P2YP3Yhttp://fasb.org/us-gaap/2021-01-31#AccruedLiabilitiesCurrentMarch 31, 2023000003260409/302023Q2FALSECommon Stock of $0.50 par value per shareEMRCHXCHX0.501,200.0953.4P1YP1Y00000326042022-10-012023-03-310000032604emr:CommonStockof0.50parvaluepershareMemberexch:XNYS2022-10-012023-03-310000032604emr:A0.375Notesdue2024Memberexch:XNYS2022-10-012023-03-310000032604emr:A1.250Notesdue2025Memberexch:XNYS2022-10-012023-03-310000032604exch:XNYSemr:A2.000Notesdue2029Member2022-10-012023-03-3100000326042023-03-31xbrli:shares00000326042022-01-012022-03-31iso4217:USD00000326042023-01-012023-03-3100000326042021-10-012022-03-31iso4217:USDxbrli:shares00000326042022-09-300000032604us-gaap:CommonStockMember2022-03-310000032604us-gaap:CommonStockMember2023-03-310000032604us-gaap:AdditionalPaidInCapitalMember2021-12-310000032604us-gaap:AdditionalPaidInCapitalMember2022-12-310000032604us-gaap:AdditionalPaidInCapitalMember2021-09-300000032604us-gaap:AdditionalPaidInCapitalMember2022-09-300000032604us-gaap:AdditionalPaidInCapitalMember2022-01-012022-03-310000032604us-gaap:AdditionalPaidInCapitalMember2023-01-012023-03-310000032604us-gaap:AdditionalPaidInCapitalMember2021-10-012022-03-310000032604us-gaap:AdditionalPaidInCapitalMember2022-10-012023-03-310000032604us-gaap:AdditionalPaidInCapitalMember2022-03-310000032604us-gaap:AdditionalPaidInCapitalMember2023-03-310000032604us-gaap:RetainedEarningsMember2021-12-310000032604us-gaap:RetainedEarningsMember2022-12-310000032604us-gaap:RetainedEarningsMember2021-09-300000032604us-gaap:RetainedEarningsMember2022-09-300000032604us-gaap:RetainedEarningsMember2022-01-012022-03-310000032604us-gaap:RetainedEarningsMember2023-01-012023-03-310000032604us-gaap:RetainedEarningsMember2021-10-012022-03-310000032604us-gaap:RetainedEarningsMember2022-10-012023-03-310000032604us-gaap:RetainedEarningsMember2022-03-310000032604us-gaap:RetainedEarningsMember2023-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-12-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-09-300000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-09-300000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-01-012022-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-10-012022-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-10-012023-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-03-310000032604us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-03-310000032604us-gaap:TreasuryStockMember2021-12-310000032604us-gaap:TreasuryStockMember2022-12-310000032604us-gaap:TreasuryStockMember2021-09-300000032604us-gaap:TreasuryStockMember2022-09-300000032604us-gaap:TreasuryStockMember2022-01-012022-03-310000032604us-gaap:TreasuryStockMember2023-01-012023-03-310000032604us-gaap:TreasuryStockMember2021-10-012022-03-310000032604us-gaap:TreasuryStockMember2022-10-012023-03-310000032604us-gaap:TreasuryStockMember2022-03-310000032604us-gaap:TreasuryStockMember2023-03-3100000326042022-03-310000032604us-gaap:NoncontrollingInterestMember2021-12-310000032604us-gaap:NoncontrollingInterestMember2022-12-310000032604us-gaap:NoncontrollingInterestMember2021-09-300000032604us-gaap:NoncontrollingInterestMember2022-09-300000032604us-gaap:NoncontrollingInterestMember2022-01-012022-03-310000032604us-gaap:NoncontrollingInterestMember2023-01-012023-03-310000032604us-gaap:NoncontrollingInterestMember2021-10-012022-03-310000032604us-gaap:NoncontrollingInterestMember2022-10-012023-03-310000032604us-gaap:NoncontrollingInterestMember2022-03-310000032604us-gaap:NoncontrollingInterestMember2023-03-3100000326042021-09-300000032604emr:AspenTechMemberus-gaap:OperatingSegmentsMember2023-03-3100000326042023-04-012023-03-31xbrli:pure0000032604emr:AspenTechMember2021-10-012022-06-300000032604emr:AspenTechMember2022-05-160000032604emr:AspenTechMember2022-05-1600000326042022-05-160000032604us-gaap:TechnologyBasedIntangibleAssetsMemberemr:AspenTechMember2022-05-160000032604us-gaap:TechnologyBasedIntangibleAssetsMember2023-01-012023-03-310000032604us-gaap:CustomerRelatedIntangibleAssetsMemberemr:AspenTechMember2022-05-160000032604us-gaap:CustomerRelatedIntangibleAssetsMember2023-01-012023-03-310000032604us-gaap:TradeNamesMemberemr:AspenTechMember2022-05-160000032604emr:AspenTechMemberus-gaap:OrderOrProductionBacklogMember2022-05-160000032604us-gaap:OrderOrProductionBacklogMember2023-01-012023-03-310000032604emr:AspenTechMember2023-01-012023-03-310000032604emr:AspenTechMember2022-10-012023-03-310000032604us-gaap:AcquisitionRelatedCostsMember2021-10-012022-03-310000032604emr:AspenTechMember2022-01-012022-03-310000032604emr:AspenTechMember2021-10-012022-03-310000032604emr:HeritageAspenTechMember2022-10-012022-12-310000032604us-gaap:AcquisitionRelatedCostsMember2022-01-012022-03-3100000326042022-10-012022-12-310000032604emr:NationalInstrumentsMembersrt:ScenarioForecastMember2023-04-120000032604us-gaap:SubsequentEventMember2023-04-1200000326042021-10-012022-09-300000032604emr:MicromineMembersrt:ScenarioForecastMember2022-07-272023-06-30iso4217:AUD0000032604country:RU2023-01-012023-03-310000032604srt:ScenarioForecastMember2021-07-012023-09-300000032604srt:MinimumMembersrt:ScenarioForecastMember2023-09-300000032604srt:ScenarioForecastMembersrt:MaximumMember2023-09-300000032604srt:ScenarioForecastMemberemr:ClimateTechnologiesExcludingThermODiscMember2023-01-012023-06-300000032604emr:ClimateTechnologiesExcludingThermODiscMembersrt:ScenarioForecastMember2023-06-300000032604emr:ClimateTechnologiesExcludingThermODiscMember2021-10-012022-09-300000032604emr:InSinkEratorMember2023-01-012023-03-310000032604emr:InSinkEratorMember2021-10-012022-09-300000032604emr:InSinkEratorMember2022-10-012023-03-310000032604emr:ThermODiscMember2021-10-012022-09-300000032604emr:ClimateTechnologiesExcludingThermODiscMember2022-01-012022-03-310000032604emr:ClimateTechnologiesExcludingThermODiscMember2023-01-012023-03-310000032604emr:ThermODiscOrInSinkEratorMember2022-01-012022-03-310000032604emr:ThermODiscOrInSinkEratorMember2023-01-012023-03-310000032604emr:ClimateTechnologiesExcludingThermODiscMember2021-10-012022-03-310000032604emr:ClimateTechnologiesExcludingThermODiscMember2022-10-012023-03-310000032604emr:ThermODiscOrInSinkEratorMember2021-10-012022-03-310000032604emr:ThermODiscOrInSinkEratorMember2022-10-012023-03-310000032604emr:ClimateTechnologiesExcludingThermODiscMember2022-09-300000032604emr:ClimateTechnologiesExcludingThermODiscMember2023-03-310000032604emr:ThermODiscOrInSinkEratorMember2022-09-300000032604emr:ThermODiscOrInSinkEratorMember2023-03-310000032604us-gaap:OtherNonoperatingIncomeExpenseMemberemr:AspenTechMember2023-01-012023-03-310000032604us-gaap:OtherNonoperatingIncomeExpenseMemberemr:AspenTechMember2022-10-012023-03-310000032604emr:NationalInstrumentsMember2023-01-012023-03-310000032604srt:ScenarioForecastMember2023-09-300000032604emr:FinalControlMember2022-01-012022-03-310000032604emr:MeasurementAnalyticalMember2023-01-012023-03-310000032604emr:FinalControlMember2021-10-012022-03-310000032604emr:FinalControlMember2022-10-012023-03-310000032604emr:MeasurementAnalyticalMember2022-01-012022-03-310000032604emr:FinalControlMember2023-01-012023-03-310000032604emr:MeasurementAnalyticalMember2021-10-012022-03-310000032604emr:MeasurementAnalyticalMember2022-10-012023-03-310000032604emr:DiscreteAutomationMember2022-01-012022-03-310000032604emr:DiscreteAutomationMember2023-01-012023-03-310000032604emr:DiscreteAutomationMember2021-10-012022-03-310000032604emr:DiscreteAutomationMember2022-10-012023-03-310000032604emr:SafetyProductivityMember2022-01-012022-03-310000032604emr:SafetyProductivityMember2023-01-012023-03-310000032604emr:SafetyProductivityMember2021-10-012022-03-310000032604emr:SafetyProductivityMember2022-10-012023-03-310000032604emr:IntelligentDevicesMember2022-01-012022-03-310000032604emr:IntelligentDevicesMember2023-01-012023-03-310000032604emr:IntelligentDevicesMember2021-10-012022-03-310000032604emr:IntelligentDevicesMember2022-10-012023-03-310000032604emr:AspenTechMember2022-01-012022-03-310000032604emr:AspenTechMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMember2023-01-012023-03-310000032604emr:AspenTechMember2021-10-012022-03-310000032604emr:AspenTechMember2022-10-012023-03-310000032604emr:SoftwareAndControlMember2022-01-012022-03-310000032604emr:SoftwareAndControlMember2023-01-012023-03-310000032604emr:SoftwareAndControlMember2021-10-012022-03-310000032604emr:SoftwareAndControlMember2022-10-012023-03-310000032604us-gaap:CorporateMember2022-01-012022-03-310000032604us-gaap:CorporateMember2023-01-012023-03-310000032604us-gaap:CorporateMember2021-10-012022-03-310000032604us-gaap:CorporateMember2022-10-012023-03-310000032604us-gaap:EmployeeSeveranceMember2022-09-300000032604us-gaap:EmployeeSeveranceMember2022-10-012023-03-310000032604us-gaap:EmployeeSeveranceMember2023-03-310000032604us-gaap:OtherRestructuringMember2022-09-300000032604us-gaap:OtherRestructuringMember2022-10-012023-03-310000032604us-gaap:OtherRestructuringMember2023-03-310000032604emr:CostOfSalesAndSellingGeneralAndAdministrativeExpensesMember2022-01-012022-03-310000032604emr:CostOfSalesAndSellingGeneralAndAdministrativeExpensesMember2023-01-012023-03-310000032604emr:CostOfSalesAndSellingGeneralAndAdministrativeExpensesMember2021-10-012022-03-310000032604emr:CostOfSalesAndSellingGeneralAndAdministrativeExpensesMember2022-10-012023-03-3100000326042019-10-012020-12-310000032604emr:FinalControlMember2022-09-300000032604emr:FinalControlMember2023-03-310000032604emr:MeasurementAnalyticalMember2022-09-300000032604emr:MeasurementAnalyticalMember2023-03-310000032604emr:DiscreteAutomationMember2022-09-300000032604emr:DiscreteAutomationMember2023-03-310000032604emr:SafetyProductivityMember2022-09-300000032604emr:SafetyProductivityMember2023-03-310000032604emr:IntelligentDevicesMember2022-09-300000032604emr:IntelligentDevicesMember2023-03-310000032604emr:ControlSystemsSoftwareMember2022-09-300000032604emr:ControlSystemsSoftwareMember2023-03-310000032604emr:AspenTechMember2022-09-300000032604emr:AspenTechMember2023-03-310000032604emr:SoftwareAndControlMember2022-09-300000032604emr:SoftwareAndControlMember2023-03-310000032604us-gaap:CustomerRelationshipsMember2022-09-300000032604us-gaap:CustomerRelationshipsMember2023-03-310000032604us-gaap:IntellectualPropertyMember2022-09-300000032604us-gaap:IntellectualPropertyMember2023-03-310000032604emr:InSinkEratorMember2023-03-310000032604us-gaap:ForeignExchangeContractMember2023-03-310000032604emr:AllCommodityHedgesMemberMember2023-03-310000032604emr:CopperAndAluminumMember2023-03-31utr:lb0000032604us-gaap:SeniorNotesMember2019-09-30iso4217:EUR0000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2022-01-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2023-01-012023-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2021-10-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2022-10-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2022-01-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2023-01-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2021-10-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:CommodityContractMember2022-10-012023-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2022-01-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2023-01-012023-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2021-10-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2022-10-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2022-01-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2023-01-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2021-10-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:ForeignExchangeContractMemberus-gaap:SalesMember