Emerson Reports Third Quarter 2025 Results; Updates 2025 Outlook

Rhea-AI Summary

Emerson (NYSE: EMR) reported strong Q3 2025 results with net sales reaching $4.553 billion, up 4% from the previous year. The company achieved notable improvements in profitability, with pretax earnings margin expanding 570 basis points to 16.1% and GAAP earnings per share increasing 72% to $1.03.

The company updated its fiscal 2025 outlook, projecting net and underlying sales growth of ~3.5%. Adjusted EPS guidance was raised to ~$6.00, with operating cash flow expected to reach ~$3.6B. Emerson plans to return ~$2.3B to shareholders through $1.1B in share repurchases and ~$1.2B in dividends. The company also declared a quarterly dividend of $0.5275 per share, payable September 10, 2025.

Positive

• Q3 GAAP earnings per share increased 72% to $1.03
• Pretax margin improved significantly by 570 basis points to 16.1%
• Strong cash position with operating cash flow of $1.062B in Q3
• Raised full-year adjusted EPS guidance to ~$6.00
• Substantial shareholder returns planned with ~$2.3B through dividends and buybacks

Negative

• Slight decline in free cash flow by 1% to $970M in Q3
• Flat adjusted segment EBITA margin at 27.1%
• Reduced sales growth guidance to ~3.5% for fiscal 2025

Insights

Financial Analyst

Emerson delivered solid Q3 results with 3% underlying sales growth and maintained margins despite challenges, while raising full-year guidance.

Emerson's Q3 results demonstrate resilience in a challenging environment. The company achieved 3% underlying sales growth and maintained its adjusted segment EBITA margin at 27.1% year-over-year, showing strong operational execution. $1.52 adjusted EPS represents a 6% improvement from the prior year, indicating margin stability and efficient cost management.

The most encouraging aspect is Emerson's confidence in raising its full-year adjusted EPS guidance to $6.00 from previous guidance, alongside increased cash flow projections. Operating cash flow is now expected to reach $3.6B with free cash flow of $3.2B, demonstrating strong cash conversion capabilities. This positions the company well for its planned $2.3B shareholder return program through $1.1B in share repurchases and $1.2B in dividends.

What's particularly notable is the company's improved outlook despite reduced pricing power - management explicitly noted "updated expectations for pricing actions as the tariff expense exposure has reduced." This suggests Emerson is successfully navigating inflation and supply chain headwinds while maintaining profitability.

The company's focus on industrial software capabilities appears to be gaining traction, with management highlighting "accelerated adoption" of digital solutions. This strategic pivot toward higher-margin software offerings could gradually improve the company's growth profile and margin structure over time.

For the upcoming Q4, Emerson projects even stronger growth with 5-6% underlying sales growth, indicating business momentum is building rather than slowing as we approach fiscal year-end, contrary to broader industrial sector trends where growth has been moderating.

ST. LOUIS, Aug. 6, 2025 /PRNewswire/ -- Emerson (NYSE: EMR) today reported results¹ for its third quarter ended June 30, 2025 and updated its full year outlook for fiscal 2025. Emerson also declared a quarterly cash dividend of $0.5275 per share of common stock payable September 10, 2025 to stockholders of record on August 15, 2025.

(dollars in millions, except per share)		2024 Q3	2025 Q3	Change
Underlying Orders2				4 %
Net Sales		$4,380	$4,553	4 %
Underlying Sales3				3 %
Pretax Earnings		$455	$734
Margin		10.4 %	16.1 %	570 bps
Adjusted Segment EBITA4		$1,189	$1,232
Margin		27.1 %	27.1 %	0 bps
GAAP Earnings Per Share		$0.60	$1.03	72 %
Adjusted Earnings Per Share5		$1.43	$1.52	6 %
Operating Cash Flow		$1,067	$1,062	— %
Free Cash Flow		$975	$970	(1) %

Management Commentary

"Emerson's solid third quarter results reflect our sustained momentum, delivering strong underlying growth, profitability and cash flow, which we expect to continue as we finish the fiscal year," said Emerson President and Chief Executive Officer Lal Karsanbhai. "We are experiencing positive momentum in key end markets, and our team's ability to execute in this dynamic environment demonstrates the resilience of our business model and our operational excellence."

