Emerson Sees Strong Q3 2025 Growth, Maintains Confident Outlook

St. Louis – August 6, 2025 – Emerson Electric Co. reported solid gains in its third-quarter results for the period ending June 30, 2025, citing steady demand across key industrial and automation markets.

Quarterly highlights:

  • Revenue: $4.55 billion, up 4% year-over-year, with 3% organic growth and a 1% boost from currency effects.
  • Earnings: Net income per share from continuing operations rose to $1.03, a 72% increase. Adjusted earnings reached $1.52 per share, up 6%.
  • Profitability: Pretax earnings grew 61% to $734 million. Adjusted EBITA margin stood at 26.0%.

By business segment:

  • Intelligent Devices: Revenue grew 4% to $3.13 billion. Margins eased slightly to 24.4%.
  • Software and Control: Revenue climbed 3% to $1.44 billion, with segment earnings surging 87% and margins improving to 16.7%.

Backlog & contracts:
The company reported $8.9 billion in remaining performance obligations, with around three-quarters expected to be fulfilled in the next 12 months.

Strategic moves:
Emerson completed the $7.2 billion acquisition of AspenTech in March, integrating it into its Control Systems & Software portfolio to strengthen its software-driven automation capabilities.

Cash flow & debt:
Operating cash flow for the first nine months of fiscal 2025 reached $2.66 billion, with free cash flow of $2.40 billion. The company increased its debt load partly due to the AspenTech purchase but plans to cut net debt by about $1 billion over the coming year.

Full-year 2025 outlook:
Emerson expects net sales to grow by about 3.5%, adjusted EPS around $6.00, operating cash flow of $3.6 billion, and free cash flow of $3.2 billion. Shareholder returns are targeted at $2.3 billion through dividends and buybacks.

Leave a Comment

Your email address will not be published. Required fields are marked *