Emerson Electric Co.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 3 February 2026: press release. The quarter’s numbers.

Key takeaways

Net sales up 4%, underlying 2%: Net sales were $4,346 million, up 4% reported and 2% underlying. Underlying sales exclude currency translation and significant acquisitions and divestitures. Source
Adjusted EPS up 6% to $1.46: Adjusted diluted EPS was $1.46 against $1.38, up 6%. GAAP diluted EPS was $1.07 against $1.02, up 5%. Adjusted EPS excludes amortization, restructuring, deal fees and discrete taxes. Source
Fiscal 2026 guidance was updated: The company updated its full-year fiscal 2026 guidance in this release. The release gives new figures but not prior ones, so the direction of each change is not stated. Source
Test & Measurement grew fastest: Test & Measurement sales were $409 million, up 14% reported and 11% underlying. Its adjusted segment EBITA margin rose to 29.7% from 25.5%. Source
Fourth straight quarter of order growth: The release describes underlying orders growth as the fourth consecutive quarter of growth. The order measure excludes AspenTech. Source
Segment margin down 30 basis points: Adjusted segment EBITA was $1,203 million, a 27.7% margin against 28.0%. Adjusted segment EBITA is segment earnings less restructuring and intangibles amortization. Source
Free cash flow down 13%: Operating cash flow was $699 million against $777 million, and free cash flow was $602 million against $694 million, down 13%. Working capital absorbed $357 million, against $154 million. Source
Software-defined automation releases: Management said the new releases advance capabilities in software-defined automation and further enhance its leadership position in high-growth verticals. Source

“Emerson met sales commitments and exceeded expectations for profitability as our global teams continue to execute well,”
Emerson President and Chief Executive Officer Lal Karsanbhai

Guidance

Area	Period	Figure
Net sales growth, reported Source	Second quarter of fiscal 2026	3% - 4%
Net sales growth, reported Source	Fiscal 2026 full year	~5.5%
Underlying sales growth Source	Second quarter of fiscal 2026	1% - 2%
Underlying sales growth Source	Fiscal 2026 full year	~4%
Currency effect on reported growth Source	Second quarter of fiscal 2026	~(2 pts)
Currency effect on reported growth Source	Fiscal 2026 full year	~(1.5 pts)
Diluted EPS, GAAP Source	Second quarter of fiscal 2026	$1.06 - $1.11
Diluted EPS, GAAP Source	Fiscal 2026 full year	$4.78 - $4.93
Adjusted EPS Source	Second quarter of fiscal 2026	$1.50 - $1.55
Adjusted EPS Source	Fiscal 2026 full year	$6.40 - $6.55
Amortization of intangibles per share Source	Second quarter of fiscal 2026	~$0.35
Amortization of intangibles per share Source	Fiscal 2026 full year	~$1.38
Restructuring and related costs per share Source	Second quarter of fiscal 2026	~$0.06
Restructuring and related costs per share Source	Fiscal 2026 full year	~$0.14
Acquisition/divestiture fees per share Source	Second quarter of fiscal 2026	~$0.02
Acquisition/divestiture fees per share Source	Fiscal 2026 full year	~$0.06
Discrete taxes per share Source	Second quarter of fiscal 2026	~$0.01
Discrete taxes per share Source	Fiscal 2026 full year	~$0.04
Operating cash flow Source	Fiscal 2026 full year	$4.0B - $4.1B
Free cash flow Source	Fiscal 2026 full year	$3.5B - $3.6B
Capital expenditures Source	Fiscal 2026 full year	~(0.45)
Share repurchases Source	Fiscal 2026 full year	~$1.0B
Dividends Source	Fiscal 2026 full year	~$1.2B

What changed from last quarter

New: Capital allocation pivots toward returning cash to shareholders, with the 2026 guidance assuming share repurchases and dividends. Source

