Eaton

We make  
  the future work.
2024 Annual Report

2
The electrification of society, reindustrialization and digitalization, along 
with the increase in infrastructure spending and the need to meet green 
regulations around the world – all of these trends are accelerating growth 
in our markets. 
We’re boldly looking ahead to a promising future. Because we make what 
matters work – today and in the decades to come.
Our products and solutions for key end markets 
sit at the intersection of a wide breadth of 
megatrends driving our world forward.

3
EATON 2024 Annual Report 
Powering growth for our stakeholders and the world
To our shareholders: 
When I became CEO of Eaton nine years ago, I identified four 
priority goals: 
•
	To simplify the company – our mission, our areas of focus
and our portfolio.
•
	To benchmark the best and instill high performance
expectations, everywhere.
•
To build a team of highly capable and synergistic leaders.
•
	And to become a high-performing organization that
consistently delivers top tier revenue and earnings growth.
Through the relentless focus of our teams around the world, 
we’ve made tremendous progress. We’ve established a clear 
mission for the company – to improve the environment and the 
quality of life for all people. During the journey, we needed to 
make hard decisions on our areas of focus. So, we streamlined 
our portfolio, narrowed our set of initiatives and increased 
investment in our core. 
We’ve also strengthened our culture by building a team who 
measure themselves against the highest performance standards 
– a team that will never be satisfied with the status quo. And
we identified the next generation of leaders who are ready for
the challenges ahead. The most visible of these appointments is
Paulo Ruiz, who was named president and chief operating officer
of Eaton and will succeed me as chief executive officer later
this year.
Our transformation required us to embrace our role and our 
commitment to accelerating the efficient use of energy by 
building a more electrified world. We’ve transformed our 
business portfolio by shedding slow-growth, volatile and low-
margin businesses while strengthening our Electrical and 
Aerospace businesses. These businesses are well-positioned 
to meet the changing needs of society, while delivering higher 
growth, higher margins and more earnings consistency. And they 
will do so for years to come. They are positioned at the epicenter 
of a growth super cycle driven by some of the most powerful 
megatrends transforming society today: a growing need for 
energy, electrification, digitalization, infrastructure spending and 
reindustrialization. 
Today, Eaton is a growth company, evolving to continue to meet 
our commitments to our shareholders and the changing needs 
of our customers and all our stakeholders. We know who we 
are and what we need to do to get better. And you have our 
commitment that we will never lower the bar. We will continue 
to be our toughest critics, always looking for a higher benchmark, 
always looking to find a better way. For example, we’re not 
satisfied with our growth. Our factories can be more effective. 
And we have not reached our ambitions on free cash flow.   
While some could be overwhelmed by the opportunities to be 
better, our team at Eaton is energized. We’re powering forward 
by making investments in our capabilities, our people and our 
businesses. In 2024, we drove significant transformations within 
our functions and our operations to facilitate collaboration, 
functional excellence and the ability to leverage our scale. We 
invested in strategic growth areas by expanding manufacturing 
capacity and deepened our participation in growing end markets. 
And we did it all the right way – keeping our employees safe, 
upholding the highest ethical standards and protecting the 
environment we all share.   
All of this has allowed us to deliver on our commitments to 
our shareholders every quarter, consistently providing stronger 
returns. The following points highlight additional impacts of our 
transformation, and how we’re preparing for the next phase of 
our growth.
We’ve powered growth for our investors.
We delivered strong financial results in 2024, a result of robust 
demand in our end markets and our team’s successful execution. 

4
EATON 2024 Annual Report 
•	
For the full year 2024, sales were a record $24.9 billion, up  
7% from 2023, with organic sales up 8% and partially offset 
by 1% from negative currency translation.
•	
Earnings per share for 2024 were a record $9.50. Excluding 
charges of $0.84 per share related to intangible amortization, 
$0.40 per share related to a multi-year restructuring program, 
and $0.06 per share related to acquisitions and divestitures, 
adjusted earnings per share were a record $10.80. Both 
earnings per share and adjusted earnings per share were up 
18% over 2023.
•	
Segment margins were 24.0% for 2024, a record and above 
the high end of our latest guidance range. 
•	
Operating cash flow for 2024 was $4.3 billion and free cash 
flow was $3.5 billion, both records and up 19% and 23%, 
respectively, over the same period in 2023.1
In addition, Eaton was identified as a top-performing company for 
investor relations, earning number-one rankings among electrical 
equipment and multi-industrial companies in 2024 from Extel. 
We’ve powered growth for our customers.
•	
We made significant changes to how we run our company, 
continuing to execute transformations in our IT, Finance, 
Engineering and Supply Chain functions, and launching 
Operating for Growth, an initiative aimed at evolving Eaton  
into a world-class manufacturing company.
•	
We deepened our focus on AI, expanding our relationship 
with Palantir Technologies to leverage their AI platform to drive 
productivity and value creation for our customers and within 
our operations, and extending the use of Microsoft 365 Copilot 
to drive efficiency throughout our functions. 
•	
We made significant investments aimed at expanding our 
capacity and strengthening our participation in growing end 
markets, including in Chennai to support the growth of our 
GEIS business; in Puducherry to better serve the data center, 
industrial and utility markets; in Dubai to meet the increasing 
demand for power in the Middle East; and with NordicEPOD 
to supply critical power products to the rapidly expanding 
European data center market.
We’ve powered growth for our people.
•	
We kept the safety of our people a top priority, decreasing our 
total recordable and days-away case rates by 13% and 26%, 
respectively, and reducing severe injuries by 5% over 2023.  
•	
We earned independent recognition for the employee 
experience at Eaton, receiving 28 separate honors for being a 
great place to work.
•	
We stayed focused on doing business right, launching our new 
global ethics ambassador program and celebrating Eaton Ethics 
Week across the enterprise for the second consecutive year.
We’ve powered growth for society.
•	
We made good progress towards our 2030 sustainability 
targets, achieving 83% of our goal to certify 100% of our sites 
zero waste to landfill and marking the certification of 21% of 
Eaton sites zero water discharge, far exceeding our 2030 goal 
of 10%. We added clean energy projects to our operations 
in the U.S., China and France to further reduce our carbon 
emissions; from 2018 through 2023, we reduced emissions 
in our operations by 31% and are on track to hit our 2030 
reduction goal of 50%. 
•	
We showed our commitment to improving our communities, 
donating more than $12 million to support communities 
across the world in 2024 and raising nearly $450,000 for our 
colleagues impacted by natural disasters through our new 
Employee Disaster Relief Fund. 
We’re powering growth for the future.
As we consider our outlook for 2025 and beyond, we believe our 
best days at Eaton are still ahead of us. Our growth will continue 
to be supported by both the powerful megatrends that have fueled 
our progress in recent years – electrification, energy investments, 
digitalization and reindustrialization – and the actions we’re taking 
to outgrow our end markets.   
Our strong performance in 2024 was not only driven by robust 
market demand, but also by our team’s successful execution 
across the enterprise. So, to continue to fully leverage these 
powerful tailwinds, we’ll stay focused on providing unique 
solutions to customers, driving excellence in our functions, and 
delivering world-class performance in our operations.   
In closing
During my time as the leader of Eaton, we’ve seen tremendous 
success as an organization. We’ve become a growth company, 
one of our shareholders’ best investments, and a company driven 
by our mission to improve the environment and the lives of  
people everywhere. 
1 In 2024, free cash flow of $3.5 billion was operating cash flow of $4.3 billion, less capital expenditures of $0.8 billion. In 2023, free cash flow of $2.9 billion was operating cash flow of $3.6 billion, less capital expenditures of $0.8 billion.  

5
EATON 2024 Annual Report 
Yet, the opportunities for us to become better and to 
accelerate our growth are everywhere. We’re embarking  
on a new era as we prepare to welcome our next CEO, 
Paulo Ruiz. As you’ll hear from him, Paulo has the  
passion and vision needed to lead the next evolution  
of our business. 
 
 
 
It’s a new day in the long history of Eaton, and our future has 
never looked more promising.
Craig Arnold
Chairman and CEO
Powering growth for an exciting future
To our shareholders:  
On June 1, 2025, I’ll have the privilege 
of becoming the next leader of Eaton.  
In this role, I look forward to leveraging  
my nearly three decades of global 
leadership experience, the last six of  
which have been spent driving 
performance improvements at Eaton,  
to accelerate our company’s growth. 
What I have learned throughout my career supports my 
conviction that the best years for our company are ahead of 
us. We have transformed ourselves and are well-positioned to 
become the world’s premier power management company, 
defined by market leadership in our core segments and 
breakthrough innovations in emerging technologies. We are 
at the epicenter of the growth super cycle that Craig Arnold 
outlined in his message, driven by megatrends that align 
perfectly with our unique strengths and capabilities.
I admire what Craig has accomplished as CEO and am 
personally grateful for his continued mentorship as he passes 
the torch to me. We are working together to ensure a seamless 
transition that will maintain our momentum.
Despite our recent successes, I’d like to make it clear that 
there is no space for complacency in our culture. We have the 
ambition and the talent to take the company to the next level.
What I also want you to know as an investor is that I am 
focused on driving long-term shareholder value. Our teams 
will deliver this value through accelerated growth, margin 
expansion, and disciplined investment in the future.
My leadership team and I have developed a comprehensive 
strategy to accelerate our growth and expand margins while 
strengthening our powerful brand.  
This strategy centers on three key pillars:
Lead for growth: We’re building a more agile, customer-centric 
organization powered by a winning culture. This means fostering 
innovation, setting industry-leading standards and developing 
our exceptional talent to meet tomorrow’s challenges.
Invest for growth: We’re strategically deploying capital to
expand capacity and to launch innovative products, technologies
and systems that allow us to win in the highest growth markets.
We’re also pursuing strategic M&A opportunities that 
complement our core capabilities.
Execute for growth: We’re elevating our operational excellence
through enhanced manufacturing efficiency, supply chain
optimization and streamlined support functions. By implementing
best-in-class processes and leveraging AI across our organization,
we are driving sustainable margin expansion and delivering
consistent results.
Our strategy builds on our foundation as a global leader in power 
management. Through disciplined capital allocation, operational 
excellence and our deep technical expertise, we will accelerate 
growth and create sustained value for you and all our stakeholders. 
Our vision for the future is clear: to be the partner of choice 
for customers, the employer of choice for talent and the 
investment of choice for shareholders. 
Thank you for your continued confidence in Eaton and the exciting 
future we’re building together.
Paulo Ruiz
President and COO

6
EATON 2024 Annual Report 
Company stock performance
$3.76
$10.80
Adjusted earnings per
ordinary share (Dollars per share)
Up 18% over 2023
Dividends per ordinary share  
(Dollars per share)
Cash flow from operations
(Billions of dollars)
$4.3
Organic sales growth
8%
	
	
	
Net income per share attributable to  
Eaton ordinary shareholders – diluted
 
	 Adjustments
Acquisition and divestiture charges
Restructuring program charges
Intangible asset amortization expense
Adjusted earnings per ordinary share
	 2024	
2023	
2022
	
	
$9.50	
$8.02	
$6.14
	
0.06	
0.10	
0.37
	
0.40	
0.11	
0.07
	
0.84	
0.89	
0.99
	$10.80	
$9.12	
$7.57
Net sales
(Billions of dollars)
$24.9
This graph compares the cumulative total return to shareholders for Eaton, the S&P 500 Index and the S&P 500 Industrials Index. The shareholder returns reflected on the graph assume dividends 
were reinvested as of the ex-dividend date. Source: Bloomberg
Eaton
S&P 500 Index
S&P 500 Industrials Index
2021
2022
2023
2024
2020
YE 2019
$400
$350
$300
$250
$200
$150
$100 
$50 
$0

invested in research & development aligned 
with our Positive Impact Framework 
reduction in Scope 1 and 2 greenhouse gas 
emissions in our operations since 2018
of net sales from solutions that enable  
a more sustainable future
$1.3B
31%
71%
And we’ve made significant progress in 
achieving our 2030 Sustainability Targets.  
In our 2023 Sustainability Report, we reported: 
Leaning forward into a 
sustainable future.
Eaton’s mission, to improve the quality of life and the environment, means 
we’re ideally positioned to help build a sustainable future – one where humans 
thrive, we mitigate the climate crisis, and support responsible development. 
To get there, we are focused on deploying our four-part 
sustainability strategy: 
°	 Creating sustainable solutions
°	 Reducing our footprint
°	 Engaging our employees and communities
°	 Doing business right and transparency
We’re developing climate solutions that accelerate the electrification of 
society – vehicles, airplanes, buildings and communities – and we’re meeting 
the exponential growth in society’s demand for software, data and intelligent 
insights with our digital solutions.
7
EATON 2024 Annual Report 
See our latest Sustainability Report.

8
EATON 2024 Annual Report 
Annual general meeting of shareholders
The company’s 2025 Annual General Meeting of Shareholders will be held at 9:00 a.m., Dublin time, on Wednesday, April 23, 2025, 
at Eaton House, 30 Pembroke Road, Dublin 4, Ireland. Formal notice of the meeting will be made available on or about March 14, 
2025, to each shareholder of record as of February 25, 2025.
Most Eaton shareholders will not receive a mailed copy of the Proxy Statement and Annual Report to Shareholders, but rather a  
notice that these materials are available online. Eaton shareholders who currently receive paper copies, due to a prior election or due  
to participation in an employee benefit plan, can register for electronic delivery of these materials as well as online proxy voting,  
at http://enroll.icsdelivery.com/etn. 
2024 annual report to shareholders 
This 2024 Annual Report to Shareholders is available online at Eaton.com. Any shareholder may obtain at no charge a printed copy of  
this Annual Report upon written request to the address shown below. Other public financial reports are also available on Eaton’s 
website at Eaton.com.
Annual certifications 
The most recent certifications required by Sections 302 and 906 of the Sarbanes-Oxley Act of 2002 were filed as Exhibits 31.1, 31.2, 
32.1 and 32.2 to Eaton’s Annual Report on Form 10-K for 2024. Additionally, Eaton submitted to the New York Stock Exchange its 2024 
Chief Executive Officer Certification regarding Eaton’s compliance with the corporate governance listing standards of the Exchange. 
Dividend reinvestment plan 
Our dividend reinvestment plan is available to shareholders of record of Eaton Ordinary Shares. Through the plan, shareholders of 
record may buy additional shares by reinvesting their cash dividends. Shareholders should refer to the Eaton DRIP Prospectus for 
more information and associated fees.  
Direct deposit of dividends 
Shareholders of record may have their dividends directly deposited into their bank accounts. Interested shareholders of record should 
contact Broadridge, as shown below. 
Forward-looking statements 
This Annual Report to Shareholders, including the Chairman’s and President’s letters, contains forward-looking statements concerning 
expectations for the future and our corporate strategy, in addition to the forward-looking statements made in the Form 10-K included 
in this Annual Report. These statements should be used with caution and are subject to various risks and uncertainties, many 
of which are outside of Eaton’s control. Please see the factors described in the paragraph under the heading “Forward-Looking 
Statements” on page 95 of the Form 10-K included in this Annual Report to Shareholders for a discussion of the factors that could 
cause actual results to differ materially from these forward-looking statements. 
Broadridge Corporate Issuer Solutions
Regular Mail: P.O. Box 1342, Brentwood, NY 11717
Registered/Overnight Packages: ATTN: IWS, 1155 Long Island Ave., Edgewood, NY 11717  
Phone: +1 888.597.8625 (U.S. & Canada) +1 303.562.9631 (Toll)
TDD: +1 855.627.5080 (hearing impaired inside the U.S.)  |  TDD: +1 720.399.2074 (hearing impaired outside the U.S.)
Email: shareholder@broadridge.com  |  Website: https://shareholder.broadridge.com/eaton-corp/
   
Shareholder information (This content was not included in our 10-K SEC filing.)
Eaton shareholder contact information 
Investor Relations, Eaton, 1000 Eaton Boulevard, Cleveland, OH 44122 USA +1 440.523.3634. Eaton.com
Quarterly financial releases 
Eaton’s financial results are available approximately four weeks after the end of each quarter.  
Releases are available on Eaton’s website at Eaton.com. Copies may also be obtained by calling +1 440.523.3634. 
Common shares 
Listed for trading: New York Stock Exchange (Ticker Symbol: ETN) 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K 
☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the year ended December 31, 2024 
OR
☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _____ to ______ 
Commission file number 000-54863 
EATON CORPORATION plc
(Exact name of registrant as specified in its charter)
Ireland
98-1059235
(State or other jurisdiction of incorporation or organization)
(IRS Employer Identification Number)
Eaton House, 30 Pembroke Road, Dublin 4, Ireland
D04 Y0C2
(Address of principal executive offices)
(Zip Code)
+353 1637 2900
(Registrant's telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol
Name of each exchange on which registered
Ordinary shares ($0.01 par value)
ETN
New York Stock Exchange
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.            
Yes ☑ No ☐
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.        
Yes ☐ No ☑
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the 
Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to 
file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes ☑ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted 
pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period 
that the registrant was required to submit such files).     Yes ☑ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller 
reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer," 
“smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer
☑ 
Accelerated filer
☐ 
Non-accelerated filer 
☐
Smaller reporting company
☐ 
Emerging growth company
☐ 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period 
for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 
☐
Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the 
effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 
7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☑

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the 
registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐
Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-
based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to 
§240.10D-1(b).  ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☑
The aggregate market value of Ordinary Shares held by non-affiliates of the registrant as of June 30, 2024 was $124.8 billion.
As of January 31, 2025, there were 392.0 million Ordinary Shares outstanding.
Documents Incorporated By Reference
Portions of the Proxy Statement for the 2025 annual shareholders meeting are incorporated by reference into Part III.

TABLE OF CONTENTS
Part I
2
Item 1.
Business   ..................................................................................................................................................................................................
2
Item 1A.
Risk Factors  ............................................................................................................................................................................................
5
Item 1B.
Unresolved Staff Comments    ..................................................................................................................................................................
7
Item 1C. 
Cybersecurity   ..........................................................................................................................................................................................
8
Item 2.
Properties    ................................................................................................................................................................................................
8
Item 3.
Legal Proceedings     ..................................................................................................................................................................................
8
Item 4.
Mine Safety Disclosures    .........................................................................................................................................................................
8
Item 4A.
Information about our Executive Officers   ..............................................................................................................................................
9
Part II
11
Item 5.
Market for the Registrant's Ordinary Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities    .......................
11
Item 6.
[Reserved]  ..............................................................................................................................................................................................
12
Item 7.
Management's Discussion and Analysis of Financial Condition and Results of Operations   .................................................................
12
Item 7A.
Quantitative and Qualitative Disclosures about Market Risk     ................................................................................................................
12
Item 8.
Financial Statements and Supplementary Data      ......................................................................................................................................
12
Item 9.
Change in and Disagreements with Accountants on Accounting and Financial Disclosure    ..................................................................
12
Item 9A.
Controls and Procedures   .........................................................................................................................................................................
12
Item 9B.
Other Information    ...................................................................................................................................................................................
12
Item 9C.
Disclosure Regarding Foreign Jurisdictions that Prevent Inspections.   ..................................................................................................
12
Part III
13
Item 10.
Directors, Executive Officers and Corporate Governance      .....................................................................................................................
13
Item 11.
Executive Compensation   ........................................................................................................................................................................
13
Item 12.
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters   ..............................................
13
Item 13.
Certain Relationships and Related Transactions, and Director Independence   .......................................................................................
13
Item 14.
Principal Accounting Fees and Services    ................................................................................................................................................
13
Part IV
14
Item 15.
Exhibits and Financial Statement Schedules  ..........................................................................................................................................
14
Item 16.
Form 10-K Summary    ..............................................................................................................................................................................
18
SIGNATURES     ....................................................................................................................................................................................................................
19

Part I
Item 1. Business.
Eaton Corporation plc (Eaton or the Company) is an intelligent power management company dedicated to protecting the 
environment and improving the quality of life for people everywhere. We make products for the data center, utility, industrial, 
commercial, machine building, residential, aerospace and mobility markets. We are capitalizing on the megatrends of the 
energy transition, electrification, and digitalization. The reindustrialization of and growth of megaprojects in North America 
and increased global infrastructure spending focused on clean energy programs are expanding our end markets and positioning 
Eaton for growth for years to come. We are strengthening our participation across the entire electrical power value chain and 
benefiting from momentum in the data center and utility end markets as well as a growth cycle in the commercial aerospace and 
defense markets. We are guided by our commitment to operate sustainably and with the highest ethical standards. Our work is 
accelerating the planet’s transition to renewable energy sources, helping to solve the world’s most urgent power management 
challenges, and building a more sustainable society for people today and for future generations.
Founded in 1911, Eaton has continuously evolved to meet the changing and expanding needs of our stakeholders. With 
revenues of nearly $25 billion in 2024, the Company serves customers in more than 160 countries.
Eaton electronically files or furnishes reports pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934 
(Exchange Act) to the United States Securities and Exchange Commission (SEC), including annual reports on Form 10-K, 
quarterly reports on Form 10-Q, current reports on Form 8-K, and proxy and information statements, as well as any 
amendments to those reports. As soon as reasonably practicable, these reports are available free of charge through the 
Company's website at www.eaton.com. These filings are also accessible on the SEC's website at www.sec.gov.
Acquisitions and Divestitures of Businesses
Information regarding the Company's acquisitions and divestitures is presented in Note 2 of the Notes to the consolidated 
financial statements.
Business Segment Information
Information by business segment regarding principal products, principal markets, methods of distribution and net sales is 
presented in Note 19 of the Notes to the consolidated financial statements. Additional information regarding Eaton's segments 
and business is presented below.
Electrical Americas and Electrical Global
Principal methods of competition in these segments are performance of products and systems, technology, customer service 
and support, and price. Eaton has a strong competitive position in these segments and, with respect to many products, is 
considered among the market leaders. In normal economic cycles, sales of these segments are historically lower in the first 
quarter and higher in the third and fourth quarters of a specific year. In 2024, 26% of these segments' sales were made to eight 
large customers of electrical products and electrical systems and services.
Aerospace
Principal methods of competition in this segment are total cost of ownership, product and system performance, quality, 
design engineering capabilities, and timely delivery. Eaton has a strong competitive position in this segment and, with respect to 
many products and platforms, is considered among the market leaders. In 2024, 23% of this segment's sales were made to four 
large original equipment manufacturers of aircraft.
Vehicle
Principal methods of competition in this segment are product performance, technology, global service, and price. Eaton is 
considered among the market leaders in this segment. In 2024, 28% of this segment's sales were made to two large original 
equipment manufacturers of vehicles and related components.
eMobility
Principal methods of competition in this segment are product performance, technology, global service, and price. In 2024, 
27% of this segment's sales were made to three large original equipment manufacturers of vehicles, construction equipment and 
related components.
2

Information Concerning Eaton's Business in General 
Raw Materials
Eaton's major requirements for raw materials include iron, steel, copper, nickel, aluminum, lead, silver, gold, titanium, 
rubber, plastic, electronic components, chemicals, and fluids. Materials are purchased in various forms, such as coils, sheets, 
strips, ingots, bars, extrusions, castings, forgings, stampings, powder metal, plastic resins, and pellets. Raw materials, as well as 
parts and other components, are purchased from many suppliers. Under normal circumstances, the Company has no difficulty 
obtaining its raw materials. To mitigate the impact of supply chain risk events we continue to invest in supply chain resiliency 
and work closely with our partners.
Intellectual Property
Eaton considers its intellectual property, including without limitation patents, trade names, domain names, trademarks, 
confidential information, and trade secrets to be of significant value to its business as a whole. The Company's products may be 
manufactured, marketed and sold using a portfolio of patents, trademarks, licenses, and other forms of intellectual property, 
some of which expire in the future. Eaton develops and acquires new intellectual property on an ongoing basis and considers all 
of its intellectual property to be valuable. Based on the broad scope of the Company's product lines, management believes that 
the loss or expiration of any single intellectual property right would not in and of itself have a material effect on Eaton's 
consolidated financial statements or its business segments. The Company works diligently to protect its intellectual property, 
including innovations, through various legal means.
Environmental Contingencies
Our comprehensive sustainability strategy is driven by our mission to improve the quality of life and the environment. We 
are committed to reducing our footprint, eliminating waste, and making the best use of natural resources. None-the-less, 
operations of the Company involve emissions, as well as the use and disposal of certain substances regulated under 
environmental protection laws. Eaton continues to modify processes on an ongoing, regular basis in order to reduce the impact 
on the environment, including the reduction or elimination of certain chemicals used in, and wastes generated from, operations. 
Compliance with laws that have been enacted or adopted regulating the discharge of materials into the environment, or 
otherwise relating to the protection of the environment, are not expected to have a material adverse effect upon capital 
expenditures, including expenditures for environmental control facilities, earnings or the competitive position of the Company. 
Compliance with future environmental protection laws may require an increase in capital expenditures. Information regarding 
the Company's liabilities related to environmental matters is presented in Note 11 of the Notes to the consolidated financial 
statements.
Human Capital Management
Eaton has approximately 94,000 employees globally. The number of persons employed by our reportable segments and 
corporate at December 31, 2024 are as follows:
(In thousands)
2024
Electrical Americas
 
33 
Electrical Global
 
25 
Aerospace
 
12 
Vehicle
 
13 
eMobility
 
2 
Corporate
 
9 
Total number of persons employed 
 
94 
3

Eaton uses and monitors a variety of metrics to ensure our objectives related to employee attraction, development, and 
retention are met. Most notably, Eaton tracks the following:
Inclusion and Diversity
Eaton is committed to having a workforce that is diverse and inclusive at all levels. Our success depends on our ability to 
attract and retain the best employees without regard to race, color, social or economic status, religion, national origin, marital 
status, age, veteran status, sexual orientation, gender identity, or any protected status. It is the policy of the Company to make 
all decisions regarding employment based on the principle of equal employment opportunity and without discrimination. 
At December 31, 2024, Eaton’s distribution by gender, and United States distribution by minority status, is as follows: 
Total 
Global
Number 
of women
(Global)
Percentage 
of women
(Global)
U.S. total
Number of 
minorities 
(U.S. only)1
Percentage of 
minorities 
(U.S. only)1
Board of directors
 
12  
4 
 33.3 %
 
10  
5 
 50.0 %
Global leadership team
 
24  
4 
 16.7 %
 
22  
9 
 40.9 %
Executives
 
690  
177 
 25.7 %
 
495  
109 
 22.0 %
Managers
 
8,780  
2,186 
 24.9 %
 
4,545  
1,036 
 22.8 %
All other employees
 
84,949  
26,531 
 31.2 %
 
24,901  
8,959 
 36.0 %
All employees
 
94,443  
31,898 
 33.8 %
 
29,963  
10,113 
 33.8 %
1 Excluding Puerto Rico
At Eaton, one of our aspirations is to be a model of inclusion and diversity among our peers. Our plan to achieve this 
encompasses a number of actions, including an examination into our programs, practices, processes, and policies to look for 
opportunities to strengthen our workforce. 
Compensation
A key component of Eaton’s attraction and retention strategy is providing a competitive total rewards package which 
includes items such as salaries, wages, short- and long-term incentive compensation, in addition to health, welfare, retirement, 
and other benefits. Eaton regularly benchmarks its compensation and benefits practices against those of our industry peers and 
in the markets in which we operate to ensure our plans and programs are aligned with external practices in effort to maintain a 
high performing workforce. Eaton's 2024 total employee costs were $6.5 billion including salaries, wages, equity-based 
compensation, pension and other benefits. The total compensation of our median employee on October 1, 2023, as reported in 
our 2024 Proxy Statement filed on March 15, 2024, and as calculated in accordance with Item 402(u) of Regulation S-K, was 
$50,683. 
Safety
Throughout our operations, our goal is to have no safety incidents and we continue to make progress towards that goal. Our 
2023 Total Recordable Case Rate (TRCR) was 0.43 and our Days Away Case Rate (DACR) was 0.20. We have improved our 
TRCR 38% since 2018 and consider our 2030 target of 0.25 to be a world-leading safety rating. Our 2024 TRCR will be 
provided in our annual Sustainability Report to be issued in 2025.
Achieving work-life balance
Achieving work-life balance is a common concern of today's employees. Flexible work solutions and inclusive programs 
will help us remain competitive in attracting and retaining the best talent and make it possible for employees in varied situations 
to be able to remain at Eaton. Flexible solutions include compressed work weeks, remote working, job sharing, part-time work, 
flextime, and telework. 
Engagement
Fully engaged employees are more productive, innovative, and satisfied in their work. Examples of how we engage our 
employees include enterprise-wide town halls, hosting informal listening meetings and surveying groups of employees on 
specific subjects. In addition, we have programs focused on career development of employees at all levels and we are 
committed to a wide range of strategies designed to improve and sustain employee engagement over the long-term. Our most 
recent engagement survey of all employees was completed in 2023. Of those who responded to the survey, 84% had favorable 
engagement indicating they were proud to work at Eaton, felt personal accomplishment from their work, and would recommend 
Eaton as a place to work. We will perform another survey of all employees in 2025. 
4

Item 1A. Risk Factors.
Among the risks that could materially adversely affect Eaton's businesses, financial condition or results of operations are the 
following:
Operational Risks
If Eaton is unable to protect its information technology infrastructure against service interruptions, data corruption, 
cyberbased attacks or network security breaches, product or service offerings could be compromised or operations could be 
disrupted or data confidentiality impaired.
Eaton relies on information technology networks and systems, including the Internet, to process, transmit and store 
electronic information, and to manage or support a variety of business processes and activities, including procurement, 
manufacturing, distribution, invoicing and collection. Some of this information may be stored in the cloud or on networks not 
managed by Eaton. Additionally, many of our products and services include, and we utilize and rely on third-party service-
providers whose products include integrated software and information technology that collects data or connects to external and 
internal systems. Because of this, cybersecurity threats pose a material risk to our business operations.
Global cybersecurity threats range from widespread vulnerabilities, sophisticated and targeted measures known as advanced 
persistent threats, or uncoordinated individual attempts to gain unauthorized access to IT/OT systems. These threats may be 
directed at Eaton, its products, software embedded in Eaton’s products, or its third-party service providers. The risk is amplified 
by the increasingly connected nature of our products and systems. These threats may originate from anywhere in the connected 
world and while they may take the form of phishing, malware, bots, or human-centric attacks, the nature of the threat is 
constantly evolving. Eaton continues to deploy reasonable comprehensive measures designed to deter, prevent, detect, respond 
to and mitigate these threats. 
As a result of our worldwide operations, we are subject to laws and regulations, including data protection/privacy and 
cybersecurity laws and regulations, in many jurisdictions. In addition, we operate in an environment in which there are different 
and potentially conflicting data privacy laws in effect in the various U.S. states and foreign jurisdictions in which we operate 
and we must understand and comply with each law and standard in each of these jurisdictions. For example, the Global Data 
Protection Regulation (GDPR) prefers that we manage personal data in the E.U. and may impose fines of up to four percent of 
our global revenue in the event of certain violations.
Eaton’s customers, including governmental agencies, are increasingly requiring cybersecurity protections and mandating 
cybersecurity standards which may result in additional operating or production costs. Our cybersecurity program aligns with 
well-known industry-wide security control frameworks. Despite these efforts, cybersecurity incidents could potentially result in 
the misappropriation, destruction, corruption or unavailability of critical data and confidential or proprietary information and 
the disruption of business operations. The potential consequences of a material cybersecurity incident include theft of 
intellectual property, disruption of operations, reputational damage, adverse health and safety consequences, the loss or misuse 
of confidential information, product failure, as well as exposure to fines, legal claims or enforcement actions.
The effects of climate change, including weather disruptions and regulatory/market reactions, create uncertainties that 
could negatively impact our business.
Global increases in greenhouse gas emissions are linked to climate change, and there is a growing consensus that dramatic 
emissions reductions are needed to avoid severe climate impacts. Extreme weather events linked to climate change, including 
hurricanes, flooding, wildfires, and high heat/water scarcity, may create physical risks to Eaton’s operating locations and supply 
chains, as well as to Eaton's customers' operations. While Eaton is working to make its own operations carbon neutral by 2030, 
external factors could cause increases in these extreme weather events, political instability, and workforce migration, ultimately 
increasing Eaton’s cost of doing business. 
Regulatory reactions to climate change may pose more stringent obligations on Eaton’s operations and change customer 
demands. While Eaton is already gearing its portfolio towards products that will reduce carbon and combat climate change, 
there is a risk that Eaton may not innovate quickly enough to meet changing regulatory or market demands. Increasing demands 
for metals as the world electrifies may lead to scarcity and increased costs, as may uncertainty over carbon taxes and grid 
stability during a renewables transition. Despite these uncertainties, we believe Eaton is well positioned to capitalize on secular 
trends and market opportunities arising from these risks.
5

