 | i — | i — | i — | Cash flow | i 1 to i 12 months | ||||||||||||||||||||||||||||||||||
Total | $ | i 26 | $ | i 123 | $ | i 20 | $ | i 109 | |||||||||||||||||||||||||||||||||
Derivatives
not designated as hedges | |||||||||||||||||||||||||||||||||||||||||
Currency exchange contracts | $ | i 5,227 | $ | i 43 | $ | i 34 | i 1
to i 12 months | ||||||||||||||||||||||||||||||||||
Commodity contracts | i 18 | i 2 | i — | i 1
month | |||||||||||||||||||||||||||||||||||||
Total | $ | i 45 | $ | i 34 |
Commodity | June 30, 2021 | Term | ||||||||||||||||||||||||
Copper | i 7 | millions of pounds | i 1 to i 12 months | |||||||||||||||||||||||
Gold | i 1,320 | Troy ounces | i 1 to i 12 months | |||||||||||||||||||||||
Carrying amount of the hedged assets (liabilities) | Cumulative amount of fair value hedging adjustment included in the
carrying amount of the hedged asset (liabilities) (a) | ||||||||||||||||||||||||||||
Location on Consolidated Balance Sheets | June 30, 2021 | December 31, 2020 | June 30, 2021 | December 31, 2020 | |||||||||||||||||||||||||
Long-term debt | $ | ( i 2,413) | $ | ( i 2,688) | $ | ( i 111) | $ | ( i 139) |
Three months ended June 30, 2021 | |||||||||||||||||||||||
Net sales | Cost of products sold | Interest expense - net | |||||||||||||||||||||
Amounts from Consolidated Statements of Income | $ | i 5,215 | $ | i 3,545 | $ | i 37 | |||||||||||||||||
Gain (loss) on derivatives designated as cash flow hedges | |||||||||||||||||||||||
Currency exchange contracts | |||||||||||||||||||||||
Hedged item | $ | i 1 | $ | i — | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | ( i 1) | i — | i — | ||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||
Hedged item | $ | i — | $ | ( i 3) | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | i — | i 3 | i — | ||||||||||||||||||||
Gain (loss) on derivatives designated as fair value hedges | |||||||||||||||||||||||
Fixed-to-floating interest rate swaps | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | i 7 | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | ( i 7) | ||||||||||||||||||||
Three months ended June 30, 2020 | |||||||||||||||||||||||
Net sales | Cost of products sold | Interest expense - net | |||||||||||||||||||||
Amounts from Consolidated Statements of Income | $ | i 3,856 | $ | i 2,877 | $ | i 38 | |||||||||||||||||
Gain (loss) on derivatives designated as cash flow hedges | |||||||||||||||||||||||
Currency exchange contracts | |||||||||||||||||||||||
Hedged item | $ | i 5 | $ | i 4 | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | ( i 5) | ( i 4) | i — | ||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | i — | ||||||||||||||||||||
Gain (loss) on derivatives designated as fair value hedges | |||||||||||||||||||||||
Fixed-to-floating interest rate swaps | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | ( i 1) | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | i 1 | ||||||||||||||||||||
Six months ended June 30, 2021 | |||||||||||||||||||||||
Net sales | Cost of products sold | Interest expense - net | |||||||||||||||||||||
Amounts from Consolidated Statements of Income | $ | i 9,907 | $ | i 6,729 | $ | i 75 | |||||||||||||||||
Gain (loss) on derivatives designated as cash flow hedges | |||||||||||||||||||||||
Currency exchange contracts | |||||||||||||||||||||||
Hedged item | $ | i 4 | $ | i 1 | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | ( i 4) | ( i 1) | i — | ||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||
Hedged item | $ | i — | $ | ( i 5) | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | i — | i 5 | i — | ||||||||||||||||||||