Karsanbhai continued, "We are taking pivotal steps to advance our industrial software capabilities, launching breakthrough innovations that are transforming how our customers optimize their operations. We deliver value by unlocking productivity and efficiency, and we are seeing accelerated adoption of our digital solutions."

2025 Outlook

The following table summarizes the fiscal year 2025 guidance framework. Net and underlying sales guidance of ~3.5% growth reflects our updated expectations for pricing actions as the tariff expense exposure has reduced. GAAP EPS is now expected to be ~$4.08 and adjusted EPS guidance is now ~$6.00, an increase versus the previous midpoint. Expectations for operating cash flow and free cash flow increase to ~$3.6B and ~$3.2B, respectively. The 2025 outlook assumes returning ~$2.3B to shareholders through $1.1B of share repurchases and ~$1.2B of dividends, unchanged from the prior guidance.

	2025 Q4	2025
Net Sales Growth	5.5% - 6.5%	~3.5%
Underlying Sales Growth	5% - 6%	~3.5%
Earnings Per Share	$1.13 - $1.17	~$4.08
Amortization of Intangibles	~$0.34	~$1.34
Restructuring / Related Costs	~$0.10	~$0.22
Acquisition / Divestiture Fees and Related Costs	~$0.01	~$0.27
Discrete taxes related to AspenTech transaction		$0.09
Adjusted Earnings Per Share	$1.58 - $1.62	~$6.00
Operating Cash Flow		~$3.6B
Free Cash Flow		~$3.2B

1 Results are presented on a continuing operations basis.

2 Underlying orders do not include AspenTech.

3 Underlying sales excludes the impact of currency translation, and significant acquisitions and divestitures.

4 Adjusted segment EBITA represents segment earnings less restructuring and intangibles amortization expense.

5 Adjusted EPS excludes intangibles amortization expense, restructuring and related costs, acquisition/divestiture gains, losses, fees and related costs, and discrete taxes.

Conference Call and Upcoming Events

Today, beginning at 6:30 a.m. Central Time / 7:30 a.m. Eastern Time, Emerson management will discuss the third quarter results during an investor conference call. Participants can access a live webcast available at https://ir.emerson.com at the time of the call. A replay of the call will be available for 90 days. Conference call slides will be posted in advance of the call on the company website.

Emerson also announces it will host an investor conference on Nov. 20, 2025 in New York City. Event details will be distributed closer to this date.

About Emerson

Emerson (NYSE: EMR) is a global industrial technology leader that provides advanced automation. With an unmatched portfolio of intelligent devices, controls systems, and industrial software, Emerson delivers solutions that automate and optimize business performance. Headquartered in Saint Louis, Missouri, Emerson combines innovative technology with proven operational excellence to power the future of automation. For more information, visit Emerson.com.

Forward-Looking and Cautionary Statements

Statements in this press release that are not strictly historical may be "forward-looking" statements, which represent management's expectations, based on currently available information. Actual results, performance or achievements could differ materially from those expressed in any forward-looking statement. Any forward-looking statements in this press release speak only as of the date of this press release. Emerson undertakes no obligation to update any such statements to reflect new information or later developments. Examples of risks and uncertainties that may cause or actual results or performance to be materially different from those expressed or implied by forward looking statements include the scope, duration and ultimate impacts of the Russia-Ukraine and other global conflicts, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, inflation, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. The outlook contained herein represents the Company's expectation for its consolidated results, other than as noted herein.

