Emerson Electric

EMR Q2 2025 Earnings

Reported May 7, 2025 at 6:53 AM ET · SEC Source

Q2 25 EPS

$1.48

BEAT +4.71%

Est. $1.41

Q2 25 Revenue

$4.43B

BEAT +1.11%

Est. $4.38B

vs S&P Since Q2 25

-0.2%

TRAILING MARKET

EMR +28.2% vs S&P +28.4%

Market Reaction

Did EMR Beat Earnings? Q2 2025 Results

Emerson Electric closed its fiscal second quarter of 2025 with a clean beat on both top and bottom lines, as disciplined cost management and a landmark portfolio move combined to lift results above Wall Street's expectations. Adjusted EPS came in at … Read more Emerson Electric closed its fiscal second quarter of 2025 with a clean beat on both top and bottom lines, as disciplined cost management and a landmark portfolio move combined to lift results above Wall Street's expectations. Adjusted EPS came in at $1.48, ahead of the $1.41 consensus by 4.71%, while net sales of $4.43 billion topped estimates by 1.11% and grew 1.3% year-over-year. The quarter's defining moment was the March 12 completion of the AspenTech buy-in, which closed Emerson's multi-year transformation and helped push adjusted segment EBITA margins to a record 28.0%, up 200 basis points. Control Systems and Software led segment performance with reported sales climbing 10% to $1.06 billion, partially offsetting softness in Intelligent Devices. Free cash flow rose 14% to $738 million, underscoring operational health. Looking ahead, management raised its full-year adjusted EPS guidance to $5.90 to $6.05 and now expects approximately 4% net sales growth, signaling confidence that cost discipline and the integrated AspenTech platform can sustain momentum through the back half of the fiscal year.

Key Takeaways

  • Record gross profit and adjusted segment EBITA margins of 28.0%, up 200 bps YoY
  • Emerson Management System driving operational improvements
  • Control Systems & Software underlying sales growth of 11%
  • Strong underlying orders growth of 4%
  • AspenTech buy-in completed March 12, 2025, contributing to Control Systems & Software growth
24/7 Wall St

EMR YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

EMR Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26

“Emerson delivered strong underlying orders in the second quarter with margin expansion and adjusted earnings exceeding our expectations. We achieved another quarter of record gross profit and adjusted segment EBITA margins, supported by our Emerson Management System and demonstrating the value customers attribute to our leading technology. Our superior first half performance and ability to navigate the tariff environment give us the confidence to update our 2025 outlook.”

— Lal Karsanbhai, Q2 2025 Earnings Press Release