Gain (loss) on derivatives designated as fair value hedges | |||||||||||||||||||||||
Fixed-to-floating interest rate swaps | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | i 26 | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | ( i 26) | ||||||||||||||||||||
Six months ended June 30, 2020 | |||||||||||||||||||||||
Net sales | Cost of products sold | Interest expense - net | |||||||||||||||||||||
Amounts from Consolidated Statements of Income | $ | i 8,645 | $ | i 6,179 | $ | i 72 | |||||||||||||||||
Gain (loss) on derivatives designated as cash flow hedges | |||||||||||||||||||||||
Currency exchange contracts | |||||||||||||||||||||||
Hedged item | $ | i 5 | $ | i 1 | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | ( i 5) | ( i 1) | i — | ||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | i — | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | i — | ||||||||||||||||||||
Gain (loss) on derivatives designated as fair value hedges | |||||||||||||||||||||||
Fixed-to-floating interest rate swaps | |||||||||||||||||||||||
Hedged item | $ | i — | $ | i — | $ | ( i 69) | |||||||||||||||||
Derivative designated as hedging instrument | i — | i — | i 69 | ||||||||||||||||||||
Gain (loss) recognized in Consolidated Statements of Income | Consolidated Statements of Income classification | ||||||||||||||||||||||
Three months ended June 30 | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Gain (loss) on derivatives not designated as hedges | |||||||||||||||||||||||
Currency exchange contracts | $ | i 86 | $ | i 46 | Interest expense - net | ||||||||||||||||||
Commodity contracts | i 7 | i 1 | Cost of products sold | ||||||||||||||||||||
Total | $ | i 93 | $ | i 47 |
Gain (loss) recognized in Consolidated Statements of Income | Consolidated Statements of Income classification | ||||||||||||||||||||||
Six months ended June 30 | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Gain (loss) on derivatives not designated as hedges | |||||||||||||||||||||||
Currency exchange contracts | $ | i 23 | $ | ( i 103) | Interest expense - net | ||||||||||||||||||
Commodity contracts | i 9 | i 1 | Cost of products sold | ||||||||||||||||||||
Total | $ | i 32 | $ | ( i 102) |
Gain
(loss) recognized in other comprehensive (loss) income | Location of gain (loss) reclassified from Accumulated other comprehensive loss | Gain (loss) reclassified from Accumulated other comprehensive loss | |||||||||||||||||||||||||||
Three months ended June 30 | Three months ended June 30 | ||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||
Derivatives
designated as cash flow hedges | |||||||||||||||||||||||||||||
Forward starting floating-to-fixed interest rate swaps | $ | ( i 68) | $ | i 11 | Interest expense - net | $ | i — | $ | i — | ||||||||||||||||||||
Currency exchange contracts | i 8 | ( i 3) | Net sales and Cost of products sold | ( i 1) | ( i 9) | ||||||||||||||||||||||||
Commodity contracts | i 2 | i 3 | Cost of products sold | i 3 | i — | ||||||||||||||||||||||||
Non-derivative
designated as net investment hedges | |||||||||||||||||||||||||||||
Foreign currency denominated debt | ( i 40) | ( i 38) | Interest expense - net | i — | i — | ||||||||||||||||||||||||
Total | $ | ( i 98) | $ | ( i 27) | $ | i 2 | $ | ( i 9) | |||||||||||||||||||||
Gain
(loss) recognized in other comprehensive (loss) income | Location of gain (loss) reclassified from Accumulated other comprehensive loss | Gain (loss) reclassified from Accumulated other comprehensive loss | |||||||||||||||||||||||||||
Six months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||