2022-10-012023-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2022-01-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2023-01-012023-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2021-10-012022-03-310000032604us-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2022-10-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2022-01-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2023-01-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2021-10-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMemberus-gaap:ForeignExchangeContractMember2022-10-012023-03-310000032604us-gaap:OtherExpenseMemberus-gaap:ForeignExchangeContractMember2022-01-012022-03-310000032604us-gaap:OtherExpenseMemberus-gaap:ForeignExchangeContractMember2023-01-012023-03-310000032604us-gaap:OtherExpenseMemberus-gaap:ForeignExchangeContractMember2021-10-012022-03-310000032604us-gaap:OtherExpenseMemberus-gaap:ForeignExchangeContractMember2022-10-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:NetInvestmentHedgingMemberus-gaap:ForeignExchangeContractMember2022-01-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:NetInvestmentHedgingMemberus-gaap:ForeignExchangeContractMember2023-01-012023-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:NetInvestmentHedgingMemberus-gaap:ForeignExchangeContractMember2021-10-012022-03-310000032604us-gaap:OtherComprehensiveIncomeMemberus-gaap:NetInvestmentHedgingMemberus-gaap:ForeignExchangeContractMember2022-10-012023-03-310000032604emr:NationalInstrumentsMember2023-03-310000032604us-gaap:FairValueInputsLevel2Member2023-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2021-12-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2022-12-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2021-09-300000032604us-gaap:AccumulatedTranslationAdjustmentMember2022-09-300000032604us-gaap:AccumulatedTranslationAdjustmentMember2022-01-012022-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2023-01-012023-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2021-10-012022-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2022-10-012023-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2022-03-310000032604us-gaap:AccumulatedTranslationAdjustmentMember2023-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-12-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-12-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-09-300000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-09-300000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-01-012022-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2023-01-012023-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2021-10-012022-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-10-012023-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2022-03-310000032604us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2023-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2021-12-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2022-12-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2021-09-300000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2022-09-300000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2022-01-012022-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2023-01-012023-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2021-10-012022-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2022-10-012023-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2022-03-310000032604us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember2023-03-310000032604emr:FinalControlMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:FinalControlMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:FinalControlMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:FinalControlMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:MeasurementAnalyticalMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:MeasurementAnalyticalMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:MeasurementAnalyticalMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:MeasurementAnalyticalMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:DiscreteAutomationMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:DiscreteAutomationMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:DiscreteAutomationMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:DiscreteAutomationMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:SafetyProductivityMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:SafetyProductivityMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:SafetyProductivityMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:SafetyProductivityMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:IntelligentDevicesMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:IntelligentDevicesMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:IntelligentDevicesMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:IntelligentDevicesMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:AspenTechMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:AspenTechMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:AspenTechMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:AspenTechMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604emr:SoftwareAndControlMemberus-gaap:OperatingSegmentsMember2022-01-012022-03-310000032604emr:SoftwareAndControlMemberus-gaap:OperatingSegmentsMember2023-01-012023-03-310000032604emr:SoftwareAndControlMemberus-gaap:OperatingSegmentsMember2021-10-012022-03-310000032604emr:SoftwareAndControlMemberus-gaap:OperatingSegmentsMember2022-10-012023-03-310000032604us-gaap:MaterialReconcilingItemsMember2022-01-012022-03-310000032604us-gaap:MaterialReconcilingItemsMember2023-01-012023-03-310000032604us-gaap:MaterialReconcilingItemsMember2021-10-012022-03-310000032604us-gaap:MaterialReconcilingItemsMember2022-10-012023-03-310000032604us-gaap:CorporateNonSegmentMember2022-01-012022-03-310000032604us-gaap:CorporateNonSegmentMember2023-01-012023-03-310000032604us-gaap:CorporateNonSegmentMember2021-10-012022-03-310000032604us-gaap:CorporateNonSegmentMember2022-10-012023-03-310000032604us-gaap:IntersegmentEliminationMember2022-01-012022-03-310000032604us-gaap:IntersegmentEliminationMember2023-01-012023-03-310000032604us-gaap:IntersegmentEliminationMember2021-10-012022-03-310000032604us-gaap:IntersegmentEliminationMember2022-10-012023-03-310000032604us-gaap:CorporateAndOtherMemberus-gaap:CorporateNonSegmentMember2022-01-012022-03-310000032604us-gaap:CorporateAndOtherMemberus-gaap:CorporateNonSegmentMember2023-01-012023-03-310000032604us-gaap:CorporateAndOtherMemberus-gaap:CorporateNonSegmentMember2021-10-012022-03-310000032604us-gaap:CorporateAndOtherMemberus-gaap:CorporateNonSegmentMember2022-10-012023-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-01-012022-03-310000032604emr:FinalControlMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604srt:EuropeMemberemr:FinalControlMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2023-01-012023-03-310000032604emr:FinalControlMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:EuropeMemberemr:FinalControlMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:MeasurementAnalyticalMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:MeasurementAnalyticalMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:DiscreteAutomationMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:DiscreteAutomationMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMembersrt:AmericasMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMembersrt:AmericasMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2023-01-012023-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-01-012022-03-310000032604emr:IntelligentDevicesMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604srt:EuropeMemberemr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2023-01-012023-03-310000032604emr:IntelligentDevicesMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:EuropeMemberemr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:EuropeMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:EuropeMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:AspenTechMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:AspenTechMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:AspenTechMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:SoftwareAndControlMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:SoftwareAndControlMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-01-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMember2022-01-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMember2023-01-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604srt:ReportableGeographicalComponentsMember2023-01-012023-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2021-10-012022-03-310000032604emr:FinalControlMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604srt:EuropeMemberemr:FinalControlMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-10-012023-03-310000032604emr:FinalControlMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:EuropeMemberemr:FinalControlMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:FinalControlMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:MeasurementAnalyticalMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:MeasurementAnalyticalMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:MeasurementAnalyticalMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:DiscreteAutomationMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:DiscreteAutomationMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:DiscreteAutomationMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMembersrt:AmericasMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMembersrt:AmericasMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SafetyProductivityMember2022-10-012023-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2021-10-012022-03-310000032604emr:IntelligentDevicesMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604srt:EuropeMemberemr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-10-012023-03-310000032604emr:IntelligentDevicesMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:EuropeMemberemr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:IntelligentDevicesMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:EuropeMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMemberemr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:EuropeMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:ControlSystemsSoftwareMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:AspenTechMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:AspenTechMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:AspenTechMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:AspenTechMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:SoftwareAndControlMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMemberemr:SoftwareAndControlMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMemberemr:SoftwareAndControlMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMember2021-10-012022-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMember2021-10-012022-03-310000032604srt:ReportableGeographicalComponentsMembersrt:AmericasMember2022-10-012023-03-310000032604emr:AsiaMiddleEastAfricaMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:EuropeMembersrt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604srt:ReportableGeographicalComponentsMember2022-10-012023-03-310000032604emr:CommonStockof0.50parvaluepershareMemberexch:XCHI2022-10-012023-03-3100000326042024-01-012023-03-3100000326042025-01-012023-03-31


