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BUSINESS SEGMENT INFORMATION
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
BUSINESS SEGMENT INFORMATION BUSINESS SEGMENT INFORMATION
Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker, or decision making group, in deciding how to allocate resources to an individual segment and in assessing performance. The Company's chief operating decision maker is the chairman and chief executive officer. Eaton’s segments are as follows:
Electrical Americas and Electrical Global
The Electrical Americas segment consists of electrical components, industrial components, power distribution and assemblies, residential products, single phase power quality and connectivity, three phase power quality, wiring devices, circuit protection, utility power distribution, power reliability equipment, and services that are primarily produced and sold in North and South America. The Electrical Global segment consists of electrical components, industrial components, power distribution and assemblies, single phase and three phase power quality, and services that are primarily produced and sold outside of North and South America; as well as hazardous duty electrical equipment, emergency lighting, fire detection, intrinsically safe explosion-proof instrumentation, and structural support systems that are produced and sold globally. The principal markets for these segments are industrial, institutional, governmental, utility, commercial, residential and information technology. These products are used wherever there is a demand for electrical power in data centers, utilities, industrial and energy facilities, commercial buildings, apartment and office buildings, hospitals, factories, and residencies. The segments share certain common global customers, but a large number of customers are located regionally. Sales are made through distributors, resellers, and manufacturers’ representatives, as well as directly to original equipment manufacturers, utilities, and certain other end users.
Aerospace
The Aerospace segment is a leading global supplier of aerospace fuel, hydraulics, and pneumatic systems for commercial and military use, as well as filtration systems for industrial applications. Products include hydraulic power generation systems for aerospace applications including pumps, motors, hydraulic power units, hose and fittings, electro-hydraulic pumps; controls and sensing products including valves, cylinders, electronic controls, electromechanical actuators, sensors, aircraft flap and slat systems and nose wheel steering systems; fluid conveyance products, including hose, thermoplastic tubing, fittings, adapters, couplings, sealing and ducting; fuel systems including air-to-air refueling systems, fuel pumps, fuel inerting products, sensors, valves, adapters and regulators; mission systems including oxygen generation system, payload carriages, and thermal management products; high performance interconnect products including wiring connectors and cables. The Aerospace segment also includes filtration systems including hydraulic filters, bag filters, strainers and cartridges; and golf grips. The principal markets for the Aerospace segment are manufacturers of commercial and military aircraft and related after-market customers, as well as industrial applications. These manufacturers and other customers operate globally. Products are sold and serviced through a variety of channels.
Vehicle
The Vehicle segment is a leader in the design, manufacture, marketing, and supply of: drivetrain, powertrain systems and critical components that reduce emissions and improve fuel economy, stability, performance, and safety of cars, light trucks, and commercial vehicles. Products include transmissions and transmission components, clutches, hybrid power systems, superchargers, engine valves and valve actuation systems, locking and limited slip differentials, transmission controls, and fuel vapor components for the global vehicle industry. The principal markets for the Vehicle segment are original equipment manufacturers and aftermarket customers of heavy-, medium-, and light-duty trucks, SUVs, CUVs, passenger cars, construction, and agricultural equipment.
eMobility
The eMobility segment designs, manufactures, markets, and supplies mechanical, electrical, and electronic components and systems that improve the power management and performance of both on-road and off-road vehicles. Products include high voltage inverters, converters, fuses, circuit protection units, vehicle controls, power distribution, fuel tank isolation valves, and commercial vehicle hybrid systems. The principal markets for the eMobility segment are original equipment manufacturers and aftermarket customers of heavy-, medium-, and light-duty trucks, SUVs, CUVs, passenger cars, construction, agriculture, material handling and mining equipment.
Other Information
No single customer represented greater than 10% of net sales in 2024, 2023 or 2022, respectively.
The accounting policies of the business segments are generally the same as the policies described in Note 1, except that, as described further in the following paragraph, certain items are not allocated to the businesses. Intersegment sales and transfers are accounted for at the same prices as if the sales and transfers were made to third parties. These intersegment sales are eliminated in consolidation. Operating profit (loss) includes the operating profit from intersegment sales.
The chief operating decision maker uses segment operating profit (loss) as an input to assess segment performance and determine appropriate resource allocations, including capital, financial, and employee resources. Segment operating profit (loss) results are regularly evaluated versus annual profit plan, forecast and/or prior year.
