We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ROK posted Q3 adjusted EPS of $2.82, topping estimates and rising 4% y/y.
Q3 sales grew 4.5% to $2.14B, with organic sales up 4% versus a projected 0.2% decline.
FY25 adjusted EPS guidance lifted to a range of $9.80 to $10.20, up from the prior $9.20 to $10.20 forecast.
Rockwell Automation Inc. (ROK - Free Report) has reported adjusted earnings per share (EPS) of $2.82 in third-quarter fiscal 2025 (ended June 30, 2025), which surpassed the Zacks Consensus Estimate of $2.69. The bottom line improved 4% year over year.
Including one-time items, earnings were $2.60 per share compared with $2.02 in the year-ago quarter.
Total sales were $2.14 billion, up 4.5% from the prior-year quarter. The top line beat the Zacks Consensus Estimate of $2.07 billion. Organic sales grew 4%. We had projected a 0.2% decline in organic sales.
Rockwell Automation, Inc. Price, Consensus and EPS Surprise
The cost of sales increased 1% year over year to $1.27 billion. The gross profit improved 10.2% to $876 million. Selling, general and administrative expenses edged down 0.6% year over year to $498 million.
Consolidated segment operating income totaled $454 million, up 6.6% from the prior-year quarter. The total segment operating margin was 21.2% in the fiscal third quarter, higher than the prior-year period’s 20.8%. The upside was driven by productivity, price realization and a favorable mix.
Rockwell Automation’s Q3 Segmental Results
Intelligent Devices: Net sales amounted to $968 million, up 1% year over year. The reported figure beat our estimate of $926 million.
The segment’s operating earnings totaled $182 million compared with the year-earlier quarter’s $193 million. We predicted the segment operating earnings to be $195 million. The operating margin fell to 18.8% from the year-ago quarter’s 20.2% due to higher compensation and unfavorable net currency. This was partially offset by productivity and price realization.
Software & Control: Net sales rose 23% year over year to $629 million. Reported sales surpassed our estimate of $583 million.
The segment’s operating earnings rose 61% year over year to $199 million, higher than our expectation of $149 million. The operating margin was 31.6% compared with 23.6% in the year-earlier quarter, reflecting the impacts of higher volume, price realization and productivity.
Lifecycle Services: Net sales for the segment were $547 million, down 6% year over year. We had projected the segment’s sales to be $550 million.
The segment’s operating earnings totaled $73 million compared with the year-ago quarter’s $112 million. Our estimate for operating earnings was $85.5 million.
The segment’s operating margin was 13.3% compared with the year-ago quarter’s 19.3%. The downside was led by higher compensation and lower volume.
ROK’s Cash Position & Balance Sheet Updates
At the end of the fiscal third quarter, cash and cash equivalents were approximately $495 million compared with $471 million as of the end of fiscal 2024. Cash flow from operations was $1.09 billion in the first nine months of fiscal 2025 compared with $0.43 billion in the prior-year period. Return on invested capital was 15% as of June 30, 2025.
ROK’s long-term debt was $2.62 million at the end of the quarter, higher than $2.56 billion at the fiscal 2024 end.
Rockwell Automation repurchased 0.5 million shares for $123 million in the fiscal third quarter. As of the end of the quarter, $1 billion was available under the existing share-repurchase authorization.
Rockwell Automation’s FY25 Guidance
The company updated its reported sales view to a decline of 2% to growth of 1%. It had earlier projected a drop of 4.5% to 1.5% growth in sales. The revised guidance includes no foreign currency impact. Organic sales growth is expected between a decline of 2% and an increase of 1%.
Rockwell Automation updated its adjusted EPS guidance to $9.80-$10.20 for fiscal 2025. It earlier expected an adjusted EPS of $9.20-$10.20.
ROK Stock’s Price Performance
In the past year, Rockwell Automation shares have gained 40.5% compared with the industry’s 2.5% growth.
Teradyne (TER - Free Report) reported second-quarter 2025 adjusted earnings of 57 cents per share, which beat the Zacks Consensus Estimate by 5.56% but plunged 33.7% year over year. The figure came in above the mid-point of Teradyne’s guidance range.
TER’s sales of $652 million beat the Zacks Consensus Estimate by 0.89% but declined 10.7% year over year. The figure also came in above the mid-point of Teradyne’s guidance range.
KLA Corporation (KLAC - Free Report) reported fourth-quarter fiscal 2025 adjusted earnings of $9.38 per share, beating the Zacks Consensus Estimate by 10%. The figure jumped 42.1% year over year.
KLA Corp’s sales increased 23.6% year over year to $3.17 billion, surpassing the Zacks Consensus Estimate by 3.21%.
The Timken Company (TKR - Free Report) posted an adjusted EPS of $1.42 in second-quarter 2025, beating the Zacks Consensus Estimate of $1.34 per share. The bottom line declined 13% year over year from the EPS of $1.63 in the year-ago quarter.
