Electrical Earnings Reports Look Good

The latest round of financial reports from publicly traded electrical manufacturers and distributors showed improving business conditions, and generally sounded a rosy tone in their discussions of near-term expectations.

Hubbell raises growth outlook

Hubbell Inc., Orange, Conn., posted better-than-expected quarterly results, helped by higher demand for industrial products, and raised its 2011 sales growth forecast. The company said it now expects 2011 sales to grow 7%-9%, up from its previous forecast of a 5%-7% growth. Hubbell said it expects the non-residential construction market to decline, but is looking for higher demand for renovation, lighting retrofits and controls to offset that decline. Second-quarter net income was $65.2 million, up from $57.6 million a year ago. Revenue rose 10% to $709.2 million.

T&B earnings up 19%

Thomas & Betts Corp., Memphis, Tenn., reported widespread improvement across its market segments, resulting in consolidated sales of $566.3 million for the second quarter 2011, a 13.3% year-over-year increase. Excluding acquisitions, sales increased 11%. Increased volumes in all segments contributed to the sales increase, the company said. Second quarter 2011 net earnings were $42.5 million, excluding a $4.8 million pre-tax benefit from legal settlements and a $3.1 million pre-tax charge for facility consolidations. In T&B’s Electrical segment, second quarter 2011 sales increased 12.7% to $483.8 million, while the segment’s earnings were $95.5 million excluding facility consolidation charges, or 19.7% of sales in the quarter.

Wesco profits up

Wesco International, Inc., Pittsburgh, reported an 81% increase in second quarter net income of $50.2 million, compared to $27.8 million in the same quarter last year. Sales for the second quarter were up 21% to $1.5 billion compared to $1.3 billion a year ago. Wesco attributed its higher earnings and sales for the quarter partly its acquisition of Potelcom in June 2010, TVC Communications in December 2010 and RECO in March. Those acquisitions contributed 7.4% to sales and 10 cents per share to net income results.

Cooper sees 20% earnings growth

Cooper Industries, Dublin, Ireland, reported income from continuing operations of $161 million for the second quarter of fiscal year 2011, an increase of $26 million, or 19%, from $135 million in the same period last year, while earnings improved 20%. Cooper’s Electrical Products Group revenues increased 10.8% to $617.8 million for the second quarter, driven by energy efficiency products and industrial demand.