Thomas B. Okray
Executive Vice President and Chief Financial Officer at Eaton
Thanks, Craig. I'll begin with noting a few key points regarding our Q3 results. Our revenue was up 8% with organic growth of 15%, partially offset by a 4% foreign exchange headwind and a 3% unfavorable net impact of acquisitions and divestitures. Related to the acquisitions and divestitures, the acquisition of Royal Power increased revenue by 1% while the sale of Hydraulics reduced revenues by 3% -- by 4%, sorry, for a net of 3%. With total revenue growth of 8%, we posted solid operating leverage, with 15% growth in both operating profit and adjusted EPS. It's worth noting that the foreign exchange headwind of 4% had an $0.08 impact on adjusted EPS, which was larger than our 3% guidance estimate.
Further, growth in adjusted EPS of 15% would have been 22%, excluding the $0.08 impact from FX and the $0.03 net impact from acquisitions and divestitures. All in, stronger organic growth and higher margins enabled us to report adjusted EPS of $2.02 that was above our guidance midpoint. Finally, as we did last quarter, we continue to raise the bar with all-time records in adjusted EPS, segment operating profit and segment margin. Moving to the next slide. Electrical Americas had another very strong quarter. We set all-time records for sales, operating profit and margin.
Revenue growth accelerated to 18% organically, driven by strength in all end markets, with particular strength in commercial and institutional, residential, industrial and utility end markets. Operating margin at 23.5% was up 180 basis points versus prior year, benefiting from higher volumes. With respect to price, we continue to manage price effectively to more than offset inflationary pressures in the segment. In addition, our demand continues to remain very strong. Orders on a rolling 12-month basis accelerated sequentially, coming in at 36% year-over-year versus 29% in the prior quarter. Our orders were strong across the board, with particular strength in data center, utility and industrial end markets.
This order growth translated into another record quarter of backlog, up 97%. On a sequential basis, backlog is up 14% versus the prior quarter. In addition to the robust trends in orders and backlog, our major project negotiations pipeline more than doubled year-over-year, driven by especially strong growth in manufacturing, data center, industrial and utility end markets.
Turning to Page eight. Electrical Global results were also very strong, generating a Q3 record for revenue and all-time records for operating profit and margin. Organic growth was up 13% with an 8% foreign exchange headwind. Notably, this is the sixth quarter in a row of double-digit organic revenue growth. We saw solid organic growth in all regions with particular strength in our global Crouse-Hinds B-Line business and solid growth in both Europe and Asia Pacific. We posted record segment margin of 20.6%, up 50 basis points year-over-year.
Similar to Electrical Americas, higher volume was a margin tailwind versus the prior year, and we continue to manage price effectively to more than offset inflationary pressures. Orders were up 14% organically on a rolling 12-month basis with strength in commercial and institutional and industrial end markets. Backlog growth remained strong at up 22%.
Before moving to our Industrial businesses, I'd like to briefly recap the very strong results of our combined Electrical segment. For Q3, we posted accelerating organic growth of 16%, incremental margin of 33%, and operating margin of 22.3% with 130 basis points of year-over-year margin improvement. We also generated orders and backlog growth of 27% and 75%, respectively with more than doubling of our negotiation pipeline in the United States. We remain very well positioned for profitable growth in our overall electrical businesses.
Our Aerospace segment results are captured on the next page. Aerospace also generated records in the quarter, with an all-time sales revenue record and a Q3 operating profit record. Organic revenue increased 8%, with 5% foreign exchange headwinds. Organic growth in the quarter was particularly strong in our commercial aftermarket and commercial OEM markets. Encouragingly, the military aftermarket grew in the quarter. Operating margin of 24% was up 200 basis points from the prior year, benefiting from volume growth.
On a rolling 12-month basis, our order acceleration continued, now 22% versus up 19% last quarter, including military OEM markets that were also up 22%. We saw order strength in all end markets as travel continues to accelerate within commercial markets and military orders strengthened consistent with our expectations for increased defense spending. Backlog remained strong with a 17% increase over prior year and up 5% sequentially.
Moving on to our Vehicle segment. Organic revenue grew 19%. We also experienced a 3% headwind from FX. We had strength in the North America, South America and IEMA markets. Our North American light motor vehicle business was especially strong with nearly 25% organic growth, while our South American business was up more than 35%. Operating margin of 16.8% was down 120 basis points versus prior year primarily due to manufacturing inefficiencies. However, it's important to note improvement in our ability to offset higher inflationary cost with price. This is reflected in sequential margin improvement of 150 basis points from Q2. Incremental margins on a sequential basis were up nearly 50%, with solid volume growth and continued progress on price cost.
Moving to Page 11. We show results for our eMobility business. Revenues grew 63%, including 17% organic growth, 49% from the acquisition of Royal Power, and 3% foreign exchange headwind. We continued the trend of narrowing the operating loss on a year-over-year basis. This quarter, operating margin improved 800 basis points driven by organic volume growth and the impact from the Royal Power acquisition. We are seeing continued momentum to achieve our $2 billion to $4 billion revenue target with new platform wins for power protection solutions, including additional Breaktor wins. Our opportunity pipeline remains robust for innovative power distribution, conversion and protection solutions.
On the following slide, we have a summary of our guidance for the year. As noted on the chart, we are reaffirming 2022 organic growth and operating margin guidance in total. Further, we are reaffirming both metrics for all segments, except eMobility operating margin. More specifically, we continue to expect organic growth in the range of 11% to 13% and operating margin from 20% to 20.4%. Turning to Page 13. We show the balance of guidance for 2022. We're not making significant changes to our full year outlook. We tightened our adjusted EPS range of $7.51 to $7.61 per share from the prior guide of $7.36 to $7.76. Consistent with the foreign exchange headwinds that we mentioned throughout the presentation, we increased the unfavorable translation impact to $600 million from $450 million in our previous guide.
Our full year expectations for the other items are unchanged. With respect to cash flow, orders and backlog have grown significantly more than our expectation. In addition, we have been and will continue to prioritize customers and profitable revenue growth at the expense of cash flow. Therefore, while we have good cash flow momentum in Q3, we have work to do to achieve our objectives. Shifting to Q4. Highlighting a few key points on our Q4 guidance. We expect adjusted EPS to be in the $2 and $2.10 range, organic growth to be between 13% and 15%, and operating margin to be between 20.5% and 20.9%. Comparing to the prior year, adjusted EPS and operating margin guidance at the midpoint represents over 19% growth and 140 basis points increase, respectively.
Now I will hand it back to Craig to walk us through our market outlook and wrap up the presentation.