Emerson Electric Co reports rise in sales and earnings in Q2 financial results

Software and technology company Emerson Electric Co (NYSE: EMR) reported solid Q1 2024 financial results today before US markets opened.

The results were positively received, with increases in EPS, sales, EBITDA and more experienced. This is the second recent bout of good news, after Emerson's stock price reached a record high earlier this year.

It also updated its full year outlook for fiscal 2024. Emerson also declared a quarterly cash dividend of $0.525 per share of common stock payable June 10, 2024 to stockholders of record on May 17th.

The results

Net sales were up 17% year-on-year (YoY) from $3.75 billion to $4.37 billion for the quarter.

Pre-tax earnings were also up, from $639 million the previous year to $652 million.

Meanwhile, earnings per share increase by a significant 25%, from $1.09 per ordinary share to $1.36.

The company's EBITDA also increased healthily, from $924 million to $1.13 billion year-on-year. Margin was also up by 140 basis points to 26%, from 24.6%.

Lastly, the company's cash flow increased 32%, from $513 million to $675 million year-on-year.

2024 outlook

The company also provided an updated forecast for the rest of 2024:

• Net sales growth: 15-16% for the year, 11-12.5% for Q3
• Earnings per share: $2.98-$3.08 for the year, $0.92-$0.96 for Q3
• Underlying sales growth: 5.5%-6.5% for the year, 3-4.5% for Q3