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
______________________
FORM 10-Q


☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2023

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the transition period from ____________________ to __________________

Commission file number 1-278

EMERSON ELECTRIC CO.
(Exact name of registrant as specified in its charter)
Missouri
logo_emersona12.jpg
 43-0259330
(State or other jurisdiction of
incorporation or organization)		 (I.R.S. Employer
Identification No.)
8000 W. Florissant Ave.  
 
P.O. Box 4100
St. Louis, Missouri 63136
(Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code: (314) 553-2000

Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading
Symbol(s)		 Name of each exchange on which registered
Common Stock of $0.50 par value per share EMR New York Stock Exchange
NYSE Chicago
0.375% Notes due 2024 EMR 24 New York Stock Exchange
1.250% Notes due 2025 EMR 25A New York Stock Exchange
2.000% Notes due 2029 EMR 29 New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Yes ☒ No ☐








Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer ☒ Accelerated filer ☐
Non-accelerated filer ☐ Smaller reporting company ☐
Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date. Common stock of $0.50 par value per share outstanding at March 31, 2023: 571.5 million shares.







PART I. FINANCIAL INFORMATION
Item 1. Financial Statements

Consolidated Statements of Earnings
EMERSON ELECTRIC CO. & SUBSIDIARIES

Three and six months ended March 31, 2022 and 2023
(Dollars in millions, except per share amounts; unaudited)
 
  Three Months Ended
March 31,		 Six Months Ended
March 31,
  2022  2023  2022  2023 
Net sales $ 3,291  3,756  6,447  7,129 
Cost of sales 1,815  1,955  3,556  3,708 
Selling, general and administrative expenses 888  1,000  1,737  2,030 
Gain on subordinated interest —  —  (453) — 
Other deductions, net 28  109  66  229 
Interest expense (net of interest income of $4, $18,  $7 and $38, respectively)
 51  53  90  101 
Earnings from continuing operations before income taxes 509  639  1,451  1,061 
Income taxes 80  134  276  232 
Earnings from continuing operations 429  505  1,175  829 
Discontinued operations, net of tax: $56, $39, $140 and $1,005, respectively
 246  265  395  2,267 
Net earnings 675  770  1,570  3,096 
Less: Noncontrolling interests in subsidiaries 1  (22) —  (27)
Net earnings common stockholders $ 674  792  1,570  3,123 
Earnings common stockholders:
Earnings from continuing operations 428  530  1,174  859 
Discontinued operations 246  262  396  2,264 
Net earnings common stockholders $ 674  792  1,570  3,123 
Basic earnings per share common stockholders:
     Earnings from continuing operations $ 0.72  0.93  1.97  1.49 
     Discontinued operations 0.41  0.46  0.67  3.92 
Basic earnings per common share $ 1.13  1.39  2.64  5.41 
Diluted earnings per share common stockholders:
Earnings from continuing operations $ 0.72  0.92  1.96  1.48 
Discontinued operations 0.41  0.46  0.67  3.90 
Diluted earnings per common share $ 1.13  1.38  2.63  5.38 
Weighted average outstanding shares:
Basic 593.3  570.9  593.9  577.2 
Diluted 596.5  573.6  597.3  580.1 
 See accompanying Notes to Consolidated Financial Statements.





1



Consolidated Statements of Comprehensive Income
EMERSON ELECTRIC CO. & SUBSIDIARIES

Three and six months ended March 31, 2022 and 2023
(Dollars in millions; unaudited)
  Three Months Ended March 31, Six Months Ended March 31,
  2022  2023  2022  2023 
Net earnings $ 675  770  1,570  3,096 
Other comprehensive income (loss), net of tax:
Foreign currency translation (60) 110  (132) 351 
Pension and postretirement 18  (17) 36  (33)
Cash flow hedges 6  13  10  23 
        Total other comprehensive income (loss) (36) 106  (86) 341 
Comprehensive income 639  876  1,484  3,437 
Less: Noncontrolling interests in subsidiaries —  (23) (1) (23)
Comprehensive income common stockholders $ 639  899  1,485  3,460 


































See accompanying Notes to Consolidated Financial Statements.





2



Consolidated Balance Sheets
EMERSON ELECTRIC CO. & SUBSIDIARIES

(Dollars and shares in millions, except per share amounts; unaudited)
  Sept 30, 2022 Mar 31, 2023
ASSETS    
Current assets    
Cash and equivalents $ 1,804  2,046 
Receivables, less allowances of $100 and $102, respectively
 2,261  2,330 
Inventories 1,742  2,034 
Other current assets 1,301  1,228 
Current assets held-for-sale 1,398  1,347 
Total current assets 8,506  8,985 
Property, plant and equipment, net 2,239  2,263 
Other assets  
Goodwill 13,946  14,097 
Other intangible assets 6,572  6,299 
Other 2,151  2,265 
Noncurrent assets held-for-sale 2,258  2,238 
Total other assets 24,927  24,899 
Total assets $ 35,672  36,147 
LIABILITIES AND EQUITY    
Current liabilities    
Short-term borrowings and current maturities of long-term debt $ 2,115  1,959 
Accounts payable 1,276  1,207 
Accrued expenses 3,038  3,245 
Current liabilities held-for-sale 1,348  1,138 
Total current liabilities 7,777  7,549 
Long-term debt 8,259  8,174 
Other liabilities 3,153  2,928 
Noncurrent liabilities held-for-sale 167  149 
Equity    
Common stock, $0.50 par value; authorized, 1,200.0 shares; issued, 953.4 shares; outstanding, 591.4 shares and 571.5 shares, respectively
 477  477 
Additional paid-in-capital 57  138 
Retained earnings 28,053  30,571 
Accumulated other comprehensive income (loss) (1,485) (1,148)
Cost of common stock in treasury, 362.0 shares and 381.9 shares, respectively
 (16,738) (18,678)
Common stockholders’ equity 10,364  11,360 
Noncontrolling interests in subsidiaries 5,952  5,987 
Total equity 16,316  17,347 
Total liabilities and equity $ 35,672  36,147 


See accompanying Notes to Consolidated Financial Statements.





3



Consolidated Statements of Equity
EMERSON ELECTRIC CO. & SUBSIDIARIES

Three and six months ended March 31, 2022 and 2023
(Dollars in millions; unaudited)
Three Months Ended March 31, Six Months Ended March 31,
2022  2023  2022  2023 
Common stock $ 477  477  477  477 
Additional paid-in-capital
     Beginning balance 564  112  522  57 
     Stock plans 15  26  57  81 
        Ending balance 579  138  579  138 
Retained earnings
     Beginning balance 26,636  30,076  26,047  28,053 
     Net earnings common stockholders 674  792  1,570  3,123 
Dividends paid (per share: $0.515, $0.52 $1.03 and $1.04, respectively)
 (307) (297) (614) (605)
        Ending balance 27,003  30,571  27,003  30,571 
Accumulated other comprehensive income (loss)
     Beginning balance (922) (1,255) (872) (1,485)
     Foreign currency translation (59) 111  (131) 347 
     Pension and postretirement 18  (17) 36  (33)
     Cash flow hedges 6  13  10  23 
        Ending balance (957) (1,148) (957) (1,148)
Treasury stock
     Beginning balance (16,506) (18,683) (16,291) (16,738)
     Purchases (27) —  (285) (2,000)
     Issued under stock plans 6  5  49  60 
        Ending balance (16,527) (18,678) (16,527) (18,678)
Common stockholders' equity 10,575  11,360  10,575  11,360 
Noncontrolling interests in subsidiaries
     Beginning balance 39  5,987  40  5,952 
     Net earnings 1  (22) —  (27)
     Stock plans —  23  —  58 
     Other comprehensive income (1) (1) (1) 4 
        Ending balance 39  5,987  39  5,987 
Total equity $ 10,614  17,347  10,614  17,347 









See accompanying Notes to Consolidated Financial Statements.





