Sales Performance - Total sales for the three months ended December 31, 2024, were $1,881 million, a decrease of 8.4% year over year[113]. - Organic sales decreased by 7.6% year over year, with currency translation reducing sales by 0.9% and acquisitions contributing an increase of 0.1%[114]. - The Intelligent Devices segment reported sales of $806 million, down from $927 million, while the Software & Control segment saw sales drop to $529 million from $604 million[113]. - Lifecycle Services segment sales increased to $546 million from $521 million, reflecting a growth of 4.8% year over year[113]. - Sales in North America accounted for $1,150 million, reflecting an 8% decrease year over year, while Latin America saw a 5% increase in sales[115]. - Intelligent Devices sales decreased by 13% year over year, with organic sales down by 12% for the three months ended December 31, 2024[122]. - Software & Control sales decreased by 12% year over year, with reported sales declining in all regions for the three months ended December 31, 2024[124]. - Lifecycle Services sales increased by 5% year over year, with organic sales also up by 5% for the three months ended December 31, 2024[126]. - Reported sales for the three months ended December 31, 2024, totaled $1.881 billion, down from $2.052 billion in the same period of 2023, reflecting a decrease of approximately 8.3%[150]. - Organic sales for North America were $1.151 billion for the three months ended December 31, 2024, compared to $1.247 billion in the same period of 2023, indicating a decline of about 7.7%[150]. Financial Performance - Net income attributable to Rockwell Automation for the three months ended December 31, 2024, was $184 million, compared to $215 million in the same period of 2023[113]. - Diluted EPS for the quarter was $1.61, down from $1.86 year over year, while adjusted EPS was $1.83 compared to $2.04[113]. - The total segment operating margin for the quarter was 17.1%, slightly down from 17.3% in the previous year[113]. - Total segment operating earnings decreased by 9.8% year over year for the three months ended December 31, 2024, primarily due to lower sales volume[118]. - Net income attributable to Rockwell Automation for the first quarter of 2025 was $184 million, or $1.61 per share, down from $215 million, or $1.86 per share in the first quarter of 2024[121]. - Segment operating margin for Intelligent Devices decreased to 14.9% from 16.2% year over year, while Software & Control margin increased to 25.1% from 25.0%[123][125]. Cash Flow and Financing - Cash provided by operating activities was $364 million for the three months ended December 31, 2024, compared to $33 million for the same period in 2023[135]. - Free cash flow was $293 million for the three months ended December 31, 2024, compared to a net outflow of $35 million for the same period in 2023[135]. - The effective tax rate for the three months ended December 31, 2024, was 16.4%, down from 18.1% for the same period in 2023[119]. - The company repurchased approximately 0.4 million shares of common stock at a total cost of $99 million during the first three months of 2025[137]. - The company replaced its former $1.25 billion unsecured revolving credit facility with a new $1.5 billion facility, expiring in June 2027, with an option to increase by up to $750 million[140]. - As of December 31, 2024, the company had approximately $245 million in short-term unsecured credit facilities available to non-U.S. subsidiaries, with $33 million committed under letters of credit[142]. - The company's credit ratings as of February 10, 2025, include Standard & Poor's A-2 short-term rating and A long-term rating, both with a stable outlook[143]. - The EBITDA-to-interest ratio required by the credit facility is at least 3.0 to 1.0, with compliance confirmed as of December 31, 2024[140]. - The company expects to limit other borrowings under its credit facility to ensure sufficient credit is available to repay maturing commercial paper[141]. Risk Management - The company uses foreign currency forward exchange contracts to manage foreign currency risks, with no open net investment hedges as of December 31, 2024[145]. - The company reported a pre-tax net gain of $8 million related to cash flow hedges reclassified into earnings during the three months ended December 31, 2023[146]. - Organic sales growth is calculated by comparing organic sales to reported sales in the prior year, excluding divestitures, providing insight into regional and operating segment performance[149]. Market Conditions - The Manufacturing PMI for December 2024 was reported at 49.3, indicating continued contraction in the manufacturing sector[109]. - The company expects approximately $250 million in year-over-year benefits from cost reduction and margin expansion actions in 2025[111].

