Table 1 | |||||||||||
EMERSON AND SUBSIDIARIES | |||||||||||
CONSOLIDATED OPERATING RESULTS | |||||||||||
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED) | |||||||||||
Quarter Ended Dec 31 | Percent Change | |||||||||||||||||||
2021 | 2022 | |||||||||||||||||||
Net sales | $3,156 | $3,373 | 7 | % | ||||||||||||||||
Cost of sales | 1,741 | 1,753 | ||||||||||||||||||
Selling, general and administrative expenses | 849 | 1,030 | ||||||||||||||||||
Gain on subordinated interest | (453) | — | ||||||||||||||||||
Other deductions, net | 38 | 120 | ||||||||||||||||||
Interest expense, net | 39 | 48 | ||||||||||||||||||
Earnings from continuing operations before income taxes | 942 | 422 | (55) | % | ||||||||||||||||
98 | ||||||||||||||||||||
Income taxes | 196 | 98 | ||||||||||||||||||
Earnings from continuing operations | 746 | 324 | (57) | % | ||||||||||||||||
Discontinued operations, net of tax: $84 and $966, respectively | 149 | 2,002 | ||||||||||||||||||
Net earnings | 895 | 2,326 | ||||||||||||||||||
Less: Noncontrolling interests in subsidiaries | (1) | (5) | ||||||||||||||||||
Net earnings common stockholders | $896 | $2,331 | 160 | % | ||||||||||||||||
Earnings common stockholders | ||||||||||||||||||||
Earnings from continuing operations | $746 | $329 | (56) | % | ||||||||||||||||
Discontinued operations | 150 | 2,002 | ||||||||||||||||||
Net earnings common stockholders | $896 | $2,331 | 160 | % | ||||||||||||||||
Diluted average shares outstanding | 598.1 | 586.7 | ||||||||||||||||||
Diluted earnings per share common stockholders | ||||||||||||||||||||
Earnings from continuing operations | $1.25 | $0.56 | (55) | % | ||||||||||||||||
Discontinued operations | 0.25 | 3.41 | ||||||||||||||||||
Diluted earnings per common share | $1.50 | $3.97 | 165 | % | ||||||||||||||||
Page 2
Table 2 | |||||||||||
EMERSON AND SUBSIDIARIES | |||||||||||
SEGMENT SALES AND EARNINGS | |||||||||||
(AMOUNTS IN MILLIONS, UNAUDITED) | |||||||||||
The following tables show results for the Company's segments on an adjusted segment EBITA basis and are intended to supplement the Company's results of operations, including its segment earnings which are defined as earnings before interest and taxes. The Company defines adjusted segment and total segment EBITA as segment earnings excluding intangibles amortization expense, and restructuring and related expense. Adjusted segment and total segment EBITA, and adjusted segment and total segment EBITA margin are measures used by management and may be useful for investors to evaluate the Company's segments' operational performance.
Quarter Ended Dec 31 | Sales Growth | ||||||||||||||||||||||
2021 | 2022 | Reported | Underlying | ||||||||||||||||||||
Sales | |||||||||||||||||||||||
Final Control | $817 | $862 | 6 | % | 10 | % | |||||||||||||||||
Measurement & Analytical | 737 | 749 | 2 | % | 6 | % | |||||||||||||||||
Discrete Automation | 617 | 618 | — | % | 6 | % | |||||||||||||||||
Safety & Productivity | 351 | 310 | (12) | % | (10) | % | |||||||||||||||||
Intelligent Devices | $2,522 | $2,539 | 1 | % | 5 | % | |||||||||||||||||
Control Systems & Software | 570 | 606 | 6 | % | 10 | % | |||||||||||||||||
AspenTech | 82 | 243 | 197 | % | N/A | ||||||||||||||||||
Software and Control | $652 | $849 | 30 | % | 10 | % | |||||||||||||||||
Eliminations | (18) | (15) | |||||||||||||||||||||
Total | $3,156 | $3,373 | 7 | % | 6 | % |
Page 3
Table 2 cont. | |||||||||||
Quarter Ended Dec 31 | Quarter Ended Dec 31 | ||||||||||||||||||||||
2021 | 2022 | ||||||||||||||||||||||
As Reported (GAAP) | Adjusted EBITA (Non-GAAP) | As Reported (GAAP) | Adjusted EBITA (Non-GAAP) | ||||||||||||||||||||
