Summary of Emerson Electric Co. 2022 Investor Conference Company Overview - **Company**: Emerson Electric Co. (NYSE: EMR) - **Size**: $14 billion automation company - **Core Focus**: Pure-play automation with a significant value-creation opportunity [9][10] Key Themes and Strategic Focus 1. **Transformation Journey**: - Emerson has undergone a transformation over the past 22 months, focusing on portfolio management and operational performance [2][3] - The company has divested slower growth businesses and invested in high-growth areas like AspenTech [2][11] 2. **Value Creation Principles**: - **People-Centric Approach**: Emphasis on culture and its importance to value creation [3][6] - **Operational Performance**: Commitment to differentiated operational performance despite macro challenges [3][4] - **Portfolio Management**: Aligning the portfolio with secular market trends to support growth [4][6] 3. **Financial Commitments**: - Underlying sales growth target of 4% to 7% through the cycle [6] - Incremental margins of 35% on sales growth [6] - Double-digit adjusted EPS growth and strong free cash flow conversion at about 100% [6][9] Financial Performance Highlights - **2022 Results**: - Underlying sales growth of 9% - Adjusted EBITDA margin improvement of 140 basis points - EPS growth of 16% [8] - **2023 Guidance**: - Midpoint underlying sales growth of 7.5% - Adjusted EPS growth forecast of $4 to $4.15 [8][9] Market Opportunities and Growth Drivers 1. **Total Addressable Market (TAM)**: - Emerson operates in a $230 billion TAM, providing ample opportunity for organic growth and M&A [10] - Focus on high-growth markets such as energy transition, industrial software, and life sciences [11][29] 2. **Breakthrough Growth Platforms**: - 30% of sales are from high-growth platforms, expected to grow in double digits [17] - Key markets include industrial software, test and measurement, factory automation, and smart grid solutions [27][29][32][35] 3. **Innovation Focus**: - Increased R&D spending to drive innovation, with a goal to rejuvenate and accelerate breakthrough innovations [21][22] - New Chief Technology Officer appointed to lead innovation efforts [19][20] Sustainability Initiatives - **Sustainability as a Core Value**: - Emerson's sustainability portfolio is integral to its competitive advantage [54] - Commitment to net-zero targets by 2050, with interim targets approved by the Science Based Targets Initiative [57][58] - **Greening of Emerson**: - Achieved a 20% carbon intensity reduction target six years early [56] - Aiming for 100% renewable electricity by 2030 [59] Operational Excellence - **Management Process Evolution**: - Shift from a traditional management system to one that fosters innovation and growth [44][45] - Focus on centralizing functions and enhancing factory automation to drive efficiency [40][41] - **Cost Management**: - $650 million in annualized savings achieved through restructuring [38] - Ongoing commitment to eliminate platform overhead and rightsizing corporate structure [39] Conclusion - Emerson Electric Co. is positioned for significant growth through strategic portfolio management, operational excellence, and a strong commitment to sustainability. The company aims to leverage its technological capabilities and market opportunities to deliver robust financial performance and shareholder value in the coming years.

Emerson Electric Co. (NYSE:EMR) Q4 2022 Earnings Conference Call October 31, 2022 9:00 AM ET Company Participants Colleen Mettler - Vice President of Investor Relations Lal Karsanbhai - President & Chief Executive Officer Frank Dellaquila - Senior Executive Vice President & Chief Financial Officer Ram Krishnan - Executive Vice President & Chief Operating Officer Conference Call Participants Andy Kaplowitz - Citigroup Andrew Obin - Bank of America Steve Tusa - JPMorgan Josh Pokrzywinski - Morgan Stanley Nige ...

Emerson Electric Co. (NYSE:EMR) Q3 2022 Earnings Conference Call August 9, 2022 9:00 AM ET Company Participants Colleen Mettler - VP IR Lal Karsanbhai - President & Chief Executive Officer Frank Dellaquila - Senior Executive Vice President & Chief Financial Officer Ram Krishnan - Executive Vice President & Chief Operating Officer Conference Call Participants Andrew Obin - Bank of America John Walsh - Credit Suisse Andy Kaplowitz - Citigroup Steve Tusa - JPMorgan Josh Pokrzywinski - Morgan Stanley Scott Da ...

Emerson Electric Co. (NYSE:EMR) Q2 2022 Earnings Conference Call May 4, 2022 9:00 AM ET Company Participants Brian Joe - Investor Relations Lal Karsanbhai - President & Chief Executive Officer Frank Dellaquila - Senior Executive Vice President & Chief Financial Officer Ram Krishnan - Executive Vice President & Chief Operating Officer Conference Call Participants Joe Ritchie - Goldman Sachs Steve Tusa - JPMorgan Scott Davis - Melius Research Andrew Obin - Bank of America Andy Kaplowitz - Citigroup Josh Pokrz ...