Summary
This 8-K filing from Emerson Electric Co. (EMR) on December 20, 2006, provides an update on its order trends for the three months ending November 2006, offering insights into the company's performance across its various business segments. The report highlights that overall order growth remained solid, with a positive contribution from international markets, which accounted for nearly 50% of 2006 sales and helped offset moderating domestic growth. Favorable currency exchange rates also contributed positively to growth. The filing also announces upcoming investor events, including the Q1 2007 earnings release and conference call, and the Annual Investment Community Update in February 2007.
Key Highlights
- 1Emerson Electric Co. reported solid overall order growth for the three months ending November 2006, ranging between +5% to +10%.
- 2International sales, representing nearly 50% of 2006 revenue, provided a significant balance to growth, offsetting slower domestic trends.
- 3Favorable currency exchange rates contributed approximately 2 percentage points to the reported order growth.
- 4Process Management and Industrial Automation segments showed strong order growth, driven by capital spending in global energy markets and strength in specific businesses like power generating alternators and electronic drives.
- 5Network Power segment experienced accelerated order growth in the 10-15% range, boosted by demand for UPS, precision cooling, and China power systems.
- 6Climate Technologies faced negative order trends, primarily due to challenging comparisons in the North American residential air-conditioning market, though European and Asian markets showed strength.
- 7Emerson announced its Q1 2007 earnings release and investor conference call for February 6, 2007, and its Annual Investment Community Update for February 9, 2007.