Core Viewpoint - Rockwell Automation Inc. reported adjusted earnings per share (EPS) of $1.83 for Q1 fiscal 2025, exceeding the Zacks Consensus Estimate of $1.61, despite a 10% year-over-year decline in the bottom line due to lower sales volume [1][2]. Financial Performance - The company’s total revenues for Q1 were $1.88 billion, an 8% decrease from the prior-year quarter, but still surpassing the Zacks Consensus Estimate of $1.87 billion [2]. - Organic sales declined by 7.6% year over year, slightly worse than the expected decline of 7.4% [2]. - The cost of sales decreased by 8% year over year to $1.16 billion, while gross profit fell by 9% to $722 million [3]. - Selling, general and administrative expenses decreased by 7% year over year to $476 million [3]. Segment Performance - Intelligent Devices segment reported net sales of $806 million, down 13% year over year, missing the estimate of $823 million [5]. - Software & Control segment saw a significant decline in net sales, plunging 34% year over year to $529 million, although it surpassed the estimate of $502 million [6]. - Lifecycle Services segment achieved net sales of $546 million, up 5% year over year, but below the projected $576 million [8]. Operating Income and Margins - Consolidated segment operating income totaled $321 million, down 9.8% from the prior-year quarter, with a total segment operating margin of 17.1%, slightly lower than 17.3% in the previous year [4]. - The Intelligent Devices segment's operating margin decreased to 14.9% from 16.2% year over year [6]. - The Software & Control segment's operating margin improved to 25.1% from 18.8% in the year-earlier quarter [7]. - Lifecycle Services segment's operating margin increased to 12.5% from 10.6% year over year [8]. Cash Position and Share Repurchase - At the end of Q1 fiscal 2025, cash and cash equivalents remained flat at $0.47 billion, with long-term debt unchanged at $2.56 billion [9]. - Cash flow from operations was $364 million, a significant increase from $33 million in the prior-year quarter [9]. - The company repurchased 0.4 million shares for $99 million during the quarter, with $1.2 billion remaining under the share-repurchase authorization [10]. Guidance for FY25 - Rockwell Automation updated its sales growth guidance to a decline of 5.5% to growth of 0.5%, previously projected as a decline of 4% to 2% growth [11]. - The company expects adjusted EPS for fiscal 2025 to be in the range of $8.60 to $9.80, indicating a year-over-year dip of 5% at the midpoint [11]. Stock Performance - Over the past year, Rockwell Automation shares have declined by 4.4%, compared to a 32.3% decline in the industry [12].

Financial Data and Key Metrics Changes - Q1 reported sales decreased by approximately 8.5% year-over-year, with a negative impact of 90 basis points from currency translation [35][36] - Adjusted EPS for Q1 was $1.83, exceeding expectations primarily due to better segment operating margins [37] - Free cash flow reached $293 million, significantly higher than the previous year, with a conversion rate of 140% [38] Business Line Data and Key Metrics Changes - Intelligent Devices segment saw organic sales decline by 12% year-over-year, while recent acquisitions CUBIC and ClearPath experienced double-digit growth [15][40] - Software and Control segment's organic sales also declined by 12% year-over-year, but margins remained flat at 25.1% [16][41] - Lifecycle Services margin decreased by 190 basis points year-over-year to 12.5%, slightly below expectations [42] Market Data and Key Metrics Changes - Orders grew by 10% year-over-year, with mid-single-digit sequential growth across all regions and business segments [11][13] - E-commerce and warehouse automation sales increased over 30% year-over-year, driven by strong customer activity in North America and Europe [24] - EMEA sales declined by 14%, with notable weakness in Germany and France, while Asia Pacific sales fell by 9%, led by a double-digit decline in China [30][31] Company Strategy and Development Direction - The company aims to achieve $250 million in productivity benefits for fiscal 2025 through cost reduction and margin expansion initiatives [21][56] - Focus on operational excellence and cost discipline is expected to create a solid foundation for market-beating growth [8][72] - The company is adapting to recent tariffs by implementing price changes and exploring alternative sourcing strategies [65][68] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in handling macroeconomic uncertainties and believes Rockwell Automation is a net beneficiary of policies that enhance US manufacturing [10][72] - The company anticipates gradual sequential sales improvement throughout fiscal 2025, maintaining an organic sales growth range of -4% to +2% [32][49] - Management noted that while there are near-term disruptions, the overall outlook remains positive due to strong order performance and project activity [11][71] Other Important Information - The company repurchased approximately 400,000 shares at a cost of $99 million during the quarter [39] - Return on invested capital for Q1 was 14.5%, down 400 basis points from the prior year due to lower pretax income [39] Q&A Session Summary Question: Can you elaborate on the SKU rationalization and its impact on 2025? - Management indicated that the SKU rationalization process is aimed at streamlining operations and that the 21,000 SKUs removed primarily consisted of low-sales items, expecting minimal impact on top-line revenue [78][80] Question: What are the expectations for organic growth guidance considering the recent orders? - Management acknowledged a strong start to the year and indicated that the guidance remains conservative, but they expect continued growth throughout the year [84][85] Question: Can you provide insights on the improvement in orders and the impact of the election? - Management noted a general optimism post-election, contributing to increased project activity and orders, particularly in the US market [105][106] Question: What should be expected for software and control margins for the rest of the year? - Management expects margins to gradually improve as revenue builds throughout the year, with a focus on maintaining a favorable mix [108] Question: How is the company addressing cost reduction and margin expansion? - Management confirmed that significant actions are already in place, with expectations for continued ramp-up in cost savings as the year progresses [122][126]

Core Viewpoint - Rockwell Automation's recent efficiency initiatives have led to strong quarterly results, boosting investor confidence and stock performance [1][4]. Financial Performance - Rockwell reported a revenue decline of 8% year over year, totaling $1.88 billion for the fiscal first quarter ending December 31 [3]. - Earnings per share (EPS) were $1.83, surpassing Wall Street's consensus estimate of $1.58, attributed to lower-than-expected costs [3]. Operational Insights - The CEO highlighted that Q1 margins and EPS exceeded expectations, reflecting the benefits of a renewed focus on operational excellence and cost discipline [4]. - New orders increased by 10% year over year, indicating improved demand across all regions and business segments [4]. Market Conditions - Despite the positive earnings report, Rockwell faces ongoing macroeconomic and policy uncertainties that may impact capital expenditure plans among large industrial customers [5]. - The company’s long-term prospects remain strong due to its portfolio of efficiency-enhancing tools, which are expected to see sustained demand over time [6].