Eaton's operations depend on production facilities throughout the world, which subjects them to varying degrees of risk of 
disrupted production.
Eaton manages businesses with manufacturing facilities worldwide. Our manufacturing facilities and operations could be 
disrupted by a natural disaster, labor strike, war, geopolitical instability and/or conflict, political unrest, terrorist activity, 
economic upheaval, or public health concerns (for example, COVID-19). Any such disruption could cause delays in production 
and shipment of products and the loss of sales and customers, and insurance proceeds may not adequately compensate for 
losses.
Eaton uses a variety of raw materials, components and services in its businesses, and significant inflation could increase 
operating costs that may not be fully recouped in product pricing.
Eaton's major requirements for raw materials are described above in Item 1 Raw Materials. Global shortages have continued 
to affect the prices Eaton's businesses are charged for raw materials, particularly commodities. Further, Eaton has been 
impacted by logistics and wage inflation. If this trend continues and we are unable to address it with price increases, product 
modifications or other adjustments, our competitive position may be impacted, which could have a material adverse impact on 
operating results.
Further, some of our suppliers of component parts have increased their prices in response to increased costs of raw materials 
that they use to manufacture component parts. Should this trend continue or become more prevalent, it could adversely affect 
our operating results.
Significant shortages of raw materials, energy, components, and/or labor, or similar challenges for our customers could 
continue to adversely impact our results of operations.
Eaton has been affected by supply chain disruptions and unexpected shortages of raw materials in the future could impact 
our results. Further, labor shortages persist broadly in select markets. Some of our suppliers have experienced the same 
conditions and in response, have continued to increase their prices in response to increases in their costs of raw materials, 
energy and/or labor. While we strive to recoup these increased costs through our pricing or other mediating responses, if we are 
unable to do so without compromising the competitive position of our products and services, our results could continue to be 
impacted by this trend. Further, should these trends continue or worsen, the impact could have a material adverse impact on our 
operating results.
Industry and Market Risks
Volatility of end markets that Eaton serves. 
Eaton's segment revenues, operating results, and profitability have varied in the past and may vary from quarter to quarter in 
the future. Profitability can be negatively impacted by macroeconomic conditions and volatility in the end markets that Eaton 
serves. We have undertaken measures to reduce the impact of this volatility through diversification of the markets we serve and 
expansion of the geographic regions in which we operate. Future downturns in any of the markets could adversely affect 
revenues, operating results, and profitability.
Technology disruption may impact our stock price and/or negatively impact our end markets.
Our products and services support cutting edge technology and mega trends, including, for example, data centers. These 
markets have experienced and may continue to experience the abrupt introduction of disruptive technologies, which may, in 
turn, negatively impact our end markets. Additionally, equity markets in this space may be volatile, and may not react rationally 
to newly introduced products, thus impacting our stock price.
Eaton's operating results depend in part on continued successful research, development, and marketing of new and/or 
improved products and services, and there can be no assurance that Eaton will continue to successfully introduce new 
products and services or maintain its present market positions.
The success of new and improved products and services depends on their initial and continued acceptance by our customers. 
Our businesses are affected, to varying degrees, by technological changes and corresponding shifts in customer demand, which 
could result in unpredictable product transitions or shortened life cycles. We may experience difficulties or delays in the 
research, development, production, or marketing of new products and services which may prevent us from recouping or 
realizing a return on the investments required to bring new products and services to market. Our positions may also be impacted 
by new entrants into our product or regional markets.
6

Legal and Regulatory Risks
Eaton's global operations subject it to economic risk as Eaton's results of operations may be adversely affected by changes 
in government legislation, regulations and policies, or currency fluctuations.
Operating globally subjects Eaton to changes in government regulations and policies in a large number of jurisdictions 
around the world, including, but not limited to, those related to tariffs and trade barriers, investments, property ownership 
rights, taxation, data privacy, and exchange controls. Changes in the relative values of currencies occur from time to time and 
could affect Eaton's operating results. While we monitor exchange rate exposures and attempt to reduce these exposures 
through hedging activities, these risks could adversely affect our operating results.
Changes in countries' trade policy globally, including imposition of sanctions or tariffs, may have a material adverse impact 
on our business and results of operations.
Changes globally in various countries’ trade policies, including tariffs and duties, may materially increase costs for goods 
imported into the United States and could potentially lead to broader cost pressures even for goods that are not imported. If 
Eaton is unable to take mitigating actions, it could negatively impact product margins and our financial performance. 
Additionally, potential price increases or other mitigating efforts could negatively impact market share or otherwise increase the 
risk of customer disputes, giving rise to possible cash flow impacts. Furthermore, globally evolving trade policies may lead to 
abrupt or unpredictable changes in tariffs, quotas, duties or trade agreements, potential violations or litigation, which may 
disrupt our supply chain and/or lead to an increase in costs. Such policies could make it more difficult or costly for us to export 
our products to those countries, therefore negatively impacting our financial performance.
Eaton may be subject to risks relating to changes in its tax rates, changes in global tax laws and regulations, or exposure to 
additional income tax liabilities.
Eaton is subject to income taxes in many jurisdictions around the world. Income tax liabilities are subject to the allocation of 
income among various tax jurisdictions. Our effective tax rate could be affected materially by changes in the mix among 
earnings in countries with differing statutory tax rates, changes in the valuation allowance of deferred tax assets, or changes in 
tax legislation, regulations, and policies. The amount of income taxes paid is subject to ongoing audits and litigation by tax 
authorities in the countries in which we operate. If these audits and/or litigation result in assessments different from amounts 
reserved, future financial results may include material unfavorable adjustments to our tax liabilities.
Eaton may be unable to adequately protect its intellectual property rights, which could affect our ability to compete.
Protecting our intellectual property rights is critical to our ability to compete and succeed. We own a large number of patents 
and patent applications worldwide, as well as trademark and copyright registrations that are necessary, and contribute 
significantly, to the preservation of our competitive position in various markets. Although management believes that the loss or 
expiration of any single intellectual property right would not have a material effect on the results of operations or financial 
position of Eaton or its business segments, there can be no assurance that any one, or more, of these patents and other 
intellectual property will not be challenged, invalidated, or circumvented by third parties. Eaton enters into confidentiality and 
invention assignment agreements with employees, and into non-disclosure agreements with suppliers and appropriate 
customers, so as to limit access to and disclosure of proprietary information. These measures may not suffice to deter 
misappropriation or independent third party development of similar technologies. 
Eaton is subject to litigation and environmental regulations that could adversely impact Eaton's businesses.
At any given time, Eaton may be subject to litigation, the disposition of which may have a material adverse effect on our 
businesses, financial condition or results of operations. Information regarding current legal proceedings is presented in Note 11 
and Note 12 of the Notes to the consolidated financial statements.
Item 1B. Unresolved Staff Comments. 
None.
7

Item 1C. Cybersecurity.
Risk Management and Strategy.
Eaton follows the U.S. National Institute of Standards and Technology (NIST) Cyber Security Framework to structure 
protocols for identifying, assessing and managing cybersecurity risks. In accordance with NIST guidance, Eaton maintains 
documented information security policies and standards to protect operations, assets, data and services and to defend against, 
respond to and recover from potential cyberattacks. These policies and standards include both preventive measures and reactive 
processes. Preventive measures include, but are not limited to, protective and detective cybersecurity systems, security 
monitoring, threat hunting and mandatory, enterprise-wide employee training. Eaton’s reactive processes are captured primarily 
by a cyber incident response plan (the IRP), which is comprised of an evolving set of procedures developed by cross-functional 
experts, and external consultants, who draw upon technical proficiency and learnings from past experiences. All of these 
procedures and practices are tailored to Eaton’s technology environment and are refined iteratively. Further, Eaton has an 
information risk management program that includes a vendor risk assessment process, whereby Eaton systematically oversees 
and identifies risks from cybersecurity threats related to its use of third-party service providers.
The IRP is executed by an Incident Response Team (IRT), led by our Chief Information Security Officer (CISO). The exact 
composition of the IRT varies depending on the severity and potential impact of an incident, and will typically include 
stakeholders across corporate and business functions. The team collaborates with internal experts and may engage external 
resources to assess and contain a threat if deemed necessary. Such external resources may potentially include forensic 
investigation and response firms, law firms, external auditors, forensic accountants, and consultants who are on retainer 
contracts for expedited availability. 
While cybersecurity threats remain a risk to the Company’s business operations (see discussion in Item 1A. Risk Factors.), 
our robust risk mitigation strategies have been effective. Accordingly, no such threats have materially affected or are reasonably 
likely to materially affect the company, our business strategy, results of operations or our financial condition.
Governance. 
Eaton's Board of Directors is trained annually regarding incident response and risk management. While our Board of 
Directors as a whole has oversight of risk management generally, cybersecurity risks fall to the Board’s Audit Committee. The 
Company’s Chief Information Officer (CIO) and CISO report quarterly to the Audit Committee on any significant 
cybersecurity incidents, threats, mitigation strategies and controls. The Audit Committee then updates the full board on 
significant matters raised and discussed during these sessions. The Audit Committee also participates in risk management 
training related to cybersecurity risk management specifically.  
The Audit Committee delegates day-to-day management of cybersecurity risks to the Company’s senior management, which 
includes our CISO, who reports to the Company’s CIO. Our CIO reports directly to the Chief Executive Officer. Our CISO 
leads a robust team of dedicated professionals that are responsible for a wide range of risk assessment and management and 
leads at least ten specialized teams of internal and external experts focusing on distinct categories of threats.
Item 2. Properties.
Eaton's principal executive offices are located at Eaton House, 30 Pembroke Road, Dublin 4, Ireland D04 Y0C2. The 
Company maintains manufacturing facilities at approximately 193 locations in 34 countries. The Company is a lessee under a 
number of operating and finance leases for certain real properties and equipment, none of which is individually material to its 
operations. Management believes that the existing manufacturing facilities are adequate for its operations and that the facilities 
are maintained in good condition.
Item 3. Legal Proceedings.
Information regarding the Company's current legal proceedings is presented in Note 11 and Note 12 of the Notes to the 
consolidated financial statements.
Item 4. Mine Safety Disclosures. 
Not applicable. 
8

Item 4A. Information about our Executive Officers.
A listing of executive officers, their ages, positions and offices held over the past five years, as of February 1, 2025, is as 
follows:
Name
Age
Position (Date elected to position)
Craig Arnold
64
Chairman of Eaton Corporation plc (June 1, 2016 - present)
Chief Executive Officer of Eaton Corporation (June 1, 2016 - present)
Director of Eaton Corporation plc (September 1, 2015 - present)
Olivier Leonetti
60
Executive Vice President and Chief Financial Officer of Eaton Corporation
(February 2024 - present)
Executive Vice President and Chief Financial Officer of Johnson Controls
International, plc (September 2020 - January 2024)
Senior Vice President and Chief Financial Officer of Zebra Technologies Corporation
(November 2016 - August 2020)
Paulo Ruiz
50
Director of Eaton Corporation plc (September 2, 2024 - present)
President and Chief Operating Officer of Eaton Corporation
(September 2, 2024 - present)
President and Chief Operating Officer - Industrial Sector of Eaton Corporation
(July 5, 2022 - December 31, 2024)
President Energy Solutions and Services of Eaton Corporation
(August 2, 2021 - July 5, 2022)
Hydraulics Group President of Eaton Corporation (April 1, 2019 - August 2, 2021)
Heath B. Monesmith
54
President and Chief Operating Officer - Electrical Sector of Eaton Corporation
(July 5, 2022 - present)
President and Chief Operating Officer - Industrial Sector of Eaton Corporation
(July 1, 2019 - July 4, 2022)
Peter Denk
50
President and Chief Operating Officer - Industrial Sector of Eaton Corporation
(January 1, 2025 - present)
President - Mobility Group of Eaton Corporation (April 1, 2023 - December 31, 2024)
President - Vehicle Group, North America of Eaton Corporation
(June 4, 2018 - March 31, 2023)
Taras G. Szmagala, Jr.
58
Executive Vice President, Chief Legal Officer of Eaton Corporation
(June 24, 2022 - present)
Senior Vice President, Public and Community Affairs and Corporate Communications
of Eaton Corporation (March 20, 2017 - June 24, 2022)
Ernest W. Marshall, Jr.
56
Executive Vice President and Chief Human Resources Officer of Eaton Corporation
(July 1, 2018 - present)
9

Adam Wadecki
41
Senior Vice President and Controller of Eaton Corporation (April 22, 2024 - present)
Senior Vice President, Internal Audit of Eaton Corporation
(September 27, 2023 - April 21, 2024)
Chief Financial Officer, Corporate Finance and Finance Transformation of General
Electric and its successor, General Electric Healthcare (April 2023 - September 2023)
Chief Financial Officer of Global Medical Imaging of General Electric and its
successor, General Electric Healthcare (June 2021 - April 2023)
Vice President, Grainger Business Unit Finance of W.W. Grainger, Inc. 
(January 2020 - May 2021)
Antonio Galvao
63
President - Mobility Group of Eaton Corporation (January 1, 2025 - present)
President - Mobility Group and Corporate, South America of Eaton Corporation
(August 1, 2012 - December 31, 2024)
John Sapp
51
President - Aerospace Group of Eaton Corporation (December 4, 2023 - present)
Vice President and General Manager, Strategic Solutions for Mission Systems of
Collins Aerospace, an RTX Corporation business (July 2023 - December 2023)
Vice President and General Manager, Integrated Solutions of Collins Aerospace, an
RTX Corporation business (June 2022 - July 2023)
General Manager, Simulation Solutions and Services of Collins Aerospace, an RTX
Corporation business (November 2021 - June 2022)
Vice President of Commercial Aftermarket Sales and Support of Collins Aerospace, an
RTX Corporation business (August 2020 - November 2021)
Senior Director, Aftermarket Services Global Sales of Collins Aerospace, an RTX
Corporation business (October 2018 - July 2020)
Mike Yelton
55
President - Americas Region, Electrical Sector of Eaton Corporation 
(April 1, 2023 - present)
President - Assemblies and Residential Solutions, Electrical Sector, America Region
of Eaton Corporation (January 1, 2023 - April 1, 2023)
President - Commercial and Residential Distribution Solutions Business of Eaton
Corporation (July 1, 2019 - January 1, 2023)
There are no family relationships among the officers listed, and there are no arrangements or understandings pursuant to 
which any of them were elected as officers. All officers hold office for one year and until their successors are elected and 
qualified, unless otherwise specified by the Board of Directors; provided, however, that any officer is subject to removal with or 
without cause, at any time, by a vote of a majority of the Board of Directors.
10

Part II
Item 5. Market for the Registrant's Ordinary Equity, Related Stockholder Matters and Issuer Purchases of Equity 
Securities.
The Company's ordinary shares are listed for trading on the New York Stock Exchange under the symbol ETN. At 
December 31, 2024, there were 9,117 holders of record of the Company's ordinary shares. Additionally, 13,949 current and 
former employees were shareholders through participation in the Eaton Savings Plan, the Eaton Personal Investment Plan, and 
The Eaton Puerto Rico Retirement Savings Plan.
Information regarding equity-based compensation plans required by Regulation S-K Item 201(d) is provided in Item 12 of 
this Form 10-K Report.
Irish Taxes Applicable to Dividends
Irish income tax may arise with respect to dividends paid on Eaton shares. Eaton may be required to deduct Irish dividend 
withholding tax (“IDWT”, currently at a rate of 25%) from dividends paid to shareholders who are not tax residents of Ireland 
even though they are not subject to this tax. To claim exemption from IDWT, shareholders can complete certain Irish dividend 
withholding tax exemption forms or hold their shares in an account through the Depository Trust Company and have on file 
with their broker or qualifying agent a valid U.S. address on the record date of the dividend.
Eaton shareholders who receive their dividends subject to Irish dividend withholding tax will generally have no further 
liability for Irish income tax on the dividends unless they are otherwise subject to Irish income tax.
Issuer’s Purchases of Equity Securities
During the fourth quarter of 2024, 2.5 million ordinary shares were repurchased in the open market at a total cost of $870 
million. These shares were repurchased under the program approved by the Board on February 23, 2022 (the 2022 Program). A 
summary of the shares repurchased in the fourth quarter of 2024 is as follows:
Month
Total number
of shares
purchased
Average
price paid
per share
Total number of
shares purchased as
part of publicly
announced
plans or programs
Approximate dollar 
value of shares that 
may yet be 
purchased under the 
plans or programs (in 
millions)
October
 
939,785 
$ 
336.19  
939,785 $ 
2,770 
November
 
822,030 
$ 
351.99  
822,030 $ 
2,481 
December
 
743,606 
$ 
356.63  
743,606 $ 
2,216 
Total
 
2,505,421 
$ 
347.44  
2,505,421 
11

Item 6. [Reserved]
Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.
Information required by this Item is presented in “Management's Discussion and Analysis of Financial Condition and 
Results of Operations” of this Form 10-K.
Item 7A. Quantitative and Qualitative Disclosures about Market Risk. 
Information regarding market risk is presented in “Market Risk Disclosure” of this Form 10-K.
Item 8. Financial Statements and Supplementary Data.
The reports of the independent registered public accounting firm, consolidated financial statements, and notes to 
consolidated financial statements are presented in Item 15 of this Form 10-K.
Item 9. Change in and Disagreements with Accountants on Accounting and Financial Disclosure.
None. 
Item 9A. Controls and Procedures. 
Evaluation of Disclosure Controls and Procedures - Pursuant to SEC Rule 13a-15, an evaluation was performed under the 
supervision and with the participation of Eaton's management, including Craig Arnold - Principal Executive Officer; and 
Olivier Leonetti - Principal Financial Officer, of the effectiveness of the design and operation of the Company's disclosure 
controls and procedures. Based on that evaluation, Eaton's management concluded that the Company's disclosure controls and 
procedures were effective as of December 31, 2024.
Disclosure controls and procedures are designed to ensure that information required to be disclosed in the Company's reports 
filed or submitted under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified 
in the Securities and Exchange Commission's rules and forms. Disclosure controls and procedures include, without limitation, 
controls and procedures designed to ensure that information required to be disclosed in the Company's reports filed under the 
Exchange Act is accumulated and communicated to management, including the Company's Principal Executive Officer and 
Principal Financial Officer, to allow timely decisions regarding required disclosure.
Pursuant to Section 404 of the Sarbanes Oxley Act of 2002 and the rules and regulations adopted pursuant thereto, Eaton has 
included a report of management's assessment of the effectiveness of internal control over financial reporting, which is included 
in Item 15 of this Form 10-K.
“Report of Independent Registered Public Accounting Firm” relating to internal control over financial reporting as of 
December 31, 2024 is included in Item 15 of this Form 10-K.
During the fourth quarter of 2024, there was no change in Eaton's internal control over financial reporting that materially 
affected, or is reasonably likely to materially affect, internal control over financial reporting.
Item 9B. Other Information. 
During the three months ended December 31, 2024, no director or officer of the Company adopted, amended or terminated a 
“Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of 
Regulation S-K.
Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections.
Not Applicable. 
12

Part III
Item 10. Directors, Executive Officers and Corporate Governance.
Information required with respect to the directors of the Company is set forth under the caption “Election of Directors” in 
the Company's definitive Proxy Statement to be filed on or about March 14, 2025, and is incorporated by reference.
The Company has adopted a Code of Ethics, which applies to the directors, officers and employees worldwide. This 
document is available on the Company's website at https://www.eaton.com/us/en-us/company/ethics-compliance/policies/code-
of-ethics.html.
The Company has adopted and maintained a long standing insider trading policy (the Policy) governing the purchase and 
disposition of its securities by directors, employees and the Company itself. The Policy mandates compliance with insider 
trading laws, rules, and regulations, as well as the NYSE listing standards, and contains procedures that are designed to 
facilitate and promote the same. The Policy, attached hereto as Exhibit 19, is incorporated herein by reference.
There were no changes during the fourth quarter 2024 to the procedures by which security holders may recommend 
nominees to the Company's Board of Directors.
Information related to the Audit Committee, and members of the Committee who are financial experts, is set forth under the 
caption “Board Committees - Audit Committee” in the definitive Proxy Statement to be filed on or about March 14, 2025, and 
is incorporated by reference.
Item 11. Executive Compensation.
Information required with respect to executive compensation is set forth under the caption “Compensation Discussion and 
Analysis” in the Company's definitive Proxy Statement to be filed on or about March 14, 2025, and is incorporated by 
reference.
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.
Information required with respect to securities authorized for issuance under equity-based compensation plans is set forth 
under the caption “Equity Compensation Plans” in the Company's definitive Proxy Statement to be filed on or about March 14, 
2025, and is incorporated by reference.
Information required with respect to security ownership of certain beneficial owners, is set forth under the caption “Share 
Ownership Tables” in the Company's definitive Proxy Statement to be filed on or about March 14, 2025, and is incorporated by 
reference.
Item 13. Certain Relationships and Related Transactions, and Director Independence.
Information required with respect to certain relationships and related transactions, as well as director independence, is set 
forth under the caption “Director Independence” in the Company's definitive Proxy Statement to be filed on or about March 14, 
2025, and is incorporated by reference.
Item 14. Principal Accounting Fees and Services.
Information required with respect to principal accountant fees and services is set forth under the caption “Audit Committee 
Report” in the Company's definitive Proxy Statement to be filed on or about March 14, 2025, and is incorporated by reference.
13

Part IV
Item 15. Exhibits and Financial Statement Schedules.
(a) (1) The reports of the independent registered public accounting firm, consolidated financial statements and notes to 
consolidated financial statements are included in Item 8 above: 
Reports of Ernst & Young LLP Independent Registered Public Accounting Firm (PCAOB ID: 42)
Consolidated Statements of Income - Years ended December 31, 2024, 2023 and 2022 
Consolidated Statements of Comprehensive Income - Years ended December 31, 2024, 2023 and 2022 
Consolidated Balance Sheets - December 31, 2024 and 2023
Consolidated Statements of Cash Flows - Years ended December 31, 2024, 2023 and 2022 
Consolidated Statements of Shareholders' Equity - Years ended December 31, 2024, 2023 and 2022 
Notes to consolidated financial statements  
(2) All other schedules for which provision is made in Regulation S-X of the SEC are not required under the related 
instructions or are inapplicable and, therefore, have been omitted. 
(b)   Exhibits incorporated by reference to or filed in conjunction with this form 10-K are listed below.
3 (i)
Certificate of Incorporation - Incorporated by reference to the Form S-8 filed November 30, 2012
3 (ii)
Amended and restated Memorandum and Articles of Incorporation - Incorporated by reference to the Form 8-
K Report filed on May 1, 2017
4.1
Description of Eaton Corporation plc’s Securities registered pursuant to Section 12 of the Securities Exchange 
Act of 1934 (incorporated by reference to Exhibit 4.1 of the registrant's Form 10-K filed on February 26, 
2020)
4.2
Indenture dated as of November 20, 2012, among Turlock Corporation, the guarantors named therein and The 
Bank of New York Mellon Trust Company, N.A., as trustee (incorporated by reference to Exhibit 4.1 of Eaton 
Corporation plc's Form 8-K Current Report filed on November 26, 2012 (Commission File No. 333-182303))
4.3
Supplemental Indenture No. 1, dated as of November 30, 2012, among Eaton Corporation, the guarantors 
named therein and The Bank of New York Mellon Trust Company, N.A., as trustee (incorporated by reference 
to Exhibit 4.2 of the registrant's Form S-4 filed on September 6, 2013)
4.4
Supplemental Indenture No. 2, dated as of January 8, 2013, among Eaton Corporation, the guarantors named 
therein and The Bank of New York Mellon Trust Company, N.A., as trustee (incorporated by reference to 
Exhibit 4.3 of the registrant's Form S-4 filed on September 6, 2013)
4.5
Supplemental Indenture No. 3, dated as of December 20, 2013, among Eaton Corporation, the guarantors 
named therein and The Bank of New York Mellon Trust Company, N.A., as trustee (incorporated by reference 
to Exhibit 4.4 of the registrant's Form 10-K filed on February 28, 2018)
4.6
Supplemental Indenture No. 4, dated as of December 20, 2017 and effective as of January 1, 2018, among 
Eaton Corporation, the guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as 
trustee (incorporated by reference to Exhibit 4.5 of the registrant's Form 10-K filed on February 28, 2018)
4.7
Supplemental Indenture No. 5, dated as of February 16, 2018, among Eaton Corporation, the guarantors 
named therein and The Bank of New York Mellon Trust Company, N.A., as trustee (incorporated by reference 
to Exhibit 4.6 of the registrant's Form 10-K filed on February 28, 2018)
4.8
Indenture dated as of August 23, 2022, among Eaton Corporation, the guarantors named therein and The Bank 
of New York Mellon Trust Company, N.A., as Trustee
4.9
First Supplemental Indenture dated as of August 23, 2022, among Eaton Corporation, the guarantors named 
therein and The Bank of New York Mellon Trust Company, N.A., as Trustee
4.10
Second Supplemental Indenture dated as of August 23, 2022, among Eaton Corporation, the guarantors named 
therein and The Bank of New York Mellon Trust Company, N.A., as Trustee
4.11
Pursuant to Regulation S-K Item 601(b)(4), Eaton agrees to furnish to the SEC, upon request, a copy of the 
instruments defining the rights of holders of its long-term debt other than those set forth in Exhibits (4.2 - 
4.10) hereto
14

10
Material contracts
(a)
Senior Executive Incentive Compensation Plan (effective February 27, 2013) - Incorporated by 
reference to the Form 10-K Report for the year ended December 31, 2012
(b)
Deferred Incentive Compensation Plan II - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2007
(c)
First Amendment to Deferred Incentive Compensation Plan II - Incorporated by reference to the 
Form S-8 filed November 30, 2012
(d)
Excess Benefits Plan II (2008 restatement) - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2007
(e)
First Amendment to Excess Benefits Plan II (2008 restatement) - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2012
(f)
Incentive Compensation Deferral Plan II - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2007
(g)
First Amendment to Incentive Compensation Deferral Plan II - Incorporated by reference to the 
Form S-8 filed November 30, 2012
(h)
Limited Eaton Service Supplemental Retirement Income Plan II - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2007
(i)
First Amendment to Limited Eaton Service Supplemental Retirement Income Plan II - Incorporated 
by reference to the Form 10-K Report for the year ended December 31, 2012
(j)
Supplemental Benefits Plan II (2008 restatement) - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2007
(k)
First Amendment to Supplemental Benefits Plan II (2008 restatement) - Incorporated by reference 
to the Form 10-K Report for the year ended December 31, 2012
(l)
Form of Restricted Share Unit Agreement - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2015
(m)
Form of Restricted Share Award Agreement - Incorporated by reference to the Form 10-K Report 
for the year ended December 31, 2015
(n)
Form of Restricted Share Agreement (Non-Employee Directors) - Incorporated by reference to the 
Form 8-K Report filed February 1, 2010
(o)
Form of Directors' Restricted Share Unit Agreement - Incorporated by reference to the Form 10-K 
report for the year ended December 31, 2012
(p)
Form of Stock Option Agreement for Executives - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2015
(q)
Form of Stock Option Agreement for Non-Employee Directors (2008) - Incorporated by reference 
to the Form 10-K Report for the year ended December 31, 2007
(r)
Amended and Restated 2002 Stock Plan - Incorporated by reference to the Form S-8 filed 
November 30, 2012
(s)
Amended and Restated 2004 Stock Plan - Incorporated by reference to the Form S-8 filed 
November 30, 2012
(t)
Amended and Restated 2008 Stock Plan - Incorporated by reference to the Form S-8 filed 
November 30, 2012
(u)
Second Amended and Restated 2009 Stock Plan - Incorporated by reference to Form S-8 filed 
November 30, 2012
(v)
Amended and Restated 2012 Stock Plan - Incorporated by reference to the Form S-8 filed 
November 30, 2012
(w)
Amendment to Amended and Restated 2012 Stock Plan - Incorporated by reference to the Form 
10-K Report for the year ended December 31, 2012
(x)
First Amendment to 2005 Non-Employee Director Fee Deferral Plan - Incorporated by reference to 
the Form S-8 filed November 30, 2012
15

(y)
2013 Non-Employee Director Fee Deferral Plan - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2012
(z)
2015 Stock Plan - Incorporated by reference to the Form S-8 filed on October 30, 2015
(aa)
Form of Change of Control Agreement entered into with officers of Eaton Corporation - 
Incorporated by reference to the Form 8-K Report filed on December 17, 2015
(bb)
Form of Indemnification Agreement entered into with directors - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2012
(cc)
Form of Indemnification Agreement II entered into with directors - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2012
(dd)
Amended and Restated Executive Strategic Incentive Plan (amended and restated February 27, 
2013) - Incorporated by reference to the Form 10-K Report for the year ended December 31, 2012
(ee)
Executive Strategic Incentive Plan II (effective January 1, 2001) - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2002
(ff)
Amended and Restated Supplemental Executive Strategic Incentive Plan (amended and restated 
February 27, 2013) - Incorporated by reference to the Form 10-K Report for the year ended 
December 31, 2012
(gg)
Deferred Incentive Compensation Plan (amended and restated effective November 1, 2007) - 
Incorporated by reference to the Form 10-K Report for the year ended December 31, 2009
(hh)
Excess Benefits Plan (amended and restated effective January 1, 1989) - Incorporated by reference 
to the Form 10-K Report for the year ended December 31, 2002
(ii)
Amendment to Excess Benefits Plan I - Incorporated by reference to the Form 10-K Report for the 
year ended December 31, 2012
(jj)
Supplemental Benefits Plan (amended and restated January 1, 1989) - Incorporated by reference to 
the Form 10-K Report for the year ended December 31, 2002
(kk)
Amendment to Supplemental Benefits Plan I - Incorporated by reference to the Form 10-K Report 
for the year ended December 31, 2012
(ll)
Eaton Corporation Board of Directors Policy on Incentive Compensation, Stock Options and Other 
Equity Grants upon the Restatement of Financial Results - Incorporated by reference to the Form 
10-K Report for the year ended December 31, 2015
(mm)
Amended and Restated Grantor Trust Agreement for Non-Employee Directors’ Deferred Fees 
Plans - effective January 1, 2010 - Incorporated by reference to the Form 10-K Report for the year 
ended December 31, 2010
(nn)
Amended and Restated Grantor Trust Agreement for Employees’ Deferred Compensation Plans - 
effective January 1, 2010 - Incorporated by reference to the Form 10-K Report for the year ended 
December 31, 2010
(oo)
Eaton Savings Plan 2016 Restatement - Incorporated by reference to the Form 10-K Report for the 
year ended December 31, 2015
(pp)
First Amendment to Eaton Savings Plan - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2016
(qq)
Second Amendment to Eaton Savings Plan - Incorporated by reference to the Form 10-K Report 
for the year ended December 31, 2016
(rr)
Seventh Amendment to Eaton Savings Plan 2016 Restatement - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2020
(ss)
Eaton Personal Investment Plan 2015 Restatement - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2015
(tt)
First Amendment to Eaton Personal Investment Plan - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2016
(uu)
Second Amendment to Eaton Personal Investment Plan - Incorporated by reference to the Form 10-
K Report for the year ended December 31, 2016
16

(vv)
Performance Share Award Agreement - Incorporated by reference to the Form 10-K Report for the 
year ended December 31, 2015
(ww)
Form of Indemnification Agreement entered into with officers of Eaton Corporation - Incorporated 
by reference to the Form 10-K Report for the year ended December 31, 2015
(xx)
Amendment to Limited Eaton Service Supplemental Retirement Income Plan I- Incorporated by 
reference to the Form 10-K Report for the year ended December 31, 2015
(yy)
Amendment to Eaton Corporation Excess Benefits Plan - Incorporated by reference to the Form 
10-K Report for the year ended December 31, 2016
(zz)
Amendment to Eaton Corporation Supplemental Benefits Plan - Incorporated by reference to the 
Form 10-K Report for the year ended December 31, 2016
(aaa)
Second Amendment to Eaton Corporation Excess Benefits Plan II - Incorporated by reference to 
the Form 10-K Report for the year ended December 31, 2016
(bbb)
Second Amendment to Limited Eaton Service Supplemental Retirement Income Plan II - 
Incorporated by reference to the Form 10-K Report for the year ended December 31, 2016
(ccc)
Second Amendment to Eaton Corporation Supplemental Benefits Plan II - Incorporated by 
reference to the Form 10-K Report for the year ended December 31, 2016
(ddd)
2016 RSU Grant Agreement - Incorporated by reference to the Form 10-K Report for the year 
ended December 31, 2016
(eee)
2016 Performance Share Grant Agreement - Incorporated by reference to the Form 10-K Report for 
the year ended December 31, 2016
(fff)
Special 2016 Performance Share Grant Agreement - Incorporated by reference to the Form 10-K 
Report for the year ended December 31, 2016
(ggg)
2020 Stock Plan - Incorporated by reference to the Form S-8 filed on November 3, 2020
(hhh)
5-Year Revolving Credit Agreement, dated as of October 3, 2022, among Eaton Corporation, the 
guarantors from time to time party thereto, the several lenders from time to time parties thereto, 
Citibank, N.A., as Administrative Agent, Citibank, N.A., JPMorgan Chase Bank, N.A. and BofA 
Securities, Inc. as joint lead arrangers and joint bookrunners, JPMorgan Chase Bank, N.A., as 
syndication agent and Bank of America, N.A. as documentation agent - Incorporated by reference 
to Exhibit 10.1 to the Current Report on Form 8-K filed on October 7, 2022
(iii)
364-Day Revolving Credit Agreement, dated as of September 30, 2024, among Eaton Corporation, 
the guarantors from time to time party thereto, the several lenders from time to time parties thereto, 
Citibank, N.A., as Administrative Agent, Citibank, N.A., JPMorgan Chase Bank, N.A. and BofA 
Securities, Inc., as joint lead arrangers and joint bookrunners, JPMorgan Chase Bank, N.A., as 
syndication agent and Bank of America, N.A. as documentation agent - Incorporated by reference 
to Exhibit 10.2 to the Quarterly Report on Form 10-Q for the quarterly period ended September 30, 
2024
19
Insider Trading Policy and Procedures - Filed in conjunction with this Form 10-K Report *
21
Subsidiaries of Eaton Corporation plc - Filed in conjunction with this Form 10-K Report *
22
Table of Senior Notes, Issuer and Guarantors - Incorporated by reference to the Form 10-K Report 
filed on February 23, 2023
23
Consent of Independent Registered Public Accounting Firm - Filed in conjunction with this Form 
10-K Report *
24
Power of Attorney - Filed in conjunction with this Form 10-K Report *
31.1
 
Certification of Principal Executive Officer (Pursuant to the Sarbanes-Oxley Act of 2002, Section 
302) - Filed in conjunction with this Form 10-K Report *
31.2
 
Certification of Principal Financial Officer (Pursuant to the Sarbanes-Oxley Act of 2002, Section 
302) - Filed in conjunction with this Form 10-K Report *
32.1
 