Quarter results and growth

Net sales up 4%, underlying 2%: Net sales were $4,346 million, up 4% reported and 2% underlying. Underlying sales exclude currency translation and significant acquisitions and divestitures. Source
Pretax earnings flat at $775 million: Pretax earnings were $775 million in both quarters; the pretax margin was 17.8% against 18.6%, a decline the release shows as 80 basis points. Source
Adjusted EPS up 6% to $1.46: Adjusted diluted EPS was $1.46 against $1.38, up 6%. GAAP diluted EPS was $1.07 against $1.02, up 5%. Adjusted EPS excludes amortization, restructuring, deal fees and discrete taxes. Source
Fewer diluted shares outstanding: Diluted average shares were 564.1 million against 571.1 million. Net earnings to common stockholders were $605 million against $585 million. Source

Fiscal 2026 guidance

Fiscal 2026 guidance was updated: The company updated its full-year fiscal 2026 guidance in this release. The release gives new figures but not prior ones, so the direction of each change is not stated. Source
Per-share bridge to adjusted EPS: Second-quarter and full-year guidance shows amortization, restructuring, acquisition and divestiture fees, and discrete taxes per share, all excluded from adjusted EPS. Source
Underlying growth excludes currency and deals: Underlying growth guidance excludes currency translation and significant acquisitions and divestitures, and is shown separately from reported growth. Source

“Emerson is accelerating innovation, introducing new products and delivering on the critical programs we highlighted at our 2025 investor conference.”
Emerson President and Chief Executive Officer Lal Karsanbhai

Segments and regions

Test & Measurement grew fastest: Test & Measurement sales were $409 million, up 14% reported and 11% underlying. Its adjusted segment EBITA margin rose to 29.7% from 25.5%. Source
Software & Systems sales up 5%: Software & Systems sales were $1,453 million, up 5% reported and 3% underlying. Control Systems & Software was $1,044 million, up 2% reported and flat underlying. Source
Intelligent Devices and Final Control rose: Intelligent Devices sales were $2,390 million, up 4% reported and 2% underlying. Final Control was $1,394 million, up 4% reported and 2% underlying. Source
Sensors and Safety & Productivity rose modestly: Safety & Productivity sales were $503 million, up 3% reported and 1% underlying. Sensors sales were $996 million, up 2% reported and 1% underlying. Source
Regional sales growth split: Sales growth by geography was 3% in the Americas and 3% in Europe, with Asia, Middle East & Africa shown as nil. The release does not state the basis of these figures. Source

Demand and orders

Fourth straight quarter of order growth: The release describes underlying orders growth as the fourth consecutive quarter of growth. The order measure excludes AspenTech. Source
Automation demand led by Software & Systems: Management said demand for its automation technology was led by Software & Systems, with strength in North America, India and the Middle East & Africa. Source
AspenTech excluded from orders: Underlying orders do not include AspenTech, while underlying sales exclude currency and significant acquisitions and divestitures. The release gives no AspenTech order figures. Source

Costs and margins

Segment margin down 30 basis points: Adjusted segment EBITA was $1,203 million, a 27.7% margin against 28.0%. Adjusted segment EBITA is segment earnings less restructuring and intangibles amortization. Source
Interest expense rose sharply: Interest expense, net rose to $90 million from $8 million. Income taxes were $169 million against $182 million. Source
Cost of sales and SG&A rose: Cost of sales was $2,035 million against $1,940 million. SG&A expenses were $1,242 million against $1,224 million. Source
Amortization and restructuring lower: Amortization of intangibles was $254 million against $278 million. Restructuring and related costs were $11 million against $13 million. Source

Capital, cash and shareholder returns

Free cash flow down 13%: Operating cash flow was $699 million against $777 million, and free cash flow was $602 million against $694 million, down 13%. Working capital absorbed $357 million, against $154 million. Source
Share repurchases fell: Purchases of common stock were $250 million against $899 million. Dividends paid were $312 million against $301 million. Source
Short-term debt rose, long-term debt fell: Short-term borrowings and current maturities rose to $5,832 million from $4,797 million. Long-term debt fell to $7,575 million from $8,319 million. Source
Cash balance rose: Cash and equivalents were $1,748 million at December 31, 2025, against $1,544 million at September 30, 2025. Source