Emerson uses our Investor Relations website, https://ir.emerson.com, as a means of disclosing information which may be of interest or material to our investors and for complying with disclosure obligations under Regulation FD. Accordingly, investors should monitor our Investor Relations website, in addition to following our press releases, SEC filings, public conference calls, webcasts and social media. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

Investors:	Media:
Colleen Mettler	Joseph Sala / Greg Klassen
(314) 553-2197	Joele Frank, Wilkinson Brimmer Katcher
	(212) 355-4449

(tables attached)

 

							Table 1
EMERSON AND SUBSIDIARIES
CONSOLIDATED OPERATING RESULTS
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)
	Quarter Ended June 30,				Nine Months Ended June 30,
	2024		2025		2024		2025
Net sales	$   4,380		$   4,553		$ 12,873		$ 13,161
Cost of sales	2,066		2,160		6,359		6,161
SG&A expenses	1,254		1,266		3,827		3,773
Gain on subordinated interest	—		—		(79)		—
Loss on Copeland note receivable	279		—		279		—
Other deductions, net	294		298		1,075		944
Interest expense, net	56		95		157		145
Interest income from related party1	(24)		—		(86)		—
Earnings from continuing operations before income taxes	455		734		1,341		2,138
Income taxes	88		154		266		536
Earnings from continuing operations	367		580		1,075		1,602
Discontinued operations, net of tax	(15)		6		(88)		7
Net earnings	352		586		987		1,609
Less: Noncontrolling interests in subsidiaries	23		—		15		(48)
Net earnings common stockholders	$      329		$      586		$      972		$   1,657
Earnings common stockholders
Earnings from continuing operations	$      344		$      580		$   1,060		$   1,650
Discontinued operations	(15)		6		(88)		7
Net earnings common stockholders	$      329		$      586		$      972		$   1,657
Diluted avg. shares outstanding	574.8		564.7		574.1		567.1
Diluted earnings per share common stockholders
Earnings from continuing operations	$     0.60		$     1.03		$     1.84		$     2.91
Discontinued operations	(0.03)		0.01		(0.15)		0.01
Diluted earnings per common share	$     0.57		$     1.04		$     1.69		$     2.92
	Quarter Ended June 30,				Nine Months Ended June 30,
	2024		2025		2024		2025
Other deductions, net
Amortization of intangibles	$      264		$      219		$      811		$      677
Restructuring costs	57		37		170		70
Other	(27)		42		94		197
Total	$      294		$      298		$   1,075		$      944

1 Represents interest on the Copeland note receivable through June 6, 2024.

 

			Table 2
EMERSON AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN MILLIONS, UNAUDITED)
	Sept 30, 2024		June 30, 2025
Assets
Cash and equivalents	$             3,588		$             2,219
Receivables, net	2,927		2,908
Inventories	2,180		2,288
Other current assets	1,497		1,657
Total current assets	10,192		9,072
Property, plant & equipment, net	2,807		2,791
Goodwill	18,067		18,158
Other intangible assets	10,436		9,669
Other	2,744		2,827
Total assets	$           44,246		$           42,517
Liabilities and equity
Short-term borrowings and current maturities of long-term debt	$               532		$             5,953
Accounts payable	1,335		1,272
Accrued expenses	3,875		3,507
Total current liabilities	5,742		10,732
Long-term debt	7,155		8,278
Other liabilities	3,840		3,621
Equity
Common stockholders' equity	21,636		19,870
Noncontrolling interests in subsidiaries	5,873		16
Total equity	27,509		19,886
Total liabilities and equity	$           44,246		$           42,517

 

				Table 3
EMERSON AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN MILLIONS, UNAUDITED)
	Nine Months Ended June 30,
		2024		2025
Operating activities
Net earnings		$              987		$           1,609
Earnings from discontinued operations, net of tax		88		(7)
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		1,263		1,139
Stock compensation		203		198
Amortization of acquisition-related inventory step-up		231		—
Gain on subordinated interest		(79)		—
Loss on Copeland note receivable		279		—
Changes in operating working capital		(176)		(80)
Other, net		(552)		(195)
Cash from continuing operations		2,244		2,664
Cash from discontinued operations		4		(576)
Cash provided by operating activities		2,248		2,088
Investing activities
Capital expenditures		(251)		(263)
Purchases of businesses, net of cash and equivalents acquired		(8,342)		(36)
Proceeds from subordinated interest		79		—
Other, net		(86)		(94)
Cash from continuing operations		(8,600)		(393)
Cash from discontinued operations		36		—
Cash used in investing activities		(8,564)		(393)
Financing activities
Net increase in short-term borrowings		2,229		1,419
Proceeds from short-term borrowings greater than three months		322		5,292
Payments of short-term borrowings greater than three months		(100)		(1,349)
Proceeds from long-term debt		—		1,544
Payments of long-term debt		(547)		(503)
Dividends paid		(901)		(895)
Purchases of common stock		(175)		(1,147)
AspenTech purchases of common stock		(188)		—
Purchase of noncontrolling interest		—		(7,244)
Settlement of AspenTech share awards		—		(76)
Other, net		(57)		(60)
Cash provided by (used in) financing activities		583		(3,019)
Effect of exchange rate changes on cash and equivalents		(20)		(45)
Decrease in cash and equivalents		(5,753)		(1,369)
Beginning cash and equivalents		8,051		3,588
Ending cash and equivalents		$            2,298		$           2,219