Certification of Principal Executive Officer (Pursuant to the Sarbanes-Oxley Act of 2002, 
Section 906) - Filed in conjunction with this Form 10-K Report *
32.2
 
Certification of Principal Financial Officer (Pursuant to the Sarbanes-Oxley Act of 2002, 
Section 906) - Filed in conjunction with this Form 10-K Report *
17

97
Recoupment policy of Eaton Corporation plc - Incorporated by reference to the Form 10-K filed for 
the year ended December 31, 2023
101.INS
 
XBRL Instance Document - the instance document does not appear in the Interactive Data File 
because its XBRL tags are embedded within the Inline XBRL document. *
101.SCH
 
XBRL Taxonomy Extension Schema Document *
101.CAL  
XBRL Taxonomy Extension Calculation Linkbase Document *
101.DEF
 
XBRL Taxonomy Extension Definition Linkbase Document *
101.LAB  
XBRL Taxonomy Extension Label Linkbase Document *
101.PRE
 
XBRL Taxonomy Extension Presentation Linkbase Document *
104
Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)
*
Submitted electronically herewith.
Attached as Exhibit 101 to this report are the following formatted in XBRL (Extensible Business Reporting Language): (i) 
Consolidated Statements of Income for the years ended December 31, 2024, 2023 and 2022, (ii) Consolidated Statements of 
Comprehensive Income for the years ended December 31, 2024, 2023 and 2022 (iii) Consolidated Balance Sheets at 
December 31, 2024 and 2023, (iv) Consolidated Statements of Cash Flows for the years ended December 31, 2024, 2023 and 
2022, (v) Consolidated Statements of Shareholders' Equity for the years ended December 31, 2024, 2023 and 2022 and (vi) 
Notes to consolidated financial statements for the year ended December 31, 2024.
Item 16. Form 10-K Summary.
Not applicable.
18

SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused 
this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
EATON CORPORATION plc
 
 
Registrant
Date: February 27, 2025
By: /s/ Olivier Leonetti
Olivier Leonetti
(On behalf of the registrant and as Principal Financial Officer)
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following 
persons on behalf of the registrant and in the capacities and on the date indicated.
Date: February 27, 2025 
Signature
Title
/s/ Craig Arnold
/s/ Olivier Leonetti
Craig Arnold
Chairman, Principal Executive 
Officer; Director
Olivier Leonetti
Principal Financial Officer
/s/ Adam Wadecki
*
Adam Wadecki
Principal Accounting Officer
Silvio Napoli
Director
*
*
Gregory R. Page
Director
Sandra Pianalto
Director
*
*
Robert V. Pragada
Director
Paulo Ruiz
Director
*
*
Lori J. Ryerkerk
Director
Andre Schulten
Director
*
*
Gerald B. Smith
Director
Karenann Terrell
Director
*
*
Dorothy C. Thompson
Director
Darryl L. Wilson
Director
*By
/s/ Olivier Leonetti
Olivier Leonetti, Attorney-in-Fact for the officers
and directors signing in the capacities indicated
19

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and the Board of Directors of Eaton Corporation plc 
Opinion on the Financial Statements 
We have audited the accompanying consolidated balance sheets of Eaton Corporation plc (“the Company”) as of December 31, 
2024 and 2023, the related consolidated statements of income, comprehensive income, shareholders’ equity and cash flows for 
each of the three years in the period ended December 31, 2024, and the related notes (collectively referred to as the 
“consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, 
the financial position of the Company at December 31, 2024 and 2023, and the results of its operations and its cash flows for 
each of the three years in the period ended December 31, 2024, in conformity with U.S. generally accepted accounting 
principles. 
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) 
(PCAOB), the Company's internal control over financial reporting as of December 31, 2024, based on criteria established in 
Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission 
(2013 framework) and our report dated February 27, 2025 expressed an unqualified opinion thereon. 
Basis for Opinion 
These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on 
the Company’s financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are 
required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable 
rules and regulations of the Securities and Exchange Commission and the PCAOB. 
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the 
audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to 
error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial 
statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included 
examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included 
evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall 
presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
Critical Audit Matter
The critical audit matter communicated below is a matter arising from the current period audit of the consolidated financial 
statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or 
disclosures that are material to the consolidated financial statements and (2) involved our especially challenging, subjective or 
complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated 
financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate 
opinion on the critical audit matter or on the account or disclosure to which it relates.
20

Unrecognized Income Tax Benefits
Description of the Matter
As discussed in Note 12 to the consolidated financial statements, the Company had 
gross unrecognized income tax benefits of $1,361 million related to its uncertain tax 
positions at December 31, 2024. Unrecognized income tax benefits are recorded under 
the two-step recognition and measurement principles when a tax position does not meet 
the more likely than not standard, or if a tax position meets the more likely than not 
standard, but the financial statement tax benefit is reduced as part of the measurement 
step. 
The balance of unrecognized income tax benefits is comprised of uncertain tax positions 
which meet the more likely than not standard, but the financial statement tax benefit has 
been reduced as part of measuring the tax position.
Auditing management’s analysis of its uncertain tax positions and resulting 
unrecognized income tax benefits is complex as each tax position carries unique facts 
and circumstances that must be evaluated and ultimate resolution is dependent on 
uncontrollable factors such as the timing of finalizing resolutions of audit disputes 
through reaching settlement agreements or concluding litigation, or changes in law, and 
other factors.
How We Addressed the Matter in 
Our Audit
We obtained an understanding, evaluated the design and tested the operating 
effectiveness of management’s controls related to uncertain tax positions. For example, 
we tested controls over management’s application of the two-step recognition and 
measurement principles and management’s review of the inputs and resultant 
calculations of unrecognized income tax benefits, as well as the identification of new 
factors affecting existing uncertain tax positions. 
We also evaluated the Company’s assessment of its uncertain tax positions. Our audit 
procedures included, among others, evaluating management’s accounting policies and 
documentation to assess the appropriateness and consistency of the methods and 
assumptions used to develop its uncertain tax positions and related unrecognized income 
tax benefit amounts by jurisdiction. We also tested the completeness and accuracy of the 
underlying data used by the Company. For example, we compared the unrecognized 
income tax benefits recorded with similar positions in prior periods and assessed 
management’s consideration of current tax controversy and litigation, including current 
year developments with respect to the Company's ongoing litigation and examinations 
with respect to certain open tax years in the United States. We also assessed the 
historical accuracy of management’s estimates of its unrecognized income tax benefits 
with the resolution of those positions. In addition, we involved tax subject matter 
professionals to evaluate the application of relevant tax laws, regulations, case law, and 
Company-specific controversy developments in the Company’s recognition 
determination. We have also evaluated the Company’s income tax disclosures in 
relation to these matters.
/s/ Ernst & Young LLP
We have served as the Company’s auditor since 1923.
Cleveland, Ohio
February 27, 2025
21

MANAGEMENT'S REPORT ON FINANCIAL STATEMENTS
We have prepared the accompanying consolidated financial statements and related information of Eaton Corporation plc 
("Eaton") included herein for the three years ended December 31, 2024. The primary responsibility for the integrity of the 
financial information included in this annual report rests with management. The financial information included in this annual 
report has been prepared in accordance with accounting principles generally accepted in the United States based on our best 
estimates and judgments and giving due consideration to materiality. The opinion of Ernst & Young LLP, Eaton's independent 
registered public accounting firm, on those consolidated financial statements is included herein.
Eaton has high standards of ethical business practices supported by the Eaton Code of Ethics and corporate policies. Careful 
attention is given to selecting, training and developing personnel, to ensure that management's objectives of establishing and 
maintaining adequate internal controls and unbiased, uniform reporting standards are attained. Our policies and procedures 
provide reasonable assurance that operations are conducted in conformity with applicable laws and with the Company's 
commitment to a high standard of business conduct.
The Board of Directors pursues its responsibility for the quality of Eaton's financial reporting primarily through its Audit 
Committee, which is composed of five independent directors. The Audit Committee meets regularly with management, the 
internal auditors and the independent registered public accounting firm to ensure that they are meeting their responsibilities and 
to discuss matters concerning accounting, internal control, audits and financial reporting. The internal auditors and independent 
registered public accounting firm have full and free access to senior management and the Audit Committee.
/s/ Craig Arnold
/s/ Olivier Leonetti
/s/ Adam Wadecki
Principal Executive Officer
Principal Financial Officer
Principal Accounting Officer
February 27, 2025
22

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and the Board of Directors of Eaton Corporation plc 
Opinion on Internal Control Over Financial Reporting 
We have audited Eaton Corporation plc’s (“the Company”) internal control over financial reporting as of December 31, 2024, 
based on criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of 
the Treadway Commission (2013 framework) (the COSO criteria). In our opinion, the Company maintained, in all material 
respects, effective internal control over financial reporting as of December 31, 2024, based on the COSO criteria.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) 
(PCAOB), the consolidated balance sheets of the Company as of December 31, 2024 and 2023, the related consolidated 
statements of income, comprehensive income, shareholders’ equity and cash flows for each of the three years in the period 
ended December 31, 2024, and the related notes and our report dated February 27, 2025 expressed an unqualified opinion 
thereon.
Basis for Opinion
The Company’s management is responsible for maintaining effective internal control over financial reporting and for its 
assessment of the effectiveness of internal control over financial reporting included in the accompanying Management’s Report 
on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control 
over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be 
independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and 
regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the 
audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all 
material respects.
Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material 
weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and 
performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a 
reasonable basis for our opinion.
Definition and Limitations of Internal Control Over Financial Reporting 
A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the 
reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally 
accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures 
that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and 
dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit 
preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and 
expenditures of the company are being made only in accordance with authorizations of management and directors of the 
company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or 
disposition of the company’s assets that could have a material effect on the financial statements. 
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, 
projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate 
because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. 
/s/ Ernst & Young LLP
Cleveland, Ohio
February 27, 2025 
23

MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING 
The management of Eaton Corporation plc ("Eaton") is responsible for establishing and maintaining adequate internal 
control over financial reporting (as defined in Exchange Act rules 13a-15(f)).
Under the supervision and with the participation of Eaton's management, including our principal executive officer and 
principal financial officer, we conducted an evaluation of the effectiveness of the Company's internal control over financial 
reporting as of December 31, 2024. In conducting this evaluation, we used the framework set forth by the Committee of 
Sponsoring Organizations of the Treadway Commission in Internal Control - Integrated Framework (2013 Framework). Based 
on this evaluation under the framework referred to above, management concluded that the Company's internal control over 
financial reporting was effective as of December 31, 2024.
The independent registered public accounting firm Ernst & Young LLP has issued an audit report on the effectiveness of the 
Company's internal control over financial reporting as of December 31, 2024. This report is included herein.
/s/ Craig Arnold
/s/ Olivier Leonetti
/s/ Adam Wadecki
Principal Executive Officer
Principal Financial Officer
Principal Accounting Officer
February 27, 2025
24

EATON CORPORATION plc
CONSOLIDATED STATEMENTS OF INCOME
Year ended December 31
(In millions except for per share data)
2024
2023
2022
Net sales
$ 
24,878 $ 
23,196 $ 
20,752 
Cost of products sold
 
15,375  
14,762  
13,865 
Selling and administrative expense
 
4,077  
3,795  
3,227 
Research and development expense
 
794  
754  
665 
Interest expense - net
 
130  
151  
144 
Gain on sale of business
 
—  
—  
24 
Other income - net
 
(64)  
(93)  
(36) 
Income before income taxes
 
4,566  
3,827  
2,911 
Income tax expense
 
768  
604  
445 
Net income
 
3,798  
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 
Net income per share attributable to Eaton ordinary shareholders
Diluted
$ 
9.50 $ 
8.02 $ 
6.14 
Basic
 
9.54  
8.06  
6.17 
Weighted-average number of ordinary shares outstanding
Diluted
 
399.4  
401.1  
400.8 
Basic
 
397.6  
399.1  
398.7 
Cash dividends declared per ordinary share
$ 
3.76 $ 
3.44 $ 
3.24 
The accompanying notes are an integral part of the consolidated financial statements.
25

EATON CORPORATION plc
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Year ended December 31
(In millions)
2024
2023
2022
Net income
$ 
3,798 $ 
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 
Other comprehensive income (loss), net of tax
Currency translation and related hedging instruments
 
(370)  
235  
(647) 
Pensions and other postretirement benefits
 
(49)  
(185)  
175 
Cash flow hedges
 
(17)  
(11)  
159 
Other comprehensive income (loss) attributable to Eaton 
   ordinary shareholders
 
(436)  
39  
(313) 
Total comprehensive income attributable to Eaton ordinary shareholders
$ 
3,358 $ 
3,257 $ 
2,149 
The accompanying notes are an integral part of the consolidated financial statements.
26

EATON CORPORATION plc
CONSOLIDATED BALANCE SHEETS
December 31
(In millions)
2024
2023
Assets
 
 
Current assets
 
 
Cash
$ 
555 
$ 
488 
Short-term investments
 
1,525 
 
2,121 
Accounts receivable - net
 
4,619 
 
4,475 
Inventory
 
4,227 
 
3,739 
Prepaid expenses and other current assets
 
874 
 
851 
Total current assets
 
11,801 
 
11,675 
Property, plant and equipment
Land and buildings
 
2,239 
 
2,241 
Machinery and equipment
 
6,823 
 
6,497 
Gross property, plant and equipment
 
9,062 
 
8,738 
Accumulated depreciation
 
(5,333)  
(5,208) 
Net property, plant and equipment
 
3,729 
 
3,530 
Other noncurrent assets
Goodwill
 
14,713 
 
14,977 
Other intangible assets
 
4,658 
 
5,091 
Operating lease assets
 
806 
 
648 
Deferred income taxes
 
609 
 
458 
Other assets
 
2,066 
 
2,052 
Total assets
$ 
38,381 
$ 
38,432 
Liabilities and shareholders’ equity
 
 
Current liabilities
 
 
Short-term debt
$ 
— 
$ 
8 
Current portion of long-term debt
 
674 
 
1,017 
Accounts payable
 
3,678 
 
3,365 
Accrued compensation
 
670 
 
676 
Other current liabilities
 
2,835 
 
2,680 
Total current liabilities
 
7,857 
 
7,747 
Noncurrent liabilities
 
 
Long-term debt
 
8,478 
 
8,244 
Pension liabilities
 
741 
 
768 
Other postretirement benefits liabilities
 
164 
 
180 
Operating lease liabilities
 
669 
 
533 
Deferred income taxes
 
275 
 
402 
Other noncurrent liabilities
 
1,667 
 
1,489 
Total noncurrent liabilities
 
11,994 
 
11,616 
Shareholders’ equity
 
 
Ordinary shares (392.9 million outstanding in 2024 and 399.4 million in 2023)
 
4 
 
4 
Capital in excess of par value
 
12,731 
 
12,634 
Retained earnings
 
10,096 
 
10,305 
Accumulated other comprehensive loss
 
(4,342)  
(3,906) 
Shares held in trust
 
(1)  
(1) 
Total Eaton shareholders’ equity
 
18,488 
 
19,036 
Noncontrolling interests
 
43 
 
33 
Total equity
 
18,531 
 
19,069 
Total liabilities and equity
$ 
38,381 
$ 
38,432 
The accompanying notes are an integral part of the consolidated financial statements.
27

EATON CORPORATION plc
CONSOLIDATED STATEMENTS OF CASH FLOWS
Year ended December 31
(In millions)
2024
2023
2022
Operating activities
 
 
Net income
$ 
3,798 $ 
3,223 $ 
2,465 
Adjustments to reconcile to net cash provided by operating activities
Depreciation and amortization
 
921  
926  
954 
Deferred income taxes
 
(154)  
(182)  
(128) 
Pension and other postretirement benefits expense
 
24  
15  
54 
Contributions to pension plans
 
(110)  
(113)  
(116) 
Contributions to other postretirement benefits plans
 
(18)  
(20)  
(24) 
Gain on sale of business
 
—  
—  
(24) 
Changes in working capital
 
  
 
Accounts receivable - net
 
(215)  
(341)  
(743) 
Inventory
 
(566)  
(282)  
(490) 
Accounts payable
 
399  
256  
334 
Accrued compensation
 
21  
197  
(16) 
Accrued income and other taxes
 
142  
61  
170 
Other current assets
 
(79)  
(112)  
(179) 
Other current liabilities
 
79  
72  
236 
Other - net
 
85  
(76)  
40 
Net cash provided by operating activities
 
4,327  
3,624  
2,533 
Investing activities
 
 
Capital expenditures for property, plant and equipment
 
(808)  
(757)  
(598) 
Proceeds from sales of property, plant and equipment
 
85  
76  
163 
Cash paid for acquisition of businesses, net of cash acquired
 
(50)  
—  
(610) 
Proceeds from (payments for) sale of business, net of cash sold
 
—  
(2)  
31 
Investments in associate companies
 
(70)  
(68)  
(42) 
Return of investment from associate companies
 
33  
9  
1 
Sales (purchases) of short-term investments - net
 
575  
(1,861)  
(19) 
Proceeds from (payments for) settlement of currency exchange contracts 
not designated as hedges - net
 
(3)  
92  
(47) 
Other - net
 
(32)  
(63)  
(80) 
Net cash used in investing activities
 
(271)  
(2,575)  
(1,200) 
Financing activities
 
 
Proceeds from borrowings
 
1,084  
818  
1,995 
Payments on borrowings
 
(1,015)  
(19)  
(2,012) 
Short-term debt, net
 
(8)  
(311)  
317 
Cash dividends paid
 
(1,500)  
(1,379)  
(1,299) 
Exercise of employee stock options
 
69  
78  
28 
Repurchase of shares
 
(2,492)  
—  
(286) 
Employee taxes paid from shares withheld 
 
(70)  
(49)  
(60) 
Other - net
 
(4)  
(9)  
(23) 
Net cash used in financing activities
 
(3,936)  
(871)  
(1,340) 
Effect of currency on cash
 
(52)  
16  
4 
Total increase (decrease) in cash
 
67  
194  
(3) 
Cash at the beginning of the period
 
488  
294  
297 
Cash at the end of the period
$ 
555 $ 
488 $ 
294 
The accompanying notes are an integral part of the consolidated financial statements.
28

EATON CORPORATION plc
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
Ordinary shares
Capital 
in excess 
of par 
value
Retained 
earnings
Accumulated 
other 
comprehensive 
loss
Shares 
held in 
trust
Total Eaton 
shareholders' 
equity
Noncontrolling 
interests
Total 
equity
(In millions)
Shares
Dollars
Balance at January 1, 2022
 398.8 
$ 
4 
$ 12,449 
$ 
7,594 
$ 
(3,633) $ 
(1) $ 
16,413 
$ 
38 
$ 16,451 
Net income
 
— 
 
— 
 
— 
 
2,462 
 
— 
 
— 
 
2,462 
 
4 
 2,465 
Other comprehensive loss, net of tax
 
(313) 
 
(313) 
 
(313) 
Cash dividends paid
 
— 
 
— 
 
— 
 
(1,299)  
— 
 
— 
 
(1,299)  
(2)  (1,301) 
Issuance of shares under equity-based 
compensation plans
 
1.1 
 
— 
 
65 
 
(2)  
— 
 
— 
 
63 
 
— 
 
63 
Changes in noncontrolling interest of 
consolidated subsidiaries - net
 
— 
 
— 
 
(1)  
— 
 
— 
 
— 
 
(1)  
(2)  
(3) 
Repurchase of shares
 
(2.0)  
— 
 
— 
 
(286)  
— 
 
— 
 
(286)  
— 
 
(286) 
Balance at December 31, 2022
 397.8 
 
4 
 12,512 
 
8,468 
 
(3,946)  
(1)  
17,038 
 
38 
 17,075 
Net income
 
— 
 
— 
 
— 
 
3,218 
 
— 
 
— 
 
3,218 
 
5 
 3,223 
Other comprehensive income, net of 
tax
 
39 
 
39 
 
39 
Cash dividends paid
 
— 
 
— 
 
— 
 
(1,379)  
— 
 
— 
 
(1,379)  
(9)  (1,388) 
Issuance of shares under equity-based 
compensation plans
 
1.5 
 
— 
 
122 
 
(2)  
— 
 
— 
 
120 
 
— 
 
120 
Changes in noncontrolling interest of 
consolidated subsidiaries - net
 
— 
 
— 
 
— 
 
— 
 
— 
 
— 
 
— 
 
(1)  
(1) 
Balance at December 31, 2023
 399.4 
 
4 
 12,634 
 
10,305 
 
(3,906)  
(1)  
19,036 
 
33 
 19,069 
Net income
 
— 
 
— 
 
— 
 
3,794 
 
— 
 
— 
 
3,794 
 
4 
 3,798 
Other comprehensive loss, net of tax
 
(436) 
 
(436) 
 
(436) 
Cash dividends paid
 
— 
 
— 
 
— 
 
(1,500)  
— 
 
— 
 
(1,500)  
(2)  (1,502) 
Issuance of shares under equity-based 
compensation plans
 
1.3 
 
— 
 
96 
 
(2)  
— 
 
— 
 
94 
 
— 
 
94 
Changes in noncontrolling interest of 
consolidated subsidiaries - net
 
— 
 
— 
 
— 
 
— 
 
— 
 
— 
 
— 
 
8 
 
8 
Repurchase of shares
 
(7.8)  
— 
 
— 
 
(2,500)  
— 
 
— 
 
(2,500)  
— 
 (2,500) 
Balance at December 31, 2024
 392.9 
$ 
4 
$ 12,731 
$ 10,096 
$ 
(4,342) $ 
(1) $ 
18,488 
$ 
43 
$ 18,531 
The accompanying notes are an integral part of the consolidated financial statements.
29

EATON CORPORATION plc
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Amounts are in millions unless indicated otherwise (per share data assume dilution). Columns and rows may not add and the 
sum of components may not equal total amounts reported due to rounding.
Note 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
General Information and Basis of Presentation
Eaton Corporation plc (Eaton or the Company) is an intelligent power management company dedicated to protecting the 
environment and improving the quality of life for people everywhere. We make products for the data center, utility, industrial, 
commercial, machine building, residential, aerospace and mobility markets. We are guided by our commitment to operate 
sustainably and with the highest ethical standards. Our work is accelerating the planet’s transition to renewable energy sources, 
helping to solve the world’s most urgent power management challenges, and building a more sustainable society for people 
today and for future generations.
Founded in 1911, Eaton has continuously evolved to meet the changing and expanding needs of our stakeholders. With 
revenues of nearly $25 billion in 2024, the Company serves customers in more than 160 countries.
The consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting 
principles in the United States. Preparation of the consolidated financial statements requires management to make estimates and 
assumptions that affect amounts reported in the consolidated financial statements and notes. Actual results could differ from 
these estimates. Management has evaluated subsequent events through the date the consolidated financial statements were filed 
with the Securities Exchange Commission.
The consolidated financial statements include the accounts of Eaton and all subsidiaries and other entities it controls. 
Intercompany transactions and balances have been eliminated. The equity method of accounting is used for investments in 
associate companies where the Company has significant influence and generally a 20% to 50% ownership interest. Equity 
investments are evaluated for impairment whenever events or circumstances indicate the book value of the investment exceeds 
fair value. An impairment would exist if there is an other-than-temporary decline in value. Investments in associate companies 
included in Other assets on the Consolidated Balance Sheets were $872 million and $860 million as of December 31, 2024 and 
2023, respectively. Income (loss) from these investments was $12 million, $20 million, and $(5) million for 2024, 2023 and 
2022, respectively, and reported in Other income - net on the Consolidated Statements of Income. Eaton does not have off-
balance sheet arrangements with unconsolidated entities. 
Eaton's reporting currency is United States Dollars (USD). The functional currency for most subsidiaries is their local 
currency. Financial statements for these subsidiaries are translated at exchange rates in effect at the balance sheet date as to 
assets and liabilities and weighted-average exchange rates as to revenues and expenses. The resulting translation adjustments 
are recognized in Accumulated other comprehensive loss. Monetary assets and liabilities denominated in currencies other than 
the functional currency of the subsidiary are remeasured to the functional currency at the exchange rate in effect at the balance 
sheet date. For subsidiaries operating in highly inflationary economies, non-monetary assets and liabilities such as inventory 
and property, plant and equipment and their related expenses are remeasured at historical exchange rates, while monetary assets 
and liabilities are remeasured at exchange rates in effect at the balance sheet date. Remeasurement adjustments for these 
subsidiaries are recognized in income. Gains from the remeasurement of foreign currency were $15 million, $27 million, and 
$67 million for 2024, 2023 and 2022, respectively, net of the impact of currency exchange contracts.
Certain prior year amounts have been reclassified to conform to the current year presentation.
Adoption of New Accounting Standard
Eaton adopted Accounting Standards Update 2023-07, Segment Reporting (Topic 280): Improvements to Reportable 
Segment Disclosures, in the fourth quarter of 2024 on a retrospective basis. This accounting standard requires additional 
segment disclosures on an annual and interim basis, including significant segment expenses that are regularly provided to the 
chief operating decision maker. The standard does not change how operating segments and reportable segments are determined. 
The adoption of the standard did not have a material impact on the consolidated financial statements.
30

Goodwill and Indefinite Life Intangible Assets
Goodwill is evaluated annually for impairment as of July 1 using either a quantitative or qualitative analysis. Additionally, 
goodwill is evaluated for impairment whenever an event occurs or circumstances change that would indicate that it is more 
likely than not that the fair value of a reporting unit is less than its carrying amount. Goodwill is tested for impairment at the 
reporting unit level, and is based on the net assets for each reporting unit, including goodwill and intangible assets. The 
Company’s reporting units are equivalent to the reportable operating segments, except for the Aerospace segment which has 
two reporting units. Goodwill is assigned to each reporting unit, as this represents the lowest level that constitutes a business 
and is the level at which management regularly reviews the operating results. The Company performs a quantitative analysis 
using a discounted cash flow model and other valuation techniques, but may elect to perform a qualitative analysis.
The annual goodwill impairment test was performed using a quantitative analysis in 2024, except for the Vehicle and 
eMobility reporting units which used a qualitative analysis in 2024. The annual goodwill impairment test was performed using 
a qualitative analysis in 2023, except for the Vehicle reporting unit which used a quantitative analysis in 2023. A qualitative 
analysis is performed by assessing certain trends and factors, including projected market outlook and growth rates, forecasted 
and actual sales and operating profit margins, discount rates, industry data, and other relevant qualitative factors. These trends 
and factors are compared to, and based on, the assumptions used in the most recent quantitative analysis performed for each 
reporting unit. The results of the qualitative analyses did not indicate a need to perform quantitative analysis. 
Quantitative analyses were performed by estimating the fair value of the reporting unit using a discounted cash flow model. 
The model includes estimates of future cash flows, future growth rates, terminal value amounts, and the applicable weighted-
average cost of capital used to discount those estimated cash flows. The future cash flows were based on the Company's long-
term operating plan and a terminal value was used to estimate the reporting unit's cash flows beyond the period covered by the 
operating plan. The weighted-average cost of capital is an estimate of the overall after-tax rate of return required by equity and 
debt market holders of a business enterprise. These analyses require the exercise of judgments, including judgments about 
appropriate discount rates, perpetual growth rates, revenue growth, and margin assumptions. Sensitivity analyses were 
performed around certain of these assumptions in order to assess the reasonableness of the assumptions and the resulting 
estimated fair values. 
Based on these analyses performed in 2024 and 2023, the fair value of Eaton's reporting units continue to substantially 
exceed their respective carrying amounts and thus, no impairment exists.
Indefinite life intangible assets consist of certain trademarks. They are evaluated annually for impairment as of July 1 using 
either a quantitative or qualitative analysis to determine whether their fair values exceed their respective carrying amounts. 
Indefinite life intangible asset impairment testing for 2024 and 2023 was performed using a quantitative analysis. The Company 
determines the fair value of these assets using a royalty relief methodology similar to that employed when the associated assets 
were acquired, but using updated estimates of future sales, cash flows, and profitability. Additionally, indefinite life intangible 
assets are evaluated for impairment whenever an event occurs or circumstances change that would indicate that it is more likely 
than not that the asset is impaired. For 2024 and 2023, the fair value of indefinite lived intangible assets exceeded the respective 
carrying value.
For additional information about goodwill and other intangible assets, see Note 6.
Leases
The Company determines if an arrangement is a lease at inception. Operating lease assets and liabilities are recognized at the 
commencement date of the lease based on the present value of lease payments over the lease term. Lease assets represent the 
Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make 
lease payments arising from the lease. As most leases do not provide an implicit interest rate, Eaton uses its incremental 
borrowing rate based on the information available at the lease commencement date in determining the present value of lease 
payments. The length of a lease term includes options to extend or terminate the lease when it is reasonably certain that the 
Company will exercise those options. The Company made an accounting policy election to not recognize lease assets or 
liabilities for leases with a term of 12 months or less. Additionally, when accounting for leases, the Company combines 
payments for leased assets, related services and other components of a lease.
31

Other Long-Lived Assets
Depreciation and amortization for property, plant and equipment, and intangible assets subject to amortization, are generally 
computed by the straight-line method and included in Cost of products sold, Selling and administrative expense, and Research 
and development expense, as appropriate. The Company uses the following depreciation and amortization periods:
Category
Estimated useful life or amortization period
Buildings
Generally 40 years
Machinery and equipment
3 - 10 years
Software
5 - 15 years
Customer relationships, certain trademarks, and patents and technology
Weighted-average of 18 years
Other long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate the carrying 
amount may not be recoverable. Upon indications of impairment, assets and liabilities are grouped at the lowest level for which 
identifiable cash flows are largely independent of the cash flows of other assets and liabilities. The asset group would be 
considered impaired when the estimated future net undiscounted cash flows generated by the asset group are less than its 
carrying value. Determining asset groups and underlying cash flows requires the use of significant judgment.
Retirement Benefits Plans
For the principal pension plans in the United States, Canada, Puerto Rico, and the United Kingdom, the Company uses a 
market-related value of plan assets to calculate the expected return on assets used to determine net periodic benefit costs. The 
market-related value of plan assets is a calculated value that recognizes changes in the fair value of plan assets over a five year 
period. All other plans use fair value of plan assets.
Net actuarial gains or losses are amortized to expense on a plan-by-plan basis when they exceed the accounting corridor. 
The Company’s corridors are set at either 8% or 10%, depending on the plan, of the greater of the plan assets or benefit 
obligations. Gains or losses outside of the corridor are subject to amortization over an average employee future service period 
that differs by plan. If most or all of the plan’s participants are no longer actively accruing benefits, the average life expectancy 
is used. The amortization periods on a weighted average basis for United States and Non-United States pension plans are 
approximately 21 years and 10 years, respectively. The amortization period for other postretirement benefits plans is 8 years.
Asset Retirement Obligations
A conditional asset retirement obligation is recognized at fair value when incurred if the fair value of the liability can be 
reasonably estimated. Uncertainty about the timing or method of settlement of a conditional asset retirement obligation would 
be considered in the measurement of the liability when sufficient information exists. Eaton believes that for substantially all of 
its asset retirement obligations, there is an indeterminate settlement date because the range of time over which the Company 
may settle the obligation is unknown or cannot be estimated. A liability for these obligations will be recognized when sufficient 
information is available to estimate fair value.
Income Taxes
Deferred income tax assets and liabilities are determined based on the difference between the financial statement and tax 
basis of the respective assets and liabilities, using enacted tax rates in effect for the year when the differences are expected to 
reverse. Deferred income tax assets are recognized for income tax loss carryforwards and income tax credit carryforwards. 
Judgment is required in determining and evaluating income tax provisions and valuation allowances for deferred income tax 
assets. Eaton recognizes an income tax benefit from an uncertain tax position only if it is more likely than not that the tax 
position will be sustained on examination by taxing authorities, based on the technical merits of the position. Eaton evaluates 
and adjusts these accruals based on changing facts and circumstances. Eaton recognizes interest and penalties related to 
unrecognized income tax benefits in the provision for income tax expense. Eaton's policy is to recognize income tax effects 
from accumulated other comprehensive income when individual units of account are sold, terminated, or extinguished. For 
additional information about income taxes, see Note 12.
32

Derivative Financial Instruments and Hedging Activities
Eaton uses derivative financial instruments to manage the exposure to the volatility in raw material costs, currency, and 
interest rates on certain debt. These instruments are marked to fair value in the accompanying Consolidated Balance Sheets. 
Changes in the fair value of derivative assets or liabilities (i.e., gains or losses) are recognized depending upon the type of 
hedging relationship and whether an instrument has been designated as a hedge. For those instruments that qualify for hedge 
accounting, Eaton designates the hedging instrument, based upon the exposure being hedged, as a cash flow hedge, a fair value 
hedge, or a hedge of a net investment in a foreign operation. Changes in fair value of these instruments that do not qualify for 
hedge accounting are recognized immediately in net income. See Note 16 for additional information about hedges and 
derivative financial instruments.
Recently Issued Accounting Pronouncements
In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2023-09, 
Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09). This accounting standard requires 
disaggregated income tax disclosures on an annual basis, including information on the Company’s effective income tax rate 
reconciliation and income taxes paid. ASU 2023-09 is effective for annual reporting periods beginning after December 15, 
2024, and may be applied prospectively or retrospectively. The Company is evaluating the impact of ASU 2023-09 and expects 
the standard will only impact its income taxes disclosures with no material impact to the consolidated financial statements.
In November 2024, the FASB issued Accounting Standards Update 2024-03, Income Statement – Reporting Comprehensive 
Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (ASU 
2024-03). This accounting standard requires disaggregated income statement expense disclosures on an annual and interim 
basis, including inventory purchases, employee compensation, depreciation, and intangible asset amortization for each income 
statement line item that contains these expenses. The standard also requires disclosure of total selling expenses on an annual 
and interim basis, and the definition of those expenses disclosed annually. ASU 2024-03 is effective for annual reporting 
periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, and may be 
applied prospectively or retrospectively. The Company is evaluating the impact of ASU 2024-03 and expects the standard will 
only impact its disclosures with no material impact to the consolidated financial statements. 
33