Strategy, products and innovation

Software-defined automation releases: Management said the new releases advance capabilities in software-defined automation and further enhance its leadership position in high-growth verticals. Source
Company positioning as automation leader: The release describes Emerson as a global automation leader engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. Source
2025 investor conference programs: Management said the company is introducing new products and delivering on critical programs highlighted at its 2025 investor conference. Source

Coming up, as management said on 3 February 2026

Quarterly dividend payable March 10: The company declared a quarterly cash dividend of $0.555 per share, payable March 10, 2026 to holders of record on February 13, 2026. Source

Figures management reported

Figure	Reported
Underlying orders growth Source	9%

Earlier plans management reported on

Met: Management said the company met its sales commitments and exceeded expectations for profitability. Source
Not stated: Management said it is delivering on the critical programs highlighted at its 2025 investor conference. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Emerson Reports First Quarter 2026 Results; Updates 2026 Outlook

ST. LOUIS (February 3, 2026) - Emerson (NYSE: EMR) today reported results for its first quarter ended December 31, 2025 and updated its full year outlook for fiscal 2026. Emerson also declared a quarterly cash dividend of $0.555 per share of common stock payable March 10, 2026 to stockholders of record on February 13, 2026.

(dollars in millions, except per share)	2025 Q1	2026 Q1	Change
Underlying Orders			9%
Net Sales	$4,175	$4,346	4%
Underlying Sales			2%
Pretax Earnings	$775	$775
Margin	18.6%	17.8%	(80) bps
Adjusted Segment EBITA	$1,169	$1,203
Margin	28.0%	27.7%	(30) bps
GAAP Earnings Per Share	$1.02	$1.07	5%
Adjusted Earnings Per Share	$1.38	$1.46	6%
Operating Cash Flow	$777	$699	(10)%
Free Cash Flow	$694	$602	(13)%

Management Commentary

“Emerson met sales commitments and exceeded expectations for profitability as our global teams continue to execute well,” said Emerson President and Chief Executive Officer Lal Karsanbhai. “We delivered a fourth consecutive quarter of strong underlying orders growth, and we are experiencing robust demand for our automation technology, led by Software & Systems, with strength in North America, India and the Middle East & Africa.”

Karsanbhai continued, “Emerson is accelerating innovation, introducing new products and delivering on the critical programs we highlighted at our 2025 investor conference. These releases advance our capabilities in software-defined automation and further enhance our leadership position in high-growth verticals.”

2026 Outlook

The following tables summarize the fiscal year 2026 guidance framework. As we pivot capital allocation to returning cash to shareholders, the 2026 outlook assumes returning ~$2.2B through ~$1B share repurchases and ~$1.2B of dividends.

	2026 Q2	2026
Net Sales Growth	3% - 4%	~5.5%
Underlying Sales Growth	1% - 2%	~4%
Earnings Per Share	$1.06 - $1.11	$4.78 - $4.93
Amortization of intangibles	~$0.35	~$1.38
Restructuring and related costs	~$0.06	~$0.14
Acquisition/divestiture fees and related costs	~$0.02	~$0.06
Discrete taxes	~$0.01	~$0.04
Adjusted Earnings Per Share	$1.50 - $1.55	$6.40 - $6.55
Operating Cash Flow		$4.0B - $4.1B
Free Cash Flow		$3.5B - $3.6B
Share Repurchase		~$1.0B

Underlying orders do not include AspenTech.

Underlying sales exclude the impact of currency translation, and significant acquisitions and divestitures.

Adjusted segment EBITA represents segment earnings less restructuring and intangibles amortization expense.

