Summary
This 8-K filing from Emerson Electric Co. (EMR) on July 25, 2014, provides an update on its 3-month orders growth trend through June 2014. While overall orders growth was reported at 5%, moderating from previous periods due to uneven project timing, the company highlighted that all segments experienced growth. Process Management and Industrial Automation were the strongest performers, benefiting from sustained demand in key industries like energy and chemical, and gradual recovery in capital goods markets, respectively. Currency translation had a positive impact, adding 2 percentage points to the total orders growth in June. Despite the slight moderation, management anticipates an improvement in near-term trends, forecasting underlying orders growth between 5% and 7% for the fourth quarter. The filing also serves as a reminder of Emerson's upcoming third-quarter 2014 earnings release and conference call scheduled for August 5, 2014. Investors should note the forward-looking statements within the report and consult Emerson's SEC filings for a comprehensive understanding of associated risks and uncertainties.
Key Highlights
- 1Emerson Electric Co. reported a 5% growth in trailing three-month orders as of June 2014, a moderation from recent trends.
- 2Process Management and Industrial Automation segments showed the strongest performance among all segments.
- 3Currency translation positively impacted reported orders growth, contributing 2 percentage points for the trailing three months ending June 2014.
- 4The company expects underlying orders growth to improve to between 5% and 7% in the fourth quarter of fiscal year 2014.
- 5Process Management orders were supported by strength in energy and chemical industries, with notable demand in the Americas and Asia.
- 6Industrial Automation orders showed steady recovery, driven by power generating alternators and fluid automation.
- 7Emerson Electric Co. announced its third-quarter 2014 earnings release and conference call for August 5, 2014.