Core Insights - Rockwell Automation reported revenue of $1.88 billion for the quarter ended December 2024, reflecting an 8.3% decline year-over-year, while EPS was $1.83 compared to $2.04 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $1.87 billion by 0.44%, and the EPS surpassed the consensus estimate of $1.61 by 13.66% [1] Financial Performance Metrics - Organic Sales showed a total growth of -7.6%, slightly better than the -8.3% estimated by analysts [4] - Sales in Intelligent Devices were reported at $806 million, below the estimated $814.05 million, marking a year-over-year decline of 13.1% [4] - Lifecycle Services sales reached $546 million, exceeding the estimate of $563.01 million, with a year-over-year increase of 4.8% [4] - Software & Control sales were $529 million, surpassing the average estimate of $496.02 million, but represented a 12.4% decline year-over-year [4] - Operating earnings for Intelligent Devices were $120 million, above the average estimate of $109.64 million [4] - Operating earnings for Lifecycle Services were $68 million, below the average estimate of $74.30 million [4] - Operating earnings for Software & Control were $133 million, exceeding the average estimate of $107.22 million [4] Stock Performance - Over the past month, Rockwell Automation's shares returned -1.8%, contrasting with the Zacks S&P 500 composite's +2.1% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Viewpoint - Rockwell Automation reported quarterly earnings of $1.83 per share, exceeding the Zacks Consensus Estimate of $1.61 per share, but down from $2.04 per share a year ago, indicating a 10.3% year-over-year decline in earnings [1][2] Financial Performance - The company achieved revenues of $1.88 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.44%, but down from $2.05 billion in the same quarter last year, reflecting an 8.3% decrease [2] - Over the last four quarters, Rockwell Automation has exceeded consensus EPS estimates four times and topped revenue estimates three times [2] Stock Performance - Rockwell Automation shares have declined approximately 6.1% since the beginning of the year, contrasting with the S&P 500's gain of 2.5% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.11 on revenues of $2 billion, and for the current fiscal year, it is $9.32 on revenues of $8.12 billion [7] - The trend of estimate revisions for Rockwell Automation is mixed, which could change following the recent earnings report [6] Industry Context - The Electronics - Miscellaneous Products industry, to which Rockwell Automation belongs, is currently ranked in the bottom 47% of over 250 Zacks industries, suggesting potential challenges ahead [8]

Q1 Fiscal 2025 Earnings Presentation February 10, 2025 PUBLIC PUBLIC | Copyright ©2025 Rockwell Automation, Inc. | 1 1 This presentation includes statements related to the expected future results of the company and are therefore forward-looking statements. Actual results may differ materially from those projections due to a wide range of risks and uncertainties, including those that are listed in our SEC filings. This presentation also contains non-GAAP financial information and reconciliations to GAAP are ...

Core Insights - Rockwell Automation's shares increased after reporting adjusted earnings per share of $1.83 for Q1 fiscal 2025, surpassing analysts' expectations of $1.58 [2] - The company's sales reached $1.88 billion, slightly below the analyst consensus by approximately $10 million [2] Financial Performance - The adjusted earnings per share of $1.83 indicates a strong performance driven by effective cost reduction and margin expansion initiatives [3] - Sales forecast for the full year has been revised, now expecting a decline of up to 5.5% or growth of up to 0.5%, compared to the previous forecast of a 4% decline to a 2% increase [3] Management Commentary - CEO Blake Moret highlighted ongoing cost-cutting efforts and acknowledged macroeconomic and policy uncertainties affecting customer spending [3][4] - The company anticipates gradual sequential improvement in sales and profit margins as uncertainties, such as proposed tariffs, are resolved [4]

Exhibit 99 1201 S. Second Street Milwaukee, WI 53204 USA News Release Contact Ed Moreland Media Relations Rockwell Automation 571.296.0391 Aijana Zellner Investor Relations Rockwell Automation 414.382.8510 Rockwell Automation Reports First Quarter 2025 Results MILWAUKEE (February 10, 2025) — Rockwell Automation, Inc. (NYSE: ROK) today reported first quarter fiscal 2025 results. "Q1 margins and EPS came in well above our expectations this quarter, reflecting some early benefits of Rockwell's renewed focus on ...

In its upcoming report, Rockwell Automation (ROK) is predicted by Wall Street analysts to post quarterly earnings of $1.61 per share, reflecting a decline of 21.1% compared to the same period last year. Revenues are forecasted to be $1.87 billion, representing a year-over-year decrease of 8.7%.The consensus EPS estimate for the quarter has undergone a downward revision of 0.9% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their ...