4



Consolidated Statements of Cash Flows
EMERSON ELECTRIC CO. & SUBSIDIARIES
Six Months Ended March 31, 2022 and 2023
(Dollars in millions; unaudited)
Six Months Ended
March 31,
  2022  2023 
Operating activities    
Net earnings $ 1,570  3,096 
Earnings from discontinued operations, net of tax (395) (2,267)
Adjustments to reconcile net earnings to net cash provided by operating activities:
        Depreciation and amortization 349  523 
        Stock compensation 77  142 
        Changes in operating working capital (298) (390)
        Gain on subordinated interest (453) — 
        Other, net (94) (227)
            Cash from continuing operations 756  877 
            Cash from discontinued operations 209  (391)
            Cash provided by operating activities 965  486 
Investing activities
Capital expenditures (140) (121)
Purchases of businesses, net of cash and equivalents acquired (35) — 
Proceeds from subordinated interest 438  15 
Other, net (16) (76)
    Cash from continuing operations 247  (182)
    Cash from discontinued operations (88) 2,916 
    Cash provided by investing activities 159  2,734 
Financing activities
Net increase (decrease) in short-term borrowings 871  (31)
Proceeds from short-term borrowings greater than three months 1,040  395 
Proceeds from long-term debt 2,975  — 
Payments of long-term debt (504) (742)
Dividends paid (613) (603)
Purchases of common stock (285) (2,000)
Other, net 15  (55)
    Cash provided by (used in) financing activities 3,499  (3,036)
Effect of exchange rate changes on cash and equivalents (48) 58 
Increase in cash and equivalents 4,575  242 
Beginning cash and equivalents 2,354  1,804 
Ending cash and equivalents $ 6,929  2,046 
Changes in operating working capital
Receivables $ 45  (63)
Inventories (262) (219)
Other current assets (10) 22 
Accounts payable (4) (98)
Accrued expenses (67) (32)
Total changes in operating working capital $ (298) (390)
See accompanying Notes to Consolidated Financial Statements.





5



Notes to Consolidated Financial Statements
EMERSON ELECTRIC CO. & SUBSIDIARIES

(Dollars and shares in millions, except per share amounts or where noted)

(1) BASIS OF PRESENTATION

In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments necessary for a fair presentation of operating results for the interim periods presented. Adjustments consist of normal and recurring accruals. The consolidated financial statements are presented in accordance with the requirements of Form 10-Q and consequently do not include all disclosures required for annual financial statements presented in conformity with U.S. generally accepted accounting principles (GAAP). For further information, refer to the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended September 30, 2022.

Over the past two years, Emerson Electric Co. ("Emerson" or the "Company") has taken significant actions to accelerate the transformation of its portfolio through the completion of strategic acquisitions and divestitures of non-core businesses. The Company's recent portfolio actions include the combination of its industrial software businesses with Aspen Technology, Inc., with the Company owning 55 percent of the outstanding shares of the combined entity on a fully diluted basis upon closing of the transaction on May 16, 2022, the sale of its Therm-O-Disc business, which was completed on May 31, 2022, the sale of its InSinkErator business, which was completed on October 31, 2022, the sale of a majority stake in its Climate Technologies business, which was announced on October 31, 2022, and is expected to close in the Company's third quarter of fiscal 2023, subject to regulatory approvals and customary closing conditions, and the pending acquisition of National Instruments Corporation ("NI"), which was announced on April 12, 2023, and is expected to close in the first half of Emerson’s fiscal 2024, subject to the completion of customary closing conditions, including regulatory approvals and approval by NI shareholders.

Certain prior year amounts have been reclassified to conform to the current year presentation. This includes reporting financial results for Climate Technologies, InSinkErator and Therm-O-Disc as discontinued operations for all periods presented, and the assets and liabilities of Climate Technologies and InSinkErator (prior to completion of the divestiture) as held-for-sale (see Note 5). In addition, as a result of its portfolio transformation, the Company now reports six segments and two business groups (see Note 13).

(2) REVENUE RECOGNITION

Emerson is a global manufacturer that combines technology and engineering to provide innovative solutions to its customers, largely in the form of tangible products. The vast majority of the Company's revenues relate to a broad offering of manufactured products which are recognized at the point in time when control transfers, while a smaller portion is recognized over time or relates to sales arrangements with multiple performance obligations. See Note 13 for additional information about the Company's revenues.

The following table summarizes the balances of the Company's unbilled receivables (contract assets), which are reported in Other assets (current and noncurrent), and its customer advances (contract liabilities), which are reported in Accrued expenses and Other liabilities.     
Sept 30, 2022 Mar 31, 2023
Unbilled receivables (contract assets) $ 1,390  1,342 
Customer advances (contract liabilities) (776) (975)
      Net contract assets (liabilities) $ 614  367 
    
The majority of the Company's contract balances relate to (1) arrangements where revenue is recognized over time and payments from customers are made according to a contractual billing schedule, and (2) revenue from term software license arrangements sold by AspenTech where the license revenue is recognized upfront upon delivery. The decrease in net contract assets was due to customer billings exceeding revenue recognized for performance completed during the period. Revenue recognized for the three and six months ended March 31, 2023 included $106 and $441, respectively, that was included in the beginning contract liability balance. Other factors that impacted the change in net contract assets were immaterial. Revenue recognized for the three and six months ended March 31,





6



2023 for performance obligations that were satisfied in previous periods, including cumulative catchup adjustments on the Company's long-term contracts, was not material.

As of March 31, 2023, the Company's backlog relating to unsatisfied (or partially unsatisfied) performance obligations in contracts with its customers was approximately $8.1 billion (of which,$1.2 billion was attributable to AspenTech). The Company expects to recognize approximately 80 percent of its remaining performance obligations as revenue over the next 12 months, with the remainder substantially over the following two years.     

(3) COMMON SHARES AND SHARE-BASED COMPENSATION

Reconciliations of weighted-average shares for basic and diluted earnings per common share follow. Earnings allocated to participating securities were inconsequential.
Three Months Ended
March 31,		 Six Months Ended
March 31,
  2022  2023  2022  2023 
Basic shares outstanding 593.3  570.9  593.9  577.2 
Dilutive shares 3.2  2.7  3.4  2.9 
Diluted shares outstanding 596.5  573.6  597.3  580.1 
 
(4) ACQUISITIONS AND DIVESTITURES

Aspen Technology

On May 16, 2022, the Company completed the transactions contemplated by its definitive agreement with Aspen Technology, Inc. ("Heritage AspenTech") to contribute two of Emerson's stand-alone industrial software businesses, Open Systems International, Inc. and the Geological Simulation Software business (collectively, the “Emerson Industrial Software Business”), along with approximately $6.0 billion in cash to Heritage AspenTech stockholders, to create "New AspenTech", a diversified, high-performance industrial software leader with greater scale, capabilities and technologies (hereinafter referred to as "AspenTech"). Upon closing of the transaction, Emerson owned 55 percent of the outstanding shares of AspenTech common stock (on a fully diluted basis) and former Heritage AspenTech stockholders owned the remaining outstanding shares of AspenTech common stock. AspenTech and its subsidiaries now operate under Heritage AspenTech’s previous name “Aspen Technology, Inc.” and AspenTech common stock is traded on NASDAQ under AspenTech’s previous stock ticker symbol “AZPN.”

The business combination has been accounted for using the acquisition method of accounting with Emerson considered the accounting acquirer of Heritage AspenTech. The net assets of Heritage AspenTech were recorded at their estimated fair value and for the Emerson Industrial Software Business continue at their historical basis. The Company recorded a noncontrolling interest of $5.9 billion for the 45 percent ownership interest of former Heritage AspenTech stockholders in AspenTech. The noncontrolling interest associated with the Heritage AspenTech acquired net assets was recorded at fair value determined using the closing market price per share of Heritage AspenTech as of May 16, 2022, while the portion attributable to the Emerson Industrial Software business was recorded at its historical carrying amount. The impact of recognizing the noncontrolling interest in the Emerson Industrial Software Business resulted in a decrease to additional paid-in-capital of $550.
The following table summarizes the components of the purchase consideration reflected in the acquisition accounting using Heritage AspenTech's shares outstanding and closing market price per share as of May 16, 2022 (in millions except share and per share data):
Heritage AspenTech shares outstanding 66,662,482 
Heritage AspenTech share price $ 166.30 
Purchase price $ 11,086 
Value of stock-based compensation awards attributable to pre-combination service 102 
Total purchase consideration $ 11,188 








7



The total purchase consideration for Heritage AspenTech was allocated to assets and liabilities as follows.