Note 2. ACQUISITIONS AND DIVESTITURE OF BUSINESSES
Sale of Hydraulics business 
On August 2, 2021, Eaton completed the sale of the Hydraulics business to Danfoss A/S. As a result of the sale, the 
Company received $3.1 billion, net of cash sold, and recognized a pre-tax gain of $617 million in 2021. The Company finalized 
negotiations of post-closing adjustments with Danfoss A/S during the first quarter of 2022 and recognized an additional pre-tax 
gain of $24 million and received cash of $22 million from Danfoss A/S to fully settle all post-closing adjustments. 
Acquisition of Royal Power Solutions
On January 5, 2022, Eaton acquired Royal Power Solutions for $610 million, net of cash received. Royal Power Solutions is 
a U.S. based manufacturer of high-precision electrical connectivity components used in electric vehicle, energy management, 
industrial and mobility markets. Royal Power Solutions is reported within the eMobility business segment.
The acquisition of Royal Power Solutions has been accounted for using the acquisition method of accounting which requires 
the assets acquired and liabilities assumed be recognized at their respective fair values on the acquisition date. The final 
allocation as of the date of acquisition follows:
(In millions)
Final Allocation
Accounts receivable
$ 
35 
Inventory
 
46 
Prepaid expenses and other current assets
 
1 
Property, plant and equipment
 
31 
Other intangible assets
 
341 
Other assets
 
8 
Accounts payable
 
(25) 
Other current liabilities
 
(14) 
Other noncurrent liabilities
 
(68) 
Total identifiable net assets
 
355 
Goodwill
 
255 
Total consideration, net of cash received
$ 
610 
Goodwill is calculated as the excess of the consideration transferred over the net assets recognized and represents the 
anticipated synergies of acquiring Royal Power Solutions. Goodwill recognized as a result of the acquisition is not deductible 
for tax purposes. The estimated fair values of the customer relationships, technology, trademarks, and other intangible assets of 
$230 million, $90 million, $16 million, and $5 million, respectively, were determined using either the relief-from-royalty 
model, the multi-period excess earnings model, or the lost income model, which are discounted cash flow models that rely on 
the Company's estimates. These estimates require judgment of future revenue growth rates, future margins, and the applicable 
weighted-average cost of capital used to discount those estimated cash flows. The estimated fair value of technology and 
trademark intangibles are also based on the selection of royalty rates used in the valuation model. The weighted-average cost of 
capital is an estimate of the overall after-tax rate of return required by equity and debt market holders of a business enterprise. 
The estimated useful lives for customer relationships, technology, trademarks, and other intangible assets were 17 years, 16 
years, 15 years, and 2 years, respectively. See Note 6 for additional information about goodwill and other intangible assets.
Eaton's 2022 consolidated financial statements include Royal Power Solutions' results of operations, including segment 
operating profit of $21 million on sales of $158 million, from the date of acquisition through December 31, 2022.
Russia
During the second quarter of 2022, in light of the ongoing war with Ukraine, the Company decided to exit its business 
operations in Russia and recorded charges of $29 million presented in Other income - net on the Consolidated Statements of 
Income. The charges consisted primarily of write-downs of accounts receivable, inventory and other assets, and accruals for 
severance.
Acquisition of a 50% stake in Jiangsu Huineng Electric Co., Ltd’s circuit breaker business
On July 1, 2022, Eaton acquired a 50% stake in Jiangsu Huineng Electric Co., Ltd’s circuit breaker business, which 
manufactures and markets low-voltage circuit breakers in China. Eaton accounts for this investment on the equity method of 
accounting and is reported within the Electrical Global business segment.
34

Acquisition of a 49% stake in Jiangsu Ryan Electrical Co. Ltd.
On April 23, 2023, Eaton acquired a 49 percent stake in Jiangsu Ryan Electrical Co. Ltd., a manufacturer of power 
distribution and sub-transmission transformers in China. Eaton accounts for this investment on the equity method of accounting 
and it is reported within the Electrical Global business segment.
Acquisition of Exertherm
On May 20, 2024, Eaton acquired Exertherm, a U.K.-based provider of thermal monitoring solutions for electrical 
equipment. Exertherm is reported within the Electrical Americas business segment.
Acquisition of a 49% stake in NordicEPOD AS
On May 31, 2024, Eaton acquired a 49 percent stake in NordicEPOD AS, which designs and assembles standardized power 
modules for data centers in the Nordic region. Eaton accounts for this investment on the equity method of accounting and it is 
reported within the Electrical Global business segment.
35

Note 3. REVENUE RECOGNITION
Sales are recognized when obligations under the terms of the contract are satisfied and control of promised goods or services 
have transferred to our customers. Control is transferred when the customer has the ability to direct the use of and obtain 
benefits from the goods or services. Sales are measured at the amount of consideration the Company expects to be paid in 
exchange for these products or services. 
The majority of the Company’s sales agreements contain performance obligations satisfied at a point in time when title and 
risk and rewards of ownership have transferred to the customer. Sales recognized over time are less than 5% of Eaton’s 
consolidated Net sales. Sales recognized over time are generally accounted for using an input measure to determine progress 
completed at the end of the period. Sales for service contracts generally are recognized as the services are provided. For 
agreements with multiple performance obligations, judgment is required to determine whether performance obligations 
specified in these agreements are distinct and should be accounted for as separate revenue transactions for recognition purposes. 
In these types of agreements, we generally allocate sales price to each distinct obligation based on the price of each item sold in 
separate transactions.
Due to the nature of the work required to be performed for obligations recognized over time, Eaton estimates total costs by 
contract. The estimate of total costs are subject to judgment. Estimated amounts are included in the recognized sales price to the 
extent it is not probable that a significant reversal of cumulative sales will occur. Additionally, contracts can be modified to 
account for changes in contract specifications, requirements or sale price. The effect of a contract modification on the sales 
price or adjustments to the measure of completion under the input method are recognized as adjustments to revenue on a 
cumulative catch-up basis.
Payment terms vary by the type and location of the customer and the products or services offered. Generally, the time 
between when revenue is recognized and when payment is due is not significant. Eaton does not evaluate whether the selling 
price includes a financing interest component for contracts that are less than a year. Sales, value added, and other taxes 
collected concurrent with revenue are excluded from Net sales. Shipping and handling costs are treated as fulfillment costs and 
are included in Cost of products sold.
Eaton records reductions to sales for returns, and customer and distributor incentives, primarily comprised of rebates, at the 
time of the initial sale. Rebates are estimated based on sales terms, historical experience, trend analysis, and projected market 
conditions in the various markets served. The rebate programs offered vary across businesses due to the numerous markets 
Eaton serves, but the most common incentives relate to amounts paid or credited to customers for achieving defined volume 
levels. Accrued rebates of $361 million and $402 million as of December 31, 2024 and 2023, respectively, are generally paid 
annually and are included in Other current liabilities. Returns are estimated at the time of the sale primarily based on historical 
experience and are recorded gross on the Consolidated Balance Sheets. 
Sales commissions are expensed when the amortization period is less than a year and are generally not capitalized as they 
are typically earned at the completion of the contract when the customer is invoiced or when the customer pays Eaton.
Sales of products and services varies by segment and are discussed in Note 19.
In the Electrical Americas segment, sales contracts are primarily for 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 majority of the sales in this segment contain performance obligations satisfied at a point 
in time either when we ship the product from our facility, or when it arrives at the customer’s facility. However, certain power 
distribution and power quality services are recognized over time.
In the Electrical Global segment, sales contracts are primarily for 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 
majority of the sales contracts in this segment contain performance obligations satisfied at a point in time either when we ship 
the product from our facility, or when it arrives at the customer’s facility. However, certain power distribution and power 
quality services are recognized over time.
In the Aerospace segment, sales contracts are primarily for aerospace fuel, hydraulics, and pneumatic systems for 
commercial and military use, as well as filtration systems for industrial applications. These sales contracts are primarily based 
on a customer’s purchase order, and frequently covered by terms and conditions included in a long-term agreement. In this 
segment, performance obligations are generally satisfied at a point in time either when we ship the product from our facility, or 
when it arrives at the customer’s facility. Our military contracts are primarily fixed-price contracts that are not subject to 
performance-based payments or progress payments from the customer.
36

Many of the products and services in power distribution and power quality services in the Electrical Americas and Electrical 
Global business segments and contracts to develop new products that are fully funded by customers in the Aerospace business 
segment meet the definition of continuous transfer of control to customers and are recognized over time. These products are 
engineered to a customer’s design specifications, have no alternative use to Eaton, and are controlled by the customer as 
evidenced by the customer’s contractual ownership of the work in process or our right to payment for work performed to date 
plus a reasonable margin. As control is transferring over time, sales are recognized based on the extent of progress towards 
completion of the obligation. Eaton generally uses an input method to determine the progress completed and sales are recorded 
proportionally as costs are incurred. Incurred costs represent work performed, which corresponds with, and thereby best depicts, 
the transfer of control to the customer.
In the Vehicle segment, sales contracts are primarily for drivetrains, powertrain systems and critical components that reduce 
emissions and improve fuel economy, stability, performance, and safety of cars, light trucks, and commercial vehicles. These 
sales contracts are primarily based on a customer’s purchase order or a blanket purchase order subject to firm releases, 
frequently covered by terms and conditions included in a master supply agreement. In this segment, performance obligations 
are generally satisfied at a point in time either when we ship the product from our facility, or when it arrives at the customer’s 
facility.
In the eMobility segment, sales contracts are primarily for mechanical, electrical, and electronic components and systems 
that improve the power management and performance of both on-road and off-road vehicles. These sales contracts are primarily 
based on a customer’s purchase order. In this segment, performance obligations are generally satisfied at a point in time either 
when we ship the product from our facility, or when it arrives at the customer’s facility.
In limited circumstances, primarily in the Electrical and Vehicle segments, Eaton sells separately-priced warranties that 
extend the warranty coverage beyond the standard coverage offered on specific products. Sales for these separately-priced 
warranties are recorded based on their stand-alone selling price and are recognized as revenue over the length of the warranty 
period.
37

The following table provides disaggregated sales by lines of businesses, geographic destination, market channel or end 
market, as applicable, for the Company's operating segments:
(In millions)
2024
2023
2022
Electrical Americas
Products
$ 
3,009 $ 
2,949 $ 
2,732 
Systems
 
8,426  
7,149  
5,765 
Total
$ 
11,436 $ 
10,098 $ 
8,497 
Electrical Global
Products
$ 
3,493 $ 
3,462 $ 
3,424 
Systems
 
2,755  
2,622  
2,424 
Total
$ 
6,248 $ 
6,084 $ 
5,848 
Aerospace
Original Equipment Manufacturers
$ 
1,500 $ 
1,350 $ 
1,209 
Aftermarket
 
1,312  
1,183  
977 
Industrial and Other
 
931  
878  
854 
Total
$ 
3,744 $ 
3,413 $ 
3,039 
Vehicle
Commercial
$ 
1,707 $ 
1,784 $ 
1,736 
Passenger and Light Duty
 
1,083  
1,180  
1,094 
Total
$ 
2,790 $ 
2,965 $ 
2,830 
eMobility
$ 
662 $ 
636 $ 
538 
Total net sales
$ 
24,878 $ 
23,196 $ 
20,752 
The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables 
(revenue recognized exceeds amount billed to the customer), and deferred revenue (advance payments and billings in excess of 
revenue recognized). Accounts receivable from customers were $4,079 million and $3,966 million at December 31, 2024 and 
2023, respectively. Amounts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic 
intervals or upon achievement of contractual milestones. These assets and liabilities are reported on the Consolidated Balance 
Sheets on a contract-by-contract basis at the end of each reporting period. Unbilled receivables were $330 million and $289 
million at December 31, 2024 and 2023, respectively, and are recorded in Prepaid expenses and other current assets. The 
increase in unbilled receivables reflects higher revenue recognized and not yet billed from increased business activity in 2024.
Changes in the deferred revenue liabilities are as follows:
(In millions)
Deferred Revenue
Balance at January 1, 2023
$ 
508 
Customer deposits and billings
 
2,368 
Revenue recognized in the period
 
(2,256) 
Translation
 
6 
Balance at December 31, 2023
$ 
626 
Customer deposits and billings
 
2,719 
Revenue recognized in the period
 
(2,712) 
Translation
 
(15) 
Balance at December 31, 2024
$ 
618 
38

Deferred revenue liabilities of $602 million and $610 million as of December 31, 2024 and 2023, respectively, were 
included in Other current liabilities on the Consolidated Balance Sheets with the remaining balance presented in Other 
noncurrent liabilities.
A significant portion of open orders placed with Eaton are by original equipment manufacturers or distributors. These open 
orders are not considered firm as they have been historically subject to releases by customers. In measuring backlog of 
unsatisfied or partially satisfied obligations, only the amount of orders to which customers are firmly committed are included. 
Using this criterion, total backlog at December 31, 2024 was approximately $15.9 billion. At December 31, 2024, 
approximately 74% of this backlog is targeted for delivery to customers in the next twelve months and the rest thereafter.
Note 4. CREDIT LOSSES FOR RECEIVABLES
Receivables are exposed to credit risk based on the customers’ ability to pay which is influenced by, among other factors, 
their financial liquidity position. Eaton’s receivables are generally short-term in nature with a majority outstanding less than 90 
days.
Eaton performs ongoing credit evaluation of its customers and maintains sufficient allowances for potential credit losses. 
The Company evaluates the collectability of its receivables based on the length of time the receivable is past due, and any 
anticipated future write-off based on historic experience adjusted for market conditions. The Company's segments, supported by 
our global credit department, perform the credit evaluation and monitoring process to estimate and manage credit risk. The 
process includes an evaluation of credit losses for both the overall segment receivable and specific customer balances. The 
process also includes review of customer financial information and credit ratings, approval and monitoring of customer credit 
limits, and an assessment of market conditions. The Company may also require prepayment from customers to mitigate credit 
risk. Receivable balances are written off against an allowance for credit losses after a final determination of collectability has 
been made. 
Accounts receivable are net of an allowance for credit losses of $55 million and $38 million at December 31, 2024 and 
2023, respectively. The change in the allowance for credit losses includes expense and net write-offs, none of which are 
significant.
Note 5. INVENTORY
Inventory is carried at lower of cost or net realizable value using the first-in, first-out (FIFO) method. Cost components 
include raw materials, purchased components, direct labor, indirect labor, utilities, depreciation, inbound freight charges, 
purchasing and receiving costs, and inspection costs.
The components of inventory are as follows:
December 31
(In millions)
2024
2023
Raw materials
$ 
1,614 $ 
1,515 
Work-in-process
 
1,038  
870 
Finished goods
 
1,576  
1,354 
Total inventory
$ 
4,227 $ 
3,739 
39

Note 6. GOODWILL AND OTHER INTANGIBLE ASSETS
Changes in the carrying amount of goodwill by segment are as follows:
(In millions)
January 1, 2023
Translation
December 31, 2023
Additions
Translation
December 31, 2024
Electrical Americas
$ 
7,402 $ 
13 $ 
7,415 $ 
17 $ 
(35) $ 
7,396 
Electrical Global
 
3,929  
109  
4,038  
—  
(196)  
3,842 
Aerospace
 
2,844  
57  
2,901  
—  
(45)  
2,856 
Vehicle
 
287  
2  
289  
—  
(4)  
285 
eMobility
 
334  
1  
334  
—  
(1)  
333 
Total
$ 
14,796 $ 
181 $ 
14,977 $ 
17 $ 
(281) $ 
14,713 
The 2024 additions to goodwill relate primarily to the anticipated synergies of acquiring Exertherm. The allocation of the 
Exertherm purchase price is preliminary and will be completed during the measurement period.
A summary of other intangible assets is as follows:
December 31
2024
2023
(In millions)
Historical
cost
Accumulated
amortization
Historical
cost
Accumulated
amortization
Intangible assets not subject to amortization
Trademarks
$ 
1,200 
$ 
1,207 
Intangible assets subject to amortization
Customer relationships
$ 
4,659 $ 
2,577 $ 
4,742 $ 
2,423 
Patents and technology
 
1,979  
1,056  
1,990  
948 
Trademarks
 
1,107  
693  
1,123  
642 
Other
 
169  
131  
176  
133 
Total intangible assets subject to amortization
$ 
7,915 $ 
4,456 $ 
8,031 $ 
4,146 
Amortization expense related to intangible assets subject to amortization in 2024, and estimated amortization expense for 
each of the next five years, is as follows:
(In millions)
2024
$ 
405 
2025
 
396 
2026
 
381 
2027
 
372 
2028
 
308 
2029
 
271 
40

Note 7. SUPPLY CHAIN FINANCE PROGRAM
The Company negotiates payment terms directly with its suppliers for the purchase of goods and services. In addition, a 
third-party financial institution offers a voluntary supply chain finance (SCF) program that enables certain of the Company’s 
suppliers, at the supplier’s sole discretion, to sell receivables due from the Company to the financial institution on terms directly 
negotiated with the financial institution. If a supplier elects to participate in the SCF program, the supplier decides which 
invoices are sold to the financial institution and the Company has no economic interest in a supplier’s decision to sell an 
invoice. Payments by the Company to participating suppliers are paid to the financial institution on the invoice due date, 
regardless of whether an individual invoice is sold by the supplier to the financial institution. The amounts due to the financial 
institution for suppliers that participate in the SCF program are included in Accounts payable on the Consolidated Balance 
Sheets, and the associated payments are included in operating activities on the Consolidated Statements of Cash Flows. 
The changes in SCF obligations are as follows:
(In millions)
SCF Obligations
Balance at January 1, 2023
$ 
219 
Invoices confirmed during the period
 
1,339 
Invoices paid during the period
 
(1,185) 
Translation
 
(4) 
Balance at December 31, 2023
$ 
369 
Invoices confirmed during the period
 
1,424 
Invoices paid during the period
 
(1,389) 
Translation
 
(6) 
Balance at December 31, 2024
$ 
398 
Note 8. LEASES
Eaton leases certain manufacturing facilities, warehouses, distribution centers, office space, vehicles, and equipment. Most 
real estate leases contain renewal options. The exercise of lease renewal options is at the Company's sole discretion. The 
Company's lease agreements typically do not contain any significant guarantees of asset values at the end of a lease or 
restrictive covenants. Payments within certain lease agreements are adjusted periodically for changes in an index or rate.
The components of lease expense are as follows:
(In millions)
2024
2023
2022
Operating lease cost
$ 
227 $ 
200 $ 
179 
Finance lease cost:
Amortization of lease assets
 
12  
15  
11 
Interest on lease liabilities
 
1  
1  
1 
Short-term lease cost
 
19  
18  
17 
Variable lease cost
 
29  
28  
27 
Sublease income
 
(1)  
(1)  
(1) 
Total lease cost
$ 
287 $ 
261 $ 
234 
During 2024, 2023 and 2022, Eaton entered into sale leaseback transactions primarily for certain non-production facilities 
and recorded gains of $56 million, $53 million and $81 million, respectively, in Other income - net. The terms of the new 
operating leases ranged from 5 to 20 years. 
41

Supplemental cash flow information related to leases is as follows:
(In millions)
2024
2023
2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows - payments on operating leases
$ (200) $ (180) $ (159) 
Operating cash outflows - interest payments on finance leases
 
(1)  
(1)  
(2) 
Financing cash outflows - payments on finance lease obligations
 
(14)  
(18)  
(11) 
Lease assets obtained in exchange for new lease obligations, including leases acquired:
Operating leases
$ 
268 $ 
183 $ 
245 
Finance leases
 
13  
38  
10 
Supplemental balance sheet information related to leases is as follows:
December 31
(In millions)
2024
2023
Operating Leases
Operating lease assets
$ 
806 $ 
648 
Other current liabilities
 
163  
135 
Operating lease liabilities
 
669  
533 
Total operating lease liabilities
$ 
832 $ 
668 
Finance Leases
Land and buildings
$ 
5 $ 
13 
Machinery and equipment
 
61  
62 
Accumulated depreciation
 
(37)  
(36) 
Net property, plant and equipment
$ 
29 $ 
39 
Current portion of long-term debt
$ 
9 $ 
13 
Long-term debt
 
19  
22 
Total finance lease liabilities
$ 
28 $ 
35 
December 31
2024
2023
Weighted-average remaining lease term
Operating leases
7.1 years
7.6 years
Finance leases
4.2 years
4.4 years
Weighted-average discount rate
Operating leases
 4.4 %
 4.0 %
Finance leases
 3.7 %
 3.6 %
42

Maturities of lease liabilities at December 31, 2024 are as follows:
(In millions)
Operating Leases
Finance Leases
2025
$ 
195 $ 
10 
2026
 
176  
8 
2027
 
149  
6 
2028
 
121  
3 
2029
 
78  
2 
Thereafter
 
266  
3 
Total lease payments
 
985  
31 
Less imputed interest
 
153  
3 
Total present value of lease liabilities
$ 
832 $ 
28 
43

Note 9. DEBT
A summary of long-term debt, including the current portion, is as follows: 
December 31
(In millions)
2024
2023
0.75% Euro notes due 2024
$ 
— $ 
608 
Floating rate Euro notes due 2024
 
—  
332 
6.50% debentures due 2025
 
145  
145 
0.70% Euro notes due 2025
 
520  
553 
0.128% Euro notes due 2026
 
935  
995 
3.10% senior notes due 2027
 
700  
700 
4.35% senior notes due 2028
 
500  
500 
7.65% debentures due 2029
 
200  
200 
0.577% Euro notes due 2030
 
624  
663 
3.601% Euro notes due 2031
 
520  
— 
4.00% senior notes due 2032
 
700  
700 
4.15% sustainability-linked senior notes due 2033
 
1,300  
1,300 
5.45% debentures due 2034
 
137  
137 
3.802% Euro notes due 2036
 
520  
— 
5.80% notes due 2037
 
240  
240 
4.15% senior notes due 2042
 
1,000  
1,000 
3.92% senior notes due 2047
 
300  
300 
4.70% senior notes due 2052
 
700  
700 
5.25% to 7.875% notes (maturities ranging from 2026 to 2035)
 
99  
165 
Other
 
13  
25 
Total long-term debt
 
9,152  
9,261 
Less current portion of long-term debt
 
(674)  
(1,017) 
Long-term debt less current portion
$ 
8,478 $ 
8,244 
Substantially all these long-term debt instruments are fully and unconditionally guaranteed on an unsubordinated, unsecured 
basis by Eaton and certain of its direct and indirect subsidiaries (the Senior Notes). Further, as of December 31, 2024, all of 
these long-term debt instruments, except the 0.70% Euro notes due 2025, the 0.128% Euro notes due 2026, the 0.577% Euro 
notes due 2030, the 3.601% Euro notes due 2031, and the 3.802% Euro notes due 2036 are registered by Eaton Corporation 
under the Securities Act of 1933, as amended (the Registered Senior Notes).
On May 21, 2024, a subsidiary of Eaton issued Euro denominated notes (2024 Euro Notes) with a face value of 
€1,000 million ($1,084 million), in accordance with Regulation S promulgated under the Securities Act of 1933, as amended. 
The 2024 Euro Notes are comprised of two tranches of €500 million each, which mature in 2031 and 2036, with interest 
payable annually at a respective rate of 3.601% and 3.802%. The issuer received proceeds totaling €995 million 
($1,079 million) from the issuance, net of financing costs. The 2024 Euro Notes are fully and unconditionally guaranteed on an 
unsubordinated, unsecured basis by Eaton and certain of its direct and indirect subsidiaries. The 2024 Euro Notes contain 
customary optional redemption and par call provisions. The 2024 Euro Notes also contain a change of control provision which 
requires the Company to make an offer to purchase all or any part of the 2024 Euro Notes at a purchase price of 101% of the 
principal amount plus accrued and unpaid interest. The capitalized deferred financing fees are amortized in Interest expense - 
net over the respective terms of the 2024 Euro Notes. The 2024 Euro Notes are subject to customary non-financial covenants.
On September 30, 2024, the Company replaced its existing $500 million 364-day revolving credit facility with a new 
$500 million 364-day revolving credit facility that will expire on September 29, 2025. The Company also has a $2,500 million 
five-year revolving credit facility that will expire on October 1, 2027. The revolving credit facilities totaling $3,000 million are 
used to support commercial paper borrowings and are fully and unconditionally guaranteed by Eaton and certain of its direct 
and indirect subsidiaries on an unsubordinated, unsecured basis. There were no borrowings outstanding under Eaton’s revolving 
credit facilities at December 31, 2024. The Company maintains access to the commercial paper markets through its 
$3,000 million commercial paper program, of which none was outstanding on December 31, 2024.
44

In addition to the revolving credit facilities, the Company also had available lines of credit of $938 million from various 
banks primarily for the issuance of letters of credit, of which there was $420 million outstanding at December 31, 2024. 
Borrowings outside the United States are generally denominated in local currencies.
There was no short-term debt outstanding at December 31, 2024. Short-term debt of $8 million at December 31, 2023 was 
entirely comprised of short-term debt outside the United States. 
Eaton is in compliance with each of its debt covenants for all periods presented. 
Maturities of long-term debt for each of the next five years are as follows:
(In millions)
2025
$ 
674 
2026
 
1,015 
2027
 
705 
2028
 
503 
2029
 
202 
Interest paid on debt is as follows:
(In millions)
2024
$ 
329 
2023
 
319 
2022
 
250 
Note 10. RETIREMENT BENEFITS PLANS
Eaton has defined benefits pension plans and other postretirement benefits plans.
Obligations and Funded Status
United States
pension liabilities
Non-United States
pension liabilities
Other postretirement
liabilities
(In millions)
2024
2023
2024
2023
2024
2023
Funded status
Fair value of plan assets
$ 
2,445 $ 
2,604 $ 
1,548 $ 
1,633 $ 
18 $ 
17 
Benefit obligations
 
(2,700)  
(2,824)  
(1,863)  
(2,022)  
(196)  
(212) 
Funded status
$ 
(255) $ 
(220) $ 
(315) $ 
(389) $ 
(178) $ 
(195) 
Amounts recognized in the Consolidated
   Balance Sheets
Other assets
$ 
— $ 
— $ 
231 $ 
210 $ 
— $ 
— 
Other current liabilities
 
(29)  
(18)  
(31)  
(33)  
(14)  
(15) 
Pension liabilities and Other postretirement
  benefits liabilities
 
(226)  
(202)  
(515)  
(566)  
(164)  
(180) 
Total
$ 
(255) $ 
(220) $ 
(315) $ 
(389) $ 
(178) $ 
(195) 
Amounts recognized in Accumulated other
   comprehensive loss (pre-tax)
Net actuarial loss (gain)
$ 
904 $ 
867 $ 
678 $ 
649 $ 
(87) $ 
(92) 
Prior service cost (credit)
 
5  
4  
6  
12  
—  
(1) 
Total
$ 
909 $ 
871 $ 
684 $ 
661 $ 
(87) $ 
(93) 
45

Change in Benefit Obligations
United States
pension liabilities
Non-United States
pension liabilities
Other postretirement
liabilities
(In millions)
2024
2023
2024
2023
2024
2023
Balance at January 1
$ 
2,824 $ 
2,807 $ 
2,022 $ 
1,813 $ 
212 $ 
209 
Service cost
 
18  
19  
46  
43  
1  
1 
Interest cost
 
134  
142  
85  
85  
10  
10 
Actuarial loss (gain) 
 
(20)  
104  
(82)  
104  
(11)  
11 
Gross benefits paid
 
(258)  
(250)  
(121)  
(110)  
(29)  
(31) 
Currency translation
 
—  
—  
(87)  
85  
(3)  
1 
Plan amendments
 
2  
1  
(3)  
(1)  
—  
— 
Other
 
—  
—  
3  
3  
16  
11 
Balance at December 31
$ 
2,700 $ 
2,824 $ 
1,863 $ 
2,022 $ 
196 $ 
212 
Accumulated benefit obligation
$ 
2,686 $ 
2,807 $ 
1,766 $ 
1,922 
During 2020, the Company announced it was freezing its United States pension plans for its non-union employees. The 
freeze was effective January 1, 2021 for non-union U.S. employees whose retirement benefit was determined under a cash 
balance formula and is effective January 1, 2026 for non-union U.S. employees whose retirement benefit is determined under a 
final average pay formula.
Actuarial gains related to changes in the United States and Non-United States benefit obligations in 2024 of $20 million and 
$82 million, respectively, were primarily due to increases in the discount rates used to measure the obligations. Actuarial losses 
related to changes in the United States and Non-United States benefit obligations in 2023 of $104 million and $104 million, 
respectively, were primarily due to decreases in the discount rates used to measure the obligations.
Change in Plan Assets
United States
pension liabilities
Non-United States
pension liabilities
Other postretirement
liabilities
(In millions)
2024
2023
2024
2023
2024
2023
Balance at January 1
$ 
2,604 $ 
2,635 $ 
1,633 $ 
1,486 $ 
17 $ 
16 
Actual return on plan assets
 
84  
203  
(10)  
86  
1  
1 
Employer contributions
 
15  
16  
95  
97  
18  
20 
Gross benefits paid
 
(258)  
(250)  
(121)  
(110)  
(29)  
(31) 
Currency translation
 
—  
—  
(52)  
71  
—  
— 
Other
 
—  
—  
3  
3  
11  
11 
Balance at December 31
$ 
2,445 $ 
2,604 $ 
1,548 $ 
1,633 $ 
18 $ 
17 
The components of pension plans with an accumulated benefit obligation in excess of plan assets at December 31 are as 
follows:
United States
pension liabilities
Non-United States
pension liabilities
(In millions)
2024
2023
2024
2023
Accumulated benefit obligation
$ 
2,686 $ 
2,807 $ 
701 $ 
742 
Fair value of plan assets
 
2,445  
2,604  
209  
203 
46

The components of pension plans with a projected benefit obligation in excess of plan assets at December 31 are as follows:
United States
pension liabilities
Non-United States
pension liabilities
(In millions)
2024
2023
2024
2023
Projected benefit obligation
$ 
2,700 $ 
2,824 $ 
772 $ 
827 
Fair value of plan assets
 
2,445  
2,604  
225  
228 
Other postretirement benefit plans with accumulated postretirement benefit obligations in excess of plan assets have been 
disclosed in the Obligations and Funded Status table.
Changes in pension and other postretirement benefit liabilities recognized in Accumulated other comprehensive loss are as 
follows:
United States
pension liabilities
Non-United States
pension liabilities
Other postretirement
liabilities
(In millions)
2024
2023
2024
2023
2024
2023
Balance at January 1
$ 
871 $ 
811 $ 
661 $ 
505 $ 
(93) $ 
(120) 
Prior service cost arising during the year
 
2  
1  
(3)  
(1)  
—  
— 
Net loss (gain) arising during the year
 
86  
97  
62  
139  
(7)  
10 
Currency translation
 
—  
—  
(18)  
29  
—  
— 
Less amounts included in expense during the year
 
(50)  
(38)  
(18)  
(11)  
13  
17 
Net change for the year
 
38  
60  
23  
156  
6  
27 
Balance at December 31
$ 
909 $ 
871 $ 
684 $ 
661 $ 
(87) $ 
(93) 
Benefits Expense
The components of retirement benefits expense (income) are as follows:
United States
pension benefit expense
Non-United States pension 
benefit expense
Other postretirement
benefits expense (income)
(In millions)
2024
2023
2022
2024
2023
2022
2024
2023
2022
Service cost
$ 
18 $ 
19 $ 
27 $ 
46 $ 
43 $ 
59 $ 
1 $ 
1 $ 
1 
Interest cost
 
134  
142  
117  
85  
85  
47  
10  
10  
7 
Expected return on plan assets
 
(190)  
(195)  
(204)  
(134)  
(121)  
(115)  
(1)  
(1)  
(1) 
Amortization
 
9  
4  
15  
11  
7  
45  
(13)  
(17)  
(7) 
 
(29)  
(30)  
(46)  
8  
14  
37  
(3)  
(7)  
— 
Settlements, curtailments, and 
special termination benefits
 
41  
34  
61  
7  
4  
2  
—  
—  
— 
Total expense (income)
$ 
12 $ 
4 $ 
15 $ 
15 $ 
18 $ 
39 $ 
(3) $ 
(7) $ 
— 
The components of retirement benefits expense (income) other than service costs are included in Other income - net.
47

