Eaton Corp. reported an increased net income per share, sales and net income compared to the previous year.


Reported net income per share of $1.87 for the third quarter of 2008, was an increase of 9 percent over net income per share of $1.71 in the third quarter of 2007. Sales in the quarter were $4.1 billion, 25 percent above the same period in 2007. Net income was $315 million compared to $258 million in 2007, an increase of 22 percent.

Net income in both periods included charges related to the integration of acquisitions. Before these acquisition integration charges, operating earnings per share in the third quarter of 2008 were $1.95 versus $1.79 in 2007, an increase of 9 percent.

"Our third quarter operating earnings were in the middle of our guidance, despite the global financial instability experienced during the quarter," said Alexander M. Cutler, Eaton chairman and CEO. He noted that sales growth of 25 percent in the quarter consisted of 4 percent from organic growth, 19 percent from acquisitions, and 2 percent from exchange rates. "Our end markets grew by 2 percent this quarter and we outgrew end markets by 2 percent."

The Automotive segment posted third quarter sales of $446 million, down 14 percent from the third quarter of 2007. Automotive unit production in the third quarter declined 6 percent, with North American production down 17 percent and production outside the U.S. up 2 percent compared to the third quarter of 2007.

Operating profits in the third quarter were $18 million. Operating profits before acquisition integration charges were $19 million, down 63 percent compared to the third quarter of 2007.