Cash and equivalents $ 274 
Receivables 43 
Other current assets 280 
Property, plant equipment 4 
Goodwill ($34 expected to be tax-deductible)
 7,225 
Other intangible assets 4,390 
Other assets 513 
Total assets 12,729 
Short-term borrowings 27 
Accounts payable 8 
Accrued expenses 115 
Long-term debt 255 
Deferred taxes and other liabilities 1,136 
Total purchase consideration $ 11,188 

Emerson's cash contribution of approximately $6.0 billion was paid out at approximately $87.69 per share (on a fully diluted basis) to holders of issued and outstanding shares of Heritage AspenTech common stock as of the closing of the transactions, with $168 of cash remaining on AspenTech's balance sheet as of the closing which is not included in the allocation of purchase consideration above.

The estimated intangible assets attributable to the transaction are comprised of the following (in millions):

Amount Estimated Weighted Average Life (Years)
Developed technology $ 1,350  10
Customer relationships 2,300  15
Trade names 430  Indefinite-lived
Backlog 310  3
Total $ 4,390 

Results of operations for the three and six months ended March 31, 2023 attributable to the Heritage AspenTech acquisition include sales of $151 and $319, respectively, while the impact to GAAP net earnings was not material.

Pro Forma Financial Information

The following unaudited proforma consolidated condensed financial results of operations are presented as if the acquisition of Heritage AspenTech occurred on October 1, 2020. The pro forma information is presented for informational purposes only and is not indicative of the results of operations that would have been achieved had the acquisition occurred as of that time ($ in millions, except per share amounts).
  Three Months Ended March 31, Six Months Ended March 31,
  2022  2022 
Net Sales $ 3,478  $ 6,806 
Net earnings from continuing operations common stockholders $ 423  $ 1,158 
Diluted earnings per share from continuing operations $ 0.71  $ 1.94 






8



The pro forma results for the six months ended March 31, 2022 include $44 of transaction costs which were assumed to be incurred in the first fiscal quarter of 2021. Of these transaction costs, $7 and $30 were included in the Company's reported results for the three and six months ended March 31, 2022, respectively, but have been excluded from the fiscal 2022 pro forma results above. In addition, Heritage AspenTech incurred $68 of transaction costs prior to the completion of the acquisition that were not included in Emerson's reported results. The pro forma results for the three and six months ended March 31, 2022 include estimated interest expense of $19 and $56, respectively, related to the issuance of $3 billion of term debt and increased commercial paper borrowings to fund the acquisition.

Other Transactions

On April 12, 2023, Emerson announced an agreement to acquire National Instruments Corporation ("NI") for $60 per share in cash at an equity value of $8.2 billion. The effective price per share is $59.61 considering shares previously acquired by Emerson, see Note 11. NI, which provides software-connected automated test and measurement systems that enable enterprises to bring products to market faster and at a lower cost, had revenues of $1.66 billion in 2022. The transaction is expected to close in the first half of Emerson’s fiscal 2024, subject to the completion of customary closing conditions, including regulatory approvals and approval by NI shareholders.

On July 27, 2022, AspenTech entered into an agreement to acquire Micromine, a global leader in design and operational solutions for the mining industry, for AU$900 (approximately $623 USD based on exchange rates when the transaction was announced). The closing of the acquisition is subject to regulatory approval.

On March 31, 2023, Emerson completed the divestiture of Metran, its Russia-based manufacturing subsidiary. In the first quarter of fiscal 2023, the Company recognized a pretax loss of $47 in Other deductions ($47 after-tax, in total $0.08 per share) related to its exit of business operations in Russia.
In the first quarter of fiscal 2022, the Company received a distribution of $438 related to its subordinated interest in Vertiv (in total, a pretax gain of $453 was recognized in the first quarter, $358 after-tax, $0.60 per share). Based on the terms of the agreement and the current calculation, the Company could receive additional distributions of approximately $75 which are expected to be received over the next two-to-three years. However, the distributions are contingent on the timing and price at which Vertiv shares are sold by the equity holders and therefore, there can be no assurance as to the amount or timing of the remaining distributions to the Company.
(5) DISCONTINUED OPERATIONS

In October 2022, the Board of Directors approved the Company's agreement to sell a majority stake in its Climate Technologies business (which constitutes the former Climate Technologies segment, excluding Therm-O-Disc which was divested earlier in fiscal 2022) to private equity funds managed by Blackstone in a $14.0 billion transaction. Emerson will receive upfront, pre-tax cash proceeds of approximately $9.5 billion and a note of $2.25 billion at close (which will accrue 5 percent interest payable in kind by capitalizing interest), while retaining a 45 percent non-controlling interest in a new standalone joint venture between Emerson and Blackstone. The Climate Technologies business, which includes the Copeland compressor business and the entire portfolio of products and services across all residential and commercial HVAC and refrigeration end-markets, had fiscal 2022 net sales of approximately $5.0 billion and pretax earnings of $1.0 billion. The transaction is expected to close in the Company's third quarter of fiscal 2023, subject to regulatory approvals and customary closing conditions.

On October 31, 2022, the Company completed the divestiture of its InSinkErator business, which manufactures food waste disposers, to Whirlpool Corporation for $3.0 billion. This business had net sales of $630 and pretax earnings of $152 in fiscal 2022. The Company recognized a pretax gain of $2.8 billion (approximately $2.1 billion after-tax) in the first quarter of fiscal 2023.

On May 31, 2022 the Company completed the divestiture of its Therm-O-Disc sensing and protection technologies business to an affiliate of One Rock Capital Partners, LLC. The Company recognized a pretax gain of $486 ($429 after-tax) in the third fiscal quarter of 2022.











9



The financial results of Climate Technologies, InSinkErator ("ISE") and Therm-O-Disc ("TOD") (through the completion of the divestitures), are reported as discontinued operations for the three and six months ended March 31, 2023 and 2022 and were as follows:

Climate Technologies ISE and TOD Total
  Three Months Ended March 31, Three Months Ended March 31, Three Months Ended March 31,
  2022  2023  2022  2023  2022  2023 
Net sales $ 1,255  1,245  245  —  1,500  1,245 
Cost of sales 866  782  158  —  1,024  782 
SG&A 127  127  34  —  161  127 
Gain on sale of business —  —  —  (3) —  (3)
Other deductions, net 6  35  7  —  13  35 
Earnings before income taxes 256  301  46  3  302  304 
Income taxes 56  39  —  —  56  39 
Earnings, net of tax $ 200  262  46  3  246  265 
Climate Technologies ISE and TOD Total
Six Months Ended March 31, Six Months Ended March 31, Six Months Ended March 31,
2022  2023  2022  2023  2022  2023 
Net sales $ 2,334  2,309  483  49  2,817  2,358 
Cost of sales 1,628  1,484  306  29  1,934  1,513 
SG&A 254  269  69  8  323  277 
Gain on sale of business —  —  —  (2,783) —  (2,783)
Other deductions, net 12  67  13  12  25  79 
Earnings before income taxes 440  489  95  2,783  535  3,272 
Income taxes 95  352  45  653  140  1,005 
Earnings, net of tax $ 345  137  50  2,130  395  2,267 

Climate Technologies' results for the three and six months ended March 31, 2023 include lower expense of $43 and $70, respectively, due to ceasing depreciation and amortization upon the held-for-sale classification. Other deductions, net for Climate Technologies included $28 and $55 of transaction-related costs for the three and six months ended March 31, 2023, respectively. Income taxes for the six months ended March 31, 2023 included approximately $245 for Climate Technologies subsidiary restructurings and approximately $660 related to the gain on the InSinkErator divestiture.






10



The aggregate carrying amounts of the major classes of assets and liabilities classified as held-for-sale as of March 31, 2023 and September 30, 2022 are summarized as follows:

Climate Technologies ISE Total
  Sept. 30, March 31, Sept. 30, March 31, Sept. 30, March 31,
Assets 2022  2023  2022  2023  2022  2023 
   Receivables $ 747  780  68  —  815  780 
   Inventories 449  505  81  —  530  505 
   Other current assets 49  62  4  —  53  62 
   Property, plant & equipment, net 1,122  1,171  141  —  1,263  1,171 
   Goodwill 716  720  2  —  718  720 
   Other noncurrent assets 265  347  12  —  277  347 
Total assets held-for-sale $ 3,348  3,585  308  —  3,656  3,585 
Liabilities
   Accounts payable $ 752  644  60  —  812  644 
   Other current liabilities 475  494  61  —  536  494 
   Deferred taxes and other
     noncurrent liabilities
 154  149  13  —  167  149 
Total liabilities held-for-sale $ 1,381  1,287  134  —  1,515  1,287 

Net cash from operating and investing activities for Climate Technologies, InSinkErator and Therm-O-Disc for the six months ended March 31, 2023 and 2022 were as follows:

Climate Technologies ISE and TOD Total
  Six Months Ended March 31, Six Months Ended March 31, Six Months Ended March 31,
  2022  2023  2022  2023  2022  2023 
Cash from operating activities $ 234  44  (25) (435) 209  (391)
Cash from investing activities $ (69) (139) (19) 3,055  (88) 2,916 

Cash from operating activities for the six months ended March 31, 2023 reflects approximately $575 of income taxes paid related to the gain on the InSinkErator divestiture and the Climate Technologies subsidiary restructurings (the remainder of which is expected to be paid by the end of fiscal 2023), transaction fees and unfavorable working capital. Cash from investing activities for the six months ended March 31, 2023 reflects the proceeds of $3.0 billion related to the InSinkErator divestiture.