Adjusted EPS excludes intangibles amortization expense, restructuring and related costs, acquisition/divestiture gains, losses, fees and related costs, and discrete taxes.

Conference Call

Today, beginning at 3:30 p.m. Central Time / 4:30 p.m. Eastern Time, Emerson management will discuss the first quarter results during an investor conference call. Participants can access a live webcast available at https://ir.emerson.com at the time of the call. A replay of the call will be available for 90 days. Conference call slides will be posted in advance of the call on the company website.

About Emerson

Emerson (NYSE: EMR) is a global automation leader delivering solutions for the most demanding technology challenges. Headquartered in St. Louis, Missouri, Emerson is engineering the autonomous future, enabling customers to optimize operations and accelerate innovation. For more information, visit Emerson.com.

Forward-Looking and Cautionary Statements

Forward-looking statements notice

Statements in this press release that are not strictly historical may be “forward-looking” statements, which represent management’s expectations, based on currently available information. Actual results, performance or achievements could differ materially from those expressed in any forward-looking statement. Any forward-looking statements in this press release speak only as of the date of this press release. Emerson undertakes no obligation to update any such statements to reflect new information or later developments. Examples of risks and uncertainties that may cause our actual results or performance to be materially different from those expressed or implied by forward looking statements include the scope, duration and ultimate impacts of the Russia-Ukraine and other global conflicts, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, inflation, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. The outlook contained herein represents the Company's expectation for its consolidated results, other than as noted herein.

Emerson uses our Investor Relations website, https://ir.emerson.com, as a means of disclosing information which may be of interest or material to our investors and for complying with disclosure obligations under Regulation

FD. Accordingly, investors should monitor our Investor Relations website, in addition to following our press releases,

SEC filings, public conference calls, webcasts and social media. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

(tables attached)

			Table 1
	Quarter Ended Dec 31,
	2024		2025
EMERSON AND SUBSIDIARIES
CONSOLIDATED OPERATING RESULTS
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)
Net sales	$4,175		$4,346
Cost and expenses
Cost of sales	1,940		2,035
SG&A expenses	1,224		1,242
Other deductions, net	228		204
Interest expense, net	8		90
Earnings before income taxes	775		775
Income taxes	182		169
Net earnings	593		606
Less: Noncontrolling interests in subsidiaries	8		1
Net earnings common stockholders	$585		$605
Diluted avg. shares outstanding	571.1		564.1
Diluted earnings per share common stockholders
Diluted earnings per common share	$1.02		$1.07
	Quarter Ended Dec 31,
		2024		2025
Other deductions, net
Amortization of intangibles	$229		$205
Restructuring costs	11		9
Other	(12)		(10)
Total	$228		$204

		Table 2
	Sept 30, 2025	Dec 31, 2025
EMERSON AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN MILLIONS, UNAUDITED)
Assets
Cash and equivalents	$1,544	$1,748
Receivables, net	3,101	2,972
Inventories	2,213	2,353
Other current assets	1,725	1,770
Total current assets	8,583	8,843
Property, plant & equipment, net	2,871	2,867
Goodwill	18,193	18,182
Other intangibles	9,458	9,205
Other	2,859	2,842
Total assets	$41,964	$41,939
Liabilities and equity
Short-term borrowings and current maturities of long-term debt	$4,797	$5,832
Accounts payable	1,384	1,339
Accrued expenses	3,616	3,349
Total current liabilities	9,797	10,520
Long-term debt	8,319	7,575
Other liabilities	3,550	3,552
Equity
Common stockholders' equity	20,282	20,277
Noncontrolling interests in subsidiaries	16	15
Total equity	20,298	20,292
Total liabilities and equity	$41,964	$41,939