Earnings | |||||||||||||||||||||||
Final Control | $122 | $153 | $158 | $184 | |||||||||||||||||||
Margins | 14.9 | % | 18.7 | % | 18.4 | % | 21.4 | % | |||||||||||||||
Measurement & Analytical | 170 | 178 | 175 | 181 | |||||||||||||||||||
Margins | 23.0 | % | 24.1 | % | 23.4 | % | 24.1 | % | |||||||||||||||
Discrete Automation | 120 | 130 | 121 | 129 | |||||||||||||||||||
Margins | 19.4 | % | 21.0 | % | 19.6 | % | 21.0 | % | |||||||||||||||
Safety & Productivity | 65 | 72 | 63 | 69 | |||||||||||||||||||
Margins | 18.6 | % | 20.8 | % | 20.4 | % | 22.4 | % | |||||||||||||||
Intelligent Devices | $477 | $533 | $517 | $563 | |||||||||||||||||||
Margins | 18.9 | % | 21.1 | % | 20.4 | % | 22.2 | % | |||||||||||||||
Control Systems & Software | 116 | 122 | 107 | 114 | |||||||||||||||||||
Margins | 20.4 | % | 21.4 | % | 17.6 | % | 18.7 | % | |||||||||||||||
AspenTech | (2) | 20 | (33) | 88 | |||||||||||||||||||
Margins | (2.3) | % | 24.9 | % | (13.6) | % | 36.6 | % | |||||||||||||||
Software and Control | $114 | $142 | $74 | $202 | |||||||||||||||||||
Margins | 17.6 | % | 21.8 | % | 8.7 | % | 23.8 | % | |||||||||||||||
Corporate items and interest expense, net: | |||||||||||||||||||||||
Stock compensation | (34) | (34) | (102) | (102) | |||||||||||||||||||
Unallocated pension and postretirement costs | 26 | 26 | 45 | 45 | |||||||||||||||||||
Corporate and other | (55) | (31) | (64) | (44) | |||||||||||||||||||
Gain on subordinated interest | 453 | — | |||||||||||||||||||||
Interest expense, net | (39) | (48) | |||||||||||||||||||||
Pretax Earnings / Adjusted EBITA | $942 | $636 | $422 | $664 | |||||||||||||||||||
Margins | 29.8 | % | 20.1 | % | 12.5 | % | 19.7 | % | |||||||||||||||
Supplemental Total Segment Earnings: | |||||||||||||||||||||||
Adjusted Total Segment EBITA | $675 | $765 | |||||||||||||||||||||
Margins | 21.4 | % | 22.7 | % | |||||||||||||||||||
Page 4
Table 2 cont. |
Quarter Ended Dec 31 | Quarter Ended Dec 31 | ||||||||||||||||||||||
2021 | 2022 | ||||||||||||||||||||||
Amortization of Intangibles1 | Restructuring and Related Costs2 | Amortization of Intangibles1 | Restructuring and Related Costs2 | ||||||||||||||||||||
Final Control | $24 | $7 | $22 | $4 | |||||||||||||||||||
Measurement & Analytical | 6 | 2 | 5 | 1 | |||||||||||||||||||
Discrete Automation | 8 | 2 | 7 | 1 | |||||||||||||||||||
Safety & Productivity | 6 | 1 | 6 | — | |||||||||||||||||||
Intelligent Devices | $44 | $12 | $40 | $6 | |||||||||||||||||||
Control Systems & Software | 5 | 1 | 6 | 1 | |||||||||||||||||||
AspenTech | 22 | — | 121 | — | |||||||||||||||||||
Software and Control | $27 | $1 | $127 | $1 | |||||||||||||||||||
Corporate | — | 1 | — | 8 | |||||||||||||||||||
Total | $71 | $14 | $167 | $15 | |||||||||||||||||||
1 Amortization of intangibles includes $14 and $49 reported in cost of sales for the three months ended December 31, 2021 and 2022, respectively. | |||||||||||||||||||||||
2 Restructuring and related costs includes $8 and $5 reported in cost of sales for the three months ended December 31, 2021 and 2022, respectively. |
Table 3 |
EMERSON AND SUBSIDIARIES | |||||||||||
ADJUSTED CORPORATE AND OTHER SUPPLEMENTAL | |||||||||||
(AMOUNTS IN MILLIONS, UNAUDITED) | |||||||||||
The following table shows the Company's corporate and other expenses on an adjusted basis. The Company's definition of adjusted corporate and other excludes corporate restructuring and related costs, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. This metric is useful for reconciling from total adjusted segment EBITA to the Company's consolidated adjusted EBITA.
