Emerson sales flat for Q1
Emerson reported that net sales in the first quarter were flat, as underlying sales growth of 6 percent was offset by 3 percent declines each from currency translation and divestitures.
Net earnings increased 14 percent to $462 million on sales of $5.6 billion.
Demand was mixed across geographies and markets, with the U.S. up 8 percent and Asia up 2 percent, while Europe grew slightly as large projects offset pronounced short cycle weakness. Underlying sales were led by 17 percent growth in Climate Technologies, which benefited from U.S. air conditioning customers increasing inventory in anticipation of regulatory changes effective Jan. 1.
Process Management net sales grew 3 percent. Underlying sales increased 6 percent supported by strong backlog and continued orders momentum despite the significant oil price decline.
Industrial Automation net sales were flat, with underlying sales up 4 percent offset by unfavorable currency translation of 4 percent. Geographic results reflected wide variation, with North America up 13 percent, Asia up 5 percent, and Europe down 8 percent.
Network Power net sales decreased 14 percent, as divestitures deducted 12 percent and currency translation deducted 3 percent.
Climate Technologies net sales increased 15 percent, as U.S. air conditioning customers built inventory in the quarter ahead of regulatory changes that went into effect Jan. 1. Underlying sales grew 17 percent, led by North America up 26 percent.
Commercial & Residential Solutions net sales increased 3 percent, with underlying sales up 4 percent, led by solid market conditions in the U.S. Growth in professional tools, wet/dry vacuums and food waste disposers more than offset declines in the storage businesses.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
