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Industry Segments and Geographic Area Information
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Industry Segments and Geographic Area Information Industry Segments and Geographic Area Information
Nature of Operations
 
The Company is a global manufacturer of quality electrical products and utility solutions for a broad range of customer and end-market applications. Products are either sourced complete, manufactured or assembled by subsidiaries in the United States, Canada, Puerto Rico, China, Mexico, the UK, Brazil, Australia, Spain, Ireland and the Republic of the Philippines. The Company also participates in joint ventures in Hong Kong and the Republic of the Philippines and maintains offices in Singapore, Italy, China, India, Mexico, South Korea, Chile and countries in the Middle East. Each of the above references to manufacturing locations, joint venture participation, and office locations relate to the three year period ending December 31, 2024.
 
The Company’s reporting segments consist of the Utility Solutions segment and the Electrical Solutions segment, as described below. This segment structure reflects the financial information and reports used by the Company’s management, specifically its chief operating decision maker (CODM), to make decisions regarding the Company’s business, including resource allocations and performance assessments, in compliance with ASC 280, Segment Reporting. The Company’s CODM is the Chairman of the Board, President and Chief Executive Officer.

The Company’s method for measuring profitability on a reportable segment basis and used by the CODM to assess performance and allocate resources is operating income. This measure is used to monitor performance compared to prior period, forecasted results, and the annual plan.

The Utility Solutions segment consists of businesses that design, manufacture, and sell a wide variety of electrical distribution, transmission, substation, and telecommunications products, which support applications In Front of the Meter. This includes utility transmission & distribution (T&D) components such as arresters, insulators, connectors, anchors, bushings, enclosures, cutouts and switches. The Utility Solutions segment also offers solutions that serve The Edge of the utility infrastructure, including smart meters, communications systems, and protection and control devices. Hubbell Utility Solutions supports the electrical distribution, electrical transmission, water, gas distribution, telecommunications, and solar and wind markets.
 
Hubbell Electrical Solutions is positioned Behind the Meter, providing key components to building operators and industrial customers that enable them to manage their energy and operate critical infrastructure more efficiently and effectively. The Electrical Solutions segment comprises businesses that sell stock and custom products including standard and special application wiring device products, rough-in electrical products, connector and grounding products, as well as other electrical equipment.

Products of the Electrical Solutions segment have applications in the light industrial, non-residential, wireless communications, transportation, data center, and heavy industrial markets. Electrical Solutions segment products are typically used in and around industrial, commercial and institutional facilities by electrical contractors, maintenance personnel, electricians, utilities, and telecommunications companies. In addition, certain of our businesses design and manufacture industrial controls and communication systems used in the non-residential and industrial markets. Many of these products are designed such that they can also be used in harsh and hazardous locations where a potential for fire and explosion exists due to the presence of flammable gasses and vapors. Harsh and hazardous products are primarily used in the oil and gas (onshore and offshore) and mining industries. We also offer a variety of wiring devices and electrical products that have residential and utility applications.

These products are sold under various brands and/or trademarks and are primarily sold through electrical and industrial distributors, home centers, retail and hardware outlets, and residential product oriented internet sites. Special application products are primarily sold through wholesale distributors to contractors, industrial customers and original equipment manufacturers (“OEMs”).
 
Financial Information
 
Financial information by industry segment, product class and geographic area for each of the three years ended December 31, 2024, 2023 and 2022 is summarized below (in millions). When reading the data the following items should be noted:
 
•Net sales comprise sales to unaffiliated customers — inter-segment and inter-area sales are not significant.
•Segment operating income consists of Net sales less operating expenses, including total corporate expenses, which are generally allocated to each segment on the basis of the segment’s percentage of consolidated Net sales. Interest expense and investment income and other expense, net have not been allocated to segments as these items are centrally managed by the Company.
•General corporate assets not allocated to segments are principally cash, prepaid pensions, investments and deferred taxes. These assets have not been allocated as they are centrally managed by the Company.
INDUSTRY SEGMENT DATA
 202420232022
Net Sales:   
Utility Solutions$3,600.7 $3,261.7 $2,871.1 
Electrical Solutions2,027.8 2,111.2 2,076.8 
TOTAL NET SALES$5,628.5 $5,372.9 $4,947.9 
Cost of Goods Sold:
Utility Solutions$2,420.4 $2,121.6 $2,061.6 
Electrical Solutions1,304.0 1,363.2 1,414.7 
Total Cost of Goods Sold$3,724.4 $3,484.8 $3,476.3 
Gross Profit:
Utility Solutions$1,180.3 $1,140.1 $809.5 
Electrical Solutions723.8 748.0 662.1 
Total Gross Profit$1,904.1 $1,888.1 $1,471.6 
Selling and Administrative Expenses:
Utility Solutions$450.5 $433.5 $371.3 
Electrical Solutions362.0 416.1 391.2 
Total Selling and Administrative Expenses$812.5 $849.6 $762.5 
Operating Income:   
Utility Solutions$729.8 $706.6 $438.2 
Electrical Solutions361.8 331.9 270.9 
Total Operating Income$1,091.6 $1,038.5 $709.1 
Loss on disposition of business (Note 4)(5.3)— — 
Pension charge (Note 12)— — (7.0)
Interest expense, net(73.8)(36.7)(49.6)
Other (expense) income, net(7.2)(18.5)4.5 
INCOME BEFORE INCOME TAXES$1,005.3 $983.3 $657.0 

 202420232022
Assets:   
Utility Solutions$4,478.2 $4,601.1 $3,011.9 
Electrical Solutions1,865.6 1,923.1 1,972.9 
General Corporate335.3 389.8 417.8 
TOTAL ASSETS$6,679.1 $6,914.0 $5,402.6 
Capital Expenditures:   
Utility Solutions$100.3 $97.3 $86.9 
Electrical Solutions75.0 64.8 39.5 
General Corporate5.1 3.6 2.9 
TOTAL CAPITAL EXPENDITURES$180.4 $165.7 $129.3 
Depreciation and Amortization:   
Utility Solutions$164.5 $103.4 $99.2 
Electrical Solutions47.6 46.3 49.3 
TOTAL DEPRECIATION AND AMORTIZATION$212.1 $149.7 $148.5 
 
GEOGRAPHIC AREA DATA
 202420232022
Net Sales:   
United States$5,159.3 $4,922.4 $4,536.4 
International469.2 450.5 411.5 
TOTAL NET SALES$5,628.5 $5,372.9 $4,947.9 
Operating Income:   
United States$1,007.0 $937.0 $598.5 
International84.6 101.5 110.6 
TOTAL OPERATING INCOME$1,091.6 $1,038.5 $709.1 
Long-lived Assets:   
United States$4,128.9 $4,250.7 $2,983.5 
International457.3 488.8 392.3 
TOTAL LONG-LIVED ASSETS$4,586.2 $4,739.5 $3,375.8 

On a geographic basis, the Company defines “international” as operations based outside of the United States and its possessions. As a percentage of total Net sales, shipments from foreign operations directly to third parties were 8% in 2024, 8% in 2023 and 8% in 2022, with Canadian, the UK, and Brazilian operations representing approximately 28%, 26%, and 20% respectively, of 2024 total international Net sales.

Long-lived assets, excluding deferred tax assets, of international subsidiaries were 10% of the consolidated total in 2024, 10% in 2023 and 12% in 2022, with the UK, Brazil, and Spain operations representing approximately 20%, 17%, and 13%, respectively, of the international total in 2024. Export sales from United States operations were $396.0 million in 2024, $345.6 million in 2023 and $253.0 million in 2022.