Other segment items are primarily comprised of Cost of products sold, Selling and administrative expense, Research and development expense, depreciation of property, plant and equipment, and certain items included in Other income - net on the Consolidated Statements of Income. The Company's chief operating decision maker manages these items on a consolidated basis.
Corporate includes all the Company's amortization of intangible assets, interest expense - net and restructuring program charges (Note 17) and the non-service cost portion of pension and other postretirement benefits income. Other expense - net includes all the Company's costs associated with acquisitions, divestitures, and gains and losses on the sale of certain businesses and other items that are of a corporate or functional governance nature. For purposes of business segment performance measurement, a portion of corporate costs, excluding amortization of intangibles assets, acquisition integration and divestiture costs, and restructuring program charges, are allocated to the businesses. These allocations are periodically adjusted to pass on year-over-year cost savings or increases to the businesses in a manner that is consistent with how the chief operating decision maker assesses performance. Identifiable assets of the business segments exclude goodwill, other intangible assets, and general corporate assets, which principally consist of certain cash, short-term investments, deferred income taxes, certain accounts receivable, certain property, plant and equipment, and certain other assets.
Business Segment Information
(In millions)202420232022
Net sales
Electrical Americas$11,436 $10,098 $8,497 
Electrical Global6,248 6,084 5,848 
Aerospace3,744 3,413 3,039 
Vehicle2,790 2,965 2,830 
eMobility662 636 538 
Total net sales$24,878 $23,196 $20,752 
Other segment items
Electrical Americas$7,981 $7,423 $6,584 
Electrical Global5,099 4,908 4,714 
Aerospace2,885 2,633 2,334 
Vehicle2,288 2,483 2,377 
eMobility669 657 547 
Total other segment items$18,919 $18,103 $16,556 
Segment operating profit (loss)
Electrical Americas$3,455 $2,675 $1,913 
Electrical Global1,149 1,176 1,134 
Aerospace859 780 705 
Vehicle502 482 453 
eMobility(7)(21)(9)
Total segment operating profit5,959 5,093 4,196 
Corporate
Intangible asset amortization expense(425)(450)(499)
Interest expense - net(130)(151)(144)
Pension and other postretirement benefits income40 46 43 
Restructuring program charges(202)(57)(33)
Other expense - net(675)(654)(653)
Income before income taxes4,566 3,827 2,911 
Income tax expense768 604 445 
Net income3,798 3,223 2,465 
Less net income for noncontrolling interests(4)(5)(4)
Net income attributable to Eaton ordinary shareholders$3,794 $3,218 $2,462 
(In millions)202420232022
Identifiable assets
Electrical Americas$4,933 $4,163 $3,655 
Electrical Global3,233 2,868 2,658 
Aerospace2,392 2,276 1,859 
Vehicle1,987 2,251 2,230 
eMobility633 563 402 
Total identifiable assets13,178 12,121 10,804 
Goodwill14,713 14,977 14,796 
Other intangible assets4,658 5,091 5,485 
Corporate5,833 6,243 3,929 
Total assets$38,381 $38,432 $35,014 
Capital expenditures for property, plant and equipment
Electrical Americas$362 $309 $181 
Electrical Global163 142 151 
Aerospace83 97 92 
Vehicle94 96 95 
eMobility64 76 52 
Total766 721 571 
Corporate42 36 28 
Total expenditures for property, plant and equipment$808 $757 $598 
Depreciation of property, plant and equipment
Electrical Americas$118 $108 $101 
Electrical Global102 96 94 
Aerospace70 69 64 
Vehicle95 92 89 
eMobility24 21 16 
Total409 386 364 
Corporate37 43 44 
Total depreciation of property, plant and equipment$446 $429 $408 
Geographic Region Information
Net sales are measured based on the geographic destination of sales. Long-lived assets consist of property, plant and equipment - net.
(In millions)202420232022
Net sales
United States$15,151 $14,071 $12,353 
Canada1,058 949 754 
Latin America1,680 1,549 1,504 
Europe4,530 4,339 3,957 
Asia Pacific2,459 2,288 2,185 
Total$24,878 $23,196 $20,752 
Long-lived assets
United States$1,990 $1,773 $1,567 
Canada31 31 25 
Latin America465 476 383 
Europe790 797 711 
Asia Pacific453 453 460 
Total$3,729 $3,530 $3,146