 

			Table 4
EMERSON AND SUBSIDIARIES
SEGMENT SALES AND EARNINGS
(DOLLARS IN MILLIONS, UNAUDITED)
The following tables show results for the Company's segments on an adjusted segment EBITA basis and are intended to supplement the Company's results of operations, including its segment earnings which are defined as earnings before interest and taxes. The Company defines adjusted segment and total segment EBITA as segment earnings excluding intangibles amortization expense, and restructuring and related expense. Adjusted segment and total segment EBITA, and adjusted segment and total segment EBITA margin are measures used by management and may be useful for investors to evaluate the Company's segments' operational performance.

	Quarter Ended June 30,
	2024		2025		Reported		Underlying
Sales
Final Control	$           1,046		$           1,116		7 %		5 %
Measurement & Analytical	982		1,014		3 %		2 %
Discrete Automation	618		649		5 %		3 %
Safety & Productivity	351		346		(1) %		(2) %
Intelligent Devices	$           2,997		$           3,125		4 %		3 %
Control Systems & Software1	1,043		1,083		4 %		3 %
Test & Measurement	355		361		2 %		(1) %
Software and Control	$           1,398		$           1,444		3 %		2 %
Eliminations	(15)		(16)
Total	$           4,380		$           4,553		4 %		3 %
Sales Growth by Geography
	Quarter Ended June 30,
Americas	7 %
Europe	(7) %
Asia, Middle East & Africa	2 %

1 AspenTech was fully acquired on March 12, 2025 and is now an independent business unit inside of the Control Systems & Software reporting segment.

	Table 4 cont.
	Nine Months Ended June 30,
	2024		2025		Reported		Underlying
Sales
Final Control	$           3,037		$           3,165		4 %		4 %
Measurement & Analytical	2,942		2,992		2 %		2 %
Discrete Automation	1,863		1,844		(1) %		(1) %
Safety & Productivity	1,038		996		(4) %		(4) %
Intelligent Devices	$           8,880		$           8,997		1 %		1 %
Control Systems & Software	2,940		3,138		7 %		7 %
Test & Measurement	1,104		1,079		(2) %		(2) %
Software and Control	$           4,044		$           4,217		4 %		4 %
Eliminations	(51)		(53)
Total	$         12,873		$         13,161		2 %		2 %
Sales Growth by Geography
	Nine Months Ended June 30,
Americas	5 %
Europe	(4) %
Asia, Middle East & Africa	3 %

					Table 4 cont.
	Quarter Ended June 30,				Quarter Ended June 30,
	2024				2025
	As Reported (GAAP)		Adjusted EBITA (Non-GAAP)		As Reported (GAAP)		Adjusted EBITA (Non-GAAP)
Earnings
Final Control	$          253		$          279		$          267		$          292
Margins	24.2 %		26.8 %		23.9 %		26.2 %
Measurement & Analytical	252		266		246		259
Margins	25.6 %		27.0 %		24.2 %		25.5 %
Discrete Automation	109		134		118		132
Margins	17.6 %		21.5 %		18.2 %		20.4 %
Safety & Productivity	79		86		73		80
Margins	22.5 %		24.7 %		21.1 %		22.9 %
Intelligent Devices	$          693		$          765		$          704		$          763
Margins	23.1 %		25.5 %		22.5 %		24.4 %
Control Systems & Software	217		348		267		388
Margins	20.8 %		33.3 %		24.7 %		35.9 %
Test & Measurement	(88)		76		(26)		81
Margins	(24.7) %		21.4 %		(7.2) %		22.4 %
Software and Control	$          129		$          424		$          241		$          469
Margins	9.2 %		30.3 %		16.7 %		32.6 %
Corporate items and interest expense, net:
Stock compensation	(56)		(47)		(71)		(45)
Unallocated pension and postretirement costs	38		38		27		27
Corporate and other	(38)		(24)		(72)		(31)
Loss on Copeland note receivable	(279)		—		—		—
Interest expense, net	(56)		—		(95)		—
Interest income from related party1	24		—		—		—
Pretax Earnings / Adjusted EBITA	$          455		$        1,156		$          734		$        1,183
Margins	10.4 %		26.4 %		16.1 %		26.0 %
Supplemental Total Segment Earnings:
Adjusted Total Segment EBITA			$        1,189				$        1,232
Margins			27.1 %				27.1 %