Retirement Benefits Plans Assumptions
In 2024, 2023 and 2022, for purposes of determining liabilities related to the majority of its plans in the United States, the 
Company used the Pri-2012 mortality tables as well as mortality tables that are based on the Company's own experience and 
generational improvement scales that are based on MP-2021. 
To estimate the service and interest cost components of net periodic benefit cost for the vast majority of its defined benefits 
pension and other postretirement benefits plans, the Company used a spot rate approach by applying the specific spot rates 
along the yield curve used to measure the benefit obligation at the beginning of the period to the relevant projected cash flows.
Pension Plans
United States
pension plans
Non-United States
pension plans
2024
2023
2022
2024
2023
2022
Assumptions used to determine benefit obligation at year-end
Discount rate
 5.61 %
 5.14 %
 5.47 %
 4.92 %
 4.52 %
 4.83 %
Rate of compensation increase
 3.32 %
 3.40 %
 3.33 %
 3.16 %
 3.17 %
 3.12 %
Interest rate used to credit cash balance plans
 4.79 %
 4.01 %
 3.67 %
 2.01 %
 1.59 %
 2.32 %
Assumptions used to determine expense
Discount rate used to determine benefit obligation
 5.14 %
 5.47 %
 4.30 %
 4.52 %
 4.83 %
 2.01 %
Discount rate used to determine service cost
 5.24 %
 5.54 %
 4.41 %
 6.00 %
 5.90 %
 2.98 %
Discount rate used to determine interest cost
 4.98 %
 5.33 %
 3.94 %
 4.47 %
 4.80 %
 1.84 %
Expected long-term return on plan assets
 6.50 %
 6.50 %
 6.50 %
 6.79 %
 6.32 %
 5.70 %
Rate of compensation increase
 3.40 %
 3.33 %
 3.12 %
 3.17 %
 3.12 %
 3.01 %
Interest rate used to credit cash balance plans
 4.01 %
 3.67 %
 2.62 %
 1.59 %
 2.32 %
 0.56 %
The expected long-term rate of return on pension assets was determined for each country and reflects long-term historical 
data taking into account each plan's target asset allocation. The expected long-term rates of return on pension assets for United 
States pension plans and Non-United States pension plans for 2025 are 7.00% and 6.63%, respectively. The discount rates were 
determined using appropriate bond data for each country.
Other Postretirement Benefits Plans
Substantially all of the obligation for other postretirement benefits plans relates to United States plans. Assumptions used to 
determine other postretirement benefits obligations and expense are as follows:
Other postretirement
benefits plans
2024
2023
2022
Assumptions used to determine benefit obligation at year-end
Discount rate
 5.57 %
 5.11 %
 5.46 %
Health care cost trend rate assumed for next year
 6.70 %
 7.70 %
 7.10 %
Ultimate health care cost trend rate
 4.75 %
 4.75 %
 4.75 %
Year ultimate health care cost trend rate is achieved
2034
2033
2031
Assumptions used to determine expense
Discount rate used to determine benefit obligation
 5.11 %
 5.46 %
 2.79 %
Discount rate used to determine service cost
 5.25 %
 5.53 %
 3.03 %
Discount rate used to determine interest cost
 4.96 %
 5.32 %
 2.24 %
Initial health care cost trend rate
 7.70 %
 7.10 %
 7.45 %
Ultimate health care cost trend rate
 4.75 %
 4.75 %
 4.75 %
Year ultimate health care cost trend rate is achieved
2033
2031
2031
48

Employer Contributions to Retirement Benefits Plans
Contributions to pension plans that Eaton expects to make in 2025, and made in 2024, 2023 and 2022, are as follows:
(In millions)
Expected in 2025
2024
2023
2022
United States plans
$ 
29 $ 
15 $ 
16 $ 
30 
Non-United States plans
 
72  
95  
97  
85 
Total contributions
$ 
101 $ 
110 $ 
113 $ 
116 
The following table provides the estimated pension and other postretirement benefit payments for each of the next five 
years, and the five years thereafter in the aggregate. For other postretirement benefits liabilities, the Company expects minor 
subsidy receipts related to the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 that would reduce the 
estimated payments listed below.
Estimated
United States
pension payments
Estimated
non-United States
pension payments
(In millions)
Estimated other 
postretirement
benefit payments
2025
$ 
291 $ 
112 $ 
16 
2026
 
269  
119  
15 
2027
 
254  
118  
19 
2028
 
248  
120  
18 
2029
 
236  
126  
17 
2030 - 2034
 
1,049  
669  
78 
Pension Plan Assets
Investment policies and strategies are developed on a country and plan specific basis. The United States plan, representing 
61% of worldwide pension assets, and the United Kingdom plans representing 25% of worldwide pension assets, are invested 
primarily in debt securities largely for liability hedging, as the majority of the assets are in plans that are well-funded. In 
general, the plans are primarily allocated to diversified high-quality publicly traded debt, primarily through separately managed 
accounts and commingled funds in the form of common collective and other trusts. The United States plan's target allocation is 
15% United States equities, 7% non-United States equities, 3% public real estate (primarily equity of real estate investment 
trusts), 64% debt securities and 11% other, including private equity, private debt and cash equivalents. The United Kingdom 
plans' target asset allocations are 16% equities and the remainder in debt securities, cash equivalents and real estate investments. 
The equity risk for the plans is managed through broad diversification across industries, geographies, and levels of market 
capitalization. The majority of debt allocations for these plans are longer duration government and corporate debt. The United 
States, United Kingdom and Canada pension plans are authorized to use derivatives, including the use of futures, swaps and 
options, to achieve more economically desired market exposures.
Fair Value Measurements
Financial instruments included in pension and other postretirement benefits plan assets are categorized into a fair value 
hierarchy of three levels, based on the degree of subjectivity inherent in the valuation methodology are as follows:
Level 1  -
Quoted prices (unadjusted) for identical assets in active markets. 
Level 2  -
Quoted prices for similar assets in active markets, and inputs that are observable for the asset, either 
directly or indirectly, for substantially the full term of the financial instrument.
Level 3  -
Unobservable prices or inputs.
Certain investments that are measured at fair value using the net asset value per share practical expedient have not been 
categorized in the fair value hierarchy and are being presented in the tables to permit a reconciliation to total plan assets.
49

Pension Plans
A summary of the fair value of pension plan assets at December 31, 2024 and 2023, is as follows:
(In millions)
Total
Quoted prices
in active
markets for
identical 
assets
(Level 1)
Other
observable
inputs
(Level 2)
Unobservable
inputs
(Level 3)1
2024
 
 
Common collective trusts
Non-United States equity and global equities
$ 
241 $ 
— $ 
241 $ 
— 
Fixed income
 
28  
—  
28  
— 
Fixed income securities
 
1,582  
—  
1,582  
— 
United States treasuries
 
461  
453  
8  
— 
Real estate
 
212  
63  
25  
124 
Cash equivalents
 
83  
55  
28  
— 
Exchange traded funds
 
91  
91  
—  
— 
Other
 
402  
—  
40  
362 
Common collective and other trusts measured at net asset 
value
 
978 
Pending purchases and sales of plan assets, and interest 
    receivable
 
(85) 
Total pension plan assets
$ 
3,993 $ 
662 $ 
1,952 $ 
486 
1 These pension plan assets include private equity, private credit and private real estate funds that generally have redemption notice periods of 
six months or longer and are often not eligible for redemption until the underlying assets are liquidated or distributed. The Company has 
unfunded commitments to these funds of approximately $128 million at December 31, 2024, which will be satisfied by a reallocation of 
pension plan assets.
50

(In millions)
Total
Quoted prices
in active
markets for
identical 
assets
(Level 1)
Other
observable
inputs
(Level 2)
Unobservable
inputs
(Level 3)1
2023
 
 
 
 
Common collective trusts
Non-United States equity and global equities
$ 
154 $ 
— $ 
154 $ 
— 
United States equity
 
76  
—  
76  
— 
Fixed income
 
115  
—  
115  
— 
Fixed income securities
 
1,607  
—  
1,607  
— 
United States treasuries
 
566  
566  
—  
— 
Real estate
 
291  
65  
27  
199 
Cash equivalents
 
36  
14  
22  
— 
Exchange traded funds
 
84  
84  
—  
— 
Other
 
405  
—  
35  
370 
Common collective and other trusts measured at net asset 
value
 
968 
Money market funds measured at net asset value
 
2 
Pending purchases and sales of plan assets, and interest 
    receivable
 
(67) 
Total pension plan assets
$ 
4,237 $ 
729 $ 
2,036 $ 
569 
1 These pension plan assets include private equity, private credit and private real estate funds that generally have redemption notice periods of 
six months or longer, and are often not eligible for redemption until the underlying assets are liquidated or distributed. The Company has 
unfunded commitments to these funds of approximately $154 million at December 31, 2023, which will be satisfied by a reallocation of 
pension plan assets.
The fair value measurement of plan assets using significant unobservable inputs (Level 3) changed during 2024 and 2023 
due to the following:
(In millions)
Real estate
Other
Total
Balance at January 1, 2023
$ 
199 $ 
360 $ 
559 
Actual return on plan assets:
Gains (losses) relating to assets still held at year-end
 
7  
19  
26 
Purchases, sales, settlements - net
 
(7)  
—  
(7) 
Transfers into or out of Level 3
 
—  
(9)  
(9) 
Balance at December 31, 2023
 
199  
370  
569 
Actual return on plan assets:
Gains (losses) relating to assets still held at year-end
 
(24)  
29  
5 
Purchases, sales, settlements - net
 
(51)  
(37)  
(88) 
Transfers into or out of Level 3
 
—  
—  
— 
Balance at December 31, 2024
$ 
124 $ 
362 $ 
486 
51

Other Postretirement Benefits Plans
A summary of the fair value of other postretirement benefits plan assets at December 31, 2024 and 2023, is as follows:
(In millions)
Total
Quoted prices
in active
markets for
identical 
assets
(Level 1)
Other
observable
inputs
(Level 2)
Unobservable
inputs
(Level 3)
2024
 
 
 
 
Cash equivalents
$ 
3 $ 
3 $ 
— $ 
— 
Common collective and other trusts measured at net asset 
value
 
15 
Total other postretirement benefits plan assets
$ 
18 $ 
3 $ 
— $ 
— 
(In millions)
Total
Quoted prices
in active
markets for
identical 
assets
(Level 1)
Other
observable
inputs
(Level 2)
Unobservable
inputs
(Level 3)
2023
 
 
 
 
Cash equivalents
$ 
2 $ 
2 $ 
— $ 
— 
Common collective and other trusts measured at net asset 
value
 
15 
Total other postretirement benefits plan assets
$ 
17 $ 
2 $ 
— $ 
— 
Valuation Methodologies
Following is a description of the valuation methodologies used for pension and other postretirement benefits plan assets 
measured at fair value. There have been no changes in the methodologies used at December 31, 2024 and 2023.
Common collective and other trusts - Valued at the net unit value of units held by the trust at year end. The unit value is 
determined by the total value of fund assets divided by the total number of units of the fund owned. The equity investments 
in collective trusts are predominantly in index funds for which the underlying securities are actively traded in public markets 
based upon readily measurable prices. The investments in other trusts are predominantly in exchange traded funds for which 
the underlying securities are actively traded in public markets based upon readily measurable prices. Common collective and 
other trusts measured at fair value using the net asset value per share practical expedient have not been categorized in the 
fair value hierarchy and are being presented in the tables above to permit a reconciliation of the fair value hierarchy to the 
total plan assets.
Fixed income securities - These securities consist of publicly traded United States and non-United States fixed interest 
obligations (principally corporate and government bonds and debentures). The fair value of corporate and government debt 
securities is determined through third-party pricing models that consider various assumptions, including time value, yield 
curves, credit ratings, and current market prices. The Company verifies the results of trustees or custodians and evaluates the 
pricing classification of these securities by performing analyses using other third-party sources. 
United States treasuries - Valued at the closing price of each security. 
Real estate - Consists of direct investments in the stock of publicly traded companies and investments in pooled funds that 
invest directly in real estate. The publicly traded companies are valued based on the closing price reported in an active 
market on which the individual securities are traded and as such are classified as Level 1. The pooled funds rely on 
appraisal-based valuations and as such are classified as Level 3. 
Cash equivalents - Primarily certificates of deposit, commercial paper, and repurchase agreements.
Exchange traded funds - Valued at the closing price of the exchange traded fund's shares.
Money market funds - Money market funds measured at fair value using the net asset value per share practical expedient 
have not been categorized in the fair value hierarchy and are being presented in the tables above to permit a reconciliation of 
the fair value hierarchy to the total plan assets.
52

Other - These assets consist of private equity, private debt, insurance contracts primarily for international plans, futures 
contracts, and over-the-counter options. Investments in private equity and private debt are valued at net asset value or 
estimated fair value based on quarterly financial information received from the investment advisor, third party appraisal or 
general partner. These estimates incorporate factors such as contributions and distributions, market transactions, market 
comparables and performance multiples. Futures contracts and options are valued based on the closing prices of contracts or 
indices as available using third-party sources.
For additional information regarding fair value measurements, see Note 15.
Defined Contribution Plans
The Company has various defined contribution benefit plans, primarily consisting of the plans in the United States. The total 
contributions related to these plans are charged to expense and are as follows:
(In millions)
2024
$ 
220 
2023
 
201 
2022
 
182 
53

Note 11. COMMITMENTS AND CONTINGENCIES
Legal Contingencies
Eaton is subject to a broad range of claims, administrative and legal proceedings such as lawsuits that relate to contractual 
allegations and indemnity claims, tax audits, patent infringement, personal injuries, antitrust matters, and employment-related 
matters. Eaton is also subject to legal claims from historic products which may have contained asbestos. Insurance may cover 
some of the costs associated with these claims and proceedings. Although it is not possible to predict with certainty the outcome 
or cost of these matters, the Company believes they will not have a material adverse effect on the consolidated financial 
statements.
Environmental Contingencies
Eaton has established policies to ensure that its operations are conducted in keeping with good corporate citizenship and 
with a positive commitment to the protection of the natural and workplace environments. The Company requires that its 
businesses be certified to ISO 14001, an international standard for environmental management systems. The Company routinely 
reviews EHS performance at each of its manufacturing facilities and continuously strives to improve its environmental 
footprint, including carbon, waste, water and related operational profiles consistent with our sustainability goals.
Eaton is involved in remedial response and voluntary environmental remediation at a number of sites, including certain of its 
currently-owned or formerly-owned plants. The Company has also been named a potentially responsible party under the United 
States federal Superfund law, or the state equivalents thereof, at a number of disposal sites. The Company became involved in 
these sites as a result of government action or in connection with business acquisitions. At the end of 2024, the Company was 
involved with a total of 108 sites worldwide, including the Superfund sites mentioned above, with none of these sites being 
individually significant to the Company.
Remediation activities, generally involving soil and/or groundwater contamination, include pre-cleanup activities such as 
fact finding and investigation, risk assessment, feasibility study, design and action planning, performance (where actions may 
range from monitoring, to removal of contaminants, to installation of longer-term remediation systems), and operation and 
maintenance of a remediation system. The extent of expected remediation activities and costs varies by site. A number of 
factors affect the cost of environmental remediation, including the number of parties involved at a particular site, the 
determination of the extent of contamination, the length of time the remediation may require, the complexity of environmental 
regulations, and the continuing advancement of remediation technology. Taking these factors into account, Eaton has estimated 
the costs of remediation, which will be paid over a period of years. The Company accrues an amount on an undiscounted basis, 
consistent with the estimates of these costs, when it is probable that a liability has been incurred. Actual results may differ from 
these estimates. At December 31, 2024 and 2023, the Company had an accrual totaling $70 million and $71 million, 
respectively, for these costs.
Based upon Eaton's analysis and subject to the difficulty in estimating these future costs, the Company expects that any sum 
it may be required to pay in connection with environmental matters is not reasonably possible to exceed the recorded liability 
by an amount that would have a material effect on its financial position, results of operations or cash flows.
Warranty Accruals
Product warranty accruals are established at the time the related sale is recognized through a charge to Cost of products sold. 
Warranty accrual estimates are based primarily on historical warranty claim experience and specific customer contracts. 
Provisions for warranty accruals are comprised of basic warranties for products sold, as well as accruals for product recalls and 
other events when they are known and estimable. A summary of the current and long-term warranty accruals is as follows: 
(In millions)
2024
2023
2022
Balance at January 1
$ 
136 $ 
125 $ 
125 
Provision
 
81  
100  
83 
Settled
 
(65)  
(91)  
(81) 
Other
 
(3)  
2  
(2) 
Balance at December 31
$ 
150 $ 
136 $ 
125 
54

Note 12. INCOME TAXES
Eaton Corporation plc is domiciled in Ireland. Income (loss) before income taxes and income tax expense (benefit) are 
summarized below based on the geographic location of the operation to which such earnings and income taxes are attributable.
Income (loss) before income taxes
(In millions)
2024
2023
2022
Ireland
$ 
183 $ 
(3) $ 
198 
Foreign
 
4,383  
3,830  
2,713 
Total income before income taxes
$ 
4,566 $ 
3,827 $ 
2,911 
Income tax expense (benefit)
(In millions)
2024
2023
2022
Current
Ireland
$ 
128 $ 
42 $ 
3 
Foreign
 
794  
744  
570 
Total current income tax expense
 
922  
786  
573 
Deferred
Ireland
 
(16)  
1  
13 
Foreign
 
(138)  
(183)  
(141) 
Total deferred income tax expense (benefit)
 
(154)  
(182)  
(128) 
Total income tax expense
$ 
768 $ 
604 $ 
445 
Reconciliations of income taxes from the Ireland national statutory rate of 25% to the consolidated effective income tax rate 
are as follows: 
2024
2023
2022
Income taxes at the applicable statutory rate
 25.0 %
 25.0 %
 25.0 %
Ireland operations
Ireland tax on trading income
 (0.9) %
 (1.3) %
 (1.3) %
Nondeductible interest expense
 0.9 %
 2.6 %
 1.0 %
Ireland Other - net
 1.2 %
 (0.2) %
 (0.5) %
Foreign operations
Earnings taxed at other than the applicable statutory tax rate
 (6.7) %
 (9.9) %
 (10.2) %
Other items
 (0.2) %
 2.2 %
 1.6 %
Worldwide operations
Adjustments to tax liabilities
 0.1 %
 (0.2) %
 (0.4) %
Adjustments to valuation allowances
 (2.6) %
 (2.4) %
 0.1 %
Effective income tax expense rate
 16.8 %
 15.8 %
 15.3 %
During 2024, income tax expense of $768 million was recognized (an effective tax rate of 16.8%) compared to income tax 
expense of $604 million in 2023 (an effective tax rate of 15.8%) and income tax expense of $445 million in 2022 (an effective 
tax rate of 15.3%). The increase in the effective tax rate from 15.8% in 2023 to 16.8% in 2024 was due to greater levels of 
income earned in higher tax jurisdictions, partially offset by a larger impact from the excess tax benefits recognized for 
employee share-based payments and the reduction of valuation allowances on foreign tax attributes. The increase in the 
effective tax rate from 15.3% in 2022 to 15.8% in 2023 was due to greater levels of income earned in higher tax jurisdictions, 
partially offset by the reduction of valuation allowances on foreign tax attributes.
55

No provision has been made for income taxes on undistributed earnings of foreign subsidiaries of approximately $33.1 
billion at December 31, 2024, since it is the Company's intention to indefinitely reinvest undistributed earnings of its foreign 
subsidiaries. The Company expects to deploy capital to those markets which offer particularly attractive growth opportunities. 
The cash that is permanently reinvested is typically used to expand operations either organically or through acquisitions. It is 
not practicable to estimate the additional income taxes and applicable withholding taxes that would be payable on the 
remittance of such undistributed earnings.
Worldwide income tax payments, net of tax refunds, are as follows:
(In millions)
2024
$ 
752 
2023
 
727 
2022
 
393 
Deferred Income Tax Assets and Liabilities
Components of noncurrent deferred income taxes are as follows: 
December 31
2024
2023
(In millions)
Noncurrent assets and liabilities
Accruals and other adjustments
Employee benefits
$ 
295 $ 
328 
Depreciation and amortization
 
(791)  
(929) 
Other accruals and adjustments
 
460  
408 
Ireland income tax loss carryforwards
 
1  
2 
Foreign income tax loss carryforwards
 
3,674  
3,878 
Foreign income tax credit carryforwards
 
252  
247 
Valuation allowance for income tax loss and income tax credit carryforwards
 
(3,556)  
(3,828) 
Other valuation allowances
 
—  
(50) 
Total deferred income taxes
$ 
334 $ 
56 
At December 31, 2024, Eaton Corporation plc and its foreign subsidiaries had income tax loss carryforwards and income tax 
credit carryforwards that are available to reduce future taxable income or tax liabilities. These carryforwards and their 
respective expiration dates are summarized below:
(In millions)
2025
through
2029
2030
through
2034
2035
through
2039
2040
through
2049
Not
subject to
expiration
 
Valuation
allowance
Ireland income tax loss carryforwards
$ 
— $ 
— $ 
— $ 
— $ 
9 $ 
— 
Ireland deferred income tax assets for income tax loss
   carryforwards
 
—  
—  
—  
—  
1  
(1) 
Foreign income tax loss carryforwards
 
40  
462  11,172  
122  
5,627  
— 
Foreign deferred income tax assets for income tax loss 
carryforwards
 
11  
112  
2,670  
30  
853  
(3,417) 
Foreign deferred income tax assets for income tax loss 
carryforwards after ASU 2013-11
 
10  
112  
2,670  
30  
852  
(3,417) 
Foreign income tax credit carryforwards
 
176  
39  
35  
4  
40  
(138) 
Foreign income tax credit carryforwards after ASU 
2013-11
 
145  
31  
32  
4  
40  
(138) 
56

Recoverability of Deferred Income Tax Assets
Eaton is subject to the income tax laws in the jurisdictions in which it operates. In order to determine its income tax 
provision for financial statement purposes, Eaton must make significant estimates and judgments about its business operations 
in these jurisdictions. These estimates and judgments are also used in determining the deferred income tax assets and liabilities 
that have been recognized for differences between the financial statement and income tax basis of assets and liabilities, and 
income tax loss carryforwards and income tax credit carryforwards.
Management evaluates the realizability of deferred income tax assets for each of the jurisdictions in which it operates. If the 
Company experiences cumulative pre-tax income in a particular jurisdiction in the three-year period including the current and 
prior two years, management normally concludes that the deferred income tax assets will more likely than not be realizable and 
no valuation allowance is recognized, unless known or planned operating developments, or changes in tax laws, would lead 
management to conclude otherwise. However, if the Company experiences cumulative pre-tax losses in a particular jurisdiction 
in the three-year period including the current and prior two years, management then considers a series of factors in the 
determination of whether the deferred income tax assets can be realized. These factors include historical operating results, 
known or planned operating developments, the period of time over which certain temporary differences will reverse, 
consideration of the utilization of certain deferred income tax liabilities, carryback capability under the tax law in the particular 
country, prudent and feasible tax planning strategies, changes in tax laws, and estimates of future earnings and taxable income 
using the same assumptions as those used for the Company's goodwill and other impairment testing. After evaluation of these 
factors, if the deferred income tax assets are expected to be realized within the tax carryforward period allowed for that specific 
country, management would conclude that no valuation allowance would be required. To the extent that the deferred income tax 
assets exceed the amount that is expected to be realized within the tax carryforward period for a particular jurisdiction, 
management would establish a valuation allowance.
Applying the above methodology, valuation allowances have been established for certain deferred income tax assets to the 
extent they are not expected to be realized within the particular tax carryforward period.
Unrecognized Income Tax Benefits
A summary of gross unrecognized income tax benefits is as follows: 
(In millions)
2024
2023
2022
Balance at January 1
$ 
1,300 $ 
1,235 $ 
1,120 
Increases and decreases as a result of positions taken during prior years
Other increases, including currency translation
 
22  
42  
36 
Other decreases, including currency translation
 
(22)  
(5)  
(16) 
Increases related to acquired businesses
 
—  
—  
10 
Increases as a result of positions taken during the current year
 
93  
86  
97 
Decreases relating to settlements with tax authorities
 
(18)  
(6)  
— 
Decreases as a result of a lapse of the applicable statute of limitations
 
(14)  
(52)  
(12) 
Balance at December 31
$ 
1,361 $ 
1,300 $ 
1,235 
Eaton recognizes an income tax benefit from an uncertain tax position only if it is more likely than not that the benefit would 
be sustained upon examination by taxing authorities, based on the technical merits of the position. The Company evaluates and 
adjusts the amount of unrecognized income tax benefits based on changes in facts and circumstances. The Company does not 
enter into any of the United States Internal Revenue Service (IRS) Listed Transactions as set forth in Treasury Regulation 
1.6011-4.
If all unrecognized income tax benefits were recognized, the net impact on the provision for income tax expense would be 
$936 million.
As of December 31, 2024 and 2023, Eaton had accrued approximately $225 million and $188 million, respectively, for the 
payment of worldwide interest and penalties, which are not included in the table of unrecognized income tax benefits above. 
Eaton recognizes interest and penalties related to unrecognized income tax benefits in the provision for income tax expense. 
The resolution of the majority of Eaton's unrecognized income tax benefits is dependent upon uncontrollable factors such as 
the timing of finalizing resolutions of audit disputes through reaching settlement agreements or concluding litigation, or 
changes in law. Therefore, for the majority of Eaton’s unrecognized income tax benefits, it is not reasonably possible to 
estimate the increase or decrease in the next 12 months. For each of the unrecognized income tax benefits where it is possible to 
estimate the increase or decrease in the balance within the next 12 months, the Company does not anticipate any significant 
change.
57

The Company believes that the final resolution of all the assessments discussed below will not have a material impact on its 
consolidated financial statements. The ultimate outcome of these matters cannot be predicted with certainty given the complex 
nature of tax controversies. Should the ultimate outcome of any one of these matters deviate from our reasonable expectations, 
final resolution may have a material adverse impact on the Company’s consolidated financial statements. However, Eaton 
believes that its interpretations of tax laws and application of tax laws to its facts are correct, and that its accrual of 
unrecognized income tax benefits is appropriate with respect to these matters.
Eaton or its subsidiaries file income tax returns in Ireland and many countries around the world. With only a few exceptions, 
Eaton and its subsidiaries are no longer subject to examinations for years before 2014.
Brazil Tax Years 2005-2012
The Company has two Brazilian tax cases primarily relating to the amortization of certain goodwill generated from the 
acquisition of third-party businesses and corporate reorganizations. One case involves tax years 2005-2008 (Case 1), and the 
other involves tax years 2009-2012 (Case 2). Case 2 is proceeding on a more accelerated timeline than Case 1. For Case 2, the 
Company received a tax assessment in 2014 that included interest and penalties. In November 2019, the Company received an 
unfavorable result at the final tax administrative appeals level, resulting in an alleged tax deficiency of $21 million plus 
$100 million of interest and penalties (translated at the December 31, 2024 exchange rate). The Company is challenging this 
assessment in the judicial system and, on April 18, 2022, received an unfavorable decision at the first judicial level. On April 
27, 2022, the Company filed a motion for clarification relating to that decision. On May 20, 2022, the court largely upheld its 
prior decision without further clarification. On June 9, 2022, the Company filed its notice of appeal to the second level court. 
On July 11, 2024, the court published a favorable decision resulting in the cancellation of an additional 75% penalty imposed 
by the tax authorities. As a result of the favorable decision, the alleged interest and penalties was reduced from $100 million to 
$71 million (translated at the December 31, 2024 exchange rate). The Company intends to continue its challenge of the 
assessment in the judicial system.    
As previously disclosed for Case 1, the Company received a separate tax assessment alleging a tax deficiency of $27 million 
plus $99 million of interest and penalties (translated at the December 31, 2024 exchange rate), which the Company is 
challenging in the judicial system. On April 4, 2024, the court published a favorable decision resulting in a reduction to the 
Case 1 assessment for the goodwill generated from the acquisition of a third-party business. In the same decision, the court 
confirmed the cancellation of an additional 75% penalty imposed by the tax authorities. As a result of the favorable decision, 
the alleged tax deficiency was reduced to $25 million plus $79 million of interest and penalties (translated at the December 31, 
2024 exchange rate). The remainder of Case 1 is still pending resolution at the first judicial level.
Both cases are expected to take several years to resolve through the Brazilian judicial system and require provision of 
certain assets as security for the alleged deficiencies. As of December 31, 2024, the Company pledged Brazilian real estate 
assets with net book value of $16 million and provided additional security in the form of bank secured bonds and insurance 
bonds totaling $114 million and a cash deposit of $22 million (translated at the December 31, 2024 exchange rate).
United States Tax Disputes
The IRS typically audits large corporate taxpayers on a continuous basis, generally resulting in many open tax years if there 
are disputed tax positions upon completion of the audits. The IRS has completed its examination of the consolidated income tax 
returns of the Company’s United States subsidiaries (Eaton US) for 2007 through 2016 and the statuses of the various tax years 
are discussed below. The IRS has challenged certain tax positions of Eaton US, and the Company is attempting to resolve those 
issues in litigation and the IRS administrative process, as described in more detail below. The IRS is currently examining tax 
years 2017 through 2019, and the statute of limitations for those years is open until June 30, 2026. Tax years 2020 and later are 
subject to future examination by the IRS. Income tax returns of states and localities within the United States will be reopened to 
the extent of United States federal income tax adjustments. For some states and localities, the statute of limitations is open as 
early as the 2007 tax year. The Eaton US tax positions challenged by the IRS are items that recur beyond the tax years for 
which the IRS has proposed adjustments. Eaton believes that its interpretations of tax laws and application of tax laws to its 
facts are correct. However, if there is a final unfavorable resolution of any of the issues discussed below, it may have a material 
adverse impact on the Company’s consolidated financial statements.
58

U.S. Tax Years 2007-2010
In 2014, the IRS issued a Statutory Notice of Deficiency for Eaton US for the 2007 through 2010 tax years (the 2007-10 
Notice), which Eaton US contested in Tax Court. The 2007-10 Notice proposed assessments of $190 million in additional taxes 
plus $72 million in penalties, net of agreed credits and deductions. The proposed assessments pertained to: (i) transfer pricing 
adjustments for products manufactured in the Company's facilities in Puerto Rico and the Dominican Republic and sold to 
affiliated companies located in the United States, and (ii) the separate proposed assessment noted below. The proposed 
assessment in the 2007-10 Notice for transfer pricing adjustments has been resolved in Tax Court. Eaton US set its transfer 
prices for products sold between these affiliates at the same prices that Eaton US sells such products to third parties as required 
by two successive Advance Pricing Agreements (APAs) Eaton US entered into with the IRS that governed the 2005-2010 tax 
years. Eaton US has continued to apply the APA pricing methodology for 2011 through the current reporting period. In 2011, 
the IRS sent a letter to Eaton stating that it was retrospectively canceling the APAs. The issue in Tax Court involved whether 
the IRS improperly cancelled the APAs. On July 26, 2017, the Tax Court issued a ruling in which it agreed with Eaton US that 
the IRS must abide by the terms of the APAs for the tax years 2005-2006. On May 24, 2021, the IRS filed a notice to appeal the 
Tax Court’s ruling to the United States Sixth Circuit Court of Appeals. In July 2022, the Sixth Circuit panel heard oral 
arguments, and on August 25, 2022, issued a ruling in favor of Eaton US, confirming that the IRS must abide by the terms of 
the APAs. The Sixth Circuit Court of Appeals ruling for tax years 2005-2006 also resolved the APA cancellation issue for the 
2007-2010 years. The ruling on the APA issue did not have a material impact on Eaton’s consolidated financial statements. 
Eaton and the IRS recognized that the ruling on the enforceability of the APA did not address a secondary issue regarding the 
transfer pricing for a certain royalty paid from 2006-2010. On November 15, 2023, the IRS also agreed to use the royalty rate 
reported by Eaton for the 2007-2010 tax years. On October 21, 2024, the IRS confirmed to the Tax Court that the Company was 
not liable for penalties related to the APA cancellation issue.
The 2007-10 Notice also included a separate proposed assessment involving the recognition of income for several of Eaton 
US’s controlled foreign corporations. The Company believes that the proposed assessment is without merit and contested the 
matter in Tax Court. In October 2017, Eaton and the IRS both moved for partial summary judgment on this issue. On February 
25, 2019, the Tax Court granted the IRS’s motion for partial summary judgment and denied Eaton’s. The Company intends to 
appeal the Tax Court’s partial summary judgment decision to the United States Sixth Circuit Court of Appeals. The total 
potential impact of the Tax Court's partial summary judgment decision on the controlled foreign corporation income recognition 
issue is not estimable until all matters in the open tax years have been resolved.
U.S. Tax Years 2011-2013
In 2018, the IRS completed its examination of Eaton US for tax years 2011 through 2013 and proposed adjustments. Those 
adjustments were the subject of administrative appeals, which concluded without resolution. As a result, on December 21, 2022, 
the IRS issued Statutory Notices of Deficiency for Eaton US for these tax years (the 2011-2013 Notice) proposing assessments 
of $749 million in additional taxes plus $110 million in penalties, net of agreed credits and deductions. The proposed 
assessments pertain to: (i) transfer pricing adjustments similar to those proposed in the 2007-10 Notice for products 
manufactured in the Company’s facilities in Puerto Rico and the Dominican Republic and sold to affiliated companies located 
in the U.S.; (ii) adjustments involving the recognition of income for several of Eaton US’s controlled foreign corporations; (iii) 
transfer pricing adjustments for products manufactured in one of the Company’s facilities in Mexico and sold to affiliated 
companies located in the U.S.; and (iv) adjustments challenging the appropriate interest rate on intercompany debt and amount 
of intercompany fees charged for financial guarantees on external debt. On March 3, 2023, the Company filed its petition to the 
U.S. Tax Court. The Company will vigorously defend its positions through litigation, which will take several years for final 
resolution.
U.S. Tax Years 2014-2016
In 2021, the IRS completed its examination of Eaton US for tax years 2014 through 2016 and has proposed adjustments, 
including: (i) transfer pricing adjustments similar to those proposed in the 2007-10 and 2011-2013 Notices for products 
manufactured in the Company’s facilities in Puerto Rico, and the Dominican Republic and sold to affiliated companies located 
in the U.S.; (ii) transfer pricing adjustments similar to those proposed in the 2011-2013 Notice for products manufactured in 
one of the Company’s facilities in Mexico and sold to affiliated companies located in the U.S.; and (iii) adjustments similar to 
those proposed in the 2011-2013 Notice challenging the appropriate interest rate on intercompany debt and amount of 
intercompany fees charged for financial guarantees on external debt. On November 29, 2021, the case was formally assigned to 
administrative appeals, and the Company will attempt to resolve certain of the issues in this administrative forum. However, if 
acceptable resolutions are not achieved, the Company will vigorously defend its positions through litigation, which if 
undertaken will likely take several years for final resolution. The statute of limitations on these tax years currently remains open 
until June 30, 2026.
59

