Strong Second Quarter Performance
Emerson delivered a strong second quarter with underlying orders growth of 4%, exceeding expectations. All regions, including China, showed positive performance. Adjusted earnings per share exceeded guidance by $0.06.
Record Profitability
Gross profit margin of 53.5% improved by 130 basis points year-over-year. Adjusted segment EBITDA margin reached 28%, a 200 basis point improvement from the previous year.
Growth in Process and Hybrid Markets
Process and Hybrid businesses reported sales growth of mid-single digits, driven by significant capital investments in energy and LNG projects.
AspenTech Acquisition and Integration
AspenTech acquisition completed, expected to be modestly accretive to adjusted EPS in 2025. Targeting $100 million of cost synergies by 2028.
Positive Outlook for Second Half
Emerson is guiding for an underlying sales growth of approximately 4% for the full year, with expectations for accelerating growth in the second half.
Strong Free Cash Flow
Emerson generated strong free cash flow of $738 million, a margin of 17%, up 14% year-over-year.