Rockwell Automation, Inc.'s Stock Analysis

Rockwell Automation Reports Q3 2025 Financial Results and Guidance

Rockwell Automation reported sales of $2,144 million for the third quarter of fiscal 2025, reflecting a 5% increase compared to the same quarter in the previous year. Organic sales grew over 4%, with a total annual recurring revenue (ARR) increase of 7%. The company reported a diluted EPS of $2.60 and an adjusted EPS of $2.82, marking a year-over-year increase of 29% and 4%, respectively. Cash flow from operating activities reached $527 million, significantly up from $279 million in the prior year, while free cash flow also increased to $489 million from $238 million in Q3 2024.

The company updated its fiscal 2025 guidance, projecting reported and organic sales growth between -2% and 1%. The diluted EPS guidance range was adjusted to $8.89 - $9.29, and the adjusted EPS guidance range was set at $9.80 - $10.20. Rockwell Automation's total book-to-bill ratio remained around 1.0, indicating stable demand, while significant investments of over $2 billion are planned for enhancing plants, talent, and digital infrastructure over the next five years, primarily in the United States.

Aug 06, 2025 07:03:47

Rockwell Automation Secures $500 Million Term Loan Agreement

Rockwell Automation, Inc. has entered into a $500 million 364-day term loan credit agreement with various banks, including Bank of America, N.A. as the administrative agent. The agreement allows the company to secure credit in the form of loans, which will be available on the closing date, set for May 16, 2025, under specific terms and conditions outlined in the agreement.

The loan agreement includes various provisions regarding the use of proceeds, compliance with laws, and financial covenants. It also outlines the roles of the banks involved, including U.S. Bank National Association as the syndication agent and other banks serving as documentation agents and joint lead arrangers. This financial arrangement could impact Rockwell Automation's liquidity and operational flexibility.

May 19, 2025 17:20:31

Rockwell Automation Reports Q2 Results and Adjusts Guidance

Rockwell Automation, Inc. reported second quarter fiscal 2025 results, showing a 6% decline in reported sales compared to the same period last year, with organic sales down 4%. The company maintained a book-to-bill ratio of approximately 1.0, indicating stable demand. Adjusted earnings per share (EPS) for the quarter was $2.45, a decrease of 2% year-over-year, while diluted EPS was $2.22, down 4%. The company also reported an increase in total annual recurring revenue (ARR) by 8% year-over-year, with cash flow from operations improving to $199 million from $120 million in the previous year.

In light of the current market conditions, Rockwell Automation updated its fiscal 2025 sales growth guidance range to between -4.5% to 1.5%, reflecting a slight currency impact. The diluted EPS guidance was adjusted to a range of $8.23 to $9.23, while the adjusted EPS guidance was updated to $9.20 to $10.20. The company emphasized its focus on margin expansion and cost reduction, which has helped improve operating margins despite lower sales volumes across its segments.

May 07, 2025 07:01:18

Rockwell Automation Reports $1.61 EPS and 11% Total ARR Growth

Rockwell Automation reported a 10% increase in orders year over year, reflecting growth across all regions and business segments. The company also noted a significant improvement in cash flow from operating activities, which rose to $364 million compared to just $33 million in the same quarter last year, driven by the absence of incentive compensation payouts. Additionally, total annual recurring revenue (ARR) grew by 11% year over year, signaling a positive trend in recurring revenue streams.

Conversely, the company's reported sales fell by 8.4% year over year, with organic sales down by 7.6%. Diluted earnings per share (EPS) decreased to $1.61, a drop of 13% from the previous year, while adjusted EPS also declined by 10%. The overall pre-tax margin decreased to 11.3%, down from 12.7% in the same period last year, primarily due to lower sales volume. The company revised its fiscal 2025 sales growth outlook down to a range of -5.5% to 0.5%, citing a negative impact from foreign exchange rates.

Feb 10, 2025 07:01:14

Rockwell Automation Reports 21% Decline in Fourth Quarter Sales

Rockwell Automation reported a significant decline in its fourth quarter results, with reported and organic sales down 21% year over year. The diluted earnings per share (EPS) also fell by 20%, impacted by a restructuring charge. For the full year, sales decreased by 9%, and net income attributable to the company was down 31%. However, the company did see a 16% year-over-year growth in total Annual Recurring Revenue (ARR), indicating some positive momentum in recurring revenue streams. Additionally, cash flow from operating activities was $864 million despite a decrease of 37% from the previous year, and free cash flow stood at $639 million, down 47% year over year. 

On the downside, the company faced challenges in its Intelligent Devices and Software & Control segments, with sales and operating earnings down significantly. The total segment operating margin also decreased to 19.3% for the full year compared to 21.3% the previous year. Restructuring charges of $97 million were noted for the fiscal year, and the overall pre-tax margin declined from 17.8% to 13.3%. The company anticipates a continued decline in sales for the upcoming fiscal quarter, reflecting ongoing uncertainties in the macroeconomic environment.

Nov 07, 2024 07:02:10

Rockwell Automation Reports Mixed Q3 Results and Guidance

Rockwell Automation's third-quarter sales fell 8.4% year-over-year, with diluted EPS down 41.4% due to restructuring charges. However, total annual recurring revenue (ARR) rose 17%. The company updated its fiscal 2024 sales growth guidance to approximately -8.5% and diluted EPS to about $8.32. Despite project delays attributed to economic factors, management remains optimistic about future productivity and margin improvements, highlighting ongoing investments in resilience and sustainability.

Aug 07, 2024 07:01:50

Rockwell Automation Appoints New CFO to Drive Growth

Rockwell Automation appoints Christian Rothe as the new Chief Financial Officer, bringing extensive leadership and finance experience. Rothe's background in strategic planning and operations will support the company's growth and margin expansion goals. He replaces Nick Gangestad, who led the company through challenges, including the pandemic. Rockwell Automation, a global leader in industrial automation, aims to shape the future of industrial operations worldwide with Rothe's expertise.

Jul 17, 2024 07:16:00

Rockwell Automation Q2 2024 Results and Guidance Update

Rockwell Automation reported a 6.6% decrease in sales, with organic sales down 8.1% year over year. Acquisitions contributed positively. Diluted EPS and adjusted EPS dropped by 11% and 17%, respectively. The company updated fiscal 2024 guidance with lowered sales growth and EPS expectations. Despite challenges, the CEO highlighted gaining market share. The CFO announced retirement, with a successor search ongoing. Segment results varied, with Intelligent Devices and Software & Control experiencing declines, while Lifecycle Services saw growth.

May 07, 2024 07:07:20

Timothy Knavish joins Rockwell Automation Board of Directors

Timothy Knavish, CEO of PPG, has been elected to Rockwell Automation's board of directors. His leadership experience and global business management make him a valuable addition. Rockwell Automation is a global leader in industrial automation and digital transformation.

Feb 08, 2024 07:15:31

Rockwell Automation Reports Q1 2024 Results and Fiscal Year 2024 Outlook

Rockwell Automation's Q1 2024 results show a 3.6% increase in sales, with encouraging growth in customer order activity. However, diluted EPS decreased by 44%, attributed to lower pre-tax margin. The company reaffirms fiscal 2024 sales growth guidance of 0.5% - 6.5% and updates diluted EPS guidance to $11.24 - $12.74. Despite challenges like supply chain constraints, the company remains focused on winning share and expects low-single-digit topline growth in FY24.

Jan 31, 2024 07:04:21