Note 13. EATON SHAREHOLDERS' EQUITY
There are 750 million Eaton ordinary shares authorized ($0.01 par value per share), 392.9 million and 399.4 million of 
which were issued and outstanding at December 31, 2024 and 2023, respectively. Eaton's Memorandum and Articles of 
Association authorized 40 thousand deferred ordinary shares (€1.00 par value per share) and 10 thousand preferred A shares 
($1.00 par value per share), all of which were issued and outstanding at December 31, 2024 and 2023, and 10 million serial 
preferred shares ($0.01 par value per share), none of which is outstanding at December 31, 2024 and 2023. At December 31, 
2024, there were 9,117 holders of record of Eaton ordinary shares. Additionally, 13,949 current and former employees were 
shareholders through participation in the Eaton Savings Plan, the Eaton Personal Investment Plan, or The Eaton Puerto Rico 
Retirement Savings Plan.
On February 23, 2022, the Board of Directors adopted a share repurchase program for repurchases of ordinary shares up to 
$5.0 billion to be made during the three-year period commencing on that date (2022 Program). Under the 2022 Program, the 
ordinary shares are expected to be repurchased over time, depending on market conditions, the market price of ordinary shares, 
capital levels, and other considerations. During 2024 and 2022, 7.8 million and 2.0 million ordinary shares were repurchased 
under the 2022 Program in the open market at a total cost of $2.5 billion and $286 million, respectively. During 2023, no 
ordinary shares were repurchased. On February 27, 2025, the Board of Directors renewed the 2022 Program by providing 
authority for up to $9.0 billion in repurchases to be made during the three-year period commencing on that date (2025 
Program).
Eaton has deferral plans that permit certain employees and directors to defer a portion of their compensation. A trust 
contains $3 million of ordinary shares and marketable securities at December 31, 2024 and 2023 to fund a portion of these 
liabilities. The marketable securities were included in Other assets and the ordinary shares were included in Shareholders' 
equity at historical cost. 
On February 27, 2025, Eaton's Board of Directors declared a quarterly dividend of $1.04 per ordinary share, an 11% 
increase over the dividend paid in the fourth quarter of 2024. The dividend is payable on March 28, 2025 to shareholders of 
record on March 10, 2025.
Comprehensive Income (Loss)
Comprehensive income (loss) consists primarily of net income, currency translation and related hedging instruments, 
changes in unrecognized costs of pension and other postretirement benefits, and changes in the effective portion of open 
derivative contracts designated as cash flow hedges. The following table summarizes the pre-tax and after-tax amounts 
recognized in Comprehensive income (loss):
2024
2023
2022
(In millions)
Pre-tax
After-tax
Pre-tax
After-tax
Pre-tax
After-tax
Currency translation and related hedging instruments
Gain (loss) from currency translation and related hedging
   instruments
$ (358) $ (355) $ 
252 $ 
247 $ (632) $ (647) 
Amortization of gains on net investment hedges (amount
   excluded from effectiveness testing) reclassified to earnings  
(15)  
(15)  
(12)  
(12)  
—  
— 
 
(373)  
(370)  
241  
235  
(632)  
(647) 
Pensions and other postretirement benefits
Prior service credit (cost) arising during the year
 
1  
1  
—  
—  
—  
— 
Net gain (loss) arising during the year
 
(141)  
(104)  
(246)  
(189)  
45  
31 
Currency translation
 
18  
13  
(29)  
(21)  
65  
56 
Amortization of actuarial loss and prior service cost
   reclassified to earnings
 
55  
41  
32  
24  
116  
89 
 
(67)  
(49)  
(243)  
(185)  
226  
175 
Cash flow hedges
Gain on derivatives designated as cash flow hedges
 
(6)  
(5)  
63  
50  
210  
166 
Changes in cash flow hedges reclassified to earnings
 
(16)  
(12)  
(78)  
(61)  
(9)  
(7) 
 
(22)  
(17)  
(14)  
(11)  
201  
159 
Other comprehensive income (loss) attributable to Eaton 
ordinary shareholders
$ (462) $ (436) $ 
(17) $ 
39 $ (205) $ (313) 
60

The changes in Accumulated other comprehensive loss are as follows:
(In millions)
Currency 
translation and 
related hedging 
instruments
Pensions and 
other 
postretirement 
benefits
Cash flow 
hedges
Total
Balance at January 1, 2024
$ 
(3,029) $ 
(995) $ 
118 $ 
(3,906) 
Other comprehensive income (loss) before
    reclassifications
 
(355)  
(90)  
(5)  
(450) 
Amounts reclassified from Accumulated other 
   comprehensive loss (income)
 
(15)  
41  
(12)  
14 
Net current-period Other comprehensive 
   income (loss)
 
(370)  
(49)  
(17)  
(436) 
Balance at December 31, 2024
$ 
(3,399) $ 
(1,044) $ 
101 $ 
(4,342) 
The reclassifications out of Accumulated other comprehensive loss are as follows:
(In millions)
December 31, 2024
Consolidated Statements 
of Income classification
Gains and (losses) on net investment hedges (amount excluded
  from effectiveness testing)
Currency exchange contracts
$ 
15 
Interest expense - net
Tax expense
 
— 
Total, net of tax
 
15 
Amortization of defined benefits pensions and other 
   postretirement benefits items
Actuarial loss and prior service cost
 
(55) 1
Tax benefit
 
15 
Total, net of tax
 
(41) 
Gains and (losses) on cash flow hedges
Floating-to-fixed interest rate swaps
 
13 
Interest expense - net
Currency exchange contracts
 
(1) 
Net sales and Cost of products sold
Commodity contracts
 
4 
Cost of products sold
Tax expense
 
(3) 
Total, net of tax
 
12 
Total reclassifications for the period
$ 
(14) 
1 These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 10 for 
additional information about pension and other postretirement benefits items.
61

Net Income Per Share Attributable to Eaton Ordinary Shareholders
A summary of the calculation of net income per share attributable to Eaton ordinary shareholders is as follows:
(In millions except for per share data)
2024
2023
2022
Net income attributable to Eaton ordinary shareholders
$ 
3,794 $ 
3,218 $ 
2,462 
Weighted-average number of ordinary shares outstanding - diluted
 
399.4  
401.1  
400.8 
Less dilutive effect of equity-based compensation
 
1.8  
2.0  
2.1 
Weighted-average number of ordinary shares outstanding - basic
 
397.6  
399.1  
398.7 
Net income per share attributable to Eaton ordinary shareholders
Diluted
$ 
9.50 $ 
8.02 $ 
6.14 
Basic
 
9.54  
8.06  
6.17 
In 2024 and 2023, all stock options were included in the calculation of diluted net income per share attributable to Eaton 
ordinary shareholders because they were all dilutive. In 2022, 0.1 million of stock options were excluded from the calculation 
of diluted net income per share attributable to Eaton ordinary shareholders because the exercise price of the options exceeded 
the average market price of the ordinary shares during the period and their effect, accordingly, would have been antidilutive.
Note 14. EQUITY-BASED COMPENSATION
Eaton recognizes equity-based compensation expense based on the grant date fair value of the award. Awards with service 
conditions or both service and market conditions are expensed over the period during which an employee is required to provide 
service in exchange for the award. Awards with both service and performance conditions are expensed over the period an 
employee is required to provide service based on the number of units for which achievement of the performance objective is 
probable. The Company estimates forfeitures as part of recording equity-based compensation expense. 
Restricted Stock Units and Awards
Restricted stock units (RSUs) and restricted stock awards (RSAs) have been issued to certain employees and directors. The 
fair value of RSUs and RSAs are determined based on the closing market price of the Company’s ordinary shares at the date of 
grant. The RSUs entitle the holder to receive one ordinary share for each RSU upon vesting, generally over three years. RSAs 
are issued and outstanding at the time of grant, but remain subject to forfeiture until vested, generally over ten years. A 
summary of the RSU and RSA activity for 2024 is as follows:
(Restricted stock units and awards in millions)
Number of restricted
stock units and awards
Weighted-average fair
value per unit and award
Non-vested at January 1
 
0.9 $ 
150.55 
Granted
 
0.3  
289.23 
Vested
 
(0.4)  
163.32 
Forfeited
 
—  
197.75 
Non-vested at December 31
 
0.7 $ 
202.76 
Information related to RSUs and RSAs is as follows: 
(In millions)
2024
2023
2022
Pre-tax expense for RSUs and RSAs
$ 
74 $ 
65 $ 
65 
After-tax expense for RSUs and RSAs
 
58  
51  
51 
Fair value of vested RSUs and RSAs 
 
126  
84  
98 
As of December 31, 2024, total compensation expense not yet recognized related to non-vested RSUs and RSAs was $93 
million, and the weighted-average period in which the expense is expected to be recognized is 2.3 years. Excess tax benefit for 
RSUs and RSAs totaled $8 million, $4 million, and $5 million for 2024, 2023, and 2022, respectively. 
62

Performance Share Units
Performance share units (PSUs) have been issued to certain employees that vest based on the satisfaction of a three-year 
service period and total shareholder return relative to that of a group of peers. Awards earned at the end of the three-year 
vesting period range from 0% to 200% of the targeted number of PSUs granted based on the ranking of total shareholder return 
of the Company, assuming reinvestment of all dividends, relative to a defined peer group of companies. Equity-based 
compensation expense for these PSUs is recognized over the period during which an employee is required to provide service in 
exchange for the award. Upon vesting, dividends that have accumulated during the vesting period are paid on earned awards. 
The Company uses a Monte Carlo simulation to estimate the fair value of PSUs with market conditions. The principal 
assumptions utilized in valuing these PSUs include the expected stock price volatility (based on the most recent 3-year period 
as of the grant date) and the risk-free interest rate (an estimate based on the yield of United States Treasury zero coupon bonds 
with a three-year maturity as of the grant date). A summary of the assumptions used in determining fair value of these PSUs is 
as follows:
2024
2023
2022
Expected volatility
 26 %
 27 %
 35 %
Risk-free interest rate
 4.36 %
 4.35 %
 1.71 %
Weighted-average fair value of PSUs granted
$ 
362.38 
$ 
203.18 
$ 
171.63 
A summary of these PSUs that vested is as follows:
(Performance share units in millions)
2024
2023
2022
Percent payout
 163 %
 187 %
 178 %
Shares vested
 
0.2 
 
0.3 
 
0.4 
A summary of the 2024 activity for these PSUs is as follows:
(Performance share units in millions)
Number of 
performance
share units
Weighted-average fair
value per unit
Non-vested at January 1
 
0.3 $ 
162.67 
Granted1
 
0.1  
362.38 
Adjusted for performance results achieved2
 
0.1  
171.63 
Vested
 
(0.2)  
171.63 
Forfeited
 
—  
228.66 
Non-vested at December 31
 
0.2 $ 
248.21 
1 Performance shares granted assuming the Company will perform at target relative to peers. 
2 Adjustments for the number of shares vested under the 2022 awards at the end of the three-year performance period ended December 31, 
2024, being higher than the target number of shares.
Information related to PSUs is as follows:
(In millions)
2024
2023
2022
Pre-tax expense for PSUs
$ 
23 $ 
22 $ 
21 
After-tax expense for PSUs
 
18  
17  
17 
As of December 31, 2024, total compensation expense not yet recognized related to non-vested PSUs was $36 million and 
the weighted-average period in which the expense is to be recognized is 1.7 years. Excess tax benefit for PSUs totaled $11 
million, $7 million, and $10 million for 2024, 2023, and 2022, respectively.
63

Stock Options
Under various plans, stock options have been granted to certain employees and directors to purchase ordinary shares at 
prices equal to fair market value on the date of grant. Substantially all of these options vest ratably during the three-year period 
following the date of grant and expire 10 years from the date of grant. Compensation expense is recognized for stock options 
based on the fair value of the options at the date of grant and amortized on a straight-line basis over the period the employee or 
director is required to provide service.
The Company uses a Black-Scholes option pricing model to estimate the fair value of stock options. The principal 
assumptions utilized in valuing stock options include the expected stock price volatility (based on the most recent historical 
period equal to the expected life of the option); the expected option life (an estimate based on historical experience); the 
expected dividend yield; and the risk-free interest rate (an estimate based on the yield of United States Treasury zero coupon 
with a maturity equal to the expected life of the option). A summary of the assumptions used in determining the fair value of 
stock options is as follows:
2024
2023
2022
Expected volatility
 29 %
 27 %
 27 %
Expected option life in years
6.3
6.3
6.6
Expected dividend yield
 1.5 %
 2.0 %
 2.0 %
Risk-free interest rate
4.0 to 4.5% 
4.1 to 4.3% 
0.3 to 3.0%
Weighted-average fair value of stock options granted
$ 
93.42 
$ 
48.79 
$ 
36.56 
A summary of stock option activity is as follows: 
(Options and aggregate intrinsic value in millions)
Weighted-average
exercise price per 
option
Options
Weighted-average
remaining
contractual life
in years
Aggregate
intrinsic
value
Outstanding at January 1, 2024
$ 
103.76  
2.2 
Granted
 
288.50  
0.2 
Exercised
 
88.51  
(0.8) 
Forfeited and canceled
 
164.15  
— 
Outstanding at December 31, 2024
$ 
130.25  
1.6 
5.4
$ 
313 
Exercisable at December 31, 2024
$ 
102.36  
1.2 
4.5
$ 
273 
Reserved for future grants at December 31, 2024
 
18.2 
The aggregate intrinsic value in the table above represents the total excess of the $331.87 closing price of Eaton ordinary 
shares on the last trading day of 2024 over the exercise price of the stock option, multiplied by the related number of options 
outstanding and exercisable. The aggregate intrinsic value is not recognized for financial accounting purposes and the value 
changes based on the daily changes in the fair market value of the Company's ordinary shares.
Information related to stock options is as follows: 
(In millions)
2024
2023
2022
Pre-tax expense for stock options
$ 
11 $ 
10 $ 
11 
After-tax expense for stock options
 
9  
8  
9 
Proceeds from stock options exercised
 
69  
78  
28 
Income tax benefit related to stock options exercised
Tax benefit classified in operating activities in the Consolidated 
   Statements of Cash Flows
 
30  
22  
6 
Intrinsic value of stock options exercised
 
165  
116  
29 
Total fair value of stock options vested
$ 
11 $ 
10 $ 
11 
Stock options exercised
 
0.8  
1.0  
0.4 
As of December 31, 2024, total compensation expense not yet recognized related to non-vested stock options was $14 
million, and the weighted-average period in which the expense is expected to be recognized is 1.9 years.
64

Note 15.  FAIR VALUE MEASUREMENTS
Fair value is measured based on an exit price, representing the amount that would be received to sell an asset or paid to 
satisfy a liability in an orderly transaction between market participants. Fair value is a market-based measurement that should 
be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for 
considering such assumptions, a fair value hierarchy is established, which categorizes the inputs used in measuring fair value as 
follows: (Level 1) observable inputs such as quoted prices in active markets; (Level 2) inputs, other than the quoted prices in 
active markets, that are observable either directly or indirectly; and (Level 3) unobservable inputs in which there is little or no 
market data, which require the reporting entity to develop its own assumptions.
A summary of financial instruments and contingent consideration recognized at fair value, and the fair value measurements 
used, is as follows:
(In millions)
Total
Quoted prices 
in active 
markets for 
identical 
assets 
(Level 1)
Other 
observable 
inputs 
(Level 2)
Unobservable 
inputs 
(Level 3)
December 31, 2024
 
 
 
 
Cash
$ 
555 $ 
555 $ 
— $ 
— 
Short-term investments
 
1,525  
1,525  
—  
— 
Net derivative contracts
 
(16)  
—  
(16)  
— 
Contingent future payments from acquisition of Green 
Motion
 
(6)  
—  
—  
(6) 
December 31, 2023
 
 
 
 
Cash
$ 
488 $ 
488 $ 
— $ 
— 
Short-term investments
 
2,121  
2,121  
—  
— 
Net derivative contracts
 
11  
—  
11  
— 
Contingent future payments from acquisition of Green 
Motion
 
(18)  
—  
—  
(18) 
Eaton values its financial instruments using an industry standard market approach, in which prices and other relevant 
information is generated by market transactions involving identical or comparable assets or liabilities.
On March 22, 2021, Eaton acquired Green Motion SA, a leading designer and manufacturer of electric vehicle charging 
hardware and related software based in Switzerland. Green Motion SA was acquired for $106 million, including $49 million of 
cash paid at closing and an initial estimate of $57 million for the fair value of contingent future consideration based on 2023 
and 2024 revenue performance. The fair value of contingent consideration liabilities is estimated by discounting contingent 
payments expected to be made, and may increase or decrease based on changes in revenue estimates and discount rates, with a 
maximum possible undiscounted value of $113 million. As of December 31, 2024, the fair value of the contingent future 
payments has been reduced to $6 million based primarily on lower revenue in 2023 and 2024 compared to the initial estimates 
at closing. This reduction is presented in Other income - net on the Consolidated Statements of Income.
Other Fair Value Measurements
Long-term debt and the current portion of long-term debt had a carrying value of $9,152 million and fair value of $8,651 
million at December 31, 2024 compared to $9,261 million and $8,924 million, respectively, at December 31, 2023. The fair 
value of Eaton's debt instruments was estimated using prevailing market interest rates on debt with similar creditworthiness, 
terms and maturities and is considered a Level 2 fair value measurement.
65

Short-Term Investments 
Eaton invests excess cash generated from operations in short-term marketable investments. Short-term investments are 
recorded at carrying value, which approximates the fair value due to the short-term maturities of these investments. A summary 
of short-term investments is as follows:
December 31
(In millions)
2024
2023
Time deposits and certificates of deposit with banks
$ 
157 $ 
299 
Money market investments
 
1,368  
1,822 
Total short-term investments
$ 
1,525 $ 
2,121 
Note 16. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES
In the normal course of business, Eaton is exposed to certain risks related to fluctuations in interest rates, currency exchange 
rates and commodity prices. The Company uses various derivative and non-derivative financial instruments, primarily interest 
rate swaps, currency forward exchange contracts, currency swaps and commodity contracts to manage risks from these market 
fluctuations. The instruments used by Eaton are straightforward, non-leveraged instruments. The counterparties to these 
instruments are financial institutions with strong credit ratings. Eaton maintains control over the size of positions entered into 
with any one counterparty and regularly monitors the credit rating of these institutions. Such instruments are not purchased and 
sold for trading purposes.
Derivative financial instruments are accounted for at fair value and recognized as assets or liabilities in the Consolidated 
Balance Sheets. Accounting for the gain or loss resulting from the change in the fair value of the derivative financial instrument 
depends on whether it has been designated as part of a hedging relationship, is effective and the nature of the hedging activity. 
Eaton formally documents all relationships between derivative financial instruments accounted for as designated hedges and the 
hedged item, as well as its risk-management objective and strategy for undertaking the hedge transaction. This process includes 
linking derivative financial instruments to a recognized asset or liability, specific firm commitment, forecasted transaction, or 
net investment in a foreign operation. These financial instruments can be designated as:
•
Hedges of the change in the fair value of a recognized fixed-rate asset or liability, or the firm commitment to acquire 
such an asset or liability (a fair value hedge); for these hedges, the gain or loss from the derivative financial 
instrument, as well as the offsetting loss or gain on the hedged item attributable to the hedged risk, are recognized in 
income during the period of change in fair value.
•
Hedges of the variable cash flows of a recognized variable-rate asset or liability, or the forecasted acquisition of such 
an asset or liability (a cash flow hedge); for these hedges, the gain or loss from the derivative financial instrument is 
recognized in Accumulated other comprehensive income and reclassified to income in the same period when the gain 
or loss on the hedged item is included in income.
•
Hedges of the currency exposure related to a net investment in a foreign operation (a net investment hedge); for these 
hedges, the gain or loss from the derivative financial instrument is recognized in Accumulated other comprehensive 
income and reclassified to income in the same period when the gain or loss related to the net investment in the foreign 
operation is included in income.
The gain or loss from a derivative financial instrument designated as a hedge is classified in the same line of the 
Consolidated Statements of Income as the offsetting loss or gain on the hedged item. The cash flows resulting from these 
financial instruments are classified in operating activities on the Consolidated Statements of Cash Flows. 
For derivatives that are not designated as a hedge, any gain or loss is immediately recognized in income. The majority of 
derivatives used in this manner relate to risks resulting from assets or liabilities denominated in a foreign currency and certain 
commodity contracts that arise in the normal course of business. 
Eaton uses currency exchange contracts and certain of its debt denominated in foreign currency to hedge portions of its net 
investments in foreign operations against foreign currency exposure (net investment hedges). The Company uses the spot rate 
method to assess hedge effectiveness when currency exchange contracts are used in net investment hedges. Under this method, 
changes in the spot exchange rate are recognized in Accumulated other comprehensive loss. Changes related to the forward rate 
are excluded from the hedging relationship and the forward points are amortized to Interest expense - net on a straight-line basis 
over the term of the contract. The cash flows resulting from these currency exchange contracts are classified in investing 
activities on the Consolidated Statements of Cash Flows.
66

Interest Rate Risk
Eaton enters into fixed-to-floating interest rate swaps to manage interest rate risk of certain long-term debt. These interest 
rate swaps are accounted for as fair value hedges of certain long-term debt. Eaton also enters into forward starting floating-to-
fixed interest rate swaps to manage interest rate risk on future anticipated debt issuances. These are accounted for as cash flow 
hedges.
A summary of interest rate swaps outstanding at December 31, 2024, is as follows:
Forward Starting Floating-to-Fixed Interest Rate Swaps
(Notional amount in millions)
Notional 
amount
Floating interest
rate to be received
Fixed interest
rate to be paid
Basis for contracted floating interest rate received
$ 
78 
—%
2.52%
6 month Euribor
 
78 
—%
2.38%
6 month Euribor
Derivative Financial Statement Impacts
The fair value of derivative financial instruments recognized in the Consolidated Balance Sheets is as follows:
(In millions)
Notional
amount
Other
 current
assets
Other 
noncurrent
assets
Other
current
liabilities
Other
noncurrent
liabilities
Type of
hedge
Term
December 31, 2024
 
 
 
 
 
 
Derivatives designated as hedges
 
 
 
 
 
 
Forward starting floating-to-fixed 
interest rate swaps
$ 
156 $ 
— $ 
— $ 
— $ 
1 
Cash flow
11 years
Currency exchange contracts
 
499  
12  
—  
14  
— 
Cash flow
1 to 13 months
Commodity contracts
 
4  
—  
—  
—  
— 
Cash flow
1 to 11 months
Currency exchange contracts
 
545  
3  
—  
—  
— 
Net investment
3 months
Total
 
$ 
15 $ 
— $ 
14 $ 
1  
Derivatives not designated as hedges  
 
 
 
 
Currency exchange contracts
$ 4,945 $ 
13  
$ 
29 
 
1 to 7 months
December 31, 2023
 
 
 
 
 
 
Derivatives designated as hedges
 
 
 
 
 
 
Forward starting floating-to-fixed 
interest rate swaps
$ 
165 $ 
— $ 
— $ 
— $ 
3 
Cash flow
8 years
Currency exchange contracts
 
505  
17  
3  
7  
1 
Cash flow
1 to 25 months
Commodity contracts
 
54  
1  
—  
1  
— 
Cash flow
1 to 12 months
Currency exchange contracts
 
564  
—  
—  
1  
— 
Net investment
3 months
Total
 
$ 
17 $ 
3 $ 
9 $ 
4  
 
Derivatives not designated as hedges  
 
 
 
 
 
Currency exchange contracts
$ 4,797 $ 
12  
$ 
8 
 
1 to 7 months
The currency exchange contracts shown in the table above as derivatives not designated as hedges are primarily contracts 
entered into to manage currency volatility or exposure on intercompany receivables, payables and loans. While Eaton does not 
elect hedge accounting treatment for these derivatives, Eaton targets managing 95% to 100% of the intercompany balance sheet 
exposure to minimize the effect of currency volatility related to the movement of goods and services in the normal course of its 
operations. This activity represents the great majority of these currency exchange contracts. The cash flows resulting from the 
settlement of these derivatives have been classified in investing activities in the Consolidated Statements of Cash Flows. 
Foreign currency denominated debt designated as non-derivative net investment hedging instruments had a carrying value 
on an after-tax basis of $3,105 million and $3,140 million at December 31, 2024 and 2023, respectively.
67

As of December 31, 2024, the volume of outstanding commodity contracts that were entered into to hedge forecasted 
transactions:
Commodity
December 31, 2024
Term
Copper
 
1 
Millions of pounds
1 to 11 months
Gold
 
165 
Troy ounces
1 month
The following amounts were recorded on the Consolidated Balance Sheets related to fixed-to-floating interest rate swaps:
(In millions)
Carrying amount of the hedged 
assets (liabilities)
Cumulative amount of fair value hedging 
adjustment included in the carrying 
amount of the hedged asset (liabilities)1
Location on Consolidated Balance 
Sheets
December 31, 2024
December 31, 2023
December 31, 2024
December 31, 2023
Long-term debt
$ 
(647) $ 
(713) $ 
(37) $ 
(42) 
1 At December 31, 2024 and 2023, these amounts include the cumulative liability amount of fair value hedging adjustments remaining for 
which the hedge accounting has been discontinued of $37 million and $42 million, respectively.
The impact of cash flow and fair value hedging activities to the Consolidated Statements of Income is as follows:
2024
(In millions)
Net sales
Cost of products sold
Interest expense - net
Amounts from Consolidated Statements of Income
$ 
24,878 $ 
15,375 $ 
130 
Gain (loss) on derivatives designated as cash flow hedges
Forward starting floating-to-fixed interest rate swaps
Hedged item
$ 
— $ 
— $ 
(13) 
Derivative designated as hedging instrument
 
—  
—  
13 
Currency exchange contracts
Hedged item
$ 
2 $ 
(1) $ 
— 
Derivative designated as hedging instrument
 
(2)  
1  
— 
Commodity contracts
Hedged item
$ 
— $ 
(4) $ 
— 
Derivative designated as hedging instrument
 
—  
4  
— 
68

2023
(In millions)
Net sales
Cost of products sold
Interest expense - net
Amounts from Consolidated Statements of Income
$ 
23,196 $ 
14,762 $ 
151 
Gain (loss) on derivatives designated as cash flow hedges
Forward starting floating-to-fixed interest rate swaps
Hedged item
$ 
— $ 
— $ 
(13) 
Derivative designated as hedging instrument
 
—  
—  
13 
Currency exchange contracts
Hedged item
$ 
(2) $ 
(58) $ 
— 
Derivative designated as hedging instrument
 
2  
58  
— 
Commodity contracts
Hedged item
$ 
— $ 
(1) $ 
— 
Derivative designated as hedging instrument
 
—  
1  
— 
2022
(In millions)
Net sales
Cost of products sold
Interest expense - net
Amounts from Consolidated Statements of Income
$ 
20,752 $ 
13,865 $ 
144 
Gain (loss) on derivatives designated as cash flow hedges
Forward starting floating-to-fixed interest rate swaps
Hedged item
$ 
— $ 
— $ 
(4) 
Derivative designated as hedging instrument
 
—  
—  
4 
Currency exchange contracts
Hedged item
$ 
17 $ 
(26) $ 
— 
Derivative designated as hedging instrument
 
(17)  
26  
— 
Commodity contracts
Hedged item
$ 
— $ 
4 $ 
— 
Derivative designated as hedging instrument
 
—  
(4)  
— 
Gain (loss) on derivatives designated as fair value hedges
Fixed-to-floating interest rate swaps
Hedged item
$ 
— $ 
— $ 
8 
Derivative designated as hedging instrument
 
—  
—  
(8) 
69

The impact of derivatives not designated as hedges to the Consolidated Statements of Income is as follows:
Gain (loss) recognized in Consolidated Statements of 
Income
Consolidated Statements of 
Income classification
(In millions)
2024
2023
2022
Gain (loss) on derivatives not 
designated as hedges
 
Currency exchange contracts
$ 
(14) $ 
57 $ 
(56) 
Interest expense - net
Commodity contracts
 
—  
—  
(15) 
Other income - net
Total
$ 
(14) $ 
57 $ 
(71) 
The impact of derivative and non-derivative instruments designated as hedges to the Consolidated Statements of Income and 
Comprehensive Income is as follows:
 
Gain (loss) recognized in other
 comprehensive (loss) income
(In millions)
2024
2023
2022
Derivatives designated as cash flow hedges
 
 
Forward starting floating-to-fixed interest rate swaps
$ 
5 $ 
(2) $ 
202 
Currency exchange contracts
 
(15)  
66  
13 
Commodity contracts
 
4  
—  
(5) 
Derivatives designated as net investment hedges
Currency exchange contracts
Effective portion
 
19  
8  
— 
Amount excluded from effectiveness testing
 
12  
15  
— 
Non-derivative designated as net investment hedges
 
 
Foreign currency denominated debt
 
191  
(110)  
171 
Total
$ 
216 $ 
(24) $ 
381 
70

 
Location of gain (loss)
reclassified from
Accumulated other
comprehensive loss
Gain (loss) reclassified
from Accumulated other
comprehensive loss
(In millions)
2024
2023
2022
Derivatives designated as cash flow hedges
Forward starting floating-to-fixed interest rate swaps
Interest expense - net
$ 
13 $ 
13 $ 
4 
Currency exchange contracts
Net sales and Cost of 
products sold
 
(1)  
64  
9 
Commodity contracts
Cost of products sold
 
4  
1  
(4) 
Derivatives designated as net investment hedges
Currency exchange contracts
Effective portion
Gain (loss) on sale of 
business
 
—  
—  
— 
Amount excluded from effectiveness testing
Interest expense - net
 
15  
12  
— 
Non-derivative designated as net investment hedges
Foreign currency denominated debt
Gain (loss) on sale of 
business
 
—  
—  
— 
Total
$ 
31 $ 
89 $ 
9 
The pre-tax portion of the fair value of currency exchange contracts designated as net investment hedges included in 
Accumulated other comprehensive loss were net gains of $27 million at December 31, 2024. The pre-tax portion of the fair 
value of the forward points included in Accumulated other comprehensive loss were net gains of $1 million at December 31, 
2024. 
At December 31, 2024, a gain of $3 million of estimated unrealized net gains or losses associated with our cash flow hedges 
were expected to be reclassified to income from Accumulated other comprehensive loss within the next twelve months. These 
reclassifications relate to our designated foreign currency and commodity hedges that will mature in the next twelve months.
71

Note 17. RESTRUCTURING CHARGES
In the second quarter of 2020, Eaton initiated a multi-year restructuring program to reduce its cost structure and gain 
efficiencies in its business segments and at corporate in order to initially respond to declining market conditions brought on by 
the COVID-19 pandemic. Since the inception of the program, the Company incurred expenses of $199 million for workforce 
reductions and $184 million for plant closing and other costs, resulting in total charges of $382 million through December 31, 
2023. This multi-year restructuring program was substantially complete at the end of 2023, with final payments primarily made 
in 2024.
During the first quarter of 2024, Eaton implemented a new multi-year restructuring program to accelerate opportunities to 
optimize its operations and global support structure. These actions will better align the Company's functions to support 
anticipated growth and drive greater effectiveness throughout the Company. Restructuring charges incurred under this program 
were $202 million in 2024. This restructuring program is expected to be completed in 2026 and is expected to incur additional 
expenses related to workforce reductions of $183 million and plant closing and other costs of $90 million, resulting in total 
estimated charges of $475 million for the entire program.
A summary of restructuring program charges (income) is as follows:
(In millions except for per share data)
2024
2023
2022
Workforce reductions
$ 
120 $ 
19 $ 
(13) 
Plant closing and other
 
83  
38  
47 
Total before income taxes
 
202  
57  
33 
Income tax benefit
 
43  
11  
4 
Total after income taxes
$ 
160 $ 
46 $ 
29 
Per ordinary share - diluted
$ 
0.40 $ 
0.11 $ 
0.07 
Restructuring program charges (income) related to the following segments:
(In millions)
2024
2023
2022
Electrical Americas
$ 
12 $ 
5 $ 
17 
Electrical Global
 
88  
26  
14 
Aerospace
 
9  
5  
8 
Vehicle
 
40  
6  
(15) 
eMobility
 
25  
7  
1 
Corporate
 
29  
8  
8 
Total
$ 
202 $ 
57 $ 
33 
A summary of liabilities related to workforce reductions, plant closing, and other associated costs is as follows:
(In millions)
Workforce reductions
Plant closing and other
Total
Balance at January 1, 2024
$ 
35 $ 
6 $ 
41 
Liability recognized, net
 
120  
83  
202 
Payments, utilization and translation
 
(59)  
(81)  
(141) 
Balance at December 31, 2024
$ 
96 $ 
7 $ 
103 
These restructuring program charges (income) were included in Cost of products sold, Selling and administrative expense, 
Research and development expense, or Other income – net, as appropriate. In Business Segment Information, these 
restructuring program charges are treated as Corporate items. See Note 19 for additional information about business segments.
72

Note 18. GOVERNMENT GRANTS
The Company recognizes the benefit of government grants when they are probable of being received and the specified 
conditions associated with the grants have been satisfied. Grants for capital investments are generally recognized as deferred 
income on the Consolidated Balance Sheet, then amortized to income over the life of the related assets. Grants for other 
expenses are recognized as reductions of the related expense over the period incurred.
In 2024, the Company entered into an agreement to receive government grants from a non-Irish government entity. The 
grants will be recognized over the term of the agreement beginning in 2024 through 2033. The terms of the agreement and the 
commitments made by the Company and the government entity have been omitted because they are legally prohibited from 
being disclosed. Under the agreement, for the year ended December 31, 2024, the Company reduced Selling and administrative 
expense by $1 million on the Consolidated Statement of Income. As of December 31, 2024, the Company recognized 
unamortized deferred income of $9 million within Other current liabilities on the Consolidated Balance Sheet. 
For the years ended December 31, 2023 and 2022, government grants did not have a material impact on the consolidated 
financial statements. 
Note 19. 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. 
73