(6) PENSION & POSTRETIREMENT PLANS

Total periodic pension and postretirement (income) expense is summarized below:
  Three Months Ended March 31, Six Months Ended March 31,
  2022  2023  2022  2023 
Service cost $ 19  12  $ 38  24 
Interest cost 34  54  68  108 
Expected return on plan assets
 (78) (71) (156) (142)
Net amortization 23  (20) 46  (40)
Total $ (2) (25) $ (4) (50)






11



(7) OTHER DEDUCTIONS, NET

Other deductions, net are summarized below:
  Three Months Ended
March 31,		 Six Months Ended
March 31,
  2022  2023  2022  2023 
Amortization of intangibles (intellectual property and
  customer relationships)		 $ 57  119  114  237 
Restructuring costs 9  19  15  29 
Acquisition/divestiture costs 7  10  30  10 
Foreign currency transaction (gains) losses (20) 26  (27) 19 
Investment-related gains & gains from sales of capital
  assets
 —  (35) (15) (39)
Russia business exit —  —  —  47 
Other (25) (30) (51) (74)
Total $ 28  109  66  229 

Intangibles amortization for the three and six months ended March 31, 2023 included $64 and $128, respectively, related to the Heritage AspenTech acquisition. Foreign currency transaction gains/losses for the three and six months ended March 31, 2023 included a mark-to-market loss of $14 and a gain of $21, respectively, related to foreign currency forward contracts entered into by AspenTech to mitigate the impact of foreign currency exchange associated with the Micromine purchase price. The Company recognized a mark-to-market gain of $35 for the three months ended March 31, 2023 related to its equity investment in National Instruments Corporation (see Note 11 for further information). Other is composed of several items, including pension expense, litigation costs, provision for bad debt and other items, none of which is individually significant.







12



(8) RESTRUCTURING COSTS

Restructuring expense reflects costs associated with the Company’s ongoing efforts to improve operational efficiency and deploy assets globally in order to remain competitive on a worldwide basis. The Company expects fiscal 2023 restructuring expense and related costs to be approximately $90, including costs to complete actions initiated in the first six months of the year.

Restructuring expense by business segment follows:

  Three Months Ended March 31, Six Months Ended
March 31,
  2022  2023  2022  2023 
Final Control $ 3  2  4  1 
Measurement & Analytical 4  —  5  1 
Discrete Automation 1  7  3  8 
Safety & Productivity 1  2  1  2 
Intelligent Devices 9  11  13  12 
Control Systems & Software —  5  1  6 
AspenTech —  —  —  — 
Software and Control —  5  1  6 
Corporate —  3  1  11 
Total $ 9  19  15  29 
Details of the change in the liability for restructuring costs during the six months ended March 31, 2023 follow:
  Sept 30, 2022 Expense Utilized/Paid Mar 31, 2023
Severance and benefits $ 117  10  21  106 
Other 5  19  21  3 
Total $ 122  29  42  109 
The tables above do not include $5 and $7 of costs related to restructuring actions incurred for the three months ended March 31, 2022 and 2023, respectively, that are required to be reported in cost of sales and selling, general and administrative expenses; year-to-date amounts are $13 and $12, respectively.
 
(9) TAXES

Income taxes were $134 in the second quarter of fiscal 2023 and $80 in 2022, resulting in effective tax rates of 21 percent and 16 percent, respectively. The prior year rate included a 6 percentage point net benefit related to the completion of tax examinations partially offset by unfavorable discrete tax items.

Income taxes were $232 in the first six of months of fiscal 2023 and $276 in 2022, resulting in effective tax rates of 22 percent and 19 percent, respectively. The prior year rate included a 3 percentage point benefit related to the completion of tax examinations.
On March 27, 2020, the CARES Act was enacted in response to the COVID-19 pandemic, and among other things, provides tax relief to businesses. Tax provisions of the CARES Act include the deferral of certain payroll taxes, relief for retaining employees, and other provisions. The Company deferred $73 of certain payroll taxes through the end of calendar year 2020, of which approximately $37 was paid in December 2021 and the remainder was paid in December 2022.







13



(10) OTHER FINANCIAL INFORMATION

Sept 30, 2022 Mar 31, 2023
Inventories
Finished products $ 417  473 
Raw materials and work in process 1,325  1,561 
Total $ 1,742  2,034 
Property, plant and equipment, net    
Property, plant and equipment, at cost $ 5,390  5,445 
Less: Accumulated depreciation 3,151  3,182 
     Total $ 2,239  2,263 
Goodwill by business segment
Final Control $ 2,605  2,676 
Measurement & Analytical 1,112  1,190 
Discrete Automation 807  843 
Safety & Productivity 364  391 
Intelligent Devices 4,888  5,100 
Control Systems & Software 732  670 
AspenTech 8,326  8,327 
Software and Control 9,058  8,997 
     Total $ 13,946  14,097 
Other intangible assets    
Gross carrying amount $ 9,671  9,800 
Less: Accumulated amortization 3,099  3,501 
     Net carrying amount $ 6,572  6,299 
Other intangible assets include customer relationships, net, of $3,436 and $3,329 and intellectual property, net, of $2,934 and $2,770 as of September 30, 2022 and March 31, 2023, respectively.
Three Months Ended March 31, Six Months Ended March 31,
2022  2023  2022  2023 
Depreciation and amortization expense include the following:
Depreciation expense $ 79  72  163  146 
Amortization of intangibles (includes $14, $49, $28 and $98 reported in Cost of Sales, respectively)
 71  168  142  335 
Amortization of capitalized software 21  23  44  42 
Total $ 171  263  349  523 
Amortization of intangibles included $99 and $198, related to the Heritage AspenTech acquisition for the three and six months ended March 31, 2023, respectively.





14



Sept 30, 2022 Mar 31, 2023
Other assets include the following:
Pension assets $ 865  933 
Unbilled receivables (contract assets) 428  471 
Operating lease right-of-use assets 439  436 
Deferred income taxes 85  83 
Asbestos-related insurance receivables 68  67 
Accrued expenses include the following:
Customer advances (contract liabilities) $ 751  940 
Employee compensation 523  445 
Income taxes 125  390 
Operating lease liabilities (current) 128  132 
Product warranty 84  91 
The increase in Income taxes was due to remaining income taxes payable of approximately $330 related to the gain on the InSinkErator divestiture and subsidiary restructurings at Climate Technologies, which are expected to be paid by the end of fiscal 2023. See Note 5.

Other liabilities include the following:    
Deferred income taxes $ 1,714  1,585 
Pension and postretirement liabilities 427  440 
Operating lease liabilities (noncurrent) 312  305 
Asbestos litigation 205  194 

(11) FINANCIAL INSTRUMENTS
Hedging Activities – As of March 31, 2023, the notional amount of foreign currency hedge positions was approximately $5.0 billion, and commodity hedge contracts totaled approximately $136 (primarily 40 million pounds of copper and aluminum). All derivatives receiving hedge accounting are cash flow hedges. The majority of hedging gains and losses deferred as of March 31, 2023 are expected to be recognized over the next 12 months as the underlying forecasted transactions occur. Gains and losses on foreign currency derivatives reported in Other deductions, net reflect hedges of balance sheet exposures that do not receive hedge accounting.
Net Investment Hedge – In fiscal 2019, the Company issued euro-denominated debt of €1.5 billion. The euro notes reduce foreign currency risk associated with the Company's international subsidiaries that use the euro as their functional currency and have been designated as a hedge of a portion of the investment in these operations. Foreign currency gains or losses associated with the euro-denominated debt are deferred in accumulated other comprehensive income (loss) and will remain until the hedged investment is sold or substantially liquidated.