Quarter Ended Dec 31 | |||||||||||||||||||||||
Corporate and Other | 2021 | 2022 | |||||||||||||||||||||
Corporate and other (GAAP) | $(55) | $(64) | |||||||||||||||||||||
Corporate restructuring and related costs | 1 | 8 | |||||||||||||||||||||
Acquisition / divestiture costs | 23 | — | |||||||||||||||||||||
Russia business exit | — | 47 | |||||||||||||||||||||
AspenTech Micromine purchase price hedge | — | (35) | |||||||||||||||||||||
Adjusted corporate and other (Non-GAAP) | $(31) | $(44) |
Page 5
Table 4 | ||||||||
EMERSON AND SUBSIDIARIES | ||||||||
ADJUSTED EBITA & EPS SUPPLEMENTAL | ||||||||
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED) | ||||||||
The following tables, which show results on an adjusted EBITA basis and diluted earnings per share on an adjusted basis, are intended to supplement the Company's results of operations. The Company defines adjusted EBITA as earnings excluding net interest expense, income taxes, intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. Adjusted earnings per share excludes intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction fees, and certain gains, losses or impairments. Adjusted EBITA, adjusted EBITA margin, and adjusted earnings per share are measures used by management and may be useful for investors to evaluate the Company's operational performance.
Quarter Ended Dec 31 | |||||||||||
2021 | 2022 | ||||||||||
Pretax earnings | $942 | $422 | |||||||||
Percent of sales | 29.8 | % | 12.5 | % | |||||||
Interest expense, net | 39 | 48 | |||||||||
Amortization of intangibles | 71 | 167 | |||||||||
Restructuring and related costs | 14 | 15 | |||||||||
Gain on subordinated interest | (453) | — | |||||||||
Acquisition/divestiture costs | 23 | — | |||||||||
Russia business exit | — | 47 | |||||||||
AspenTech Micromine purchase price hedge | — | (35) | |||||||||
Adjusted EBITA | $636 | $664 | |||||||||
Percent of sales | 20.1 | % | 19.7 | % | |||||||
Quarter Ended Dec 31 | |||||||||||
2021 | 2022 | ||||||||||
GAAP earnings from continuing operations per share | $1.25 | $0.56 | |||||||||
Amortization of intangibles | 0.09 | 0.15 | |||||||||
Restructuring and related costs | 0.02 | 0.02 | |||||||||
Gain on subordinated interest | (0.60) | — | |||||||||
Acquisition/divestiture costs | 0.03 | — | |||||||||
Russia business exit | — | 0.08 | |||||||||
AspenTech Micromine purchase price hedge | — | (0.03) | |||||||||
Adjusted earnings from continuing operations per share | $0.79 | $0.78 | |||||||||
AspenTech contribution to adjusted earnings per share | (0.05) | ||||||||||
Adjusted earnings per share excluding AspenTech contribution | $0.73 |
Page 6
Table 4 cont. |
Quarter Ended December 31, 2022 | |||||||||||||||||||||||||||||||||||
Pretax Earnings | Income Taxes | Earnings from Cont. Ops. | Non-Controlling Interests | 3 | Net Earnings Common Stockholders | Diluted Earnings Per Share | |||||||||||||||||||||||||||||
As reported (GAAP) | $422 | $98 | $324 | $(5) | $329 | $0.56 | |||||||||||||||||||||||||||||
Amortization of intangibles | 167 | 1 | 38 | 129 | 42 | 87 | 0.15 | ||||||||||||||||||||||||||||
Restructuring and related costs | 15 | 2 | 4 | 11 | 11 | 0.02 | |||||||||||||||||||||||||||||
Russia business exit | 47 | 2 | 45 | 45 | 0.08 | ||||||||||||||||||||||||||||||
AspenTech Micromine purchase price hedge | (35) | (8) | (27) | (12) | (15) | (0.03) | |||||||||||||||||||||||||||||
Adjusted (Non-GAAP) | $616 | $134 | $482 | $25 | $457 | $0.78 | |||||||||||||||||||||||||||||
Interest expense | 48 | ||||||||||||||||||||||||||||||||||
Adjusted EBITA (Non-GAAP) | $664 | ||||||||||||||||||||||||||||||||||
1 Amortization of intangibles includes $49 reported in cost of sales. | |||||||||||||||||||||||||||||||||||
2 Restructuring and related costs includes $5 reported in cost of sales. | |||||||||||||||||||||||||||||||||||
