Emerson Electric misses revenue estimates, flags Middle East impact
Emerson Electric Co. EMR | 0.00 |
May 5 (Reuters) - Emerson Electric EMR.N missed Wall Street expectations for second-quarter revenue on Tuesday, with the automation technology firm saying the Middle East conflict had an impact on sales during the period.
Shares of the company were down about 2% in after-hours trading.
Total revenue for the quarter ended March 31 rose 3% to $4.56 billion, compared with analysts' estimates of $4.6 billion, according to data compiled by LSEG.
CEO Lal Karsanbhai said, "While sales were impacted by the conflict in the Middle East, margins exceeded expectations, and we achieved strong adjusted earnings per share."
Emerson expects full-year adjusted profit between $6.45 and $6.55 per share, the midpoint of which is in line with Wall Street estimates of $6.50.
The St. Louis, Missouri-based company reported an adjusted quarterly profit of $1.54 per share, compared to $1.48 apiece a year ago.
Analysts, on average, were expecting a profit per share of $1.53, as per data compiled by LSEG.
The U.S. manufacturing Purchasing Managers' Index rose to 52.7 in March from 47.9 in December, according to the Institute for Supply Management's data, signaling a rebound in factory activity that could support demand for industrial offerings.
Earlier on Tuesday, peer Rockwell Automation ROK.N raised its annual profit forecast after reporting better-than-expected second-quarter results, helped by higher demand for its factory automation systems and robotics control software.
