Hubbell acquires iDevices; posts quarterly sales increase

Hubbell Inc., the Shelton-based manufacturer of electrical and electronic products for residential construction, industry and utilities, has acquired iDevices LLC, an Avon home technology-network system company, for an undisclosed amount.

By joining Hubbell, iDevices “secures the backing and capabilities of a well-established industry leader, while Hubbell strengthens its innovation engine with iDevices”™ knowledge and expertise in the connected Internet of Things (IoT) marketplace,” the companies said in making the announcement.

Hubbell also announced that net sales for the quarter ended March 31 were $852 million, an increase of 2 percent over the $835 million it reported in the first quarter of 2016. Operating income in the quarter was $104 million as compared to $102 million. Excluding restructuring and related costs in both periods, adjusted operating income was $112 million in the first quarter of 2017 compared with $109 million in the first quarter of 2016.

Net income attributable to Hubbell in the first quarter of 2017 was $63 million compared with $61 million reported in the comparable period of 2016. Earnings per diluted share for the first quarter of 2017 were $1.13 compared with $1.08 reported in the first quarter of 2016. Excluding restructuring and related costs in both periods, adjusted earnings per diluted share were $1.23 in the first quarter of 2017, compared with $1.16 in the first quarter of 2016.

Net cash provided from operating activities was $63 million in the first quarter of 2017 versus $62 million in the comparable period of 2016. Free cash flow ”“ defined as cash flow from operating activities less capital expenditures ”“ was $49 million in the first quarter of 2017 versus $47 million reported in the comparable period of 2016.

For the full year 2017, Hubbell anticipates end markets will grow approximately 2 to 3 percent in the aggregate and acquisitions completed to date will contribute approximately 2 percent to net sales. That outlook includes growth in the oil and gas, as well as industrial, markets of 2 to 4 percent, compared with zero to 2 percent previously. Expectations for the other markets are unchanged at 4 to 6 percent growth for residential, 2 to 4 percent growth for nonresidential, and zero to 2 percent growth for electrical transmission and distribution.

The company expects that the iDevices acquisition will add approximately 10 cents dilutive to 2017 EPS.