Corrects paragraph 1 and headline to remove references to tariffs; also drops tariff-related paragraph 2
May 2 (Reuters) - Power management company Eaton Corp ETN.N trimmed its 2025 profit forecast on Friday, sending its shares down 3% in premarket trading.
Eaton — which makes electrical components for data centers, EV charging, hydraulic motors, valves and pumps — said its new forecast reflects the impact of tariffs on steel and aluminum imports, 125% levy on China and the baseline 10% duty rate on all imports, among others.
It, however, assumes that the 90-day pause on reciprocal tariffs will be maintained throughout the year.
The Ireland-based company expects 2025 profit to be between $10.29 and $10.69 per share, compared with its previous forecast of $10.60 and $11 per share.
Eaton, which counts companies in the aerospace, vehicle, machine building and utility industries among its customers, also lowered its 2025 segment margins forecast to 24%-24.4% from 24.4%-24.8% projected previously.
It reported an adjusted profit per share of $2.72 during the first quarter, compared with analysts' average estimate of $2.71, according to data compiled by LSEG.
Total revenue for the quarter ended March 31 was $6.38 billion, up 7.3% from a year earlier. Analysts estimated $6.26 billion.
(Reporting by Aishwarya Jain in Bengaluru; Editing by Shilpi Majumdar)
((Aishwarya.Jain@thomsonreuters.com))
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