Derivatives
designated as cash flow hedges | |||||||||||||||||||||||||||||
Forward starting floating-to-fixed interest rate swaps | $ | i 61 | $ | ( i 136) | Interest expense - net | $ | i — | $ | i — | ||||||||||||||||||||
Currency exchange contracts | ( i 5) | ( i 45) | Net sales and Cost of products sold | ( i 5) | ( i 6) | ||||||||||||||||||||||||
Commodity contracts | i 5 | i 1 | Cost of products sold | i 5 | i — | ||||||||||||||||||||||||
Non-derivative
designated as net investment hedges | |||||||||||||||||||||||||||||
Foreign currency denominated debt | i 104 | i 5 | Interest expense - net | i — | i — | ||||||||||||||||||||||||
Total | $ | i 165 | $ | ( i 175) | $ | i — | $ | ( i 6) | |||||||||||||||||||||
Three months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Workforce reductions | $ | ( i 2) | $ | i 166 | $ | i — | $ | i 166 | |||||||||||||||
Plant closing and other | i 15 | i 21 | i 29 | i 21 | |||||||||||||||||||
Total before income taxes | i 13 | i 187 | i 29 | i 187 | |||||||||||||||||||
Income tax benefit | i 2 | i 39 | i 6 | i 39 | |||||||||||||||||||
Total after income taxes | $ | i 11 | $ | i 148 | $ | i 23 | $ | i 148 | |||||||||||||||
Per ordinary share - diluted | $ | i 0.03 | $ | i 0.37 | $ | i 0.06 | $ | i 0.37 |
Three months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Electrical Americas | $ | i 3 | $ | i 13 | $ | i 8 | $ | i 13 | |||||||||||||||||||||||||||
Electrical Global | i — | i 51 | i 2 | i 51 | |||||||||||||||||||||||||||||||
Aerospace | i 2 | i 30 | i 3 | i 30 | |||||||||||||||||||||||||||||||
Vehicle | i 5 | i 90 | i 11 | i 90 | |||||||||||||||||||||||||||||||
eMobility | i 1 | i 1 | i 1 | i 1 | |||||||||||||||||||||||||||||||
Corporate | i 2 | i 2 | i 4 | i 2 | |||||||||||||||||||||||||||||||
Total | $ | i 13 | $ | i 187 | $ | i 29 | $ | i 187 |
Workforce reductions | Plant closing and other | Total | |||||||||||||||
Balance at January 1, 2020 | $ | i — | $ | i — | $ | i — | |||||||||||
Liability recognized | i 172 | i 42 | i 214 | ||||||||||||||
Payments, utilization and translation | ( i 33) | ( i 39) | ( i 72) | ||||||||||||||
Balance at December 31, 2020 | i 139 | i 3 | i 142 | ||||||||||||||
Liability recognized | i — | i 29 | i 29 | ||||||||||||||
Payments, utilization and translation | ( i 39) | ( i 18) | ( i 57) | ||||||||||||||
Balance at June 30, 2021 | $ | i 100 | $ | i 14 | $ | i 114 | |||||||||||
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Net sales | |||||||||||||||||||||||
Electrical Americas | $ | i 1,849 | $ | i 1,490 | $ | i 3,471 | $ | i 3,278 | |||||||||||||||
Electrical Global | i 1,418 | i 1,111 | i 2,671 | i 2,255 | |||||||||||||||||||
Hydraulics | i 560 | i 411 | i 1,121 | i 918 | |||||||||||||||||||
Aerospace | i 625 | i 461 | i 1,144 | i 1,141 | |||||||||||||||||||
Vehicle | i 675 | i 327 | i 1,329 | i 925 | |||||||||||||||||||
eMobility | i 88 | i i 56 / | i 171 | i 128 | |||||||||||||||||||
Total net sales | $ | i 5,215 | $ | i 3,856 | $ | i 9,907 | $ | i 8,645 | |||||||||||||||
Segment operating profit (loss) | |||||||||||||||||||||||
Electrical Americas | $ | i 393 | $ | i 308 | $ | i 725 | $ | i 616 | |||||||||||||||
Electrical Global | i 259 | i 178 | i 472 | i 344 | |||||||||||||||||||
Hydraulics | i 73 | i 37 | i 157 | i 92 | |||||||||||||||||||
Aerospace | i 131 | i 68 | i 227 | i 215 | |||||||||||||||||||
Vehicle | i 121 | ( i 21) | i 234 | i 60 | |||||||||||||||||||
eMobility | ( i 6) | ( i 2) | ( i 13) | ( i 1) | |||||||||||||||||||
Total segment operating profit | i 971 | i 568 | i 1,802 | i 1,326 | |||||||||||||||||||
Corporate | |||||||||||||||||||||||