1 Represents interest on the Copeland note receivable.

					Table 4 cont.
	Quarter Ended June 30,				Quarter Ended June 30,
	2024				2025
	Amortization of Intangibles1		Restructuring and Related Costs2		Amortization of Intangibles1		Restructuring and Related Costs2
Final Control	$                   21		$                     5		$                   22		$                     3
Measurement & Analytical	11		3		11		2
Discrete Automation	9		16		8		6
Safety & Productivity	6		1		7		—
Intelligent Devices	$                   47		$                   25		$                   48		$                   11
Control Systems & Software	127		4		114		7
Test & Measurement	139		25		107		—
Software and Control	$                 266		$                   29		$                 221		$                     7
Corporate	—		63		—		233
Total	$                 313		$                   60		$                 269		$                   41

1 Amortization of intangibles includes $49 and $50 reported in cost of sales for the three months ended June 30, 2024 and 2025, respectively.
2 Restructuring and related costs includes $3 and $4 reported in cost of sales and selling, general and administrative expenses for the three months ended June 30, 2024 and 2025, respectively.
3 Corporate restructuring and related costs of $23 for the three months ended June 30, 2025 includes $20 related to integration-related stock compensation expense attributable to AspenTech. Corporate restructuring and related costs of $6 for the three months ended June 30, 2024 includes $5 related to integration-related stock compensation expense attributable to NI.

	Quarter Ended June 30,
Depreciation and Amortization	2024		2025
Final Control	$                41		$                39
Measurement & Analytical	32		32
Discrete Automation	22		22
Safety & Productivity	14		15
Intelligent Devices	109		108
Control Systems & Software	148		134
Test & Measurement	150		119
Software and Control	298		253
Corporate	10		11
Total	$              417		$              372

 

Table 5
EMERSON AND SUBSIDIARIES ADJUSTED CORPORATE AND OTHER SUPPLEMENTAL (DOLLARS IN MILLIONS, UNAUDITED)
The following table shows the Company's stock compensation and corporate and other expenses on an adjusted basis. The Company's definition of adjusted stock compensation excludes integration-related stock compensation expense. The Company's definition of adjusted corporate and other excludes corporate restructuring and related costs, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. This metric is useful for reconciling from total adjusted segment EBITA to the Company's consolidated adjusted EBITA.
					Quarter Ended June 30,
					2024		2025
Stock compensation (GAAP)					$                  (56)		$                  (71)
Integration-related stock compensation expense					91		262
Adjusted stock compensation (non-GAAP)					$                  (47)		$                  (45)
					Quarter Ended June 30,
					2024		2025
Corporate and other (GAAP)					$                  (38)		$                  (72)
Corporate restructuring and related costs					1		3
Acquisition / divestiture costs					13		38
Adjusted corporate and other (non-GAAP)					$                  (24)		$                  (31)

1 Integration-related stock compensation expense for the three months ended June 30, 2024 relates to NI and includes $5 reported as restructuring costs.
2 Integration-related stock compensation expense for the three months ended June 30, 2025 includes $24 related to AspenTech of which $20 is reported as restructuring costs, and $2 related to NI.