15



The following gains and losses are included in earnings and other comprehensive income (OCI) for the three and six months ended March 31, 2022 and 2023:
Into Earnings Into OCI
2nd Quarter Six Months 2nd Quarter Six Months
Gains (Losses) Location 2022  2023  2022  2023  2022  2023  2022  2023 
Commodity Cost of sales $ 6  (2) 13  (10) 10  8  23  19 
Foreign currency
Sales
 —  (1) 1  (2) (2) (1) (2) 3 
Foreign currency
Cost of sales
 9  10  11  18  14  17  17  14 
Foreign currency
Other deductions, net
 8  (22) 52  (17)
Net Investment Hedges
Euro denominated debt 35  (14) 79  (137)
     Total   $ 23  (15) 77  (11) 57  10  117  (101)

Regardless of whether derivatives and non-derivative financial instruments receive hedge accounting, the Company expects hedging gains or losses to be offset by losses or gains on the related underlying exposures. The amounts ultimately recognized will differ from those presented above for open positions, which remain subject to ongoing market price fluctuations until settlement. Derivatives receiving hedge accounting are highly effective and no amounts were excluded from the assessment of hedge effectiveness.
Equity Investment – The Company has an equity investment in National Instruments Corporation ("NI"), valued at $117 as of March 31, 2023 (reported in Other current assets), and recognized a mark-to-market gain of $35 in the second quarter of fiscal 2023. On April 12, 2023, Emerson announced an agreement to acquire NI for $60 per share in cash for the remaining shares not already owned by Emerson. See Note 4.
Fair Value Measurement – Valuations for all derivatives and the Company's long-term debt fall within Level 2 of the GAAP valuation hierarchy. As of March 31, 2023, the fair value of long-term debt was $7.2 billion, which was lower than the carrying value by $943. The fair values of commodity and foreign currency contracts did not materially change since September 30, 2022. Foreign currency contracts were reported in Other current assets and Accrued expenses, while commodity contracts, which primarily relate to discontinued operations, were reported in Current assets and liabilities held-for-sale. The fair value of the Company's equity investment in National Instruments falls within Level 1 and was based on the most recent quoted closing market price from its principal exchange for the period ended March 31, 2023.
Counterparties to derivatives arrangements are companies with investment-grade credit ratings. The Company has bilateral collateral arrangements with counterparties with credit rating-based posting thresholds that vary depending on the arrangement. If credit ratings on the Company's debt fall below pre-established levels, counterparties can require immediate full collateralization of all derivatives in net liability positions. The maximum amount that could potentially have been required was immaterial. The Company also can demand full collateralization of derivatives in net asset positions should any counterparty credit ratings fall below certain thresholds. No collateral was posted with counterparties and none was held by the Company as of March 31, 2023.






16



(12) ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
Activity in Accumulated other comprehensive income (loss) for the three and six months ended March 31, 2022 and 2023 is shown below, net of income taxes: 
Three Months Ended March 31, Six Months Ended March 31,
2022  2023  2022  2023 
Foreign currency translation
   Beginning balance $ (701) (1,029) (629) (1,265)
   Other comprehensive income (loss), net of tax of $(8), $4, $(18) and $32, respectively
 (59) 111  (131) 347 
   Ending balance (760) (918) (760) (918)
Pension and postretirement
   Beginning balance (241) (238) (259) (222)
Amortization of deferred actuarial losses into earnings, net of tax of $(5), $3, $(10) and $7, respectively
 18  (17) 36  (33)
   Ending balance (223) (255) (223) (255)
Cash flow hedges
   Beginning balance 20  12  16  2 
Gains deferred during the period, net of taxes of $(5), $(6), $(9) and $(9), respectively
 17  18  29  27 
   Reclassification of realized (gains) losses to sales and cost of sales, net of tax of $4, $2, $6 and $2, respectively
 (11) (5) (19) (4)
   Ending balance 26  25  26  25 
Accumulated other comprehensive income (loss) $ (957) (1,148) (957) (1,148)

(13) BUSINESS SEGMENTS

As disclosed in Note 5, the financial results of Climate Technologies, InSinkErator and Therm-O-Disc are reported as discontinued operations for all periods presented. As a result of these portfolio actions, the Company has realigned its business segments and now reports six segments and two business groups, which are highlighted in the table below. The Company also reclassified certain product sales that were previously reported in Control Systems & Software to Discrete Automation.

INTELLIGENT DEVICES SOFTWARE AND CONTROL
•Final Control
•Control Systems & Software
•Measurement & Analytical
•AspenTech
•Discrete Automation
•Safety & Productivity

The new segments were previously described as follows: Final Control was the Valves, Actuators & Regulators product offering; Measurement & Analytical was the Measurement & Analytical instrumentation product offering; Discrete Automation was the Industrial Solutions product offering; Safety & Productivity was the Tools & Home Products segment, excluding the divested InSinkErator business; Control Systems & Software was the Systems & Software product offering; and, AspenTech remains unchanged. The AspenTech segment was identified in the third quarter of fiscal 2022 as a result of the Heritage AspenTech acquisition and reflects the combined results of Heritage AspenTech and the Emerson Industrial Software Business (see Note 4 for further details). The results for this new segment include the historical results of the Emerson Industrial Software Business (which were previously reported in the Control Systems & Software segment), while results related to the Heritage AspenTech business only include periods subsequent to the close of the transaction. Prior year amounts have been reclassified to conform to the current year presentation.





17



  Three Months Ended March 31, Six Months Ended March 31,
  Sales Earnings Sales Earnings
  2022  2023  2022  2023  2022  2023  2022  2023 
Final Control $ 884  992  152  215  1,701  1,854  274  373 
Measurement & Analytical 769  888  176  229  1,506  1,637  346  404 
Discrete Automation 644  683  130  133  1,261  1,301  250  254 
Safety & Productivity 355  361  65  83  706  671  130  146 
Intelligent Devices 2,652  2,924  523  660  5,174  5,463  1,000  1,177 
Control Systems & Software 573  623  101  127  1,143  1,229  217  234 
AspenTech 84  230  (4) (54) 166  473  (6) (87)
Software and Control 657  853  97  73  1,309  1,702  211  147 
Stock compensation
 (43) (40) (77) (142)
Unallocated pension and postretirement costs 25  46  51  91 
Corporate and other (42) (47) (97) (111)
Gain on subordinated interest —  —  453  — 
Eliminations/Interest (18) (21) (51) (53) (36) (36) (90) (101)
     Total $ 3,291  3,756  509  639  6,447  7,129  1,451  1,061 
Depreciation and amortization (includes intellectual property, customer relationships and capitalized software) by business segment are summarized below:
Three Months Ended March 31, Six Months Ended March 31,
2022  2023  2022  2023 
Final Control $ 50  45  103  90 
Measurement & Analytical 30  28  61  58 
Discrete Automation 22  22  45  43 
Safety & Productivity 14  15  29  29 
Intelligent Devices 116  110  238  220 
Control Systems & Software 22  24  47  45 
AspenTech 24  123  47  246 
Software and Control 46  147  94  291 
Corporate and other 9  6  17  12 
     Total $ 171  263  349  523 






18



Sales by geographic destination, Americas, Asia, Middle East & Africa ("AMEA") and Europe, are summarized below:
Three Months Ended March 31, Three Months Ended March 31,
2022 2023
Americas AMEA Europe Total Americas AMEA Europe Total
Final Control $ 412  337  135  884  494  362  136  992 
Measurement & Analytical 361  295  113  769  455  304  129  888 
Discrete Automation 296  171  177  644  311  184  188  683 
Safety & Productivity 260  17  78  355  272  16  73  361 
Intelligent Devices 1,329  820  503  2,652  1,532  866  526  2,924 
Control Systems & Software 282  175  116  573  314  186  123  623 
AspenTech 48  19  17  84  114  61  55  230 
Software and Control 330  194  133  657  428  247  178  853 
     Total $ 1,659  1,014  636  3,309  1,960  1,113  704  3,777 
Six Months Ended March 31, Six Months Ended March 31,
2022 2023
Americas AMEA Europe Total Americas AMEA Europe Total
Final Control $ 764  673  264  1,701  940  670  244  1,854 
Measurement & Analytical 672  591  243  1,506  851  550  236  1,637 
Discrete Automation 570  354  337  1,261  602  359  340  1,301 
Safety & Productivity 530  33  143  706  508  33  130  671 
Intelligent Devices 2,536  1,651  987  5,174  2,901  1,612  950  5,463 
Control Systems & Software 550  348  245  1,143  608  371  250  1,229 
AspenTech 102  35  29  166  226  124  123  473 
Software and Control 652  383  274  1,309  834  495  373  1,702 
Total $ 3,188  2,034  1,261  6,483  3,735  2,107  1,323  7,165 





19



Items 2 and 3.