		Table 3
	Three Months Ended Dec 31,
	2024	2025
EMERSON AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN MILLIONS, UNAUDITED)
Operating activities
Net earnings	$593	$606
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	383	359
Stock compensation	68	55
Changes in operating working capital	(154)	(357)
Other, net	(113)	36
Cash provided by operating activities	777	699
Investing activities
Capital expenditures	(83)	(97)
Purchases of businesses, net of cash and equivalents acquired	(37)	-
Other, net	(22)	(28)
Cash used in investing activities	(142)	(125)
Financing activities
Net increase (decrease) in short-term borrowings	2	(485)
Proceeds from short-term borrowings greater than three months	-	3,473
Payments of short-term borrowings greater than three months	-	(2,099)
Payments of long-term debt	(2)	(587)
Dividends paid	(301)	(312)
Purchases of common stock	(899)	(250)
Other, net	(91)	(104)
Cash used in financing activities	(1,291)	(364)
Effect of exchange rate changes on cash and equivalents	(98)	(6)
Increase (decrease) in cash and equivalents	(754)	204
Beginning cash and equivalents	3,588	1,544
Ending cash and equivalents	$2,834	$1,748

Table 4

SEGMENT SALES AND EARNINGS

(DOLLARS IN MILLIONS, UNAUDITED)

The following tables show results for the Company's segments on an adjusted segment EBITA basis and are intended to supplement the Company's results of operations, including its segment earnings which are defined as earnings before interest and taxes. The Company defines adjusted segment and total segment EBITA as segment earnings excluding intangibles amortization expense, and restructuring and related expense. Adjusted segment and total segment EBITA, and adjusted segment and total segment EBITA margin are measures used by management and may be useful for investors to evaluate the Company's segments' operational performance.

	Quarter Ended Dec 31,
	2024	2025	Reported	Underlying
Sales
Control Systems & Software	$1,023	$1,044	2%	- %
Test & Measurement	359	409	14%	11%
Software & Systems	$1,382	$1,453	5%	3%
Sensors	972	996	2%	1%
Final Control	1,334	1,394	4%	2%
Intelligent Devices	$2,306	$2,390	4%	2%
Safety & Productivity	$487	$503	3%	1%
Total	$4,175	$4,346	4%	2%

	Quarter Ended Dec 31,
Sales Growth by Geography
Americas	3%
Europe	3%
Asia, Middle East & Africa	- %

Table 4 cont.

	Quarter Ended Dec 31,				Quarter Ended Dec 31,
	2024				2025
	As Reported (GAAP)		Adjusted EBITA (Non-GAAP)		As Reported (GAAP)		Adjusted EBITA (Non-GAAP)
Earnings
Control Systems & Software		$208		$337		$232		$334
Margins	20.3%		33.0%		22.2%		31.9%
Test & Measurement		(13)		91		14		121
Margins	(3.6)%		25.5%		3.6%		29.7%
Software & Systems		$195		$428		$246		$455
Margins	14.1%		31.1%		17.0%		31.3%
Sensors		285		296		266		282
Margins	29.3%		30.5%		26.7%		28.3%
Final Control		305		341		331		361
Margins	22.9%		25.5%		23.8%		25.9%
Intelligent Devices		$590		$637		$597		$643
Margins	25.6%		27.6%		25.0%		26.9%
Safety & Productivity		$96		$104		$97		$105
Margins	19.7%		21.3%		19.2%		20.9%
Corporate items and interest expense, net:
Stock compensation		(68)		(66)		(55)		(51)
Unallocated pension and postretirement costs		27		27		29		29
Corporate and other		(57)		(34)		(49)		(40)
Interest expense, net		(8)	-			(90)	-
Pretax Earnings / Adjusted EBITA		$775		$1,096		$775		$1,141
Margins	18.6%		26.3%		17.8%		26.3%
Supplemental Total Segment Earnings:
Adjusted Total Segment EBITA				$1,169				$1,203
Margins			28.0%				27.7%

Table 4 cont.