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.
74

Business Segment Information
(In millions)
2024
2023
2022
Net sales
Electrical Americas
$ 
11,436 $ 
10,098 $ 
8,497 
Electrical Global
 
6,248  
6,084  
5,848 
Aerospace
 
3,744  
3,413  
3,039 
Vehicle
 
2,790  
2,965  
2,830 
eMobility
 
662  
636  
538 
Total net sales
$ 
24,878 $ 
23,196 $ 
20,752 
Other segment items
Electrical Americas
$ 
7,981 $ 
7,423 $ 
6,584 
Electrical Global
 
5,099  
4,908  
4,714 
Aerospace
 
2,885  
2,633  
2,334 
Vehicle
 
2,288  
2,483  
2,377 
eMobility
 
669  
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 Global
 
1,149  
1,176  
1,134 
Aerospace
 
859  
780  
705 
Vehicle
 
502  
482  
453 
eMobility
 
(7)  
(21)  
(9) 
Total segment operating profit
 
5,959  
5,093  
4,196 
Corporate
Intangible asset amortization expense
 
(425)  
(450)  
(499) 
Interest expense - net
 
(130)  
(151)  
(144) 
Pension and other postretirement benefits income
 
40  
46  
43 
Restructuring program charges
 
(202)  
(57)  
(33) 
Other expense - net
 
(675)  
(654)  
(653) 
Income before income taxes
 
4,566  
3,827  
2,911 
Income tax expense
 
768  
604  
445 
Net income
 
3,798  
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 
75

(In millions)
2024
2023
2022
Identifiable assets
Electrical Americas
$ 
4,933 $ 
4,163 $ 
3,655 
Electrical Global
 
3,233  
2,868  
2,658 
Aerospace
 
2,392  
2,276  
1,859 
Vehicle
 
1,987  
2,251  
2,230 
eMobility
 
633  
563  
402 
Total identifiable assets
 
13,178  
12,121  
10,804 
Goodwill
 
14,713  
14,977  
14,796 
Other intangible assets
 
4,658  
5,091  
5,485 
Corporate
 
5,833  
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 Global
 
163  
142  
151 
Aerospace
 
83  
97  
92 
Vehicle
 
94  
96  
95 
eMobility
 
64  
76  
52 
Total
 
766  
721  
571 
Corporate
 
42  
36  
28 
Total expenditures for property, plant and equipment
$ 
808 $ 
757 $ 
598 
Depreciation of property, plant and equipment
Electrical Americas
$ 
118 $ 
108 $ 
101 
Electrical Global
 
102  
96  
94 
Aerospace
 
70  
69  
64 
Vehicle
 
95  
92  
89 
eMobility
 
24  
21  
16 
Total
 
409  
386  
364 
Corporate
 
37  
43  
44 
Total depreciation of property, plant and equipment
$ 
446 $ 
429 $ 
408 
76

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)
2024
2023
2022
Net sales
United States
$ 
15,151 $ 
14,071 $ 
12,353 
Canada
 
1,058  
949  
754 
Latin America
 
1,680  
1,549  
1,504 
Europe
 
4,530  
4,339  
3,957 
Asia Pacific
 
2,459  
2,288  
2,185 
Total
$ 
24,878 $ 
23,196 $ 
20,752 
Long-lived assets
United States
$ 
1,990 $ 
1,773 $ 
1,567 
Canada
 
31  
31  
25 
Latin America
 
465  
476  
383 
Europe
 
790  
797  
711 
Asia Pacific
 
453  
453  
460 
Total
$ 
3,729 $ 
3,530 $ 
3,146 
77

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF 
OPERATIONS.
Amounts are in millions of dollars or shares unless indicated otherwise (per share data assume dilution). Columns and rows 
may not add and the sum of components may not equal total amounts reported due to rounding.
COMPANY OVERVIEW
Eaton Corporation plc (Eaton or the Company) is an intelligent power management company dedicated to protecting the 
environment and improving the quality of life for people everywhere. We make products for the data center, utility, industrial, 
commercial, machine building, residential, aerospace and mobility markets. We are capitalizing on the megatrends of the 
energy transition, electrification, and digitalization. The reindustrialization of and growth of megaprojects in North America 
and increased global infrastructure spending focused on clean energy programs are expanding our end markets and positioning 
Eaton for growth for years to come. We are strengthening our participation across the entire electrical power value chain and 
benefiting from momentum in the data center and utility end markets as well as a growth cycle in the commercial aerospace and 
defense markets. We are guided by our commitment to operate sustainably and with the highest ethical standards. Our work is 
accelerating the planet’s transition to renewable energy sources, helping to solve the world’s most urgent power management 
challenges, and building a more sustainable society for people today and for future generations.
Founded in 1911, Eaton has continuously evolved to meet the changing and expanding needs of our stakeholders. With 
revenues of nearly $25 billion in 2024, the Company serves customers in more than 160 countries.
Portfolio Changes
The Company continues to actively manage its portfolio of businesses to deliver on its strategic objectives. The Company is 
focused on deploying its capital toward businesses that provide opportunities for above-market growth, strong returns, and align 
with secular trends and its power management strategies. Over the past three years, Eaton continued to selectively add 
businesses to strengthen its portfolio.
Acquisitions of businesses and investments in associate companies
Date of acquisition
Business segment
Royal Power Solutions
January 5, 2022
eMobility
A manufacturer of high-precision electrical connectivity components used in 
electric vehicle, energy management, industrial and mobility markets.
Jiangsu Huineng Electric Co., Ltd’s circuit breaker business
July 1, 2022
Electrical Global
A 50 percent stake in Jiangsu Huineng Electric Co., Ltd's circuit breaker business 
which manufactures and markets low-voltage circuit breakers in China.
Jiangsu Ryan Electrical Co. Ltd.
April 23, 2023
Electrical Global
A 49 percent stake in Jiangsu Ryan Electrical Co. Ltd., a manufacturer of power 
distribution and sub-transmission transformers in China.
Exertherm
May 20, 2024
Electrical Americas
A U.K. based provider of thermal monitoring solutions for electrical equipment.
NordicEPOD AS
May 31, 2024
Electrical Global
A 49 percent stake in NordicEPOD AS, which designs and assembles 
standardized power modules for data centers in the Nordic region.
Additional information related to acquisitions of businesses is presented in Note 2.
78

Summary of Results of Operations
A summary of Eaton’s Net sales, Net income attributable to Eaton ordinary shareholders, and Net income per share 
attributable to Eaton ordinary shareholders - diluted is as follows:
(In millions except for per share data)
2024
2023
2022
Net sales
$ 
24,878 $ 
23,196 $ 
20,752 
Net income attributable to Eaton ordinary shareholders
 
3,794  
3,218  
2,462 
Net income per share attributable to Eaton ordinary shareholders - diluted
$ 
9.50 $ 
8.02 $ 
6.14 
RESULTS OF OPERATIONS
Non-GAAP Financial Measures
The following discussion of Consolidated Financial Results includes certain non-GAAP financial measures. These financial 
measures include adjusted earnings and adjusted earnings per ordinary share, each of which differs from the most directly 
comparable measure calculated in accordance with generally accepted accounting principles (GAAP). A reconciliation of 
adjusted earnings and adjusted earnings per ordinary share to the most directly comparable GAAP measure is included in the 
Consolidated Financial Results table below. Management believes that these financial measures are useful to investors because 
they provide additional meaningful financial information that should be considered when assessing our business performance 
and trends, and they allow investors to more easily compare Eaton’s financial performance period to period. Management uses 
this information in monitoring and evaluating the on-going performance of Eaton. 
Acquisition and Divestiture Charges
Eaton incurs integration charges and transaction costs to acquire and integrate businesses, and transaction, separation and 
other costs to divest and exit businesses. Eaton also recognizes gains and losses on the sale of businesses. A summary of these 
Corporate items is as follows: 
(In millions except for per share data)
2024
2023
2022
Acquisition integration, divestiture charges and transaction costs
$ 
36 $ 
54 $ 
194 
Gain on the sale of the Hydraulics business
 
—  
—  
(24) 
Total before income taxes
 
36  
54  
170 
Income tax benefit
 
10  
15  
23 
Total after income taxes
$ 
26 $ 
39 $ 
147 
Per ordinary share - diluted
$ 
0.06 $ 
0.10 $ 
0.37 
Acquisition integration, divestiture charges and transaction costs are primarily related to acquisitions completed prior to 
2023, including other charges and income to acquire and exit businesses, and the reduction in fair value of contingent future 
consideration from the Green Motion SA acquisition. Costs in 2023 and 2022 also included certain indemnity claims associated 
with the sale of 50% interest in the commercial vehicle automated transmission business in 2017. Costs in 2022 also included 
charges of $29 million presented in Other income - net on the Consolidated Statements of Income related to the decision in the 
second quarter of 2022 to exit the Company's business operations in Russia. These charges consisted primarily of write-downs 
of accounts receivable, inventory and other assets, and accruals for severance. These charges were included in Cost of products 
sold, Selling and administrative expense, Research and development expense, or Other income - net. In Business Segment 
Information in Note 19, the charges were included in Other expense - net.
79

Restructuring Programs
In the second quarter of 2020, Eaton initiated a multi-year restructuring program to reduce its cost structure and gain 
efficiencies in its business segments and at corporate in order to initially respond to declining market conditions brought on by 
the COVID-19 pandemic. Since the inception of the program, the Company incurred expenses of $199 million for workforce 
reductions and $184 million for plant closing and other costs, resulting in total charges of $382 million through December 31, 
2023. This restructuring program was substantially complete at the end of 2023 and mature year benefits from the program of 
approximately $265 million were realized in 2024.
During the first quarter of 2024, Eaton implemented a new multi-year restructuring program to accelerate opportunities to 
optimize its operations and global support structure. These actions will better align the Company's functions to support 
anticipated growth and drive greater effectiveness throughout the Company. Restructuring charges incurred under this program 
were $202 million in 2024. This restructuring program is expected to be completed in 2026 and is expected to incur additional 
expenses related to workforce reductions of $183 million and plant closing and other costs of $90 million, resulting in total 
estimated charges of $475 million for the entire program. The Company expects mature year benefits of $375 million when the 
multi-year program is fully implemented. 
Additional information related to these restructuring programs is presented in Note 17. 
Intangible Asset Amortization Expense
Intangible asset amortization expense is as follows:
(In millions except for per share data)
2024
2023
2022
Intangible asset amortization expense
$ 
425 $ 
450 $ 
499 
Income tax benefit
 
91  
98  
105 
Total after income taxes
$ 
335 $ 
353 $ 
394 
Per ordinary share - diluted
$ 
0.84 $ 
0.89 $ 
0.99 
80

Consolidated Financial Results
(In millions except for per share data)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 24,878 
 7 % $ 23,196 
 12 % $ 20,752 
Gross profit
 
9,503 
 13 %  
8,434 
 22 %  
6,887 
Percent of net sales
 38.2 %
 36.4 %
 33.2 %
Income before income taxes
 
4,566 
 19 %  
3,827 
 31 %  
2,911 
Net income
 
3,798 
 18 %  
3,223 
 31 %  
2,465 
Less net income for noncontrolling interests
 
(4) 
 
(5) 
 
(4) 
Net income attributable to Eaton ordinary shareholders
 
3,794 
 18 %  
3,218 
 31 %  
2,462 
Excluding acquisition and divestiture charges, after-tax
 
26 
 
39 
 
147 
Excluding restructuring program charges, after-tax
 
160 
 
46 
 
29 
Excluding intangible asset amortization expense, after-tax  
335 
 
353 
 
394 
Adjusted earnings
$ 4,314 
 18 % $ 3,657 
 21 % $ 3,032 
Net income per share attributable to Eaton ordinary 
shareholders - diluted
$ 
9.50 
 18 % $ 
8.02 
 31 % $ 
6.14 
Excluding per share impact of acquisition and divestiture 
charges, after-tax
 
0.06 
 
0.10 
 
0.37 
Excluding per share impact of restructuring program 
charges, after-tax
 
0.40 
 
0.11 
 
0.07 
Excluding per share impact of intangible asset 
amortization expense, after-tax
 
0.84 
 
0.89 
 
0.99 
Adjusted earnings per ordinary share
$ 10.80 
 18 % $ 
9.12 
 20 % $ 
7.57 
Net Sales
Changes in Net sales:
2024
2023
Organic growth
 8 %
 12 %
Foreign currency
 (1) %
 — %
Total increase in Net sales
 7 %
 12 %
2024: Organic sales increased 8% in 2024 due to strength in commercial & institutional end-markets in the Electrical 
Americas business segment, strength in utility end-markets in the Electrical Global business segment, strength in data center 
end-markets in the Electrical Americas and Electrical Global business segments, strength in commercial OEM, commercial 
aftermarket, and military OEM in the Aerospace business segment, and strength in the European region in the eMobility 
business segment, partially offset by weakness in residential end-markets in the Electrical Americas and Electrical Global 
business segments and weakness in the North American and European regions in the Vehicle business segment.
Additionally, during 2024, certain facilities in the Electrical Americas business segment were impacted by Hurricane 
Helene, and the Aerospace business segment was impacted by industry related labor strikes. These events had a negative impact 
on Net sales in 2024 of $128 million.
2023: Organic sales increased 12% in 2023 due to strength in commercial & institutional, utility, industrial, and data center 
end-markets in the Electrical Americas and Electrical Global business segments, strength in sales to commercial OEM and 
aftermarket in the Aerospace business segment, strength in the North American, European, and Asia Pacific regions in the 
Vehicle business segment, and the ramp up of key programs in the eMobility business segment due to robust demand for 
electric vehicles. 
81

Gross Profit
2024: Gross profit margin increased from 36.4% in 2023 to 38.2% in 2024. Material factors affecting this increase were a 
290 basis point increase from higher sales and a 90 basis point increase from operating efficiencies, partially offset by a 100 
basis point decline from higher commodity and wage inflation and a 70 basis point decline from higher costs to support growth 
initiatives. 
2023: Gross profit margin increased from 33.2% in 2022 to 36.4% in 2023 primarily due to higher sales volumes and net 
price realization, partially offset by higher costs to support growth initiatives in the Electrical Americas and Aerospace business 
segments, unfavorable product mix in the Electrical Global, Aerospace, and eMobility business segments, and operating 
inefficiencies in the Electrical Global and Vehicle business segments.
Income Taxes
During 2024, income tax expense of $768 million was recognized (an effective tax rate of 16.8%) compared to income tax 
expense of $604 million in 2023 (an effective tax rate of 15.8%) and income tax expense of $445 million in 2022 (an effective 
tax rate of 15.3%). The increase in the effective tax rate from 15.8% in 2023 to 16.8% in 2024 was due to greater levels of 
income earned in higher tax jurisdictions, partially offset by a larger impact from the excess tax benefits recognized for 
employee share-based payments and the reduction of valuation allowances on foreign tax attributes. The increase in the 
effective tax rate from 15.3% in 2022 to 15.8% in 2023 was due to greater levels of income earned in higher tax jurisdictions, 
partially offset by the reduction of valuation allowances on foreign tax attributes.
Net Income
Changes in Net income attributable to Eaton ordinary shareholders and Net income per share attributable to Eaton ordinary 
shareholders - diluted are summarized as follows:
2024
2023
(In millions except for per share data)
Dollars
Per share
Dollars
Per share
Prior year
$ 
3,218 $ 
8.02 $ 
2,462 $ 
6.14 
  Business segment results of operations
    Operational performance
 
730  
1.82  
762  
1.89 
    Foreign currency
 
(7)  
(0.02)  
(11)  
(0.03) 
  Corporate
    Intangible asset amortization expense
 
18  
0.05  
41  
0.10 
    Restructuring program charges
 
(114)  
(0.29)  
(17)  
(0.04) 
    Acquisition and divestiture charges
 
13  
0.04  
108  
0.27 
    Other corporate items
 
(21)  
(0.05)  
(102)  
(0.25) 
  Tax rate impact
 
(45)  
(0.11)  
(25)  
(0.06) 
  Impact of shares
 
0.04 
 
— 
Current year
$ 
3,794 $ 
9.50 $ 
3,218 $ 
8.02 
82

Business Segment Results of Operations
The following is a discussion of Net sales, operating profit (loss) and operating margin by business segment. Additionally, 
the Company uses the following metrics as indicators of customer demand and future revenue expectations in the Electrical 
Americas, Electrical Global, and Aerospace business segments. The Company believes these metrics are useful to investors for 
the same reasons.
•
Backlog: Includes orders to which customers are firmly committed
•
Organic change in backlog: Percentage change in backlog, excluding the impact of foreign currency, acquisitions and 
divestitures
•
Organic change in customer orders: Percentage change in firm customer orders on a trailing twelve month basis, 
excluding the impact of foreign currency, acquisitions and divestitures
•
Book-to-bill: Average of the ratio of firm customer orders to Net sales for the last four quarters
Electrical Americas
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 11,436 
 13 % $ 10,098 
 19 % $ 8,497 
Operating profit
$ 3,455 
 29 % $ 2,675 
 40 % $ 1,913 
Operating margin
 30.2 %
 26.5 %
 22.5 %
Changes in Net sales:
2024
2023
Organic growth
 13 %
 19 %
Foreign currency
 — %
 — %
Total increase in Net sales
 13 %
 19 %
Performance metrics:
December 31, 2024
December 31, 2023
Backlog
$ 
10,141 $ 
7,953 
 28 %
Organic change in backlog
 
 29 %
Organic change in customer orders
 16 %
Book-to-bill
1.2
The increase in organic sales in 2024 was due to strength in data center and commercial & institutional end-markets, 
partially offset by weakness in residential end-markets. The increase in organic sales in 2023 reflects strength in commercial & 
institutional, utility, industrial, machine OEM, and data center end-markets.
The operating margin increased from 26.5% in 2023 to 30.2% in 2024. Material factors affecting this increase were a 560 
basis point increase from higher sales and a 150 basis point increase from operating efficiencies, partially offset by a 190 basis 
point decline from higher costs to support growth initiatives and a 130 basis point decline from higher commodity and wage 
inflation. The operating margin increased from 22.5% in 2022 to 26.5% in 2023 primarily due to higher sales volumes and net 
price realization, partially offset by higher costs to support growth initiatives, and higher gains from the sale of non-production 
facilities in 2022.
83

Electrical Global
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 6,248 
 3 % $ 6,084 
 4 % $ 5,848 
Operating profit
$ 1,149 
 (2) % $ 1,176
 4 % $ 1,134 
Operating margin
 18.4 %
 19.3 %
 19.4 %
Changes in Net sales:
2024
2023
Organic growth
 4 %
 5 %
Divestiture
 — %
 (1) %
Foreign currency
 (1) %
 — %
Total increase in Net sales
 3 %
 4 %
Performance metrics:
December 31, 2024
December 31, 2023
Backlog
$ 
1,704 $ 
1,522 
 12 %
Organic change in backlog
 16 %
Organic change in customer orders
 4 %
Book-to-bill
1.1
The increase in organic sales in 2024 was due to strength in data center and utility end-markets, partially offset by weakness 
in residential end-markets. Additionally, the increase in organic sales in 2024 was due to strength in the Asia Pacific and 
European regions. The increase in organic sales in 2023 was primarily due to strength in commercial & institutional, industrial, 
utility, and data center end-markets.
The operating margin decreased from 19.3% in 2023 to 18.4% in 2024. Material factors affecting this decrease were a 150 
basis point decline from higher wage inflation, a 70 basis point decline from the sale of a non-production facility in the third 
quarter of 2023, a 60 basis point decline from higher support costs, and a 50 basis point decline from unfavorable product mix, 
partially offset by a 140 basis point increase from operating efficiencies and a 90 basis point increase from higher sales. The 
operating margin decreased from 19.4% in 2022 to 19.3% in 2023 primarily due to operating inefficiencies from ongoing 
supply chain constraints and unfavorable product mix, partially offset by higher sales volumes and net price realization, and a 
net gain on the sale of a non-production facility in 2023.
84

Aerospace
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 3,744 
 10 % $ 3,413 
 12 % $ 3,039 
Operating profit
$ 
859 
 10 % $ 
780 
 11 % $ 
705 
Operating margin
 23.0 %
 22.9 %
 23.2 %
Changes in Net sales:
2024
2023
Organic growth
 10 %
 11 %
Foreign currency
 — %
 1 %
Total increase in Net sales
 10 %
 12 %
Performance metrics:
December 31, 2024
December 31, 2023
Backlog
$ 
3,721 $ 
3,228 
 15 %
Organic change in backlog
 
 16 %
Organic change in customer orders
 10 %
Book-to-bill
1.1
The increase in organic sales in 2024 was due to strength in commercial OEM, commercial aftermarket, and military OEM. 
The increase in organic sales in 2023 was primarily due to broad-based strength across all markets with particular strength in 
commercial OEM and aftermarket.
The operating margin increased from 22.9% in 2023 to 23.0% in 2024. Material factors affecting the operating margin were 
a 470 basis point increase from higher sales and a 70 basis point increase from the sale of a production facility in the first 
quarter of 2024, partially offset by a 280 basis point decline from higher commodity and wage inflation, a 180 basis point 
decline from higher costs to support growth initiatives, and a 70 basis point decline from unfavorable product mix. The 
operating margin decreased from 23.2% in 2022 to 22.9% in 2023 primarily due to commodity and wage inflation, unfavorable 
product mix, and higher costs to support growth initiatives, partially offset by higher sales volumes including inflationary 
pricing recovery.
Vehicle
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 2,790 
 (6) % $ 2,965 
 5 % $ 2,830 
Operating profit
$ 
502 
 4 % $ 
482 
 6 % $ 
453 
Operating margin
 18.0 %
 16.3 %
 16.0 %
Changes in Net sales:
2024
2023
Organic growth
 (5) %
 4 %
Foreign currency
 (1) %
 1 %
Total increase (decrease) in Net sales
 (6) %
 5 %
The decrease in organic sales in 2024 was due to weakness in the North American and European regions, partially offset by 
strength in the South American region. The increase in organic sales in 2023 was primarily due to strength in the North 
American, European, and Asia Pacific regions, partially offset by weakness in the South American truck, bus and agriculture 
markets.
The operating margin increased from 16.3% in 2023 to 18.0% in 2024. Material factors affecting this increase were a 190 
basis point increase from operating efficiencies and a 60 basis point increase from the sale of a non-production facility in the 
second quarter of 2024, partially offset by a 70 basis point decrease from lower income from investments in associate 
companies. The operating margin increased from 16.0% in 2022 to 16.3% in 2023 primarily due to higher sales volumes 
including net price realization, partially offset by operating inefficiencies.
85

eMobility
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net sales
$ 
662 
 4 % $ 
636 
 18 % $ 
538 
Operating loss
$ 
(7) 
 67 % $ 
(21) 
 (133) % $ 
(9) 
Operating margin
 (1.0) %
 (3.2) %
 (1.6) %
Changes in Net sales:
2024
2023
Organic growth
 4 %
 18 %
Foreign currency
 — %
 — %
Total increase in Net sales
 4 %
 18 %
Despite OEM delays in electric vehicle rollouts due to weaker than expected customer demand, organic sales increased in 
2024 due to strength in the European region, partially offset by weakness in the North American region. The increase in organic 
sales in 2023 reflects the ramp up of key programs due to robust demand for electric vehicles in the North American and 
European markets.
The operating margin increased from negative 3.2% in 2023 to negative 1.0% in 2024. Material factors affecting this 
increase were a 510 basis point increase from operating efficiencies, a 350 basis point increase from higher sales, and a 220 
basis point increase from the sale of a non-production facility in the second quarter of 2024, partially offset by a 320 basis point 
decline from higher costs to support growth initiatives, a 300 basis point decline from unfavorable product mix, and a 220 basis 
point decline from higher commodity and wage inflation. The operating margin decreased from negative 1.6% in 2022 to 
negative 3.2% in 2023 primarily due to commodity and wage inflation, manufacturing start-up costs associated with new 
electric vehicle programs, and unfavorable product mix, partially offset by higher sales volumes including inflationary pricing 
recovery.
Corporate Expense
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Intangible asset amortization expense
$ 
425 
 (6) % $ 
450 
 (10) % $ 
499 
Interest expense - net
 
130 
 (14) %  
151 
 5 %  
144 
Pension and other postretirement benefits income
 
(40) 
 (13) %  
(46) 
 7 %  
(43) 
Restructuring program charges
 
202 
 254 %  
57 
 73 %  
33 
Other expense - net
 
675 
 3 %  
654 
 — %  
653 
Total corporate expense
$ 
1,392 
 10 % $ 
1,266 
 (2) % $ 
1,286 
The material factor affecting the increase in Total corporate expense in 2024 was higher Restructuring program charges. The 
decrease in corporate expense in 2023 was primarily due to lower Intangible asset amortization expense, partially offset by 
higher Restructuring program charges. 
86

LIQUIDITY, CAPITAL RESOURCES, AND FINANCIAL CONDITION
Liquidity and Financial Condition
Eaton’s objective is to finance its business through operating cash flow and an appropriate mix of equity and long-term and 
short-term debt. By diversifying its debt maturity structure, Eaton reduces liquidity risk. 
On May 21, 2024, a subsidiary of Eaton issued Euro denominated notes (2024 Euro Notes) with a face value of 
€1,000 million ($1,084 million), in accordance with Regulation S promulgated under the Securities Act of 1933, as amended. 
The 2024 Euro Notes are comprised of 2 tranches of €500 million each, which mature in 2031 and 2036, with interest payable 
annually at a respective rate of 3.601% and 3.802%. The issuer received proceeds totaling €995 million ($1,079 million) from 
the issuance, net of financing costs. The 2024 Euro Notes are fully and unconditionally guaranteed on an unsubordinated, 
unsecured basis by Eaton and certain of its direct and indirect subsidiaries. The 2024 Euro Notes contain customary optional 
redemption and par call provisions. The 2024 Euro Notes also contain a change of control provision which requires the 
Company to make an offer to purchase all or any part of the 2024 Euro Notes at a purchase price of 101% of the principal 
amount plus accrued and unpaid interest. The capitalized deferred financing fees are amortized in Interest expense - net over the 
respective terms of the 2024 Euro Notes. The 2024 Euro Notes are subject to customary non-financial covenants.
On September 30, 2024, the Company replaced its existing $500 million 364-day revolving credit facility with a new 
$500 million 364-day revolving credit facility that will expire on September 29, 2025. The Company also has a $2,500 million 
five-year revolving credit facility that will expire on October 1, 2027. The revolving credit facilities totaling $3,000 million are 
used to support commercial paper borrowings and are fully and unconditionally guaranteed by Eaton and certain of its direct 
and indirect subsidiaries on an unsubordinated, unsecured basis. There were no borrowings outstanding under Eaton’s revolving 
credit facilities at December 31, 2024. The Company maintains access to the commercial paper markets through its 
$3,000 million commercial paper program, of which none was outstanding on December 31, 2024. In addition to the revolving 
credit facilities, the Company also had available lines of credit of $938 million from various banks primarily for the issuance of 
letters of credit, of which there was $420 million outstanding at December 31, 2024.
Over the course of a year, cash, short-term investments, and short-term debt may fluctuate in order to manage global 
liquidity. As of December 31, 2024 and 2023, Eaton had cash of $555 million and $488 million, short-term investments of 
$1,525 million and $2,121 million, respectively, with no short-term debt as of December 31, 2024 and $8 million as of 
December 31, 2023. Eaton has investment grade credit ratings from the two major rating agencies as reflected in the following 
ratings assigned to its debt:
Credit Rating Agency (long- /short-term rating)
Rating
Outlook
Standard & Poor's
A-/A-2
Stable outlook
Moody's
A3/P-2
Stable outlook
Eaton believes it has the operating flexibility, cash flow, cash and short-term investment balances, availability under existing 
revolving credit facilities, and access to capital markets in excess of the liquidity necessary to meet future operating needs of the 
business, fund capital expenditures and acquisitions of businesses, as well as scheduled payments of long-term debt.
For additional information on financing transactions and debt, see Note 9.
Eaton’s credit facilities and indentures governing certain long-term debt contain various covenants, the violation of which 
would limit or preclude the use of the credit facilities for future borrowings, or might accelerate the maturity of the related 
outstanding borrowings covered by the indentures. At Eaton’s present credit rating level, the most restrictive financial covenant 
provides that the ratio of secured debt (or lease payments due under a sale and leaseback transaction) to adjusted consolidated 
net worth (or consolidated net tangible assets, in each case as defined in the relevant credit agreement or indenture) may not 
exceed 10%. Eaton's actual ratios are substantially below the required threshold. In addition, Eaton was in compliance with 
each of its debt covenants for all periods presented.
87

Cash Flows
A summary of cash flows is as follows:
(In millions)
2024
Change 
from 2023
2023
Change 
from 2022
2022
Net cash provided by operating activities
$ 
4,327 $ 
703 $ 
3,624 $ 
1,091 $ 
2,533 
Net cash used in investing activities
 
(271)  
2,304  
(2,575)  
(1,375)  
(1,200) 
Net cash used in financing activities
 
