Emerson beats fiscal Q3 2026 estimates with non-GAAP EPS $1.71, revenue $4.9B (+7% YoY), raises FY26 guidance on strong semiconductor and power demand
| Metric | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $18.02B | $17.49B | $15.16B | $13.80B | $12.93B | $16.79B | $18.37B | $17.41B |
| Cost of Revenue | $8.50B | $8.61B | $7.74B | $7.50B | $7.20B | $9.78B | $10.56B | $9.98B |
| Gross Profit | $9.52B | $8.88B | $7.43B | $6.31B | $5.73B | $7.01B | $7.82B | $7.43B |
| Gross Margin | 52.84% | 50.79% | 48.97% | 45.68% | 44.31% | 41.76% | 42.54% | 42.69% |
| Operating Expenses | $7.28B | $6.22B | $4.67B | $3.95B | $3.77B | $4.22B | $4.70B | $4.48B |
| Operating Income | $2.24B | $2.67B | $2.76B | $2.36B | $1.96B | $2.78B | $3.12B | $2.95B |
| Operating Margin | 12.42% | 15.24% | 18.19% | 17.07% | 15.15% | 16.59% | 16.98% | 16.96% |
| Net Income | $2.29B | $1.97B | $13.22B | $3.23B | $2.30B | $1.97B | $2.31B | $2.20B |
| Net Margin | 12.73% | 11.25% | 87.17% | 23.41% | 17.81% | 11.71% | 12.55% | 12.66% |
| EPS (Basic) | $4.06 | $3.44 | $3.75 | $4.63 | $3.85 | $3.26 | $3.74 | $3.49 |
| EBITDA | $4.86B | $4.03B | $4.21B | $3.50B | $2.69B | $3.36B | $3.88B | $3.63B |
| Stock Option Compensation Expense | $263.00M | $260.00M | $250.00M | $125.00M | $197.00M | $110.00M | $120.00M | $216.00M |
| Price To Earnings Ratio | 32.42 | 31.75 | 4.19 | 13.44 | 24.46 | 20.12 | 17.87 | 22.27 |
| Price To Sales Ratio | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Shares Outstanding | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Market Capitalization | $74.34B | $62.48B | $55.45B | $43.41B | $56.34B | $39.53B | $41.20B | $49.07B |
| Metric | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|
| Cash & Short Term Investments | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Short Term Receivables | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Inventories | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Current Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Current Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Net Property, Plant & Equipment | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Investments and Advances | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Long-Term Note Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Intangible Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Deferred Tax Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Assets | $41.96B | $44.25B | $42.75B | $35.67B | $24.71B | $22.88B | $20.50B | $20.39B |
| Short Term Debt Incl. Current Port. of LT Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Payable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax Payable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Current Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Current Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Long Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Provision for Risks Charges | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Deferred Tax Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Liabilities | $21.67B | $16.74B | $16.15B | $19.36B | $14.79B | $14.44B | $12.22B | $11.40B |
| Non-Equity Reserves | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Preferred Stock - Carrying Value | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Common Equity | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Shareholders Equity | $20.28B | $21.64B | $20.69B | $10.36B | $9.88B | $8.40B | $8.23B | $8.95B |
| Accumulated Minority Interest | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $20.28B | $21.64B | $20.69B | $10.36B | $9.88B | $8.40B | $8.23B | $8.95B |
| Total Liabilities & Stockholders Equity | $41.96B | $44.25B | $42.75B | $35.67B | $24.71B | $22.88B | $20.50B | $20.39B |
| Book Value Per Share | $35.82 | $48.15 | $46.32 | $27.52 | $16.59 | $14.01 | $13.43 | $14.22 |
| Tangible Book Value Per Share | $-12.98 | $-1.74 | $10.20 | $-7.09 | $-1.13 | $-1.25 | $-1.42 | $-0.34 |
| Full-Time Employees | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Price to Book Ratio | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Return on Assets | 5.46% | 4.45% | 30.92% | 9.06% | 9.32% | 8.59% | 11.25% | 10.80% |
| Return on Equity | 11.31% | 9.10% | 63.89% | 31.18% | 23.30% | 23.38% | 28.01% | 24.62% |
| Return on Invested Capital | 4.60% | 5.40% | 5.62% | 6.08% | 8.14% | 13.00% | 15.91% | 15.53% |
| Quick Ratio | 0.65 | 1.40 | 2.35 | 0.87 | 1.02 | 1.19 | 0.88 | 0.78 |
| Current Ratio | 0.88 | 1.77 | 2.75 | 1.09 | 1.35 | 1.52 | 1.19 | 1.07 |
| Metric | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|
| Net Income | $2.29B | $1.97B | $13.22B | $3.23B | $2.30B | $1.97B | $2.31B | $2.20B |
| Depreciation | $1.69B | $1.69B | $1.05B | $842.00M | $762.00M | $854.00M | $822.00M | $758.00M |
| Other Funds (Non Cash) | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Funds from Operations | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Extraordinary Item | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Changes in Working Capital | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Taxes Payable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Cash from Operating Activities | $3.10B | $3.33B | $637.00M | $2.92B | $3.58B | $3.08B | $3.01B | $2.89B |
| Capital Expenditures | $431.00M | $419.00M | $363.00M | $531.00M | $581.00M | $538.00M | $594.00M | $617.00M |
| Net Assets From Acquisitions | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Sale of Fixed Assets and Businesses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Purchase or Sale of Investments | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Purchase of Investments | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Sale Or Maturity of Investments | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Uses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Sources | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Cash from Investing Activities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Cash Dividends Paid | $1.19B | $1.20B | $1.20B | $1.22B | $1.21B | $1.21B | $1.21B | $1.23B |