Management's Discussion and Analysis of Financial Condition and Results of Operations 
(Dollars are in millions, except per share amounts or where noted)

OVERVIEW

On April 12, 2023, Emerson announced an agreement to acquire National Instruments Corporation ("NI") for $60 per share in cash at an equity value of $8.2 billion. The effective price per share is $59.61 considering shares previously acquired by Emerson, see Note 11. NI, which provides software-connected automated test and measurement systems that enable enterprises to bring products to market faster and at a lower cost, had revenues of $1.66 billion in 2022. The transaction is expected to close in the first half of Emerson’s fiscal 2024, subject to the completion of customary closing conditions, including regulatory approvals and approval by NI shareholders.
In October 2022, the Board of Directors approved the Company's agreement to sell a majority stake in its Climate Technologies business (which constitutes the historical Climate Technologies segment, excluding Therm-O-Disc which was divested in fiscal 2022) to private equity funds managed by Blackstone in a $14.0 billion transaction. The transaction is expected to close in the Company's third quarter of fiscal 2023, subject to regulatory approvals and customary closing conditions.
On October 31, 2022, the Company completed the divestiture of its InSinkErator business, which manufactures food waste disposers, to Whirlpool Corporation for $3.0 billion, and the Company recognized a pretax gain of $2.8 billion (approximately $2.1 billion after-tax) in the first quarter of fiscal 2023.
Climate Technologies, Therm-O-Disc and InSinkErator are reported within discontinued operations for all periods presented. See Note 5.
On May 16, 2022, the Company completed the transactions contemplated by its definitive agreement with Aspen Technology, Inc. ("Heritage AspenTech") to contribute two of Emerson's stand-alone industrial software businesses, Open Systems International, Inc. and the Geological Simulation Software business, along with approximately $6.0 billion in cash to Heritage AspenTech stockholders, to create "New AspenTech" (hereinafter referred to as "AspenTech"). Upon closing of the transaction, Emerson owned 55 percent of the outstanding shares of AspenTech common stock (on a fully diluted basis). See Note 4. Due to the timing of the acquisition in the prior year, the results for the three and six months ended March 31, 2022 do not include the results of Heritage AspenTech.
For the second quarter of fiscal 2023, net sales from continuing operations were $3.8 billion, up 14 percent compared with the prior year. Underlying sales, which exclude foreign currency translation, acquisitions and divestitures, were up 14 percent, while foreign currency translation had a 3 percent unfavorable impact. The AspenTech acquisition added 4 percent and the divestiture of Metran, Emerson's Russia-based manufacturing subsidiary, deducted 1 percent. Sales growth was strong across the majority of the Company's business segments and all geographies were up double digits.
Earnings from continuing operations attributable to common stockholders were $530, up 24 percent, and diluted earnings per share from continuing operations were $0.92, up 28 percent compared with $0.72 in the prior year. Adjusted diluted earnings per share from continuing operations were $1.09 compared with $0.87 in the prior year, reflecting the strong sales growth and operating performance.

The table below presents the Company's diluted earnings per share from continuing operations on an adjusted basis to facilitate period-to-period comparisons and provide additional insight into the underlying, ongoing operating performance of the Company. Adjusted diluted earnings per share from continuing operations excludes intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction-related costs, and certain gains, losses or impairments.





20



Three Months Ended Mar 31 2022 2023
Diluted earnings from continuing operations per share $ 0.72  0.92 
Amortization of intangibles 0.09  0.16 
Restructuring and related costs 0.02  0.04 
National Instruments investment gain —  (0.05)
Acquisition/divestiture costs 0.04  0.01 
AspenTech Micromine purchase price hedge loss —  0.01 
Adjusted diluted earnings from continuing operations per share $ 0.87  1.09 
The table below summarizes the changes in adjusted diluted earnings per share from continuing operations. The items identified below are discussed throughout MD&A, see further discussion above and in the Business Segments and Financial Position sections below.
Three Months Ended
Adjusted diluted earnings from continuing operations per share - Mar 31, 2022
 $ 0.87 
    Operations 0.26 
    Stock compensation 0.01 
    Foreign currency (0.03)
    Effective tax rate (0.06)
    Share count 0.04 
Adjusted diluted earnings from continuing operations per share - Mar 31, 2023
 $ 1.09 
RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31

Following is an analysis of the Company’s operating results for the second quarter ended March 31, 2022, compared with the second quarter ended March 31, 2023.
2022 2023 Change
(dollars in millions, except per share amounts)      
Net sales $ 3,291  3,756  14  %
Gross profit $ 1,476  1,801  22  %
Percent of sales 44.8  % 47.9  % 3.1 pts
SG&A $ 888  1,000  13  %
Percent of sales 26.9  % 26.7  % (0.2) pts
Other deductions, net $ 28  109   
Amortization of intangibles $ 57  119 
Restructuring costs $ 9  19 
Interest expense, net $ 51  53   
Earnings from continuing operations before income taxes $ 509  639  25  %
Percent of sales 15.5  % 17.0  % 1.5 pts
Earnings from continuing operations common stockholders $ 428  530  24  %
Percent of sales 13.0  % 14.2  % 1.2 pts
Net earnings common stockholders $ 674  792  18  %
Diluted EPS - Earnings from continuing operations $ 0.72  0.92  28  %
Diluted EPS - Net Earnings $ 1.13  1.38  22  %






21



Net sales for the second quarter of fiscal 2023 were $3.8 billion, up 14 percent compared with 2022. Intelligent Devices sales were up 10 percent, while Software and Control sales were up 30 percent, which included the impact of the Heritage AspenTech acquisition. Underlying sales were up 14 percent on 9 percent higher volume and 5 percent higher price, while foreign currency translation had a 3 percent negative impact. The Heritage AspenTech acquisition added 4 percent and the divestiture of Metran, Emerson's Russia-based manufacturing subsidiary, deducted 1 percent. Underlying sales were up 16 percent in the U.S. and up 12 percent internationally. The Americas was up 15 percent, Europe was up 14 percent, and Asia, Middle East & Africa was up 11 percent (China up 7 percent).

Cost of sales for the second quarter of fiscal 2023 were $1,955, an increase of $140 compared with 2022. Gross margin of 47.9 percent increased 3.1 percentage points due to favorable price less net material inflation, the impact of the Heritage AspenTech acquisition which benefited margins by 0.8 percentage points, and favorable mix.
Selling, general and administrative (SG&A) expenses of $1,000 increased $112 and SG&A as a percent of sales decreased 0.2 percentage points to 26.7 percent compared with the prior year, reflecting strong operating leverage on higher sales, partially offset by the Heritage AspenTech acquisition.
Other deductions, net were $109 in 2023, an increase of $81 compared with the prior year, reflecting higher intangibles amortization of $62 primarily related to the Heritage AspenTech acquisition, a mark-to-market loss of $14 related to foreign currency forward contracts entered into by AspenTech to mitigate the impact of foreign currency exchange associated with the Micromine purchase price, and an unfavorable impact from foreign currency transactions of $32, reflecting losses in the current year compared to gains in the prior year. These items were partially offset by a mark-to-market gain of $35 on the Company's equity investment in NI. See Note 7.

Pretax earnings from continuing operations of $639 increased $130, up 25 percent compared with the prior year, reflecting strong operating leverage on higher sales. Earnings increased $137 in Intelligent Devices and decreased $24 in Software and Control (reflecting the impact of higher intangibles amortization due to the Heritage AspenTech acquisition), while costs reported at Corporate decreased $19. See the Business Segments discussion that follows and Note 13.

Income taxes were $134 in the second quarter of fiscal 2023 and $80 in 2022, resulting in effective tax rates of 21 percent and 16 percent, respectively. The prior year rate included a 6 percentage point net benefit related to the completion of tax examinations partially offset by unfavorable discrete tax items.

Earnings from continuing operations attributable to common stockholders were $530, up 24 percent, and diluted earnings per share from continuing operations were $0.92, up 28 percent compared with $0.72 in the prior year. Adjusted diluted earnings per share from continuing operations were $1.09 compared with $0.87 in the prior year, reflecting strong operating results. See the analysis above of adjusted earnings per share for further details.

Earnings from discontinued operations were $262 ($0.46 per share) compared to $246 ($0.41 per share) in the prior year. See Note 5.

Net earnings common stockholders in the second quarter of fiscal 2023 were $792, up 18 percent, compared with $674 in the prior year, and earnings per share were $1.38, up 22 percent, compared with $1.13 in the prior year.

The table below, which shows results from continuing operations on an adjusted EBITA basis, is intended to supplement the Company's discussion of its results of operations herein. The Company defines adjusted EBITA as earnings from continuing operations excluding interest expense, net, income taxes, intangibles amortization expense, restructuring expense, first year purchase accounting related items and transaction-related costs, and certain gains, losses or impairments. Adjusted EBITA and adjusted EBITA margin are measures used by management and may be useful for investors to evaluate the Company's operational performance.






22



Three Months Ended Mar 31 2022 2023 Change
Earnings from continuing operations before income taxes $ 509  639  25  %
      Percent of sales 15.5  % 17.0  % 1.5 pts
    Interest expense, net 51  53 
    Amortization of intangibles 71  168 
    Restructuring and related costs 14  26 
    National Instruments investment gain —  (35)
    Acquisition/divestiture costs 7  10 
    AspenTech Micromine purchase price hedge loss —  14 
Adjusted EBITA from continuing operations $ 652  875  34  %
      Percent of sales 19.8  % 23.3  % 3.5 pts







23



Business Segments
Following is an analysis of operating results for the Company’s business segments for the second quarter ended March 31, 2022, compared with the second quarter ended March 31, 2023. The Company defines segment earnings as earnings before interest and taxes. See Note 13 for a discussion of the Company's business segments.

INTELLIGENT DEVICES
2022 2023 Change FX Acq/Div U/L
Sales:
Final Control $ 884  992