Summary of Emerson Electric Co. Conference Call Company Overview - **Company**: Emerson Electric Co. (NYSE: EMR) - **Date**: March 13, 2024 - **Participants**: - Ram Krishnan - Chief Operating Officer - Mike Baughman - Chief Financial Officer - Colleen Mettler - Investor Relations Key Points Business Performance - **Order Growth**: Exited Q1 with 4% underlying orders, expecting low-single digits in the first half, and mid-single digits by year-end [3][4] - **Sales Growth**: Achieved 10% sales growth in Q1, with a backlog of approximately $7.6 billion [3][4] - **Project Funnel**: Healthy project funnel at $10.4 billion, yielding $400 million to $500 million quarterly [4][23] Market Trends - **Sector Strengths**: Strong performance in process hybrid and measurement solutions, with a 28% sales growth in Measurement Solutions [7][8] - **Geographic Performance**: - Middle East and India: $1.5 billion, double-digit growth - China: $1.9 billion, 9% growth in Q1, expecting mid-single digit growth [11][8] - Western Europe: 10% sales growth in Q1 [8] Discrete Business Insights - **Recovery Expectations**: Modest sequential recovery anticipated in the discrete automation business, primarily driven by automotive and semiconductor sectors [12][14] - **German Machine Builders**: Positive outlook from German machine builders, with marginally better orders in Q2 compared to Q1 [20][21] LNG and Utility Sector - **LNG Business**: 17% of the project funnel is related to LNG, with an annual business of $300 million to $400 million [26][27] - **Utility Sector**: Ovation control systems account for 50% of power generation in the US, with low-single digit growth expected [29][30] NI Business Overview - **Revenue Guidance**: Expected revenues of $1.5 billion to $1.6 billion for the year, with low-single digit decline anticipated [36] - **Market Diversification**: NI's business is diversified across various sectors, including life sciences, semiconductors, and aerospace [33] Cost and Pricing Strategy - **Pricing Strategy**: Anticipating a 2% price increase, with favorable net material inflation [50][55] - **Synergy Goals**: Targeting $185 million in synergies by year three, maintaining 31% adjusted EBITDA margins by year five [44][47] Macro Environment and Future Outlook - **Political Impact**: Neutral to slightly positive outlook regardless of the US election outcome, with ongoing benefits from the Infrastructure Act and CHIPS Act [72][73] - **AI Integration**: Exploring AI use cases to enhance productivity across various departments, including engineering and supply chain [75][76] Additional Insights - **Backlog Management**: Expecting to liquidate about $200 million of backlog as the year progresses, maintaining high levels through Q3 [24] - **Investment in Software**: Focus on integrating software capabilities to enhance automation and operational efficiency [67][68] This summary encapsulates the key insights and data points from the conference call, providing a comprehensive overview of Emerson Electric Co.'s current business status, market dynamics, and future outlook.

The Zacks Manufacturing - Electronics industry is poised to benefit from steady demand across the electronic services end market, growing adoption of advanced manufacturing technologies and processes and product innovation efforts. A surge in e-commerce activities is also likely to foster the industry’s growth.However, challenges in the manufacturing sector amid persistent supply-chain issues have been denting the performance of some industry players. Eaton Corporation plc (ETN) , Emerson Electric Co. (EMR) ...

Emerson technology enables the safe and efficient management of hydrogen terminal operations and remote monitoring of H2 Hauler distribution network TOOWOOMBA, Australia, March 11, 2024 /PRNewswire/ -- H2 Hauler, an Australian-based company that designs, manufactures and certifies storage and distribution equipment for compressed hydrogen, has selected global technology and software leader Emerson (NYSE: EMR) as its technology partner to provide a consolidated and integrated hydrogen mobility business manag ...

It has been about a month since the last earnings report for Emerson Electric (EMR) . Shares have added about 7.7% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Emerson Electric due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Emerson Q1 Earnings Beat Estimates, ...

Emerson Electric Co. (EMR) is thriving on the back of healthy demand across end markets and accretive acquisitions. Also, the company’s shareholder-friendly policies are encouraging.Let’s delve into the factors that make this current Zacks Rank #2 (Buy) company a smart investment choice at the moment.Business Strength: Emerson has been experiencing healthy demand across most of its end markets. Solid demand in the process and hybrid markets is boosting underlying orders. The company anticipates sales in the ...

Emerson Electric (EMR) ended the recent trading session at $110.28, demonstrating a +0.44% swing from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily gain of 1.03%. Meanwhile, the Dow experienced a rise of 0.34%, and the technology-dominated Nasdaq saw an increase of 1.51%.Coming into today, shares of the maker of process controls systems, valves and analytical instruments had gained 5.49% in the past month. In that same time, the Industrial Products sector gained ...

Wall Street has been maintaining its dream run in 2024 after an impressive 2023. Year to date, the broad-market index — the S&P 500 — is up 8.3% after rallying 23.9% in 2023. Wall Street’s benchmark has posted several all-time highs on both an intraday and a closing basis so far this year. The latest was on Mar 1, as the index closed at 5,137.08 after hitting an intraday high of 5,140.33.Of the 11 broad sectors of the S&P 500 Index, the best-performing sector was Industrials, which advanced 7.2% in February ...

Advanced software-defined automation architecture to integrate intelligent field, edge and cloud, unlocking a new era of productivityGlobal automation leaders convene to learn about Boundless Automation at Emerson Exchange in Düsseldorf DÜSSELDORF, Germany, Feb. 27, 2024 /PRNewswire/ -- Building on its innovation leadership, global technology and software company Emerson (NYSE: EMR) is poised to transform industrial manufacturing with the next-generation automation architecture designed to break down data s ...

Unless a significant portion of today’s factories and industrialist giants are still operating under technology from the Industrial Revolution, today’s global manufacturing and industrial value chain relies on technology to operate and meet the demands of their businesses and customers. That simple fact of reality is inviting you into a massive opportunity ahead. Of course, we are talking about robotics stocks. Now that the FED is proposing to cut interest rates this year, there are additional reasons for y ...

Emerson Electric Co. (NYSE:EMR) Citi’s 2024 Global Industrial Tech and Mobility Conference February 20, 2024 9:40 AM ET Company Participants Lal Karsanbhai - President and CEO Mike Baughman - EVP and CFO Colleen Mettler - VP of Investor Relations Conference Call Participants Andy Kaplowitz - Citigroup Andy Kaplowitz All right. We're going to get started again. Thank you for joining us. We are really excited to have Emerson with us today. We've got Lal Karsanbhai, who is the President and CEO. Lal started in ...