| Ticker | Status | Jurisdiction | Filing Date | CP Start | CP End | CP Loss | Deadline |
|---|
| Ticker | Case Name | Status | CP Start | CP End | Deadline | Settlement Amt |
|---|
| Ticker | Name | Date | Analyst Firm | Up/Down | Target ($) | Rating Change | Rating Current |
|---|
Rockwell Automation, Inc. (NYSE:ROK) stock surged on Thursday after it reported its fourth-quarter fiscal 2025 results, delivering revenue and adjusted earnings per share ahead of analyst expectations.
The company posted adjusted EPS of $3.34, beating the consensus estimate of $2.94. GAAP diluted EPS was $1.23, down 41% year-over-year (Y/Y).
The results include $136 million pre-tax charges ($0.91/share) for a change in accounting for legacy asbestos defense costs and higher indemnity accruals.
Total sales were $2.316 billion, up 14% year over year (Y/Y), exceeding the $2.190 billion estimate. Annual recurring revenue (ARR) grew 8% Y/Y in the quarter.
Also Read: Rockwell Automation Launched the ControlLogix 5590
Income before income taxes was $63 million, down from $275 million in the prior year, and pre-tax margin declined to 2.7% from 13.5%.
This resulted from a non-cash impairment related to the Sensia joint venture and an accounting adjustment with higher accruals for legacy asbestos liabilities.
Following a strategic review, Rockwell and its joint venture partner, SLB, agreed to orderly dissolve Sensia, with Rockwell retaining its original process automation business.
The transaction is expected to close in the first half of FY26, subject to customary approvals.
The fourth quarter results also include a $110 million non-cash impairment ($0.97/share) related to the dissolution.
Intelligent Devices segment sales were $1.086 billion, up 15% Y/Y. Segment operating margin contracted to 19.8% from 20.7% in the prior year, due to higher compensation costs and a previous year earnout accrual adjustment.
Software & Control segment sales grew 31% Y/Y to $657 million. Segment operating margin increased to 31.2% from 22.4% a year ago quarter, primarily due to higher volume and price realization.
Lifecycle Services sales were $573 million, a 3% decline Y/Y in the quarter. The segment's operating margin rose to 17.5% from 17.2%, reflecting strong project execution and productivity.
During the quarter, Rockwell Automation repurchased shares worth $69 million. As of September 30, the company had approximately $927 million remaining under its existing share repurchase authorization.
Return on invested capital (ROIC) for the year was 14.6%, compared to 15.2% in the prior year.
The company generated $454 million in operational cash flow and $405 million in free cash flow in the fourth quarter of fiscal 2025.
Chairman and CEO Blake Moret commented, "As we look to fiscal 2026, we are confident in Rockwell's ability to gain share and expand margins, even amid continued macro and geopolitical uncertainty. We believe that greater stability in trade policy could serve as a powerful catalyst for unlocking additional investment. Our guidance reflects a seasonally low first quarter, followed by gradual sequential improvement throughout the year."
Rockwell Automation expects the fiscal year 2026 adjusted EPS of $11.20–$12.20 compared to the $10.03 estimate.
The company sees fiscal year 2026 sales growth of 3% to 7% and organic sales growth of 2% to 6%.
ROK Price Action: Rockwell Automation shares were up 3.40% at $374.92 at the time of publication on Thursday. The stock is trading near its 52-week high of $375.02, according to Benzinga Pro data.
Read Next:
Photo via Shutterstock
Posted In: ROK