 

Table 6
EMERSON AND SUBSIDIARIES ADJUSTED EBITA & EPS SUPPLEMENTAL (AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)
The following tables, which show results on an adjusted EBITA basis and diluted earnings per share on an adjusted basis, are intended to supplement the Company's discussion of its results of operations herein. The Company defines adjusted EBITA as earnings excluding interest expense, net, income taxes, intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. Adjusted earnings per share excludes intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction-related costs, and certain gains, losses or impairments. Adjusted EBITA, adjusted EBITA margin, and adjusted earnings per share are measures used by management and may be useful for investors to evaluate the Company's operational performance.
	Quarter Ended June 30,
	2024		2025
Pretax earnings	$             455		$             734
Percent of sales	10.4 %		16.1 %
Interest expense, net	56		95
Interest income from related party1	(24)		—
Amortization of intangibles	313		269
Restructuring and related costs	60		41
Acquisition/divestiture fees and related costs	17		44
Loss on Copeland note receivable	279		—
Adjusted EBITA	$          1,156		$          1,183
Percent of sales	26.4 %		26.0 %
	Quarter Ended June 30,
	2024		2025
GAAP earnings from continuing operations per share	$            0.60		$            1.03
Amortization of intangibles	0.35		0.37
Restructuring and related costs	0.08		0.06
Acquisition/divestiture fees and related costs	0.02		0.06
Loss on Copeland note receivable	0.38		—
Adjusted earnings from continuing operations per share	$            1.43		$            1.52

1 Represents interest on the Copeland note receivable through June 6, 2024

Table 6 cont.
Quarter Ended June 30, 2025
	Pretax Earnings		Income Taxes		Earnings from Cont. Ops.		Non- Controlling Interests3		Net Earnings Common Stockholders		Diluted Earnings Per Share
As reported (GAAP)	$         734		$         154		$         580		$           —		$            580		$        1.03
Amortization of intangibles	2691		62		207		—		207		0.37
Restructuring and related costs	412		5		36		—		36		0.06
Acquisition/divestiture fees and related costs	44		9		35		—		35		0.06
Adjusted (non-GAAP)	$      1,088		$         230		$         858		$           —		$            858		$        1.52
Interest expense, net	95
Adjusted EBITA (non-GAAP)	$      1,183

1 Amortization of intangibles includes $50 reported in cost of sales.
2 Restructuring and related costs includes $4 reported in cost of sales and selling, general and administrative expenses.
3 Non-Controlling Interests for AspenTech ceased as of March 12, 2025 with the completion of the buy-in.

 

Table 7
Reconciliations of Non-GAAP Financial Measures & Other
Reconciliations of Non-GAAP measures with the most directly comparable GAAP measure (dollars in millions, except per share amounts). See tables 4 through 6 for additional non-GAAP reconciliations.
2025 Q3 Underlying Sales Change	Reported	(Favorable) / Unfavorable FX	(Acquisitions) / Divestitures	Underlying
Final Control	7 %	(2) %	— %	5 %
Measurement & Analytical	3 %	(1) %	— %	2 %
Discrete Automation	5 %	(2) %	— %	3 %
Safety & Productivity	(1) %	(1) %	— %	(2) %
Intelligent Devices	4 %	(1) %	— %	3 %
Control Systems & Software	4 %	(1) %	— %	3 %
Test & Measurement	2 %	(3) %	— %	(1) %
Software and Control	3 %	(1) %	— %	2 %
Emerson	4 %	(1) %	— %	3 %
Nine Months Ended June 30, 2025 Underlying Sales Change	Reported	(Favorable) / Unfavorable FX	(Acquisitions) / Divestitures	Underlying
Final Control	4 %	— %	— %	4 %
Measurement & Analytical	2 %	— %	— %	2 %
Discrete Automation	(1) %	— %	— %	(1) %
Safety & Productivity	(4) %	— %	— %	(4) %
Intelligent Devices	1 %	— %	— %	1 %
Control Systems & Software	7 %	— %	— %	7 %
Test & Measurement	(2) %	— %	— %	(2) %
Software and Control	4 %	— %	— %	4 %
Emerson	2 %	— %	— %	2 %