Intangible asset amortization expense | ( i 108) | ( i 88) | ( i 200) | ( i 175) | |||||||||||||||||||
Interest expense - net | ( i 37) | ( i 38) | ( i 75) | ( i 72) | |||||||||||||||||||
Pension and other postretirement benefits income (expense) | i 16 | ( i 12) | i 30 | ( i 20) | |||||||||||||||||||
Restructuring program charges | ( i 13) | ( i 187) | ( i 29) | ( i 187) | |||||||||||||||||||
Other expense - net | ( i 209) | ( i 196) | ( i 370) | ( i 204) | |||||||||||||||||||
Income before income taxes | i 620 | i 47 | i 1,158 | i 668 | |||||||||||||||||||
Income tax expense (benefit) | i 114 | ( i 7) | i 193 | i 176 | |||||||||||||||||||
Net income | i 506 | i 54 | i 965 | i 492 | |||||||||||||||||||
Less net income for noncontrolling interests | i — | ( i 3) | ( i 1) | ( i 3) | |||||||||||||||||||
Net income attributable to Eaton ordinary shareholders | $ | i 506 | $ | i 51 | $ | i 964 | $ | i 489 |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Net sales | $ | 5,215 | $ | 3,856 | $ | 9,907 | $ | 8,645 | |||||||||||||||
Net income attributable to Eaton ordinary shareholders | 506 | 51 | 964 | 489 | |||||||||||||||||||
Net income per share attributable to Eaton ordinary shareholders - diluted | $ | 1.26 | $ | 0.13 | $ | 2.40 | $ | 1.20 |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Acquisition integration, divestiture charges and transaction costs | $ | 87 | $ | 103 | $ | 133 | $ | 235 | |||||||||||||||
Gain
on the sale of the Lighting business | — | — | — | (221) | |||||||||||||||||||
Total before income taxes | 87 | 103 | 133 | 14 | |||||||||||||||||||
Income tax expense (benefit) | (15) | (23) | (24) | 75 | |||||||||||||||||||
Total after income taxes | $ | 72 | $ | 80 | $ | 109 | $ | 89 | |||||||||||||||
Per ordinary share - diluted | $ | 0.18 | $ | 0.20 | $ | 0.27 | $ | 0.22 |
Three
months ended June 30 | Six months ended June 30 | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Intangible asset amortization expense | $ | 108 | $ | 88 | $ | 200 | $ | 175 | |||||||||||||||
Income tax benefit | 7 | 21 | 29 | 41 | |||||||||||||||||||
Total after income taxes | $ | 101 | $ | 67 | $ | 171 | $ | 134 | |||||||||||||||
Per ordinary share - diluted | $ | 0.25 | $ | 0.17 | $ | 0.43 | $ | 0.33 |
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 5,215 | $ | 3,856 | 35 | % | $ | 9,907 | $ | 8,645 | 15 | % | |||||||||||||||||||||||
Gross profit | 1,670 | 979 | 71 | % | 3,178 | 2,466 | 29 | % | |||||||||||||||||||||||||||
Percent of net sales | 32.0 | % | 25.4 | % | 32.1 | % | 28.5 | % | |||||||||||||||||||||||||||
Income before income taxes | 620 | 47 | 1,219 | % | 1,158 | 668 | 73 | % | |||||||||||||||||||||||||||
Net income | 506 | 54 | 837 | % | 965 | 492 | 96 | % | |||||||||||||||||||||||||||
Less net income for noncontrolling interests | — | (3) | (1) | (3) | |||||||||||||||||||||||||||||||
Net income attributable to Eaton ordinary shareholders | 506 | 51 | 892 | % | 964 | 489 | 97 | % | |||||||||||||||||||||||||||
Excluding acquisition and divestiture charges, after-tax | 72 | 80 | 109 | 89 | |||||||||||||||||||||||||||||||
Excluding restructuring program charges, after-tax | 11 | 148 | 23 | 148 | |||||||||||||||||||||||||||||||
Excluding intangible asset amortization expense, after-tax | 101 | 67 | 171 | 134 | |||||||||||||||||||||||||||||||
Adjusted earnings | $ | 690 | $ | 346 | 99 | % | $ | 1,267 | $ | 860 | 47 | % | |||||||||||||||||||||||
Net income per share attributable to Eaton ordinary shareholders - diluted | $ | 1.26 | $ | 0.13 | 869 | % | $ | 2.40 | $ | 1.20 | 100 | % | |||||||||||||||||||||||
Excluding per share impact of acquisition
