Emerson Electric Co 8-K, filed May 13, 2020
Emerson Electric Co (EMR)
8-K
2020-05-13
For: 2020-05-13
View Original
Added on
April 11, 2026
About this 8-K
Emerson Electric Co filed this 8-K on May 13, 2020.
Items reported
- Item 7.01: Regulation FD disclosure
- Item 9.01: Financial statements and exhibits
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_______________
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event
reported): May 13, 2020
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(Exact Name of Registrant as Specified in Charter)
--------------------------------- (State or Other Jurisdiction of Incorporation) | ------------------- (Commission | --------------------------- (I.R.S. Employer Identification Number) |
File Number) | ||
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Registrant’s telephone number, including area code:
(314 ) 553-2000
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
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. ☐
Item 7.01 Regulation FD Disclosure
The following information is furnished pursuant to Regulation FD.
Emerson Three-Month Orders, Including Foreign Currency Translation
(Percentage change versus prior year; trailing three-month averages, excluding acquisitions and divestitures, including currency translation)
Feb '20 | Mar '20 | Apr '20 | ||||
Automation Solutions | (5) to 0 | (5) to 0 | (10) | |||
Commercial & Residential Solutions | (10) to (5) | (10) to (5) | (20) to (15) | |||
Total Emerson | (5) to 0 | (5) to 0 | (15) to (10) | |||
Orders Comments
Total Emerson trailing three-month orders were down 12 percent with underlying orders down 10 percent, excluding 2 percent of unfavorable currency impact.
Automation Solutions orders were down 10 percent and were down 7 percent on an underlying basis excluding unfavorable currency of 3 percent. As expected, trailing three-month orders reflect a sharp drop in April orders, further detailed in the slide presentation furnished as Exhibit 99.1.
Commercial & Residential Solutions orders were down 16 percent and were down 15 percent on an underlying basis excluding unfavorable currency of 1 percent. As expected, trailing three-month orders reflect a sharp drop in April orders, further detailed in the slide presentation furnished as Exhibit 99.1.
Upcoming Investor Events
On Tuesday, August 4, 2020, Emerson will report its third quarter 2020 results prior to market open. Emerson senior management will discuss the results during an investor conference call that same day, likely beginning at 3:00 p.m. Eastern Time, 2:00 p.m. Central Time. Participants can access a live webcast available at www.emerson.com/financial at the time of the call. A replay of the call will remain available for 90 days. Additionally, conference call slides will be posted in advance of the call on the website.
Forward-Looking and Cautionary Statements
Statements in this Current Report on Form 8-K and furnished in Exhibit 99.1 that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include the scope, duration and ultimate impact of the COVID-19 pandemic as well as economic and currency conditions, market demand, including related to the pandemic and oil and gas price declines and volatility, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. Underlying orders discussed herein exclude the impact of currency translation.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
Exhibit Number | Description of Exhibits | |
104 | Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document. | |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
EMERSON ELECTRIC CO. (Registrant) | |||
Date: | May 13, 2020 | By: | /s/ John A. Sperino |
John A. Sperino Vice President and Assistant Secretary | |||
Exhibit 99.1 Emerson Orders Update May 13, 2020 Forward-Looking and Cautionary Statements in these slides that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include the scope, duration and ultimate impact of the COVID-19 pandemic as well as economic and currency conditions, market demand, including related to the pandemic and oil and gas price declines and volatility, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. Underlying orders discussed herein exclude the impact of currency translation. 1
Emerson Underlying Order Trends Trailing 3-Month Average vs. Prior Year 20% 15% 10% Automation Solutions 5% Emerson 0% Commercial & (5%) Residential Solutions 2H Expectation (10%) Trailing 3M Underlying % Chg. Feb Mar Apr Automation Solutions ~(1%) ~(1%) ~(7%) (20%)- (15%) Commercial & Resi. ~(6%) ~(5%) ~(15%) (10%) Emerson ~(2%) ~(3%) ~(10%) (20%) Oct-15 Oct-16 Oct-17 Oct-18 Oct-19 Oct-20 Apr-16 Apr-17 Apr-18 Apr-19 Apr-20 Jun-16 Jun-17 Jun-18 Jun-19 Jun-20 Feb-16 Feb-17 Feb-18 Feb-19 Feb-20 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Aug-16 Aug-17 Aug-18 Aug-19 Aug-20 Percentage change versus prior year; underlying trailing three-month averages, excluding acquisitions, divestitures and currency translation Orders data includes the Valves & Controls acquisition results in all periods presented, including on a pro forma basis for periods prior to the acquisition close April 28, 2017. 2
Automation Solutions Trailing 3-Month Underlying Orders: Down ~7% North America Europe Feb Mar Apr T3M Feb Mar Apr T3M ~flat ~(5%) ~(30%) ~(15%) ~5% ~(5%) ~(20%) ~(5%) • Shale oil & gas spend down sharply • Small and midsize projects ($1-2M range) • Life science and medical growth driven by continue to proceed Systems and Discrete businesses • KOB3 business stable Middle East & Africa Feb Mar Apr T3M ~25% ~40% ~(20%) ~20% • Projects continuing to move forward in Saudi, Bahrain, UAE • Headwinds from curfew in Iraq and Kuwait Asia Pacific Latin America Feb Mar Apr T3M Feb Mar Apr T3M ~(10%) ~5% ~(10%) ~(5%) ~(5%) ~10% ~(25%) ~(5%) • China T3M orders down ~10%, but showing signs of • Double-digit declines in Mexico and Peru only stabilizing partially offset by project bookings in Brazil • Demand in India stable despite logistics challenges and Chile • North Asia state power companies accelerating investments Trailing 3-Month Order Declines in Most World Areas Emerson Confidential Only Partially Offset by Resilience in the Middle East 33
Commercial & Residential Solutions Trailing 3-Month Underlying Orders: Down ~15% North America Europe Feb Mar Apr T3M Feb Mar Apr T3M ~(10%) ~flat ~(40%) ~(15%) ~flat ~5% ~(25%) ~(5%) • Commercial construction and cold chain activity • Residential heat pump demand holding particularly weak • Commercial HVAC and professional tools • Professional tools demand weakness weakness • Home improvement activity holding • Customers beginning to resume operations • Summer heat important for residential HVAC rebound Middle East & Africa Feb Mar Apr T3M ~(5%) ~10% ~(40%) ~(10%) • Sharp drop in April, but current bookings outlook stabilizing • Availability of labor for projects is key factor Latin America Asia Pacific Feb Mar Apr T3M Feb Mar Apr T3M ~(5%) ~10% ~(55%) ~(15%) ~15% ~(15%) ~(15%) ~(10%) • Mexico supply chain remains a challenge • China T3M orders down ~10% • Currency devaluations disrupted suppliers • China stimulus should help demand and customers Commercial Markets Stalled in April: Construction, HVAC, and Cold Chain. Residential Emerson ConfidentialMarkets Holding thus Far, but Unemployment Will be an Important Factor 44