3 Represents the 45 percent non-controlling interest in AspenTech applied to AspenTech's share of each adjustment presented herein and eliminated from Emerson's consolidated results. |
Table 5 | |||||||||||
EMERSON AND SUBSIDIARIES | |||||||||||
ASPENTECH CONTRIBUTION TO EMERSON RESULTS SUPPLEMENTAL | |||||||||||
(AMOUNTS IN MILLIONS EXCEPT PER SHARE, UNAUDITED) | |||||||||||
The following tables reconcile the financial results of AspenTech reported to its shareholders with the amounts included in Emerson's consolidated financial results. Emerson owns 55 percent of AspenTech, a separately traded public company (NASDAQ: AZPN), and consolidates AspenTech in its financial results. The 45 percent non-controlling interest in AspenTech is removed from Emerson's net earnings common stockholders through the non-controlling interest line item. AspenTech is also one of Emerson's segments and its GAAP segment earnings is reconciled below to its consolidated impact to clarify that certain items are reported outside of its segment earnings within Emerson corporate, including interest income, stock compensation and the Micromine purchase price hedge.
Page 7
Quarter Ended December 31, 2022 | |||||||||||||||||||||||||||||||||||
Pretax Earnings | Income Taxes | Earnings from Cont. Ops. | Non-Controlling Interests | 5 | Net Earnings Common Stockholders | Diluted Earnings Per Share | |||||||||||||||||||||||||||||
Standalone reporting (GAAP) | $(17) | 1 | $49 | $(66) | |||||||||||||||||||||||||||||||
Interim tax reporting | 0 | (54) | 2 | 54 | |||||||||||||||||||||||||||||||
Reported in Emerson consolidation (GAAP) | (17) | (5) | (12) | (5) | (7) | $(0.01) | |||||||||||||||||||||||||||||
Adjustments: | |||||||||||||||||||||||||||||||||||
Amortization of intangibles | 121 | 3 | 28 | 93 | 42 | 51 | 0.09 | ||||||||||||||||||||||||||||
AspenTech Micromine purchase price hedge | (35) | 4 | (8) | (27) | (12) | (15) | (0.03) | ||||||||||||||||||||||||||||
Adjusted (Non-GAAP) | $69 | $15 | $54 | $25 | $29 | $0.05 | |||||||||||||||||||||||||||||
Interest income | (4) | 4 | |||||||||||||||||||||||||||||||||
Stock compensation | 23 | 4 | |||||||||||||||||||||||||||||||||
Adjusted Segment EBITA (Non-GAAP) | $88 | ||||||||||||||||||||||||||||||||||
Reconciliation to Segment EBIT | |||||||||||||||||||||||||||||||||||
Pre-tax earnings | $(17) | ||||||||||||||||||||||||||||||||||
Interest income | (4) | 4 | |||||||||||||||||||||||||||||||||
Stock compensation | 23 | 4 | |||||||||||||||||||||||||||||||||
Micromine purchase price hedge | (35) | 4 | |||||||||||||||||||||||||||||||||
Segment EBIT (GAAP) | (33) | ||||||||||||||||||||||||||||||||||
Amortization of intangibles | 121 | 3 | |||||||||||||||||||||||||||||||||
Adjusted Segment EBITA (Non-GAAP) | $88 | ||||||||||||||||||||||||||||||||||
1 Amount reflects AspenTech's pretax earnings for the three months ended December 31, 2022, reported in its standalone quarterly report on Form 10-Q. | |||||||||||||||||||||||||||||||||||
2 GAAP income taxes reported by AspenTech differ from the amount reflected in Emerson's consolidated financial statements due to the application of the ASC 740 interim tax rules at the AspenTech entity level in their stand-alone publicly reported financial statements as compared to the amount computed at the Emerson consolidated level. | |||||||||||||||||||||||||||||||||||
3 Amortization of intangibles includes $48 reported in cost of sales. | |||||||||||||||||||||||||||||||||||
4 Reported in Emerson corporate line items. | |||||||||||||||||||||||||||||||||||
5 Represents the 45 percent non-controlling interest in AspenTech applied to each adjustment presented herein and eliminated from Emerson's consolidated results. |
Page 8
Table 6 | |||||||||||
EMERSON AND SUBSIDIARIES | |||||||||||
UNDERLYING SALES GROWTH SUPPLEMENTAL | |||||||||||
Fiscal Year 2022 | |||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | |||||||||||||||||||||||||
Final Control | 2 | % | 8 | % | 7 | % | 9 | % | 7 | % | |||||||||||||||||||