	Quarter Ended Dec 31,		Quarter Ended Dec 31,
	2024		2025
	Amortization of Intangibles	Restructuring and Related Costs	Amortization of Intangibles	Restructuring and Related Costs
Control Systems & Software	$127	$2	$101	$1
Test & Measurement	105	(1)	107	-
Software & Systems	$232	$1	$208	$1
Sensors	10	1	11	5
Final Control	29	7	28	2
Intelligent Devices	$39	$8	$39	$7
Safety & Productivity	$7	$1	$7	$1
Corporate	-	3	-	2
Total	$278	$13	$254	$11
Amortization of intangibles includes $49 reported in cost of sales for the three months ended December 31, 2024 and 2025.
Restructuring and related costs includes $2 reported in selling, general and administrative expenses for the three months ended December 31, 2024 and 2025.

	Quarter Ended Dec 31,
Depreciation and Amortization		2024		2025
Control Systems & Software	$149		$122
Test & Measurement	118		119
Software & Systems	267		241
Sensors	31		33
Final Control	55		56
Intelligent Devices	86		89
Safety & Productivity	19			19
Corporate	11		10
Total	$383		$359

Table 5

ADJUSTED CORPORATE AND OTHER SUPPLEMENTAL

(DOLLARS IN MILLIONS, UNAUDITED)

The following table shows the Company's stock compensation and corporate and other expenses on an adjusted basis. The Company's definition of adjusted stock compensation excludes integration-related stock compensation expense. The Company's definition of adjusted corporate and other excludes corporate restructuring and related costs, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. This metric is useful for reconciling from total adjusted segment EBITA to the Company's consolidated adjusted EBITA.

	Quarter Ended Dec 31,
	2024		2025
Stock compensation (GAAP)	$(68)		$(55)
Integration-related stock compensation expense		2		4
Adjusted stock compensation (non-GAAP)	$(66)		$(51)

	Quarter Ended Dec 31,
	2024	2025
Corporate and other (GAAP)	$(57)	$(49)
Corporate restructuring and related costs	3	2
Acquisition / divestiture costs	20	7
Adjusted corporate and other (non-GAAP)	$(34)	$(40)

Table 6

ADJUSTED EBITA & EPS SUPPLEMENTAL

(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED)

The following tables, which show results on an adjusted EBITA basis and diluted earnings per share on an adjusted basis, are intended to supplement the Company's discussion of its results of operations herein. The Company defines adjusted EBITA as earnings excluding interest expense, net, income taxes, intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. Adjusted earnings per share excludes intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction-related costs, discrete taxes, and certain gains, losses or impairments. Adjusted EBITA, adjusted EBITA margin, and adjusted earnings per share are measures used by management and may be useful for investors to evaluate the Company's operational performance.

	Quarter Ended Dec 31,
	2024		2025
Pretax earnings		$775		$775
Percent of sales	18.6%		17.8%
Interest expense, net		8		90
Amortization of intangibles		278		254
Restructuring and related costs		13		11
Acquisition/divestiture fees and related costs		22		11
Adjusted EBITA		$1,096		$1,141
Percent of sales	26.3%		26.3%
	Quarter Ended Dec 31,
		2024		2025
GAAP earnings per share		$1.02		$1.07
Amortization of intangibles		0.31		0.35
Restructuring and related costs		0.02		0.02
Acquisition/divestiture fees and related costs		0.03		0.01
Discrete taxes		-		0.01
Adjusted earnings per share		$1.38		$1.46

Table 6 cont.

	Pretax Earnings	Income Taxes		Net Earnings		Non-Controlling Interests	Net Earnings Common Stockholders		Diluted Earnings Per Share
Quarter Ended December 31, 2025
As reported (GAAP)	$775	$169		$606		$1	$605		$1.07
Amortization of intangibles	254		59		195	-		195	0.35
Restructuring and related costs	11		3		8	-		8	0.02
Acquisition/divestiture fees and related costs	11		2		9	-		9	0.01
Discrete Taxes	-		(5)		5	-		5	0.01
Adjusted (non-GAAP)	$1,051	$228		$823		$1	$822		$1.46
Interest expense, net	90
Adjusted EBITA (non-GAAP)	$1,141
Amortization of intangibles includes $49 reported in cost of sales.
Restructuring and related costs includes $2 reported in selling, general and administrative expenses.

