Summary
Emerson Electric Co. (EMR) filed an 8-K on December 11, 2019, providing an update on its trailing three-month orders, particularly for November 2019. The report indicates a slight decrease in total orders, with a 1% decline when excluding currency translation impacts. Underlying orders, which strip out currency fluctuations and certain prior-year projects, showed a modest 1% increase. This performance was driven by mixed results across its segments, with Automation Solutions orders remaining flat (up 1% underlying) and Commercial & Residential Solutions orders down 2% (flat underlying).
Key Highlights
- 1Total Emerson trailing three-month orders for November 2019 were down 1%, with underlying orders up 1% after excluding a 2% unfavorable currency impact.
- 2Automation Solutions segment orders were flat, with underlying orders up 1% (excluding currency), but delayed large North America projects due to trade tensions impacted growth.
- 3Underlying orders in Automation Solutions excluding two prior year fleetwide modernization projects were up 3%.
- 4Commercial & Residential Solutions segment orders decreased by 2%, with underlying orders remaining flat after excluding currency impacts.
- 5Asia, Middle East & Africa region showed strong performance in Automation Solutions, with underlying orders up over 10%, supported by infrastructure investment.
- 6Emerson announced upcoming investor events, including the Q1 2020 earnings report on February 4, 2020, and its annual investor conference on February 13, 2020.
- 7The company highlighted that large North America projects continue to face delays, while long-cycle businesses are showing steady growth.