EMR · 10-K · 2026A · Full report
Guidance and Outlook
EMERSON ELECTRIC CO · 2026-11-09 · Importance 74 · Surprise 68 · In source text
For fiscal 2027, Emerson expects consolidated net sales from continuing operations and underlying sales to each increase approximately 5%. The company projects diluted EPS of approximately $5.70 and adjusted diluted EPS of approximately $7.25. Operating cash flow is expected to be $4.3–$4.4 billion and free cash flow $3.8–$3.9 billion, excluding approximately $0.5 billion of projected capital spending. The outlook assumes approximately $3.8 billion returned to shareholders, including $2.5 billion of share repurchases and $1.3 billion of dividends, and assumes the Middle East conflict remains contained within the region.
Key facts
- For fiscal 2027, Emerson expects consolidated net sales from continuing operations to increase approximately 5 percent, with underlying sales also up approximately 5 percent. source
- For fiscal 2027, Emerson expects earnings per share of approximately $5.70 and adjusted earnings per share of approximately $7.25. source
- Emerson contributed $38 to defined benefit plans in 2026 and expects to contribute approximately $45 in 2027. source
- Emerson's fiscal 2027 EPS outlook includes approximately $1.41 of amortization of intangibles and approximately $0.14 of restructuring and related costs, reconciling diluted EPS of approximately $5.70 to adjusted diluted EPS of approximately $7.25. source
- A 0.25 percentage point decrease in the expected return on plan assets would increase Emerson's 2027 pension expense by $10. source
- The assumed investment return on Emerson's U.S. plan assets was 6.75 percent in 2026, 6.50 percent in 2025 and 6.50 percent in 2024, and will be 7.40 percent for 2027. source
- Emerson's fiscal 2027 outlook assumes the impact of the Middle East conflict is contained within the region. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | committed | +4.3% | For fiscal 2027, Emerson expects consolidated net sales from continuing operations to increase approximately 5 percent, with underlying… |
| cash | negative | committed | -0.0% | Emerson contributed $38 to defined benefit plans in 2026 and expects to contribute approximately $45 in 2027. |
| operating_income | negative | contingent | -0.0% | A 0.25 percentage point decrease in the expected return on plan assets would increase Emerson's 2027 pension expense by $10. |
| operating_income | negative | committed | — | Emerson's fiscal 2027 EPS outlook includes approximately $1.41 of amortization of intangibles and approximately $0.14 of restructuring and… |
| operating_income | negative | committed | — | Emerson's fiscal 2027 EPS outlook includes approximately $1.41 of amortization of intangibles and approximately $0.14 of restructuring and… |