Underlying Growth Guidance	2025 Q4 Guidance	2025 Guidance
Reported (GAAP)	5.5% - 6.5%	~3.5%
(Favorable) / Unfavorable FX	~0.5 pts	-
(Acquisitions) / Divestitures	-	-
Underlying (non-GAAP)	5% - 6%	~3.5%

2024 Q3 Adjusted Segment EBITA	EBIT	EBIT Margin	Amortization of Intangibles	Restructuring and Related Costs	Adjusted Segment EBITA	Adjusted Segment EBITA Margin
Final Control	$               253	24.2 %	$                 21	$                     5	$               279	26.8 %
Measurement & Analytical	252	25.6 %	11	3	266	27.0 %
Discrete Automation	109	17.6 %	9	16	134	21.5 %
Safety & Productivity	79	22.5 %	6	1	86	24.7 %
Intelligent Devices	$               693	23.1 %	$                 47	$                  25	$               765	25.5 %
Control Systems & Software	217	20.8 %	127	4	348	33.3 %
Test & Measurement	(88)	(24.7) %	139	25	76	21.4 %
Software and Control	$               129	9.2 %	$               266	$                  29	$               424	30.3 %
2025 Q3 Adjusted Segment EBITA	EBIT	EBIT Margin	Amortization of  Intangibles	Restructuring and Related Costs	Adjusted Segment EBITA	Adjusted Segment EBITA Margin
Final Control	$               267	23.9 %	$                 22	$                     3	$               292	26.2 %
Measurement & Analytical	246	24.2 %	11	2	259	25.5 %
Discrete Automation	118	18.2 %	8	6	132	20.4 %
Safety & Productivity	73	21.1 %	7	—	80	22.9 %
Intelligent Devices	$               704	22.5 %	$                 48	$                  11	$               763	24.4 %
Control Systems & Software	267	24.7 %	114	7	388	35.9 %
Test & Measurement	(26)	(7.2) %	107	—	81	22.4 %
Software and Control	$               241	16.7 %	$               221	$                     7	$               469	32.6 %

Total Adjusted Segment EBITA		2024 Q3	2025 Q3
Pretax earnings (GAAP)		$                 455	$                 734
Margin		10.4 %	16.1 %
Corporate items and interest expense, net		367	211
Amortization of intangibles		313	269
Restructuring and related costs		54	18
Adjusted segment EBITA (non-GAAP)		$              1,189	$              1,232
Margin		27.1 %	27.1 %

Free Cash Flow		2024 Q3	2025 Q3		2025E ($ in billions)
Operating cash flow (GAAP)		$              1,067	$              1,062		~$3.6
Capital expenditures		(92)	(92)		~(0.4)
Free cash flow (non-GAAP)		$                 975	$                 970		~$3.2

Note 1: Underlying sales and orders exclude the impact of currency translation and significant acquisitions and divestitures.

Note 2: All fiscal year 2025E figures are approximate, except where range is given.

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/emerson-reports-third-quarter-2025-results-updates-2025-outlook-302522572.html

SOURCE Emerson

FAQ

What were Emerson's (EMR) Q3 2025 earnings results?

Emerson reported Q3 2025 net sales of $4.553B (up 4%), GAAP EPS of $1.03 (up 72%), and adjusted EPS of $1.52 (up 6%). The company achieved a pretax margin of 16.1%, representing a 570 basis point improvement.

What is Emerson's dividend payment for Q3 2025?

Emerson declared a quarterly cash dividend of $0.5275 per share, payable on September 10, 2025, to stockholders of record as of August 15, 2025.

What is Emerson's updated guidance for fiscal 2025?

Emerson updated its fiscal 2025 guidance with net sales growth of ~3.5%, adjusted EPS of ~$6.00, operating cash flow of ~$3.6B, and plans to return ~$2.3B to shareholders through dividends and share repurchases.

How much cash flow did Emerson generate in Q3 2025?

Emerson generated operating cash flow of $1.062B and free cash flow of $970M in Q3 2025, with free cash flow showing a slight decline of 1% compared to the previous year.

What is Emerson's shareholder return plan for 2025?

Emerson plans to return approximately $2.3B to shareholders in fiscal 2025, consisting of $1.1B in share repurchases and ~$1.2B in dividend payments.