Rockwell Automation Beats Q3 Estimates, Narrows FY21 Adjusted EPS Guidance

  • Rockwell Automation ROK reported third-quarter sales growth of 32.6% year-over-year to $1.85 billion and 26.4% on an organic basis, beating the consensus of $1.78 billion.
  • Sales by segments: Intelligent Devices $882.9 million (+33.8% Y/Y), Software & Control $509.6 million (+39.7% Y/Y) and Lifecycle Services $455.7 million (+23.4% Y/Y).
  • Adjusted EPS improved 75% to $2.31 from $1.32 in 3Q20, beating the consensus of $2.07.
  • The gross margin expanded by 160 bps to 41.4%.
  • Total segment operating earnings increased by 60.7% Y/Y to $368.7 million, and margin expanded by 340 bps to 19.9%.
  • Rockwell generated cash by operating activities year-to-date of $1.6 billion, compared to $794.7 million a year ago.
  • Cash flow provided by operating activities for the quarter was $461.5 million, compared to $346.2 million a year ago, with Free cash flow of $437 million.
  • The company repurchased ~0.2 million shares at the cost of $60.5 million. At quarter-end, $613.5 million remained available under the existing share repurchase authorization.
  • FY21 Outlook: The company expects sales growth of ~12% (previous guidance of 9%-12%) and Organic sales growth of ~8% (previous outlook 5.5% - 8.5%).
  • It expects Adjusted EPS of $9.10 - $9.30 (prior expectation $8.95 - $9.35) vs. consensus of $9.24, and EPS of $12.85 - $13.05 (prior expectation $12.53 - $12.93).
  • Price Action: ROK shares are down by 2.10% at $291.56 during the market session on the last check Tuesday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsGuidanceBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!