Successful Portfolio Transformation
Emerson completed the acquisition of National Instruments, and announced a proposal to acquire the remaining shares of AspenTech for $240 per share, highlighting a strong industrial software strategy.
Strong Financial Performance in 2024
Underlying sales grew 6% and operating leverage was 47%. Adjusted EPS was $5.49, at the high end of August guidance, with free cash flow of $2.9 billion, exceeding expectations.
Increased Shareholder Returns
Emerson plans to repurchase approximately $2 billion of common stock in fiscal 2025, with a $1 billion completion target by the end of the first fiscal quarter, alongside returning 100% of free cash flow to shareholders.
Strong Project Funnel and Market Outlook
Emerson's project funnel is strong with $11.2 billion in large projects, driven by LNG, life sciences, and sustainability. Process and hybrid markets are expected to grow mid-single digits in 2025.
Promising Outlook for Power Segment
Power generation represents approximately 9% of revenue with mid- to high single-digit order growth, driven by investments in grid infrastructure and data centers.