Hubbell Inc. (NYSE: HUBB) reported Q1 EPS of $1.72, $0.07 better than the analyst estimate of $1.65. Revenue for the quarter came in at $1.08 billion versus the consensus estimate of $1.07 billion.

• Q1 net sales -1% (organic -4%)
• Q1 diluted EPS of $1.42; adjusted diluted EPS of $1.72
• Raise FY21 adjusted diluted EPS to $8.20-$8.60; reported diluted EPS of $6.80-$7.20

"Hubbell achieved year-over-year earnings growth and adjusted operating margin expansion in the first quarter," said Gerben Bakker, President and Chief Executive Officer. "We continue to see improvement in demand across each of our end markets, reflected in sequential sales growth in the quarter, as well as strengthening orders across both segments. In Utility Solutions, renewables projects and grid modernization initiatives in electrical transmission and distribution markets continue to drive strong demand for T&D Components. While Communications & Controls deployments remained affected by project delays as a result of the COVID-19 pandemic, we saw significant order growth in AMI and meters during the first quarter, supporting our expectations for a return to growth over the balance of the full year. In Electrical Solutions, markets continue to steadily improve. Non-residential markets remained stable in the quarter, while light industrial verticals strengthened, driving increased demand for our Connectors & Grounding and Wiring Systems products."

“Operationally, our prior investments in restructuring initiatives are producing sustainable productivity savings and contributing to adjusted operating margin expansion. We also continue to actively manage our cost structure and benefited from lower year-over-year operating expenses in the quarter. While we achieved positive price realization in the quarter, these tailwinds were more than offset by inflationary pressures in commodities and freight."

Mr. Bakker concluded, “Looking ahead, we are confident that our markets are rebounding and that Hubbell is successfully positioned to benefit from near-term economic recovery, as well as long-term electrification and grid modernization megatrends. While we expect inflationary pressures to persist, we have already taken significant pricing and productivity actions, with further initiatives set to be implemented. We also continue to actively manage our cost structure to drive operational efficiencies while ensuring Hubbell's continued ability to provide our customers with safe, reliable and efficient critical infrastructure solutions."

GUIDANCE:

Hubbell Inc. sees FY2021 EPS of $8.20-$8.60, versus the consensus of $8.37.

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