Measurement & Analytical | 6 | % | 7 | % | 4 | % | 12 | % | 7 | % | |||||||||||||||||||
Discrete Automation | 12 | % | 9 | % | 3 | % | 15 | % | 10 | % | |||||||||||||||||||
Safety & Productivity | 17 | % | 6 | % | 6 | % | — | % | 7 | % | |||||||||||||||||||
Intelligent Devices | 8 | % | 7 | % | 5 | % | 10 | % | 8 | % | |||||||||||||||||||
Control Systems & Software | 1 | % | 7 | % | 3 | % | 16 | % | 7 | % | |||||||||||||||||||
AspenTech | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Software and Control | 1 | % | 7 | % | 3 | % | 16 | % | 7 | % | |||||||||||||||||||
Total | 6 | % | 7 | % | 4 | % | 11 | % | 7 | % |
Reconciliations of Non-GAAP Financial Measures & Other | Table 7 | |||||||||||||
Reconciliations of Non-GAAP measures with the most directly comparable GAAP measure (dollars in millions, except per share amounts). See tables 2 through 5 for additional non-GAAP reconciliations. | ||||||||||||||
Q1 FY23 Underlying Sales Change | Final Control | Measurement & Analytical | Discrete Automation | Safety & Productivity | Intelligent Devices | |||||||||||||||
Reported (GAAP) | 6 | % | 2 | % | — | % | (12) | % | 1 | % | ||||||||||
(Favorable) / Unfavorable FX | 4 | % | 4 | % | 6 | % | 2 | % | 4 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 10 | % | 6 | % | 6 | % | (10) | % | 5 | % |
Q1 FY23 Underlying Sales Change | Control Systems & Software | AspenTech | Software and Control | Emerson | ||||||||||||||||
Reported (GAAP) | 6 | % | 197 | % | 30 | % | 7 | % | ||||||||||||
(Favorable) / Unfavorable FX | 4 | % | — | % | 4 | % | 4 | % | ||||||||||||
(Acquisitions) / Divestitures | — | % | (197) | % | (24) | % | (5) | % | ||||||||||||
Underlying (Non-GAAP) | 10 | % | — | % | 10 | % | 6 | % |
FY22 Underlying Sales Change | Emerson | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 6 | % | 5 | % | 5 | % | 11 | % | 7 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 4 | % | 5 | % | 3 | % | ||||||||||
(Acquisitions) / Divestitures | (1) | % | — | % | (5) | % | (5) | % | (3) | % | ||||||||||
Underlying (Non-GAAP) | 6 | % | 7 | % | 4 | % | 11 | % | 7 | % |
Page 9
Table 7 cont. |
FY22 Underlying Sales Change | Final Control | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 1 | % | 6 | % | 3 | % | 4 | % | 4 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 4 | % | 5 | % | 3 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 2 | % | 8 | % | 7 | % | 9 | % | 7 | % |
FY22 Underlying Sales Change | Measurement & Analytical | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 5 | % | 5 | % | 1 | % | 7 | % | 4 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 3 | % | 5 | % | 3 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 6 | % | 7 | % | 4 | % | 12 | % | 7 | % |
FY22 Underlying Sales Change | Discrete Automation | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 11 | % | 6 | % | (2) | % | 8 | % | 6 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 3 | % | 5 | % | 7 | % | 4 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 12 | % | 9 | % | 3 | % | 15 | % | 10 | % |
FY22 Underlying Sales Change | Safety & Productivity | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 16 | % | 4 | % | 3 | % | (4) | % | 5 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 3 | % | 4 | % | 2 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 17 | % | 6 | % | 6 | % | — | % | 7 | % |
FY22 Underlying Sales Change | Intelligent Devices | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 7 | % | 5 | % | 1 | % | 5 | % | 5 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 4 | % | 5 | % | 3 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 8 | % | 7 | % | 5 | % | 10 | % | 8 | % |
FY22 Underlying Sales Change | Control Systems & Software | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | — | % | 5 | % | (1) | % | 10 | % | 3 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 4 | % | 6 | % | 4 | % | ||||||||||
