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Rockwell Automation Inc. (ROK - Free Report) has reported adjusted earnings per share (EPS) of $2.47 in fourth-quarter fiscal 2024 (ended Sept. 30, 2024), beating the Zacks Consensus Estimate of $2.40. The bottom line fell 32% year over year on a lower sales volume.
Including one-time items, earnings were $2.09 per share in the fiscal fourth quarter compared with the prior-year quarter’s $2.61.
ROK’s total revenues were $2.04 billion, down 20.6% from the prior-year quarter. The top line missed the Zacks Consensus Estimate of $2.07 billion. Organic sales in the quarter were down 21% year over year. We expected organic sales to decline 21.7% in the quarter. Acquisitions contributed 1% to sales, while currency had negative impacts.
ROK’s Q4 Operational Update
The cost of sales decreased 16.1% year over year to $1.26 billion. The gross profit fell 27% year over year to $771 million. Selling, general and administrative expenses moved down 11.7% year over year to $487 million.
Rockwell Automation, Inc. Price, Consensus and EPS Surprise
Consolidated segment operating income totaled $409 million, down 28.5% from the prior-year quarter. The total segment operating margin was 20.1% in the fiscal fourth quarter, lower than the prior-year period’s 22.3%. The decline was due to lower sales volume and an unfavorable mix, partially negated by gains from cost-reduction actions.
Rockwell Automation’s Q4 Segmental Results
Intelligent Devices: Net sales amounted to $946 million in the fiscal fourth quarter, down 19.2% year over year. The reported figure missed our estimate of $960 million.
The segment’s operating earnings totaled $195 million compared with the year-earlier quarter’s $249 million. We predicted the segment operating earnings of $185 million for the quarter. The segment’s operating margin decreased to 20.6% in the quarter from the year-ago quarter’s 21.3%.
Software & Control: Net sales fell 38.9% year over year to $502 million in the reported quarter. Reported sales missed our estimate of $512 million.
The segment’s operating earnings plunged 59.3% year over year to $112 million. We predicted segmental operating earnings of $121 million. The segment’s operating margin was 22.3% compared with 33.5% in the year-earlier quarter.
Lifecycle Services: Net sales for the segment were $588 million in the reported quarter, up 3% year over year. We projected the segment’s sales to be $584 million for the quarter. The segment’s operating earnings totaled $102 million compared with the prior-year quarter’s $47.8 million.
Our estimate for the segment’s operating earnings was $102.5 million. The segment’s operating margin was 17.4% in the reported quarter compared with the year-earlier quarter’s 8.4%.
ROK’s FY24 Performance
The company has reported an adjusted EPS of $9.71 in fiscal 2024, beating the Zacks Consensus Estimate of $9.65. The bottom line was down 20% year over year. Including one-time items, earnings were $8.28 per share in the year compared with the prior year’s $11.95.
In fiscal 2024, total revenues were $8.26 billion, down 8.8% from fiscal 2023. The top line missed the Zacks Consensus Estimate of $8.29 billion. Organic sales for the year were down 10%. Acquisitions contributed 1% to sales, while currency negatively impacted the same.
Rockwell Automation’s Cash Position & Balance Sheet Updates
At the end of fiscal 2024, cash and cash equivalents were $0.47 billion compared with $1.07 billion as of the end of fiscal 2023. The long-term debt was $2.56 billion at the end of fiscal 2024, down from $2.86 million at the fiscal 2023 end.
Cash flow from operations in the year ended Sept. 30, 2024, was $0.86 billion compared with the prior year’s $1.37 billion. Return on invested capital was 15.2% as of Sept. 30, 2024.
In fiscal 2024, ROK repurchased 2.2 million shares for $594 million. As of the end of the quarter, $1.3 billion was available under the existing share-repurchase authorization.
ROK’s FY25 Guidance
Rockwell Automation expects an adjusted EPS of $8.60-$9.80 for fiscal 2025. The mid-point indicates a year-over-year dip of 5%.
Rockwell Automation’s Price Performance
In the past year, ROK shares have gained 16.5% against the industry’s 7% decline.
KLA Corporation (KLAC - Free Report) reported first-quarter fiscal 2025 (ended Sept. 30, 2024) adjusted earnings of $7.33 per share, beating the Zacks Consensus Estimate of $7.03. The figure jumped 27.7% year over year.
KLAC’s revenues increased 18.5% year over year to $2.84 billion, surpassing the Zacks Consensus Estimate of $2.76 billion.
Garmin Ltd.’s (GRMN - Free Report) third-quarter 2024 EPS was $1.99, which beat the Zacks Consensus Estimate of $1.46. The bottom line marked a 41% year-over-year improvement.
GRMN posted revenues of $1.59 billion for the quarter, which beat the consensus estimate of $1.44 billion. The company reported revenues of $1.28 billion in the year-ago quarter.
Carrier Global Corporation (CARR - Free Report) posted third-quarter 2024 EPS of 77 cents per share, missing the Zacks Consensus Estimate of 81 cents. The company had reported earnings of 89 cents in the year-ago quarter.
CARR recorded third-quarter 2024 revenues of $5.98 billion for the quarter, which missed the consensus estimate of $6.61 billion. The company had reported revenues of $5.73 billion in the year-ago quarter.