| Change in Capital Stock | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Repurchase of Common Pref Stock | $1.24B | $643.00M | $2.21B | $500.00M | $500.00M | $942.00M | $1.25B | $1.00B |
| Sale of Common Pref Stock | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Proceeds from Stock Options | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Issuance or Reduction of Debt, Net | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Change in Long Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Issuance of Long Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Reduction of Long Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Net Financing Active Other Cash Flow | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Other Financing Activities Uses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Cash from Financing Activities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Exchange Rate Effect | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Net Change in Cash | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Free Cash Flow | $2.67B | $2.91B | $274.00M | $2.39B | $2.99B | $2.54B | $2.41B | $2.27B |
| Preferred Dividends (Cash Flow) | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Price to Free Cash Flow | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
Company coverage
Emerson Electric Co. is an international technology and engineering firm that delivers diverse solutions to industrial, commercial, and residential clients across the Americas, Asia, the Middle East, Africa, and Europe. The company's operations are divided into two main segments: Automation Solutions, and Commercial & Residential Solutions. Through its Automation Solutions division, Emerson provides a range of products including advanced measurement and analytical instruments, industrial valves, and sophisticated process control software and systems. This segment caters to a broad spectrum of industries such as oil and gas, refining, chemical processing, power generation, life sciences, food and beverage, automotive manufacturing, pulp and paper production, metals and mining, and municipal water utilities. The Commercial & Residential Solutions segment focuses on climate control and other essential home and business applications. It supplies residential and commercial heating and air conditioning (HVAC) products, encompassing various compressors (reciprocating and scroll), system protectors, precise flow control devices, and a variety of thermostats (standard, programmable, and Wi-Fi enabled). The segment also delivers monitoring equipment and electronic control units for both gas and electric heating setups, specialized gas valves for furnaces and water heaters, furnace ignition systems, and an array of sensors and thermistors for home appliances, alongside general temperature sensors and controls. Furthermore, this division supplies reciprocating, scroll, and screw compressors, along with precision flow control mechanisms, comprehensive system diagnostics, and advanced environmental control systems. Beyond hardware, it extends its portfolio to include technologies for air conditioning, refrigeration, and lighting management. Complementing these offerings are services like facility design and product lifecycle management, site commissioning, ongoing facility monitoring, and energy modeling. The segment also manufactures tools for both professional tradespeople and DIY enthusiasts, and offers a suite of appliance solutions. Established in 1890, Emerson Electric Co. maintains its corporate headquarters in Saint Louis, Missouri.
Why it moved over time
A Q3 earnings beat led by Software & Systems strength, margin expansion and a raised fiscal 2026 outlook is the likely catalyst, improving near-term growth and profitability visibility.
Key fact: Reported Q3 adjusted EPS $1.71 (beat estimates); Software & Systems surged and company raised fiscal 2026 outlook.
zacks.com: Emerson Q3 Earnings Beat on Software & Systems Strength, Outlook RaisedEmerson's Aug. 3 launch of the DeltaV automation platform for AI-scale data centers is the likely catalyst, as it targets a growing market and could boost near-term automation revenue and Q3 outlook.
Key fact: On Aug. 3 Emerson announced the DeltaV Automation Platform for data centers, emphasizing faster project delivery and a unified monitoring/control layer for AI-scale facilities.
prnewswire.com: Emerson's Integrated Automation Portfolio Fast-Tracks AI-Scale Data CentersAn Aug. 3 press release spotlights Emerson's DeltaV Automation Platform for AI-scale data centers, a product push that could boost automation revenue and investor expectations ahead of upcoming Q3 results.
Key fact: Emerson announced the DeltaV Automation Platform for data centers on Aug. 3, offering unified monitoring and control to accelerate time-to-compute and decouple hardware and software for faster project delivery.
prnewswire.com: Emerson's Integrated Automation Portfolio Fast-Tracks AI-Scale Data CentersEmerson is approaching Q3 fiscal 2026 earnings, with Wall Street expecting sales and EPS growth while AspenTech acquisition costs could pressure margins—investors are watching the report for results and guidance.
Key fact: Analysts expect Q3 fiscal 2026 sales and EPS growth, but note cost pressures tied to the AspenTech buyout alongside automation strength.
zacks.com: Emerson Gears Up to Post Q3 Earnings: Here's What to Expect