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Emerson Reports Third Quarter 2025 Results; Updates 2025 Outlook
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 Q32025 Q3Change
Underlying Orders2
4%
Net Sales$4,380$4,5534%
Underlying Sales3
3%
Pretax Earnings$455$734
Margin10.4%16.1%570 bps
Adjusted Segment EBITA4
$1,189$1,232
      Margin27.1%27.1%0 bps
GAAP Earnings Per Share$0.60$1.0372%
Adjusted Earnings Per Share5
$1.43$1.526%
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 Q42025
Net Sales Growth5.5% - 6.5%~3.5%
Underlying Sales Growth5% - 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.

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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 MettlerJoseph Sala / Greg Klassen
(314) 553-2197Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449




(tables attached)

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Table 1
EMERSON AND SUBSIDIARIES
CONSOLIDATED OPERATING RESULTS
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)
Quarter Ended
June 30,		Nine Months Ended June 30,
2024202520242025
Net sales$4,380 $4,553 $12,873 $13,161 
     Cost of sales2,066 2,160 6,359 6,161 
     SG&A expenses1,254 1,266 3,827 3,773 
     Gain on subordinated interest— — (79)— 
     Loss on Copeland note receivable279 — 279 — 
     Other deductions, net294 298 1,075 944 
     Interest expense, net56 95 157 145 
     Interest income from related party1
(24)— (86)— 
Earnings from continuing operations before income taxes455 734 1,341 2,138 
Income taxes88 154 266 536 
Earnings from continuing operations367 580 1,075 1,602 
Discontinued operations, net of tax(15)6 (88)7 
Net earnings352 586 987 1,609 
Less: Noncontrolling interests in subsidiaries23 — 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 outstanding574.8 564.7 574.1 567.1 
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,
2024202520242025
Other deductions, net
     Amortization of intangibles$264 $219 $811 $677 
     Restructuring costs57 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.

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Table 2
EMERSON AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN MILLIONS, UNAUDITED)
Sept 30, 2024June 30, 2025
Assets
     Cash and equivalents$3,588 $2,219 
     Receivables, net2,927 2,908 
     Inventories2,180 2,288 
     Other current assets1,497 1,657 
Total current assets10,192 9,072 
     Property, plant & equipment, net2,807 2,791 
     Goodwill18,067 18,158 
     Other intangible assets10,436 9,669 
     Other2,744 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 payable1,335 1,272 
     Accrued expenses3,875 3,507 
Total current liabilities5,742 10,732 
     Long-term debt7,155 8,278 
     Other liabilities3,840 3,621 
Equity
     Common stockholders' equity 21,636 19,870 
     Noncontrolling interests in subsidiaries5,873 16 
Total equity27,509 19,886 
Total liabilities and equity$44,246 $42,517 

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Table 3
EMERSON AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN MILLIONS, UNAUDITED)
Nine Months Ended June 30,
 20242025
Operating activities  
Net earnings$987 $1,609 
Earnings from discontinued operations, net of tax88 (7)
Adjustments to reconcile net earnings to net cash provided by operating activities:
        Depreciation and amortization1,263 1,139 
        Stock compensation203 198 
        Amortization of acquisition-related inventory step-up231 — 
        Gain on subordinated interest(79)— 
        Loss on Copeland note receivable279 — 
        Changes in operating working capital(176)(80)
        Other, net(552)(195)
            Cash from continuing operations2,244 2,664 
            Cash from discontinued operations4 (576)
            Cash provided by operating activities2,248 2,088 
Investing activities
Capital expenditures(251)(263)
Purchases of businesses, net of cash and equivalents acquired(8,342)(36)
Proceeds from subordinated interest79 — 
Other, net(86)(94)
    Cash from continuing operations(8,600)(393)
    Cash from discontinued operations36 — 
    Cash used in investing activities(8,564)(393)
Financing activities
Net increase in short-term borrowings2,229 1,419 
Proceeds from short-term borrowings greater than three months322 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 activities583 (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 equivalents8,051 3,588 
Ending cash and equivalents$2,298 $2,219 