and divestiture charges, after-tax | 0.18 | 0.20 | 0.27 | 0.22 | |||||||||||||||||||||||||||||||
Excluding per share impact of restructuring program charges, after-tax | 0.03 | 0.37 | 0.06 | 0.37 | |||||||||||||||||||||||||||||||
Excluding per share impact of intangible asset amortization expense, after-tax | 0.25 | 0.17 | 0.43 | 0.33 | |||||||||||||||||||||||||||||||
Adjusted earnings per ordinary share | $ | 1.72 | $ | 0.87 | 98 | % | $ | 3.16 | $ | 2.12 | 49 | % |
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 1,849 | $ | 1,490 | 24 | % | $ | 3,471 | $ | 3,278 | 6 | % | |||||||||||||||||||||||
Operating profit | $ | 393 | $ | 308 | 28 | % | $ | 725 | $ | 616 | 18 | % | |||||||||||||||||||||||
Operating margin | 21.3 | % | 20.7 | % | 20.9 | % | 18.8 | % | |||||||||||||||||||||||||||
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 1,418 | $ | 1,111 | 28 | % | $ | 2,671 | $ | 2,255 | 18 | % | |||||||||||||||||||||||
Operating profit | $ | 259 | $ | 178 | 46 | % | $ | 472 | $ | 344 | 37 | % | |||||||||||||||||||||||
Operating margin | 18.3 | % | 16.0 | % | 17.7 | % | 15.3 | % | |||||||||||||||||||||||||||
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 560 | $ | 411 | 36 | % | $ | 1,121 | $ | 918 | 22 | % | |||||||||||||||||||||||
Operating profit | $ | 73 | $ | 37 | 97 | % | $ | 157 | $ | 92 | 71 | % | |||||||||||||||||||||||
Operating margin | 13.0 | % | 9.0 | % | 14.0 | % | 10.0 | % | |||||||||||||||||||||||||||
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 625 | $ | 461 | 36 | % | $ | 1,144 | $ | 1,141 | — | % | |||||||||||||||||||||||
Operating profit | $ | 131 | $ | 68 | 93 | % | $ | 227 | $ | 215 | 6 | % | |||||||||||||||||||||||
Operating margin | 21.0 | % | 14.8 | % | 19.8 | % | 18.8 | % | |||||||||||||||||||||||||||
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 675 | $ | 327 | 106 | % | $ | 1,329 | $ | 925 | 44 | % | |||||||||||||||||||||||
Operating profit | $ | 121 | $ | (21) | 676 | % | $ | 234 | $ | 60 | 290 | % | |||||||||||||||||||||||
Operating margin | 17.9 | % | (6.4) | % | 17.6 | % | 6.5 | % |
Three months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Net sales | $ | 88 | $ | 56 | 57 | % | $ | 171 | $ | 128 | 34 | % | |||||||||||||||||||||||
Operating profit (loss) | $ | (6) | $ | (2) | (200) | % | $ | (13) | $ | (1) | (1,200) | % | |||||||||||||||||||||||
Operating margin | (6.8) | % | (3.6) | % | (7.6) | % | (0.8) | % |
Three
months ended June 30 | Increase (decrease) | Six months ended June 30 | Increase (decrease) | ||||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||||||||||||
Intangible asset amortization expense | $ | 108 | $ | 88 | 23 | % | $ | 200 | $ | 175 | 14 | % | |||||||||||||||||||||||
Interest expense - net | 37 | 38 | (3) | % | 75 | 72 | 4 | % | |||||||||||||||||||||||||||
Pension and other postretirement benefits (income) expense | (16) | 12 | (233) | % | (30) | 20 | (250) | % | |||||||||||||||||||||||||||
Restructuring program charges | 13 | 187 | (93) | % | 29 | 187 | (84) | % | |||||||||||||||||||||||||||
Other expense - net | 209 | 196 | 7 | % | 370 | 204 | 81 | % | |||||||||||||||||||||||||||
Total corporate expense | $ | 351 | $ | 521 | (33) | % | $ | 644 | $ | 658 | (2) | % |
June 30, 2021 | December
31, 2020 | |||||||||||||
Current assets | $ | 3,987 | $ | 4,031 | ||||||||||
Noncurrent assets | 11,625 | 11,642 | ||||||||||||
Current liabilities | 5,414 | 2,916 | ||||||||||||
Noncurrent liabilities | 10,314 | 9,049 | ||||||||||||
Amounts due to subsidiaries that are non-issuers and non-guarantors - net | 16,128 | 15,938 | ||||||||||||
Six
