Emerson Electric Co.

Emerson Electric Co. Earnings Recaps

EMR Industrials 3 recaps
Q2 2026 May 7, 2026

Emerson’s 2Q results outpaced expectations, driven by strong demand in Software & Systems and robust margin expansion, supporting a 9.2% stock gain post-earnings.

Key takeaways
  • Underlying orders grew 5%, fueled by 18% Software & Systems growth and 41% growth in Ovation’s power segment orders.
  • Adjusted segment EBITDA margin expanded to 27.6%, surpassing expectations and reinforcing operational leverage.
  • Adjusted EPS of $1.54 landed near the top of guidance, enabling an upward revision of full-year EPS to $6.45–$6.55.
  • Annual contract value (ACV) for software increased 9% year-over-year to $1.64 billion, with continued strength anticipated into year-end.
  • Backlog rose 9% year-over-year to support second half confidence, despite a 1-point revenue headwind from the Middle East conflict.
Full recap
Q1 2026 Feb 5, 2026

Emerson Electric Co. delivered solid first-quarter results, showcasing a disciplined execution that led to an adjusted EPS of $1.46 and an impressive underlying orders growth of 9%, reflecting strong demand across their automation portfolio.

Key takeaways
  • Underlying sales increased by 2% year-over-year, with Test and Measurement up 11%.
  • Adjusted segment EBITDA margin reached 27.7%, exceeding expectations.
  • Annual contract value for software grew 9% to $1.6 billion, underscoring strong demand for automation solutions.
  • The company completed $250 million in share repurchases, reaffirming its commitment to returning $2.2 billion to shareholders.
  • Guidance for 2026 is reiterated, with expected EPS raised to a range of $6.40 to $6.55 per share.
Full recap
Q4 2025 Nov 5, 2025

Emerson reported solid fourth-quarter results, with underlying sales up 4% and a notable increase in profitability, yet full-year growth fell slightly short of expectations due to softness in Europe and China.

Key takeaways
  • Fourth-quarter underlying orders grew 6%, driven by a robust 27% increase in Test & Measurement segment.
  • Adjusted earnings per share reached $1.62 for the quarter, at the upper end of guidance; full-year adjusted EPS increased by 9%.
  • The company expects 5.5% sales growth for fiscal 2026, with adjusted EPS projected between $6.35 and $6.55.
  • Free cash flow improved to $3.24 billion, up 12% year-over-year, supporting robust capital return plans of $2.2 billion to shareholders.
  • Emerson's annual contract value from software grew 10%, highlighting sustained investment in digital transformation.
Full recap