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Jun 30, 2024
Rockwell Automation Q3 2024 Earnings Report
Reported sales, margin, and EPS exceeded expectations, driven by productivity improvements, while project delays impacted order growth.
Key Takeaways
Rockwell Automation reported Q3 2024 results with sales of $2,051 million, down 8.4% year-over-year. Diluted EPS was $2.02, down 41.4%, and adjusted EPS was $2.71, down 10.0%. The company updates its fiscal 2024 guidance, anticipating ~ (8.5)% reported sales growth and ~$8.32 diluted EPS.
Reported and organic sales decreased by 8.4% year-over-year.
Total ARR increased by 17% year-over-year.
Diluted EPS was $2.02, a decrease of 41.4%, and includes a restructuring charge of $0.46.
Adjusted EPS was $2.71, a decrease of 10.0% year-over-year.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Rockwell Automation expects continued sequential order growth in the fourth quarter and into the next fiscal year, but at a more gradual pace than originally expected. Fiscal 2024 guidance is reduced to reflect this pace. Margins will continue to show the positive impact of productivity actions and pricing.
Positive Outlook
- Continued sequential order growth is expected in Q4 and into the next fiscal year.
- Margins will continue to show the positive impact of productivity actions.
- Margins will benefit from pricing strategies.
- Rockwell is positioned to benefit from new capacity investments in North America.
- Rockwell and its customers continue to invest in resilience, agility, and sustainability.
Challenges Ahead
- Order growth is expected at a more gradual pace than originally anticipated.
- Fiscal 2024 guidance is reduced to reflect the slower pace of order growth.
- Manufacturers are taking a pause in adding capacity.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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