months ended June 30 | ||||||||||||||
2021 | ||||||||||||||
Net sales | $ | 5,237 | ||||||||||||
Sales to subsidiaries that are non-issuers and non-guarantors | 481 | |||||||||||||
Cost of products sold | 4,399 | |||||||||||||
Expense from subsidiaries that are non-issuers and non-guarantors - net | 194 | |||||||||||||
Net loss | (22) |
Month | Total number of shares purchased | Average price paid per share | Total
number of shares purchased as part of publicly announced plans or programs | Approximate dollar value of shares that may yet be purchased under the plans or programs (in millions) | ||||||||||||||||||||||
April | — | $ | — | — | $ | 2,035 | ||||||||||||||||||||
May | 113,471 | $ | 146.19 | 113,471 | $ | 2,018 | ||||||||||||||||||||
June | — | $ | — | — | $ | 2,018 | ||||||||||||||||||||
Total | 113,471 | $ | 146.19 | 113,471 |
3 (i) | |||||||||||
3 (ii) | |||||||||||
4.1 | |||||||||||
4.2 | |||||||||||
4.3 | |||||||||||
4.4 | |||||||||||
4.5 | |||||||||||
4.6 | |||||||||||
4.7 | |||||||||||
4.8 | Pursuant to Regulation S-K Item 601(b)(4), Eaton agrees to furnish to the SEC, upon request, a copy of the instruments defining the rights of holders of its long-term debt other than those set forth in Exhibits (4.2 - 4.7) hereto | ||||||||||
22 | |||||||||||
31.1 | |||||||||||
31.2 | |||||||||||
32.1 | |||||||||||
32.2 | |||||||||||
101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. * | ||||||||||
101.SCH | XBRL Taxonomy Extension Schema Document * | ||||||||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document * | ||||||||||
101.DEF | XBRL Taxonomy Extension Label Definition Document * | ||||||||||
101.LAB | XBRL Taxonomy Extension Label Linkbase Document * | ||||||||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document * | ||||||||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |
* | Submitted electronically herewith. |
EATON CORPORATION plc | ||||||||||||||
Registrant | ||||||||||||||
Date: | August 3, 2021 | By: | /s/ Thomas B. Okray | |||||||||||
Thomas B. Okray | ||||||||||||||
Principal Financial Officer | ||||||||||||||
(On behalf of the registrant and as Principal Financial Officer) |
This ‘10-Q’ Filing | Date | Other Filings | ||
---|---|---|---|---|
1/1/26 | ||||
11/7/24 | ||||
11/7/23 | ||||
11/17/22 | ||||
Filed on: | 8/3/21 | 4, 8-K | ||
8/2/21 | ||||
For Period end: | 6/30/21 | |||
6/25/21 | ||||
6/1/21 | ||||
5/24/21 | ||||
5/17/21 | 4 | |||
3/31/21 | 10-Q | |||
3/29/21 | ||||
3/22/21 | ||||
3/17/21 | ||||
3/8/21 | 4 | |||
2/24/21 | 10-K | |||
1/1/21 | ||||
12/31/20 | 10-K, 11-K, SD | |||
6/30/20 | 10-Q | |||
3/31/20 | 10-Q | |||
3/2/20 | ||||
2/25/20 | 4 | |||
1/21/20 | 8-K | |||
1/1/20 | ||||
2/27/19 | 10-K, 3, 4, 4/A, IRANNOTICE | |||
9/15/17 | 8-K | |||
7/26/17 | ||||
11/20/12 | 8-K, NO ACT | |||
4/1/94 | ||||
List all Filings |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 5/17/23 Eaton Corp. plc 424B5 2:1.1M Broadridge Fin’l So… Inc 5/15/23 Eaton Corp. plc 424B5 1:1.1M Broadridge Fin’l So… Inc 8/17/22 Eaton Corp. plc 424B5 2:1.2M Broadridge Fin’l So… Inc 8/16/22 Eaton Corp. plc 424B5 1:1.1M Broadridge Fin’l So… Inc 9/15/21 Eaton Corp. plc S-3ASR 9/15/21 12:2.4M |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 4/30/20 Eaton Corp. plc 10-Q 3/31/20 72:10M 2/26/20 Eaton Corp. plc 10-K 12/31/19 143:29M 2/28/18 Eaton Corp. plc 10-K 12/31/17 135:28M 5/01/17 Eaton Corp. plc 8-K:5,9 4/26/17 2:665K 9/06/13 Cooper Bussmann, LLC S-4¶ 61:4M Donnelley … Solutions/FA 11/30/12 Eaton Corp. plc S-8 11/30/12 25:4.3M Donnelley … Solutions/FA 11/26/12 Eaton Corp. plc 8-K:1,2,9 11/20/12 3:917K Donnelley … Solutions/FA |