8-KRegulation FD

EMERSON ELECTRIC CO 8-K Report, Regulation FD Disclosure (Jan 25, 2012)

Filed January 25, 2012For Securities:EMR

Summary

Emerson Electric Co. (EMR) filed an 8-K on January 25, 2012, providing an update on its order trends for the three months ending December 2011 and outlining upcoming investor events. The company reported modest overall order growth for the trailing three-month period, driven by continued strength in Process Management and Tools and Storage segments, despite a challenging global economic environment. However, Network Power and Climate Technologies faced headwinds due to end-market weakness and inventory adjustments, leading to slightly slower order growth compared to the previous month when excluding currency impacts. Management reiterated its expectation for underlying sales growth in the range of 5% to 7% for fiscal year 2012. The filing also detailed segment-specific order dynamics, highlighting robust activity in Process Management fueled by oil and gas investment, stable but mixed trends in Industrial Automation, and specific challenges and recovery expectations for Network Power and Climate Technologies. Investors are also informed of upcoming key events, including the Q1 2012 earnings release and conference call on February 7, 2012, and the annual investor conference on February 14, 2012.

Key Highlights

  • 1Emerson reported modest trailing three-month order growth (October-December 2011) of +5% to +5%, driven by Process Management and Tools & Storage.
  • 2Network Power and Climate Technologies experienced weaker order trends due to end-market softness and inventory issues, partially offsetting growth in other segments.
  • 3Underlying sales growth expectations for fiscal year 2012 remain at 5% to 7%.
  • 4Process Management orders saw robust growth, supported by continued global oil and gas investment.
  • 5Industrial Automation markets remained stable, with some improvement despite headwinds from reduced government subsidies in renewable energy.
  • 6Network Power faced declines in North America and Europe but showed stabilization in Asia and Latin America, with supply chain disruptions in Thailand noted.
  • 7Upcoming investor events include the Q1 2012 earnings release and conference call on February 7, 2012, and the annual investor conference on February 14, 2012.

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