Rockwell Automation Meets on the Top Line, Misses Where It Counts
Rockwell Automation (NYS: ROK) reported earnings on April 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q2), Rockwell Automation met expectations on revenue and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share increased.
Gross margin improved, operating margin expanded, and net margin dropped.
Rockwell Automation logged revenue of $1.56 billion. The 11 analysts polled by S&P Capital IQ anticipated revenue of $1.57 billion on the same basis. GAAP reported sales were 6.6% higher than the prior-year quarter's $1.46 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $1.16. The 16 earnings estimates compiled by S&P Capital IQ predicted $1.27 per share on the same basis. GAAP EPS of $1.18 for Q2 were 3.5% higher than the prior-year quarter's $1.14 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 39.6%, 20 basis points better than the prior-year quarter. Operating margin was 15.7%, 60 basis points better than the prior-year quarter. Net margin was 10.7%, 70 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.61 billion. On the bottom line, the average EPS estimate is $1.35.
Next year's average estimate for revenue is $6.40 billion. The average EPS estimate is $5.38.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rockwell Automation is outperform, with an average price target of $88.13.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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