Reconciliations of Non-GAAP Financial Measures & Other	Table 8
Reconciliations of Non-GAAP measures with the most directly comparable GAAP measure (dollars in millions, except per share amounts). See tables 4 through 7 for additional non-GAAP reconciliations.

2026 Q1 Underlying Sales Change	Reported	(Favorable) / Unfavorable FX	(Acquisitions) / Divestitures	Underlying
Control Systems & Software	2%	(2)%	- %	- %
Test & Measurement	14%	(3)%	- %	11%
Software & Systems	5%	(2)%	- %	3%
Sensors	2%	(1)%	- %	1%
Final Control	4%	(2)%	- %	2%
Intelligent Devices	4%	(2)%	- %	2%
Safety and Productivity	3%	(2)%	- %	1%
Emerson	4%	(2)%	- %	2%

Underlying Growth Guidance	2026 Q2 Guidance	2026 Guidance
Reported (GAAP)	3% - 4%	~5.5%
(Favorable) / Unfavorable FX	~(2 pts)	~(1.5 pts)
(Acquisitions) / Divestitures	-	-
Underlying (non-GAAP)	1% - 2%	~4%

2025 Q1 Adjusted Segment EBITA	EBIT	EBIT Margin	Amortization of Intangibles	Restructuring and Related Costs	Adjusted Segment EBITA	Adjusted Segment EBITA Margin
Control Systems & Software	$208	20.3%	$127	$2	$337	33.0%
Test & Measurement	(13)	(3.6)%	105	(1)	91	25.5%
Software & Systems	$195	14.1%	$232	$1	$428	31.1%
Sensors	285	29.3%	10	1	296	30.5%
Final Control	305	22.9%	29	7	341	25.5%
Intelligent Devices	$590	25.6%	$39	$8	$637	27.6%
Safety & Productivity	$96	19.7%	$7	$1	$104	21.3%

2026 Q1 Adjusted Segment EBITA	EBIT	EBIT Margin	Amortization of Intangibles	Restructuring and Related Costs	Adjusted Segment EBITA	Adjusted Segment EBITA Margin
Control Systems & Software	$232	22.2%	$101	$1	$334	31.9%
Test & Measurement	14	3.6%	107	-	121	29.7%
Software & Systems	$246	17.0%	$208	$1	$455	31.3%
Sensors	266	26.7%	11	5	282	28.3%
Final Control	331	23.8%	28	2	361	25.9%
Intelligent Devices	$597	25.0%	$39	$7	$643	26.9%
Safety & Productivity	$97	19.2%	$7	$1	$105	20.9%

Total Adjusted Segment EBITA	2025 Q1		2026 Q1
Pretax earnings (GAAP)		$775		$775
Margin	18.6%		17.8%
Corporate items and interest expense, net		106		165
Amortization of intangibles		278		254
Restructuring and related costs		10		9
Adjusted segment EBITA (non-GAAP)		$1,169		$1,203
Margin	28.0%		27.7%

Free Cash Flow	2025 Q1	2026 Q1	2026E ($ in billions)
Operating cash flow (GAAP)	$777	$699	$4.0 - $4.1
Capital expenditures	(83)	(97)	~(0.45)
Free cash flow (non-GAAP)	$694	$602	$3.5 - $3.6

Note 1: Underlying sales and orders exclude the impact of currency translation and significant acquisitions and divestitures.

Note 2: All fiscal year 2026E figures are approximate, except where range is given.

Contacts
Investors: Doug Ashby · (314) 553-2197
Media: Joseph Sala / Greg Klassen · Joele Frank, Wilkinson Brimmer Katcher · (212) 355-4449