Timken’s total sales were $1.17 billion, down 0.8% from sales of $1.18 billion in the year-ago quarter. The top line beat the Zacks Consensus Estimate of $1.15 billion.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Rockwell Automation Q3 Earnings Beat Estimates, Sales Increase Y/Y
Key Takeaways
Rockwell Automation Inc. (ROK - Free Report) has reported adjusted earnings per share (EPS) of $2.82 in third-quarter fiscal 2025 (ended June 30, 2025), which surpassed the Zacks Consensus Estimate of $2.69. The bottom line improved 4% year over year.
Including one-time items, earnings were $2.60 per share compared with $2.02 in the year-ago quarter.
Total sales were $2.14 billion, up 4.5% from the prior-year quarter. The top line beat the Zacks Consensus Estimate of $2.07 billion. Organic sales grew 4%. We had projected a 0.2% decline in organic sales.
Rockwell Automation, Inc. Price, Consensus and EPS Surprise
Rockwell Automation, Inc. price-consensus-eps-surprise-chart | Rockwell Automation, Inc. Quote
ROK’s Margin Performance in Q3
The cost of sales increased 1% year over year to $1.27 billion. The gross profit improved 10.2% to $876 million. Selling, general and administrative expenses edged down 0.6% year over year to $498 million.
Consolidated segment operating income totaled $454 million, up 6.6% from the prior-year quarter. The total segment operating margin was 21.2% in the fiscal third quarter, higher than the prior-year period’s 20.8%. The upside was driven by productivity, price realization and a favorable mix.
Rockwell Automation’s Q3 Segmental Results
Intelligent Devices: Net sales amounted to $968 million, up 1% year over year. The reported figure beat our estimate of $926 million.
The segment’s operating earnings totaled $182 million compared with the year-earlier quarter’s $193 million. We predicted the segment operating earnings to be $195 million. The operating margin fell to 18.8% from the year-ago quarter’s 20.2% due to higher compensation and unfavorable net currency. This was partially offset by productivity and price realization.
Software & Control: Net sales rose 23% year over year to $629 million. Reported sales surpassed our estimate of $583 million.
The segment’s operating earnings rose 61% year over year to $199 million, higher than our expectation of $149 million. The operating margin was 31.6% compared with 23.6% in the year-earlier quarter, reflecting the impacts of higher volume, price realization and productivity.
Lifecycle Services: Net sales for the segment were $547 million, down 6% year over year. We had projected the segment’s sales to be $550 million.
The segment’s operating earnings totaled $73 million compared with the year-ago quarter’s $112 million. Our estimate for operating earnings was $85.5 million.
The segment’s operating margin was 13.3% compared with the year-ago quarter’s 19.3%. The downside was led by higher compensation and lower volume.
ROK’s Cash Position & Balance Sheet Updates
At the end of the fiscal third quarter, cash and cash equivalents were approximately $495 million compared with $471 million as of the end of fiscal 2024. Cash flow from operations was $1.09 billion in the first nine months of fiscal 2025 compared with $0.43 billion in the prior-year period. Return on invested capital was 15% as of June 30, 2025.
ROK’s long-term debt was $2.62 million at the end of the quarter, higher than $2.56 billion at the fiscal 2024 end.
Rockwell Automation repurchased 0.5 million shares for $123 million in the fiscal third quarter. As of the end of the quarter, $1 billion was available under the existing share-repurchase authorization.
Rockwell Automation’s FY25 Guidance
The company updated its reported sales view to a decline of 2% to growth of 1%. It had earlier projected a drop of 4.5% to 1.5% growth in sales. The revised guidance includes no foreign currency impact. Organic sales growth is expected between a decline of 2% and an increase of 1%.
Rockwell Automation updated its adjusted EPS guidance to $9.80-$10.20 for fiscal 2025. It earlier expected an adjusted EPS of $9.20-$10.20.
ROK Stock’s Price Performance
In the past year, Rockwell Automation shares have gained 40.5% compared with the industry’s 2.5% growth.
Image Source: Zacks Investment Research
Rockwell Automation’s Zacks Rank
ROK currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Teradyne (TER - Free Report) reported second-quarter 2025 adjusted earnings of 57 cents per share, which beat the Zacks Consensus Estimate by 5.56% but plunged 33.7% year over year. The figure came in above the mid-point of Teradyne’s guidance range.
TER’s sales of $652 million beat the Zacks Consensus Estimate by 0.89% but declined 10.7% year over year. The figure also came in above the mid-point of Teradyne’s guidance range.
KLA Corporation (KLAC - Free Report) reported fourth-quarter fiscal 2025 adjusted earnings of $9.38 per share, beating the Zacks Consensus Estimate by 10%. The figure jumped 42.1% year over year.
KLA Corp’s sales increased 23.6% year over year to $3.17 billion, surpassing the Zacks Consensus Estimate by 3.21%.
The Timken Company (TKR - Free Report) posted an adjusted EPS of $1.42 in second-quarter 2025, beating the Zacks Consensus Estimate of $1.34 per share. The bottom line declined 13% year over year from the EPS of $1.63 in the year-ago quarter.
Timken’s total sales were $1.17 billion, down 0.8% from sales of $1.18 billion in the year-ago quarter. The top line beat the Zacks Consensus Estimate of $1.15 billion.