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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,
20242025ReportedUnderlying
Sales
Final Control$1,046 $1,116 7 %5 %
Measurement & Analytical982 1,014 3 %2 %
Discrete Automation618 649 5 %3 %
Safety & Productivity351 346 (1)%(2)%
Intelligent Devices$2,997 $3,125 4 %3 %
Control Systems & Software1
1,043 1,083 4 %3 %
Test & Measurement355 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,
Americas7 %
Europe (7)%
Asia, Middle East & Africa2 %














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

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Table 4 cont.
Nine Months Ended June 30,
20242025ReportedUnderlying
Sales
Final Control$3,037 $3,165 4 %4 %
Measurement & Analytical2,942 2,992 2 %2 %
Discrete Automation1,863 1,844 (1)%(1)%
Safety & Productivity1,038 996 (4)%(4)%
Intelligent Devices$8,880 $8,997 1 %1 %
Control Systems & Software2,940 3,138 7 %7 %
Test & Measurement1,104 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,
Americas5 %
Europe (4)%
Asia, Middle East & Africa3 %

Page 8
Table 4 cont.
Quarter Ended June 30,Quarter Ended June 30,
20242025
As Reported (GAAP)Adjusted EBITA
(Non-GAAP)		As Reported (GAAP)Adjusted EBITA
(Non-GAAP)
Earnings
Final Control$253$279$267$292
 Margins24.2 %26.8 %23.9 %26.2 %
Measurement & Analytical252266246259
 Margins25.6 %27.0 %24.2 %25.5 %
Discrete Automation109134118132
 Margins17.6 %21.5 %18.2 %20.4 %
Safety & Productivity79867380
 Margins22.5 %24.7 %21.1 %22.9 %
Intelligent Devices$693$765$704$763
 Margins23.1 %25.5 %22.5 %24.4 %
Control Systems & Software217348267388
 Margins20.8 %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
 Margins9.2 %30.3 %16.7 %32.6 %
Corporate items and interest expense, net:
Stock compensation(56)(47)(71)(45)
Unallocated pension and postretirement costs38382727
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
 Margins10.4 %26.4 %16.1 %26.0 %
Supplemental Total Segment Earnings:
Adjusted Total Segment EBITA$1,189$1,232
 Margins27.1 %27.1 %
1 Represents interest on the Copeland note receivable.

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Table 4 cont.

Quarter Ended June 30,Quarter Ended June 30,
20242025
Amortization of
Intangibles1
Restructuring
and
Related Costs2
Amortization of
Intangibles1
Restructuring
and
Related Costs2
Final Control$21 $5 $22 $3 
Measurement & Analytical11 3 11 2 
Discrete Automation9 16 8 6 
Safety & Productivity6 1 7 — 
Intelligent Devices$47 $25 $48 $11 
Control Systems & Software127 4 114 7 
Test & Measurement139 25 107 — 
Software and Control$266 $29 $221 $7 
Corporate— 6 3— 23 3
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 Amortization20242025
Final Control$41 $39 
Measurement & Analytical32 32 
Discrete Automation22 22 
Safety & Productivity14 15 
Intelligent Devices109 108 
Control Systems & Software148 134 
Test & Measurement150 119 
Software and Control298 253 
Corporate10 11 
Total$417 $372 





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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,
20242025
 Stock compensation (GAAP)$(56)$(71)
 Integration-related stock compensation expense91262
 Adjusted stock compensation (non-GAAP)$(47)$(45)
Quarter Ended June 30,
20242025
 Corporate and other (GAAP)$(38)$(72)
 Corporate restructuring and related costs13
 Acquisition / divestiture costs1338 
 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.


