Emerson Electric Q3 Earnings Surpass Estimates, Software and Control Sales Rise

Wednesday, Aug 6, 2025 12:45 pm ET1min read

Emerson Electric reported Q3 FY25 adjusted earnings of $1.52 per share, beating the consensus estimate of $1.51. Net sales of $4.55 billion missed the consensus estimate but increased 4% YoY, driven by the solid performance of the Software and Control segment. Intelligent Devices segment sales were $3.13 billion, up 4% YoY, while Software and Control Automation Solutions segment sales were $1.44 billion, up 3% YoY.

Emerson Electric Co. (EMR) reported its third-quarter fiscal year 2025 earnings, with adjusted earnings per share (EPS) of $1.52, surpassing the consensus estimate of $1.51 per share [1]. Despite the strong EPS performance, net sales of $4.55 billion fell short of the consensus estimate, increasing by 4% year-over-year (YoY) [2].

Key segments contributing to the company's growth include the Intelligent Devices segment, which saw sales of $3.13 billion, up 4% YoY, and the Software and Control Automation Solutions segment, which reported sales of $1.44 billion, up 3% YoY. The Software and Control segment, which includes automation software and power tools, also showed robust performance, with sales increasing by 3% YoY [2].

Emerson's pretax earnings increased significantly to $734 million, with a margin improvement from 10.4% to 16.1%, indicating operational efficiency and strategic focus on industrial automation [2]. Operating cash flow was reported at $1,062 million, while free cash flow decreased by 1% to $970 million, reflecting the company's ability to generate cash despite the challenges [2].

Emerson's management highlighted the company's sustained momentum and resilience in a dynamic market environment, noting that the positive momentum in key end markets demonstrates the resilience of its business model and operational excellence [2].

Looking ahead, Emerson's updated fiscal 2025 outlook projects a GAAP EPS of ~$4.08 and an adjusted EPS of ~$6.00, with expectations for operating cash flow and free cash flow to increase to ~$3.6 billion and ~$3.2 billion, respectively [2].

References:
[1] https://www.nasdaq.com/articles/emerson-electric-co-q3-profit-increases-beats-estimates
[2] https://www.gurufocus.com/news/3039276/emerson-electric-co-q3-2025-earnings-adjusted-eps-of-152-beats-estimates-revenue-falls-short-at-4553-million

Emerson Electric Q3 Earnings Surpass Estimates, Software and Control Sales Rise

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