(Acquisitions) / Divestitures | — | % | — | % | — | % | — | % | — | % | ||||||||||
Underlying (Non-GAAP) | 1 | % | 7 | % | 3 | % | 16 | % | 7 | % |
Page 10
Table 7 cont. |
FY22 Underlying Sales Change | AspenTech | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 11 | % | (1) | % | 191 | % | 217 | % | 106 | % | ||||||||||
(Favorable) / Unfavorable FX | N/A | N/A | N/A | N/A | N/A | |||||||||||||||
(Acquisitions) / Divestitures | (11) | % | 1 | % | (191) | % | (217) | % | (106) | % | ||||||||||
Underlying (Non-GAAP) | N/A | N/A | N/A | N/A | N/A |
FY22 Underlying Sales Change | Software and Control | |||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY | ||||||||||||||||
Reported (GAAP) | 1 | % | 4 | % | 23 | % | 34 | % | 16 | % | ||||||||||
(Favorable) / Unfavorable FX | 1 | % | 2 | % | 4 | % | 6 | % | 4 | % | ||||||||||
(Acquisitions) / Divestitures | (1) | % | 1 | % | (24) | % | (24) | % | (13) | % | ||||||||||
Underlying (Non-GAAP) | 1 | % | 7 | % | 3 | % | 16 | % | 7 | % |
Final Control Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $122 | $158 | 14.9 | % | 18.4 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 31 | 26 | 3.8 | % | 3.0 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $153 | $184 | 18.7 | % | 21.4 | % |
Measurement & Analytical Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $170 | $175 | 23.0 | % | 23.4 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 8 | 6 | 1.1 | % | 0.7 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $178 | $181 | 24.1 | % | 24.1 | % |
Discrete Automation Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $120 | $121 | 19.4 | % | 19.6 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 10 | 8 | 1.6 | % | 1.4 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $130 | $129 | 21.0 | % | 21.0 | % |
Safety & Productivity Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $65 | $63 | 18.6 | % | 20.4 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 7 | 6 | 2.2 | % | 2.0 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $72 | $69 | 20.8 | % | 22.4 | % |
Page 11
Table 7 cont. |
Intelligent Devices Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $477 | $517 | 18.9 | % | 20.4 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 56 | 46 | 2.2 | % | 1.8 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $533 | $563 | 21.1 | % | 22.2 | % |
Control Systems & Software Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $116 | $107 | 20.4 | % | 17.6 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 6 | 7 | 1.0 | % | 1.1 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $122 | $114 | 21.4 | % | 18.7 | % |
AspenTech Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $(2) | $(33) | (2.3) | % | (13.6) | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 22 | 121 | 27.2 | % | 50.2 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $20 | $88 | 24.9 | % | 36.6 | % |
Software and Control Adjusted EBITA | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Business Segment EBIT / EBIT margin (GAAP) | $114 | $74 | 17.6 | % | 8.7 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 28 | 128 | 4.2 | % | 15.1 | % | ||||||||||||||||||||||||||||||||
Adjusted Business Segment EBITA / EBITA margin (Non-GAAP) | $142 | $202 | 21.8 | % | 23.8 | % |
Total Business Segment Adjusted EBITA Margin | Q1 2022 | Q1 2023 | Q1 2022 | Q1 2023 | ||||||||||||||||||||||||||||||||||
Pretax earnings / margin (GAAP) | $942 | $422 | 29.8 | % | 12.5 | % | ||||||||||||||||||||||||||||||||
Corporate items and interest expense, net | (351) | 169 | (11.1) | % | 5.0 | % | ||||||||||||||||||||||||||||||||
Total Business Segment EBIT / margin | 591 | 591 | 18.7 | % | 17.5 | % | ||||||||||||||||||||||||||||||||
Amortization of intangibles and restructuring and related costs | 84 | 174 | 2.7 | % | 5.2 | % | ||||||||||||||||||||||||||||||||
Adjusted Total Business Segment EBITA / margin (Non-GAAP) | $675 | $765 | 21.4 | % | 22.7 | % |