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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,
20242025
Pretax earnings $455$734
Percent of sales10.4 %16.1 %
Interest expense, net56 95 
Interest income from related party1
(24)— 
Amortization of intangibles313 269 
Restructuring and related costs60 41 
Acquisition/divestiture fees and related costs17 44 
Loss on Copeland note receivable279 — 
Adjusted EBITA$1,156$1,183
Percent of sales26.4 %26.0 %
Quarter Ended June 30,
20242025
GAAP earnings from continuing operations per share$0.60$1.03
Amortization of intangibles0.350.37
Restructuring and related costs0.080.06
Acquisition/divestiture fees and related costs0.020.06
Loss on Copeland note receivable0.38—
Adjusted earnings from continuing operations per share$1.43$1.52
1 Represents interest on the Copeland note receivable through June 6, 2024

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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 intangibles269 162 207 — 207 0.37 
Restructuring and related costs41 25 36 — 36 0.06 
Acquisition/divestiture fees and related costs44 9 35 — 35 0.06 
Adjusted (non-GAAP)$1,088 $230 $858 $— $858 $1.52 
Interest expense, net95 
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.




Page 13
Reconciliations of Non-GAAP Financial Measures & OtherTable 7
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 ChangeReported(Favorable) / Unfavorable FX(Acquisitions) /
Divestitures		Underlying
Final Control7 %(2)%— %5 %
Measurement & Analytical3 %(1)%— %2 %
Discrete Automation5 %(2)%— %3 %
Safety & Productivity(1)%(1)%— %(2)%
Intelligent Devices4 %(1)%— %3 %
Control Systems & Software4 %(1)%— %3 %
Test & Measurement2 %(3)%— %(1)%
Software and Control3 %(1)%— %2 %
Emerson4 %(1)%— %3 %
Nine Months Ended June 30, 2025 Underlying Sales ChangeReported(Favorable) / Unfavorable FX(Acquisitions) /
Divestitures		Underlying
Final Control4 %— %— %4 %
Measurement & Analytical2 %— %— %2 %
Discrete Automation(1)%— %— %(1)%
Safety & Productivity(4)%— %— %(4)%
Intelligent Devices1 %— %— %1 %
Control Systems & Software7 %— %— %7 %
Test & Measurement(2)%— %— %(2)%
Software and Control4 %— %— %4 %
Emerson2 %— %— %2 %
Underlying Growth Guidance2025 Q4 Guidance2025
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 EBITAEBITEBIT
Margin		Amortization
of
Intangibles		Restructuring and Related CostsAdjusted Segment EBITAAdjusted Segment EBITA Margin
Final Control$253 24.2 %$21 $5 $279 26.8 %
Measurement & Analytical252 25.6 %11 3 266 27.0 %
Discrete Automation109 17.6 %9 16 134 21.5 %
Safety & Productivity79 22.5 %6 1 86 24.7 %
Intelligent Devices$693 23.1 %$47 $25 $765 25.5 %
Control Systems & Software217 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 %

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2025 Q3 Adjusted Segment EBITAEBITEBIT
Margin		Amortization
of
Intangibles		Restructuring and Related CostsAdjusted Segment EBITAAdjusted Segment EBITA Margin
Final Control$267 23.9 %$22 $3 $292 26.2 %
Measurement & Analytical246 24.2 %11 2 259 25.5 %
Discrete Automation118 18.2 %8 6 132 20.4 %
Safety & Productivity73 21.1 %7 — 80 22.9 %
Intelligent Devices$704 22.5 %$48 $11 $763 24.4 %
Control Systems & Software267 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 EBITA2024 Q32025 Q3
Pretax earnings (GAAP)$455$734
Margin10.4 %16.1 %
Corporate items and interest expense, net367 211 
Amortization of intangibles313 269 
Restructuring and related costs54 18 
Adjusted segment EBITA (non-GAAP)$1,189$1,232
Margin27.1 %27.1 %


Free Cash Flow2024 Q32025 Q32025E
($ 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.