(3,936)  
(3,065)  
(871)  
469  
(1,340) 
Effect of currency on cash
 
(52)  
(68)  
16  
12  
4 
Total increase (decrease) in cash
$ 
67 
$ 
194 
$ 
(3) 
Operating Cash Flow
Net cash provided by operating activities increased by $703 million in 2024 compared to 2023. The material factor affecting 
this increase was higher net income of $575 million.
Net cash provided by operating activities increased by $1,091 million in 2023 compared to 2022 primarily due to lower 
investment in working capital and higher net income in 2023.
Investing Cash Flow
Net cash used in investing activities decreased by $2,304 million in 2024 compared to 2023. Material factors affecting this 
decrease were sales of short-term investments of $575 million in 2024 compared to purchases of short-term investments of 
$1,861 million in 2023, partially offset by payments for settlement of currency exchange contracts not designated as hedges of 
$3 million in 2024 compared to proceeds from settlement of currency exchange contracts not designated as hedges of $92 
million in 2023.
Net cash used in investing activities increased by $1,375 million in 2023 compared to 2022. The increase in the use of cash 
was primarily driven by an increase in net purchases of short-term investments to $1,861 million in 2023 from $19 million in 
2022, and an increase in capital expenditures for property, plant and equipment to $757 million in 2023 from $598 million in 
2022, partially offset by no cash paid for business acquisitions in 2023 compared to cash paid of $610 million in 2022. 
Financing Cash Flow
Net cash used in financing activities increased by $3,065 million in 2024 compared to 2023. Material factors affecting this 
increase were an increase in repurchase of shares to $2,492 million in 2024 compared to no repurchase of shares in 2023, and 
an increase in payments on borrowings to $1,015 million in 2024 from $19 million in 2023, partially offset by a decrease in net 
payments of short-term debt to $8 million in 2024 from $311 million in 2023, and an increase in proceeds from borrowings to 
$1,084 million in 2024 from $818 million in 2023.
Net cash used in financing activities decreased by $469 million in 2023 compared to 2022. The decrease in the use of cash 
was primarily due to lower payments on borrowings of $19 million in 2023 compared to $2,012 million in 2022, and no 
repurchase of shares in 2023 compared to repurchase of shares of $286 million in 2022, partially offset by net payments of 
short-term debt of $311 million in 2023 compared to net proceeds of short-term debt of $317 million in 2022 and lower 
proceeds from borrowings of $818 million in 2023 compared to $1,995 million in 2022.
Uses of Cash
Purchases of Goods and Services
The Company purchases goods and services in the normal course of business based on expected usage. For certain 
purchases, the Company enters into purchase obligations with various vendors, which include short-term and long-term 
commitments for purchases of raw materials, outstanding non-cancelable purchase orders, releases under blanket purchase 
orders, and commitments under ongoing service arrangements. As of December 31, 2024, the Company has purchase 
obligations to support the operation of its business similar to those included in historical cash flow trends.
Capital Expenditures
Capital expenditures were $808 million, $757 million, and $598 million in 2024, 2023, and 2022, respectively. The 
Company plans to increase capital expenditures over the next several years to expand production capacity across various 
markets to support anticipated growth. As a result, Eaton expects approximately $900 million in capital expenditures in 2025. 
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Dividends
Cash dividend payments were $1,500 million, $1,379 million and $1,299 million in 2024, 2023, and 2022, respectively. On 
February 27, 2025, Eaton's Board of Directors declared a quarterly dividend of $1.04 per ordinary share, an 11% increase over 
the dividend paid in the fourth quarter of 2024. The dividend is payable on March 28, 2025 to shareholders of record on 
March 10, 2025. Payment of quarterly dividends in the future depends upon the Company’s ability to generate net income and 
operating cash flows, among other factors, and is subject to declaration by the Eaton Board of Directors. The Company intends 
to continue to pay quarterly dividends in 2025.
Share Repurchases
On February 23, 2022, the Board of Directors adopted a share repurchase program for repurchases of ordinary shares up to 
$5.0 billion to be made during the three-year period commencing on that date (2022 Program). Under the 2022 Program, the 
ordinary shares are expected to be repurchased over time, depending on market conditions, the market price of ordinary shares, 
capital levels, and other considerations. During 2024 and 2022, 7.8 million and 2.0 million ordinary shares were repurchased 
under the 2022 Program in the open market at a total cost of $2.5 billion and $286 million, respectively. During 2023, no 
ordinary shares were repurchased. During 2022, 2.0 million ordinary shares were repurchased under the 2022 Program in the 
open market at a total cost of $286 million. The Company will continue to pursue share repurchases in 2025 depending on 
market conditions and capital levels. On February 27, 2025, the Board of Directors renewed the 2022 Program by providing 
authority for up to $9.0 billion in repurchases to be made during the three-year period commencing on that date (2025 
Program).
Acquisition of Businesses and Investments in Associate Companies
The Company paid cash of $50 million and $610 million to acquire businesses in 2024 and 2022, respectively. There were 
no business acquisitions in 2023. The Company paid cash of $70 million, $68 million, and $42 million for investments in 
associate companies in 2024, 2023, and 2022, respectively. The Company will continue to focus on deploying its capital toward 
businesses that provide opportunities for higher growth and strong returns, and align with secular trends and its power 
management strategies.
Debt
The Company manages a number of short-term and long-term debt instruments, including commercial paper. At 
December 31, 2024, the Company had no Short-term debt, Current portion of long-term debt of $674 million, and Long-term 
debt of $8,478 million. The Company believes it has the operating flexibility, cash flow, and access to capital markets to meet 
scheduled payments of long-term debt. For additional information on financing transactions and debt see Note 9.
Leases
See Note 8 for maturities of lease liabilities.
Unrecognized Income Tax Benefits
At December 31, 2024, the gross unrecognized income tax benefits totaled $1,361 million and interest and penalties were 
$225 million. Eaton cannot predict with reasonable certainty the timing of cash settlements with the respective taxing 
authorities. For additional information about income taxes see Note 12.
Defined Benefits Plans
Pension Plans
During 2024, the fair value of plan assets in the Company’s employee pension plans decreased $244 million to $3,993 
million at December 31, 2024. The decrease in plan assets was primarily due to benefit payments and negative currency 
translation exceeding contributions and asset performance. At December 31, 2024, the net unfunded position of $570 million in 
pension liabilities consisted of $574 million in plans that have no funding requirements and $227 million in plans that require 
funding, offset by $231 million in plans that are overfunded. 
Funding requirements are a major consideration in making contributions to Eaton’s pension plans. With respect to the 
Company’s pension plans worldwide, the Company intends to contribute annually not less than the minimum required by 
applicable law and regulations. In 2024, $110 million was contributed to the pension plans. The Company anticipates making 
$101 million of contributions to certain pension plans during 2025. The funded status of the Company’s pension plans at the 
end of 2025, and future contributions, will depend primarily on the actual return on assets during the year and the discount rate 
used to calculate certain benefits at the end of the year. For additional information about pension plans see Note 10
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Supply Chain Finance Program
A third-party financial institution offers a voluntary supply chain finance (SCF) program that enables certain of the 
Company’s suppliers, at the supplier’s sole discretion, to sell receivables due from the Company to the financial institution on 
terms directly negotiated with the financial institution. The SCF program does not have a significant impact on the Company’s 
liquidity as payments by the Company to participating suppliers are paid to the financial institution on the invoice due date, 
regardless of whether an individual invoice is sold by the supplier to the financial institution. For additional information on the 
SCF program, see Note 7. 
Guaranteed Debt
Issuers, Guarantors and Guarantor Structure 
Eaton Corporation has issued senior notes pursuant to indentures dated April 1, 1994 (the 1994 Indenture), November 20, 
2012 (the 2012 Indenture), September 15, 2017 (the 2017 Indenture) and August 23, 2022 (as supplemented by the First and 
Second Supplemental Indentures of the same date and the Third Supplemental Indenture dated May 18, 2023, the 2022 
Indenture). The senior notes of Eaton Corporation are registered under the Securities Act of 1933, as amended (the Registered 
Senior Notes). Eaton Capital Unlimited Company, a subsidiary of Eaton, is the issuer of five outstanding series of debt 
securities sold in offshore transactions under Regulation S promulgated under the Securities Act (the Eurobonds). The 
Eurobonds and the Registered Senior Notes (together, the Senior Notes) comprise substantially all of Eaton’s long-term 
indebtedness.
Substantially all of the Senior Notes (with limited exceptions), together with the credit facilities described above under 
Liquidity and Financial Condition (the Credit Facilities), are guaranteed by Eaton and 17 of its subsidiaries. Accordingly, they 
rank equally with each other. However, because these obligations are not secured, they would be effectively subordinated to 
any existing or future secured indebtedness of Eaton and its subsidiaries. As of December 31, 2024, Eaton has no material, 
long-term secured debt. The guaranteed Registered Senior Notes are also structurally subordinated to the liabilities of Eaton's 
subsidiaries that are not guarantors. Except as described below under Future Guarantors, Eaton is not obligated to cause its 
subsidiaries to guarantee the Registered Senior Notes. 
The table set forth in Exhibit 22 filed with the Form 10-K filed on February 23, 2023 (10-K Exhibit 22) details the primary 
obligors and guarantors with respect to the guaranteed Registered Senior Notes.
Terms of Guarantees of Registered Securities
Payment of principal and interest on the Registered Senior Notes is guaranteed, on an unsecured, unsubordinated basis by 
the subsidiaries of Eaton set forth in the table referenced in the 10-K Exhibit 22. Each guarantee is full and unconditional, and 
joint and several. Each guarantor’s guarantee is an unsecured obligation that ranks equally with all its other unsecured and 
unsubordinated indebtedness. The obligations of each guarantor under its guarantee of the Registered Senior Notes are subject 
to a customary savings clause or similar provision designed to prevent such guarantee from constituting a fraudulent 
conveyance or otherwise legally impermissible or voidable obligation.
Though the terms of the indentures vary slightly, generally, each guarantee of the Registered Senior Notes by a guarantor 
that is a subsidiary of Eaton Corporation provides that it will be automatically and unconditionally released and discharged 
under certain circumstances, including, but not limited to:
(a) the consummation of certain types of transactions permitted under the applicable indenture, including one that results in 
such guarantor ceasing to be a subsidiary; and 
(b) for Registered Senior Notes issued under the 2022 Indenture, when such guarantor is a guarantor or issuer of indebtedness 
in an aggregate outstanding principal amount of less than 25% of our total outstanding indebtedness.
Further, each guarantee by a direct or indirect parent of Eaton Corporation (other than Eaton) provides that it will also be 
released if:
(c) such guarantee (so long as the guarantor is not obligated under any other U.S. debt obligations), becomes prohibited by any 
applicable law, rule or regulation or by any contractual obligation; or 
(d) such guarantee results in material adverse tax consequences to Eaton or any of its subsidiaries (so long as the applicable 
guarantor is not obligated under any other U.S. debt obligation).
The guarantee of Eaton does not contain any release provisions.
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Future Guarantors
The 2012 and 2017 Indentures generally provide that, with certain limited exceptions, any subsidiary of Eaton must become 
a guarantor if it becomes obligated as borrower or guarantor under any series of debt securities or a syndicated credit facility. 
Further, the 2012 and 2017 Indentures provide that any entity that becomes a direct or indirect parent entity of Eaton 
Corporation and holds any material assets, with certain limited exceptions, or owes any material liabilities must become a 
guarantor. The 2022 Indenture provides only that, with certain limited exceptions, any subsidiary of Eaton must become a 
guarantor if it becomes obligated as borrower or guarantor under indebtedness with an aggregate outstanding principal amount 
in excess of 25% of the Parent and its Subsidiaries’ then-outstanding indebtedness.
The 1994 Indenture does not contain provisions with respect to future guarantors.
Summarized Financial Information of Guarantors and Issuers
(In millions)
December 31, 2024
Current assets
$ 
5,027 
Noncurrent assets
 
13,225 
Current liabilities
 
3,738 
Noncurrent liabilities
 
10,564 
Amounts due to subsidiaries that are non-issuers and non-guarantors - net
 
10,334 
(In millions)
2024
Net sales
$ 
14,612 
Sales to subsidiaries that are non-issuers and non-guarantors
 
1,118 
Cost of products sold
 
10,408 
Expense from subsidiaries that are non-issuers and non-guarantors - net
 
834 
Net income
 
1,237 
The financial information presented is that of Eaton Corporation and the Guarantors, which includes Eaton Corporation plc, 
on a combined basis and the financial information of non-issuer and non-guarantor subsidiaries has been excluded. 
Intercompany balances and transactions between Eaton Corporation and Guarantors have been eliminated, and amounts due 
from, amounts due to, and transactions with non-issuer and non-guarantor subsidiaries have been presented separately. 
CRITICAL ACCOUNTING POLICIES 
The preparation of financial statements in conformity with generally accepted accounting principles (GAAP) in the United 
States requires management to make certain estimates and assumptions that may involve the exercise of significant judgment. 
For any estimate or assumption used, there may be other reasonable estimates or assumptions that could have been used. 
However, based on facts and circumstances inherent in developing estimates and assumptions, management believes it is 
unlikely that applying other such estimates and assumptions would have caused materially different amounts to have been 
reported. Actual results may differ from these estimates. 
Revenue Recognition
Sales are recognized when control of promised goods or services are transferred to customers in an amount that reflects the 
consideration the Company expects to be entitled to in exchange for those goods or services. Control is transferred when the 
customer has the ability to direct the use of and obtain benefits from the goods or services. The majority of the Company’s sales 
agreements contain performance obligations satisfied at a point in time when control is transferred to the customer. Sales 
recognized over time are generally accounted for using an input measure to determine progress completed at the end of the 
period. Sales for service contracts generally are recognized as the services are provided. For agreements with multiple 
performance obligations, judgment is required to determine whether performance obligations specified in these agreements are 
distinct and should be accounted for as separate revenue transactions for recognition purposes. In these types of agreements, we 
generally allocate sales price to each distinct obligation based on the price of each item sold in separate transactions.
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Due to the nature of the work required to be performed for obligations recognized over time, Eaton estimates total costs by 
contract. The estimate of total costs are subject to judgment. Estimated amounts are included in the recognized sales price to the 
extent it is not probable that a significant reversal of cumulative sales will occur. Additionally, contracts can be modified to 
account for changes in contract specifications, requirements or sale price. The effect of a contract modification on the sales 
price or adjustments to the measure of completion under the input method are recognized as adjustments to revenue on a 
cumulative catch-up basis.
Eaton records reductions to sales for returns, and customer and distributor incentives, primarily comprised of rebates, at the 
time of the initial sale. Rebates are estimated based on sales terms, historical experience, trend analysis, and projected market 
conditions in the various markets served. The rebate programs offered vary across businesses due to the numerous markets 
Eaton serves, but the most common incentives relate to amounts paid or credited to customers for achieving defined volume 
levels. Returns are estimated at the time of the sale primarily based on historical experience and recorded gross on the 
Consolidated Balance Sheet. See Note 3 for additional information.
Impairment of Goodwill and Indefinite Life Intangible Assets
Goodwill
Goodwill is evaluated annually for impairment as of July 1 using either a quantitative or qualitative analysis. Goodwill is 
tested for impairment at the reporting unit level, and is based on the net assets for each reporting unit, including goodwill and 
intangible assets. The Company’s reporting units are equivalent to the reportable operating segments, except for the Aerospace 
segment which has two reporting units. Goodwill is assigned to each reporting unit, as this represents the lowest level that 
constitutes a business and is the level at which management regularly reviews the operating results. The Company performs a 
quantitative analysis using a discounted cash flow model and other valuation techniques, but may elect to perform a qualitative 
analysis. 
Additionally, goodwill is evaluated for impairment whenever an event occurs or circumstances change that would indicate 
that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Events or circumstances that 
may result in an impairment review include changes in macroeconomic conditions, industry and market considerations, cost 
factors, overall financial performance, other relevant entity-specific events, specific events affecting the reporting unit or 
sustained decrease in share price.
The annual goodwill impairment test was performed using a quantitative analysis in 2024, except for the Vehicle and 
eMobility reporting units which used a qualitative analysis in 2024. The annual goodwill impairment test was performed using 
a qualitative analysis in 2023, except for the Vehicle reporting unit which used a quantitative analysis in 2023. A qualitative 
analysis is performed by assessing certain trends and factors, including projected market outlook and growth rates, forecasted 
and actual sales and operating profit margins, discount rates, industry data, and other relevant qualitative factors. These trends 
and factors are compared to, and based on, the assumptions used in the most recent quantitative analysis performed for each 
reporting unit. The results of the qualitative analyses did not indicate a need to perform quantitative analysis. 
Quantitative analyses were performed by estimating the fair value of the reporting unit using a discounted cash flow model. 
The model includes estimates of future cash flows, future growth rates, terminal value amounts, and the applicable weighted-
average cost of capital used to discount those estimated cash flows. The future cash flows were based on the Company's long-
term operating plan and a terminal value was used to estimate the reporting unit's cash flows beyond the period covered by the 
operating plan. The weighted-average cost of capital is an estimate of the overall after-tax rate of return required by equity and 
debt market holders of a business enterprise. These analyses require the exercise of judgments, including judgments about 
appropriate discount rates, perpetual growth rates, revenue growth, and margin assumptions. Sensitivity analyses were 
performed around certain of these assumptions in order to assess the reasonableness of the assumptions and the resulting 
estimated fair values. 
Based on these analyses performed in 2024 and 2023, the fair value of Eaton's reporting units continue to substantially 
exceed their respective carrying amounts and thus, no impairment exists.
Indefinite Life Intangible Assets
Indefinite life intangible assets consist of certain trademarks. They are evaluated annually for impairment as of July 1 using 
either a quantitative or qualitative analysis to determine whether their fair values exceed their respective carrying amounts. 
Indefinite life intangible asset impairment testing for 2024 and 2023 was performed using a quantitative analysis. Determining 
the fair value of these assets requires significant judgment and the Company uses a royalty relief methodology similar to that 
employed when the associated assets were acquired, but using updated estimates of future sales, cash flows and profitability. 
Sensitivity analyses were performed around certain of these assumptions in order to assess the reasonableness of the 
assumptions and the resulting estimated fair values. 
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Additionally, indefinite life intangible assets are evaluated for impairment whenever an event occurs or circumstances 
change that would indicate that it is more likely than not that the asset is impaired. Events or circumstances that may result in an 
impairment review include changes in industry and market considerations, cost factors, financial performance, and other 
relevant entity-specific events that could affect inputs used to determine the respective fair values of the indefinite-lived 
intangible assets.
For 2024 and 2023, the fair value of indefinite lived intangible assets exceeded the respective carrying value.
For additional information about goodwill and other intangible assets see Note 6.
Acquisitions of Businesses
The acquisition of a business is accounted for using the acquisition method of accounting which requires assets and 
liabilities to be recognized at their fair values on the acquisition date. The initial fair value of assets acquired and liabilities 
assumed may be revised based on the final determination of fair value during the measurement period of up to 12 months from 
the acquisition date. The Company generally determines the fair value of intangible assets acquired using third-party valuations 
that are prepared using discounted cash flow models that rely on the Company's estimates. These estimates require judgement 
of future revenue growth rates, future margins, and the applicable weighted-average cost of capital used to discount those 
estimated cash flows. Sensitivity analyses are performed around certain of these assumptions in order to assess the 
reasonableness of the assumptions and the resulting estimated fair values. For additional information about the acquisitions of 
businesses see Note 2.
Recoverability of Deferred Income Tax Assets
Eaton is subject to the income tax laws in the jurisdictions in which it operates. In order to determine the income tax 
provision for financial statement purposes, Eaton must make significant estimates and judgments about its business operations 
in these jurisdictions. These estimates and judgments are also used in determining the deferred income tax assets and liabilities 
that have been recognized for differences between the financial statement and income tax basis of assets and liabilities, and 
income tax loss carryforwards and income tax credit carryforwards.
Management evaluates the realizability of deferred income tax assets for each jurisdiction in which it operates. If the 
Company experiences cumulative pre-tax income in a particular jurisdiction in a three-year period including the current and 
prior two years, management normally concludes that the deferred income tax assets will more likely than not be realizable and 
no valuation allowance is recognized, unless known or planned operating developments, or changes in tax laws, would lead 
management to conclude otherwise. However, if the Company experiences cumulative pre-tax losses in a particular jurisdiction 
in a three-year period including the current and prior two years, management then considers a series of factors in the 
determination of whether the deferred income tax assets can be realized. These factors include historical operating results, 
known or planned operating developments, the period of time over which certain temporary differences will reverse, 
consideration of the utilization of certain deferred income tax liabilities, carryback capability under the tax law in a particular 
country, prudent and feasible tax planning strategies, changes in tax laws, and estimates of future earnings and taxable income 
using the same assumptions as those used for the Company’s goodwill and other impairment testing. After evaluation of these 
factors, if the deferred income tax assets are expected to be realized within the tax carryforward period allowed for that specific 
country, management would conclude that no valuation allowance would be required. To the extent that the deferred income tax 
assets exceed the amount that is expected to be realized within the tax carryforward period for a particular jurisdiction, 
management would establish a valuation allowance. For additional information about income taxes see Note 12.
Unrecognized Income Tax Benefits
Eaton recognizes an income tax benefit from an uncertain tax position only if it is more likely than not that the benefit would 
be sustained upon examination by taxing authorities, based on the technical merits of the position. The Company evaluates and 
adjusts the amount of unrecognized income tax benefits based on changes in law, facts and circumstances. Eaton also estimates, 
where reasonably possible, the increase or decrease in the amount of unrecognized income tax benefits in the next 12 months.
The evaluation and determination of the amount of unrecognized income tax benefits related to uncertain tax positions is 
complex and involves both the exercise of judgement and the utilization of certain estimates and assumptions. Each tax position 
carries unique facts and circumstances that must be evaluated in light of current tax laws, regulations, and judicial decisions. 
Additionally, the ultimate resolution of the majority of Eaton’s unrecognized income tax benefits is dependent upon 
uncontrollable factors such as the timing of finalizing resolutions of audit disputes through reaching settlement agreements or 
concluding litigation, or changes in law.
93

Pension and Other Postretirement Benefits Plans
The measurement of liabilities related to pension plans and other postretirement benefits plans is based on assumptions 
related to future events including interest rates, return on plan assets, rate of compensation increases, and health care cost trend 
rates. Actual plan asset performance will either reduce or increase losses included in accumulated other comprehensive loss, 
which ultimately affects net income. 
The discount rate for United States plans was determined by discounting the expected future benefit payments using a 
theoretical zero-coupon spot yield curve derived from a universe of high-quality bonds as of the measurement date and solving 
for the single rate that would generate the same benefit obligation. Only corporate bonds with a rating of Aa, determined by 
averaging the ratings by Moody’s, Standard & Poor's, and Fitch, were included. Callable bonds that are not make-whole bonds 
and certain other non-comparable bonds were eliminated. Finally, a subset of bonds was selected by grouping the universe of 
bonds by duration and retaining 50% of the bonds that had the highest yields. 
The discount rates for non-United States plans were determined by region and are based on high quality long-term corporate 
and government bonds. Consideration has been given to the duration of the liabilities in each plan when selecting the bonds to 
be used in determining the discount rate.
To estimate the service and interest cost components of net periodic benefit cost for the vast majority of its defined benefits 
pension and other postretirement benefits plans, the Company used a spot rate approach by applying the specific spot rates 
along the yield curve used to measure the benefit obligation at the beginning of the period to the relevant projected cash flows.
 Key assumptions used to calculate pension and other postretirement benefits expense are adjusted at each year-end. A 1-
percentage point change in the assumed rate of return on pension plan assets is estimated to have approximately a $49 million 
effect on pension expense. Likewise, a 1-percentage point change in the discount rate is estimated to have approximately a $15 
million effect on pension expense. A 1-percentage point change in the assumed rate of return on other postretirement benefits 
assets is estimated to have less than $1 million effect on other postretirement benefits expense. A 1-percentage point change in 
the discount rate is estimated to have a $3 million effect on expense for other postretirement benefits plans.
Additional information related to changes in key assumptions used to recognize expense for other postretirement benefits 
plans is found in Note 10.
MARKET RISK DISCLOSURE 
On a regular basis, Eaton monitors third-party depository institutions that hold its cash and short-term investments, primarily 
for safety of principal and secondarily for maximizing yield on those funds. The Company diversifies its cash and short-term 
investments among counterparties to minimize exposure to any one of these entities. Eaton also monitors the creditworthiness 
of its customers and suppliers to mitigate any adverse impact. 
Eaton uses derivative instruments to manage exposure to volatility in raw material costs, currency, and interest rates on 
certain debt instruments. Derivative financial instruments used by the Company are straightforward and non-leveraged. The 
counterparties to these instruments are financial institutions with strong credit ratings. Eaton maintains control over the size of 
positions entered into with any one counterparty and regularly monitors the credit rating of these institutions. See Note 16 for 
additional information about hedges and derivative financial instruments. 
Eaton’s ability to access the commercial paper market, and the related cost of these borrowings, is based on the strength of 
its credit rating and overall market conditions. During 2024, the Company has not experienced any material limitations in its 
ability to access these sources of liquidity. At December 31, 2024, Eaton had $3,000 million of long-term revolving credit 
facilities with banks in support of its commercial paper program. There were no borrowings outstanding under these revolving 
credit facilities. 
Interest rate risk can be measured by calculating the short-term earnings impact that would result from adverse changes in 
interest rates. This exposure results from short-term debt, which includes commercial paper at a floating interest rate, floating 
rate long-term debt, long-term debt that has been swapped to floating rates, and money market investments that have not been 
swapped to fixed rates. Based upon the balances of investments and floating rate debt at year end 2024, a 100 basis point 
increase in short-term interest rates would have decreased the Company’s net, pre-tax interest expense by $21 million. 
Eaton also measures interest rate risk by estimating the net amount by which the fair value of the Company’s financial 
liabilities would change as a result of movements in interest rates. Based on Eaton’s best estimate for a hypothetical, 100 basis 
point increase in interest rates at December 31, 2024, the market value of the Company’s debt, in aggregate, would decrease by 
$582 million.
94

The Company is exposed to fluctuations in commodity prices due to volatility in raw material costs and contractual 
agreements with suppliers. To partially mitigate this exposure, Eaton enters into commodity contracts for certain raw material 
purchases with the objective of minimizing changes in inventory cost due to market price fluctuations. These commodity 
contracts are designated for hedge accounting and are generally less than one year in duration. Based on Eaton’s best estimate 
for a hypothetical 10% fluctuation in commodity prices the gain or loss would be less than $1 million. The sensitivity analysis 
of the effects of changes in commodity prices assumes the notional value to remain constant for the next 12 months. Any 
change in the value of the contracts would be offset by an inverse change in the value of the underlying hedged transactions.
The Company is exposed to currency risk associated with translating its functional currency financial statements into its 
reporting currency, which is the U.S. dollar. As a result, the Company is exposed to movements in the exchange rates of various 
currencies against the U.S. dollar. Eaton also monitors exposure to transactions denominated in currencies other than the 
functional currency of each country in which the Company operates, and regularly enters into forward contracts to mitigate that 
exposure. In the aggregate, Eaton’s portfolio of forward contracts related to such transactions was not material to its 
consolidated financial statements.
FORWARD-LOOKING STATEMENTS
This Form 10-K Report contains forward-looking statements concerning litigation, expected capital deployment, expected 
capital expenditures, future dividend payments, anticipated share repurchases, certain pension assumptions, and expected 
restructuring program charges and benefits. These statements may discuss goals, intentions and expectations as to future trends, 
plans, events, results of operations or financial condition, or state other information relating to Eaton, based on current beliefs 
of management as well as assumptions made by, and information currently available to, management. Forward-looking 
statements generally will be accompanied by words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” 
“guidance,” “intend,” “may,” “possible,” “potential,” “predict,” “project” or other similar words, phrases or expressions. These 
statements should be used with caution and are subject to various risks and uncertainties, many of which are outside Eaton’s 
control. The following factors could cause actual results to differ materially from those in the forward-looking statements: 
global pandemics; unanticipated changes in the markets for the Company’s business segments; unanticipated downturns in 
business relationships with customers or their purchases from us; the availability of credit to customers and suppliers; supply 
chain disruptions, competitive pressures on sales and pricing; unanticipated changes in the cost of material, labor and other 
production costs, or unexpected costs that cannot be recouped in product pricing; the introduction of disruptive or competing 
technologies; unexpected technical or marketing difficulties; unexpected claims, charges, litigation or dispute resolutions; 
strikes or other labor unrest at Eaton or at our customers or suppliers; the impact of acquisitions and divestitures; unanticipated 
difficulties integrating acquisitions; new laws, tariffs and governmental regulations; interest rate changes; tax rate changes or 
exposure to additional income tax liability; stock market and currency fluctuations; war, geopolitical tensions, natural disasters, 
civil or political unrest or terrorism; and unanticipated deterioration of economic and financial conditions in the United States 
and around the world. Eaton does not assume any obligation to update these forward-looking statements.
95

Eaton Corporation plc
2024 Annual Report on Form 10-K
Exhibit 31.1
Certification
I, Craig Arnold, certify that:
1.
I have reviewed this annual report on Form 10-K of Eaton Corporation plc;
2.
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact 
necessary to make the statements made, in light of the circumstances under which such statements were made, not 
misleading with respect to the period covered by this report;
3.
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in 
all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods 
presented in this report;
4.
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and 
procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as 
defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a)
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed 
under our supervision, to ensure that material information relating to the registrant, including its consolidated 
subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is 
being prepared;
b)
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be 
designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the 
preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our 
conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by 
this report based on such evaluation; and
d)
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the 
registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has 
materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; 
and
5.
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over 
financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons 
performing the equivalent functions):
a)
All significant deficiencies and material weaknesses in the design or operation of internal control over financial 
reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and 
report financial information; and
b)
Any fraud, whether or not material, that involves management or other employees who have a significant role in the 
registrant’s internal control over financial reporting.
Date:
February 27, 2025
/s/ Craig Arnold
 
Craig Arnold
 
Principal Executive Officer

Eaton Corporation plc
2024 Annual Report on Form 10-K
Exhibit 31.2
Certification
I, Olivier Leonetti, certify that:
1.
I have reviewed this annual report on Form 10-K of Eaton Corporation plc;
2.
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact 
necessary to make the statements made, in light of the circumstances under which such statements were made, not 
misleading with respect to the period covered by this report;
3.
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in 
all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods 
presented in this report;
4.
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and 
procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as 
defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a)
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed 
under our supervision, to ensure that material information relating to the registrant, including its consolidated 
subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is 
being prepared;
b)
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be 
designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the 
preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our 
conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by 
this report based on such evaluation; and
d)
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the 
registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has 
materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; 
and
5.
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over 
financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons 
performing the equivalent functions):
a)
All significant deficiencies and material weaknesses in the design or operation of internal control over financial 
reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and 
report financial information; and
b)
Any fraud, whether or not material, that involves management or other employees who have a significant role in the 
registrant’s internal control over financial reporting.
Date:
February 27, 2025
/s/ Olivier Leonetti
 
Olivier Leonetti
 
Principal Financial Officer

Eaton Corporation plc
2024 Annual Report on Form 10-K
Exhibit 32.1
Certification
This written statement is submitted in accordance with Section 906 of the Sarbanes-Oxley Act of 2002. It accompanies 
Eaton Corporation plc’s Annual Report on Form 10-K for the year ended December 31, 2024 (“10-K Report”).
I hereby certify that, based on my knowledge, the Report on Form 10-K fully complies with the requirements of Section 
13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C 78m), and information contained in the 10-K Report fairly 
presents, in all material respects, the financial condition and results of operations of Eaton Corporation plc and its consolidated 
subsidiaries.
Date:
February 27, 2025
/s/ Craig Arnold 
 
Craig Arnold
 
Principal Executive Officer

Eaton Corporation plc
2024 Annual Report on Form 10-K
Exhibit 32.2
Certification
This written statement is submitted in accordance with Section 906 of the Sarbanes-Oxley Act of 2002. It accompanies 
Eaton Corporation plc’s Annual Report on Form 10-K for the year ended December 31, 2024 (“10-K Report”).
I hereby certify that, based on my knowledge, the Report on Form 10-K fully complies with the requirements of Section 
13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C 78m), and information contained in the 10-K Report fairly 
presents, in all material respects, the financial condition and results of operations of Eaton Corporation plc and its consolidated 
subsidiaries.
Date:
February 27, 2025
/s/ Olivier Leonetti
 
Olivier Leonetti
 
Principal Financial Officer

EATON 2024 Annual Report 
Eaton directors As of March 1, 2025
Craig Arnold 6*  
Chairman and Chief  
Executive Officer, Eaton
Lori J. Ryerkerk 2*, 3, 5, 6
Retired Chairman, Chief 
Executive Officer and President,  
Celanese Corporation, Irving,  
Texas, a global chemical and 
specialty materials company
Silvio Napoli 2, 3, 5*, 6 
Chairman and Chief Executive 
Officer, Schindler Holding Ltd., 
Hergiswil, Switzerland, a global 
provider of elevators, escalators 
and related services 
Andre Schulten 1, 3, 5
Chief Financial Officer,
The Procter & Gamble Company, 
Cincinnati, Ohio, a world-leading 
multinational consumer goods 
company
Gregory R. Page 2, 4, 6 
Lead Independent Director  
Retired Chairman and Chief 
Executive Officer, Cargill 
Incorporated, Minneapolis, 
Minnesota, an international 
marketer, processor and 
distributor of agricultural, food, 
financial and industrial products 
and services
Gerald B. Smith 1*, 4, 6 
Retired Chairman, Smith  
Graham & Company, Houston, 
Texas, an investment advisory firm 
Sandra Pianalto 1, 3*, 5, 6 
Retired President and  
Chief Executive Officer,  
Federal Reserve Bank of  
Cleveland, Cleveland, Ohio 
Karenann Terrell 2, 3, 5
Retired Chief Digital and 
Technology Officer, GSK plc,  
a British multinational 
pharmaceutical and  
biotechnology company
Robert Pragada 2, 3, 5
Chair and Chief Executive Officer, 
Jacobs Solutions, Inc., Dallas, 
Texas, a professional and technical 
solutions company that provides 
consulting, technical, scientific and 
project delivery services for the 
government and private sector
Dorothy C. Thompson 1, 4*, 6 
Retired Chief Executive,  
Drax Group plc, London, England,  
an international renewable  
energy company 
Paulo Ruiz
President and Chief  
Operating Officer, Eaton
Darryl Wilson 1, 4
Founder, Chairman and President,  
The Wilson Collective, Houston, 
Texas, a business advisory and 
investment firm with clients in 
the power generation, industrial, 
material supply and consumer 
segments
1  	Audit Committee
2 	Compensation and Organization Committee
3  	Finance Committee
4  	Governance Committee
5  	Innovation & Technology Committee
6  	Executive Committee
*  	Denotes Committee Chair

EATON 2024 Annual Report 
Eaton global leadership team As of March 1, 2025
Craig Arnold  
Chairman and Chief  
Executive Officer
Mary Kim Elkins 
Senior Vice President,  
Taxes and Finance Technology
Olivier Leonetti
Executive Vice President and  
Chief Financial Officer
Matt Hockman 
President, Global Energy  
Infrastructure Solutions,  
Electrical Sector 
Waldek Gardzielewski 
Vice President, Total Quality and 
Continuous Improvement  
Howard Liu 
President, Asia-Pacific Region,  
Electrical Sector
Heath B. Monesmith 
President and Chief Operating  
Officer, Electrical Sector
John Sapp 
President, Aerospace Group
Pete Denk 
President and Chief Operating 
Officer, Industrial Sector
Mike Yelton
President, Americas Region, 
Electrical Sector
Rogerio Branco 
Executive Vice President  
and Chief Supply Chain Officer
Tim Darkes 
President, Europe, Middle East  
and Africa Region, Corporate  
and Electrical Sector 
Paulo Ruiz 
President and Chief  
Operating Officer
Antonio Galvao  
President, Mobility Group

EATON 2024 Annual Report 
Eaton global leadership team As of March 1, 2025
Ernest W. Marshall Jr. 
Executive Vice President and  
Chief Human Resources Officer 
A.D. Naik 
Senior Vice President,  
FP&A and Finance Transformation 
Kirsten M. Park 
Senior Vice President, Treasury 
Katrina Redmond
Executive Vice President and  
Chief Information Officer 
Joe Rodgers 
Senior Vice President,  
Global Ethics and Compliance
Taras G. Szmagala, Jr. 
Executive Vice President  
and Chief Legal Officer
Adam A. Wadecki 
Senior Vice President  
and Controller
Tiffany Hanisch 
Senior Vice President,  
Internal Audit 
Yan Jin 
Senior Vice President,  
Investor Relations
Harold V. Jones 
Chief Sustainability Officer  
and Executive Vice President,  
Eaton Business System
Raja Ramana Macha
Executive Vice President and  
Chief Technology Officer 
We’ve also strengthened  
our culture by building 
a team who measure 
themselves against the 
highest performance 
standards – a team that will 
never be satisfied with the 
status quo. 
–	 Craig Arnold, Chairman and  
Chief Executive Officer

Electrical
Aerospace
Mobility
Eaton.com/socialmedia
Eaton is a registered trademark.  
All other trademarks are property  
of their respective owners.
Eaton Corporation plc
Eaton House
30 Pembroke Road
Dublin 4, Ireland
Eaton.com 
© 2025 Eaton
All Rights Reserved
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We provide differentiated technologies 
that improve safety, efficiency, and 
performance for customers in the 
automotive, commercial vehicle, 
aftermarket and off-road segments. 
We are committed to enabling the 
transition to electrified vehicles (EVs) 
while also continuing to provide 
innovative and efficient internal 
combustion engine (ICE) solutions.
We help customers manage power in 
a way that’s reliable, efficient, safe and 
sustainable. From the grid to homes, 
buildings, data centers and industrials 
– we play a vital role in modernizing 
infrastructure and accelerating the 
electrification of society. As the world’s 
demand for electricity grows, so 
does the need for Eaton’s innovative 
technology and solutions.
Our industry-leading portfolio of 
aerospace technologies elevates 
aircraft efficiency, safety and 
performance for customers across 
the commercial, military and space 
markets. As the demand for more 
electric and sustainable aviation 
solutions amplifies, we’re uniquely 
positioned to help power the next 
generation of platforms.