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Rockwell Automation Q4 Earnings Beat Estimates, Revenues Dip Y/Y
Rockwell Automation Inc. (ROK - Free Report) has reported adjusted earnings per share (EPS) of $2.47 in fourth-quarter fiscal 2024 (ended Sept. 30, 2024), beating the Zacks Consensus Estimate of $2.40. The bottom line fell 32% year over year on a lower sales volume.
Including one-time items, earnings were $2.09 per share in the fiscal fourth quarter compared with the prior-year quarter’s $2.61.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
ROK’s total revenues were $2.04 billion, down 20.6% from the prior-year quarter. The top line missed the Zacks Consensus Estimate of $2.07 billion. Organic sales in the quarter were down 21% year over year. We expected organic sales to decline 21.7% in the quarter. Acquisitions contributed 1% to sales, while currency had negative impacts.
ROK’s Q4 Operational Update
The cost of sales decreased 16.1% year over year to $1.26 billion. The gross profit fell 27% year over year to $771 million. Selling, general and administrative expenses moved down 11.7% year over year to $487 million.
Rockwell Automation, Inc. Price, Consensus and EPS Surprise
Rockwell Automation, Inc. price-consensus-eps-surprise-chart | Rockwell Automation, Inc. Quote
Consolidated segment operating income totaled $409 million, down 28.5% from the prior-year quarter. The total segment operating margin was 20.1% in the fiscal fourth quarter, lower than the prior-year period’s 22.3%. The decline was due to lower sales volume and an unfavorable mix, partially negated by gains from cost-reduction actions.
Rockwell Automation’s Q4 Segmental Results
Intelligent Devices: Net sales amounted to $946 million in the fiscal fourth quarter, down 19.2% year over year. The reported figure missed our estimate of $960 million.
The segment’s operating earnings totaled $195 million compared with the year-earlier quarter’s $249 million. We predicted the segment operating earnings of $185 million for the quarter. The segment’s operating margin decreased to 20.6% in the quarter from the year-ago quarter’s 21.3%.
Software & Control: Net sales fell 38.9% year over year to $502 million in the reported quarter. Reported sales missed our estimate of $512 million.
The segment’s operating earnings plunged 59.3% year over year to $112 million. We predicted segmental operating earnings of $121 million. The segment’s operating margin was 22.3% compared with 33.5% in the year-earlier quarter.
Lifecycle Services: Net sales for the segment were $588 million in the reported quarter, up 3% year over year. We projected the segment’s sales to be $584 million for the quarter. The segment’s operating earnings totaled $102 million compared with the prior-year quarter’s $47.8 million.
Our estimate for the segment’s operating earnings was $102.5 million. The segment’s operating margin was 17.4% in the reported quarter compared with the year-earlier quarter’s 8.4%.
ROK’s FY24 Performance
The company has reported an adjusted EPS of $9.71 in fiscal 2024, beating the Zacks Consensus Estimate of $9.65. The bottom line was down 20% year over year. Including one-time items, earnings were $8.28 per share in the year compared with the prior year’s $11.95.
In fiscal 2024, total revenues were $8.26 billion, down 8.8% from fiscal 2023. The top line missed the Zacks Consensus Estimate of $8.29 billion. Organic sales for the year were down 10%. Acquisitions contributed 1% to sales, while currency negatively impacted the same.
Rockwell Automation’s Cash Position & Balance Sheet Updates
At the end of fiscal 2024, cash and cash equivalents were $0.47 billion compared with $1.07 billion as of the end of fiscal 2023. The long-term debt was $2.56 billion at the end of fiscal 2024, down from $2.86 million at the fiscal 2023 end.
Cash flow from operations in the year ended Sept. 30, 2024, was $0.86 billion compared with the prior year’s $1.37 billion. Return on invested capital was 15.2% as of Sept. 30, 2024.
In fiscal 2024, ROK repurchased 2.2 million shares for $594 million. As of the end of the quarter, $1.3 billion was available under the existing share-repurchase authorization.
ROK’s FY25 Guidance
Rockwell Automation expects an adjusted EPS of $8.60-$9.80 for fiscal 2025. The mid-point indicates a year-over-year dip of 5%.
Rockwell Automation’s Price Performance
In the past year, ROK shares have gained 16.5% against the industry’s 7% decline.
Image Source: Zacks Investment Research
ROK’s Zacks Rank
Rockwell Automation currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Rockwell Automation’s Peer Performances
KLA Corporation (KLAC - Free Report) reported first-quarter fiscal 2025 (ended Sept. 30, 2024) adjusted earnings of $7.33 per share, beating the Zacks Consensus Estimate of $7.03. The figure jumped 27.7% year over year.
KLAC’s revenues increased 18.5% year over year to $2.84 billion, surpassing the Zacks Consensus Estimate of $2.76 billion.
Garmin Ltd.’s (GRMN - Free Report) third-quarter 2024 EPS was $1.99, which beat the Zacks Consensus Estimate of $1.46. The bottom line marked a 41% year-over-year improvement.
GRMN posted revenues of $1.59 billion for the quarter, which beat the consensus estimate of $1.44 billion. The company reported revenues of $1.28 billion in the year-ago quarter.
Carrier Global Corporation (CARR - Free Report) posted third-quarter 2024 EPS of 77 cents per share, missing the Zacks Consensus Estimate of 81 cents. The company had reported earnings of 89 cents in the year-ago quarter.
CARR recorded third-quarter 2024 revenues of $5.98 billion for the quarter, which missed the consensus estimate of $6.61 billion. The company had reported revenues of $5.73 billion in the year-ago quarter.