Skip to content
AnalystLens

EMERSON ELECTRIC CO 8-K Report, Financial Results (Aug 6, 2025)

Reports
Earnings & Results·Exhibits & Filings
Filing Date
Filed August 6, 2025
Period End
August 6, 2025
Security
EMR
In the record · 2016–202610-K1010-Q338-K163

EMR filed 10 annual reports (10-K), 33 quarterly reports (10-Q) and 163 current reports (8-K) between 2016 and 2026.

  1. Leadership change8-K · Nov ’17Nov ’17
  2. Leadership change8-K · Nov ’19Nov ’19
  3. Material agreement8-K · Dec ’21Dec ’21
  4. Material agreement8-K · Jun ’24Jun ’24

01—Abstract

Summary

Summary of the 8-K filed August 6, 2025. Cited figures are marked; the original filing is the authoritative source.

Emerson reported fiscal third-quarter 2025 results (quarter ended June 30, 2025) that were strong on the bottom line and cash generation, while top-line growth was modest.

Net sales rose 4% to $4,553 milliona, with underlying sales up 3% and underlying orders up 4%. GAAP EPS nearly doubled-plus-to $1.03 from $0.60 (up 72%), but this was flattered by the absence of the prior-year $279 million Copeland note receivable loss; adjusted EPS grew 6% to $1.52. Adjusted segment EBITA margin was flat at 27.1%, and operating cash flow ($1,062 million) and free cash flow ($970 million) were essentially unchanged year over year.

The company raised its full-year 2025 outlook on earnings and cash flow. Adjusted EPS guidance is now about $6.00b and GAAP EPS about $4.08, with operating cash flow raised to roughly $3.6 billion and free cash flow to roughly $3.2 billion. Net and underlying sales growth guidance is about 3.5% for the year, reflecting improved pricing as tariff exposure has declined.

Emerson also declared a quarterly dividend of $0.5275c per share. The balance sheet reflects the AspenTech transaction: Emerson completed the buy-in of AspenTech's noncontrolling interest (roughly $7.2 billion in financing outflows in the nine months) and funded it with new debt and commercial paper. Short-term borrowings and current debt rose to $5.95 billion from $0.53 billion, cash fell to $2.2 billion, and noncontrolling interests dropped from $5.9 billion to essentially zero.

Software and Control performance was the standout, with Control Systems & Software adjusted margin reaching 35.9%d, while Test & Measurement's GAAP results were weighed down by amortization and acquisition-related costs. Investors will want to watch refinancing of the near-term debt maturities and whether the software segment's momentum sustains.

02—Key points

Key Highlights

  1. Net sales rose 4% to $4,553M; underlying sales grew 3% and underlying orders grew 4%, with Americas up 7% and Europe down 7%.
  2. GAAP EPS of $1.03 (up 72%) and adjusted EPS of $1.52 (up 6%); the GAAP comparison benefits from the prior-year $279M Copeland note receivable loss.
  3. Adjusted segment EBITA was $1,232M with a flat 27.1% margin; Control Systems & Software margin expanded to 35.9% while Test & Measurement GAAP results were negative at (7.2)%.
  4. Operating cash flow of $1,062M and free cash flow of $970M were essentially flat year over year.
  5. FY2025 guidance raised: adjusted EPS ~ $6.00, GAAP EPS ~ $4.08, operating cash flow ~ $3.6B, free cash flow ~ $3.2B; underlying sales growth ~3.5%.
  6. AspenTech buy-in completed (March 12, 2025) with ~$7.2B paid to purchase the noncontrolling interest, lifting short-term debt to $5.95B and cutting noncontrolling interests to $16M.
  7. Quarterly dividend of $0.5275 per share declared; FY2025 plan returns ~$2.3B to shareholders via ~$1.1B buybacks and ~$1.2B dividends.

03—Questions

Frequently Asked Questions

  1. Did Emerson's core business grow this quarter?

    Modestly. Net sales grew 4% reported and 3% on an underlying basis, with underlying orders up 4%. Intelligent Devices grew 3% underlying, while Software and Control grew 2% underlying, with Control Systems & Software up 3% and Test & Measurement down 1%.

  2. Why did GAAP EPS jump 72% while adjusted EPS rose only 6%?

    The prior-year quarter included a $279M loss on the Copeland note receivable (about $0.38 per share). Excluding that and other items such as amortization and restructuring, adjusted EPS rose a more modest 6% to $1.52.

  3. Has the company's financial guidance changed?

    Yes, it was raised for earnings and cash flow. Adjusted EPS is now about $6.00 (previously a lower midpoint), GAAP EPS about $4.08, operating cash flow about $3.6B, and free cash flow about $3.2B. Full-year sales growth guidance of about 3.5% reflects improved pricing as tariff exposure has reduced.

  4. How did the AspenTech transaction affect Emerson's balance sheet and leverage?

    Emerson spent roughly $7.2B to buy in AspenTech's minority stake, which was funded largely with short-term borrowings and new debt. Short-term borrowings and current debt rose to about $5.95B from $0.53B, total debt is now roughly $14.2B, cash declined to $2.2B, and noncontrolling interests fell from $5.9B to $16M.

  5. Is the dividend and shareholder return program still on track?

    Yes. The board declared a quarterly dividend of $0.5275 per share payable September 10, 2025, and the 2025 plan still assumes about $2.3B of shareholder returns, including $1.1B of share repurchases, though the nine-month buyback of $1.15B has largely used that allowance.

04—Continue

← View all 8-K filings