EMERSON ELECTRIC CO

Emerson Electric Co.

Overview

Emerson is a global automation company that provides solutions for process, hybrid, and discrete manufacturers. Its products and services help customers optimize operations, protect personnel, reduce emissions, and advance sustainability goals across multiple industries.

Core portfolio and segments

Emerson reorganized into five segments within three business groups, with a focus on software, control, and intelligent-device technologies.

• Software & Systems

  • Combines Control Systems & Software and Test & Measurement (National Instruments is now the Test & Measurement segment; AspenTech integration is within Control Systems & Software).
  • Key platforms and offerings include DeltaV and Ovation control systems, AspenTech asset-optimization software, edge-to-cloud analytics, and AI capabilities.
  • Programmable automation controllers were moved into this segment from the former Discrete Automation segment.

• Intelligent Devices

  • Sensors: Real-time sensing and measurement with brands such as Rosemount and Micro Motion; includes secure, wireless and non-intrusive instrumentation.
  • Final Control: Valves, digital valve controllers, actuators and regulators, and related fluids and motion control products (brands include Fisher, ASCO, Bettis).
  • Sensors and Final Control are combined into the Intelligent Devices group.

• Safety & Productivity

  • Tools, connected equipment, and technologies for mechanical, electrical, and diagnostic solutions supporting infrastructure, safety, and productivity across construction, maintenance, and industrial settings.
  • This group includes electrical equipment and materials from the former Discrete Automation segment.

• Market focus

  • Serves process industries (power, chemical, energy), hybrid industries (life sciences, metals & mining, food & beverage, pulp & paper), and discrete industries (semiconductor, aerospace & defense, automotive, medical, packaging, and others).

Recent acquisitions and divestitures

• March 12, 2025: Purchased the remaining outstanding AspenTech shares for about $7.2 billion; AspenTech is a wholly owned subsidiary and reported within the Control Systems & Software segment.
• October 11, 2023: Acquired National Instruments Corporation (NI) for an equity value of $8.2 billion; NI is now the Test & Measurement segment within Software & Systems.
• May 31, 2023: Sold a majority stake in Climate Technologies to Blackstone; Emerson retained a 40% non-controlling interest in Copeland.
• August 2024: Sold the remaining 40% stake in Copeland to Blackstone for $1.5 billion and sold its note receivable to Copeland for $1.9 billion.

Geographic and manufacturing footprint (as of 2026)

• Geographic destination of sales (2026):

  • Americas: 52%
  • Asia, Middle East & Africa: 30% (China: 9% of total)
  • Europe: 18%

• Global manufacturing footprint:

  • Approximately 115 manufacturing locations worldwide
    • U.S.: about 30 locations
    • Outside U.S.: about 85 locations (primarily Europe and Asia)
  • By business:
    • Software & Systems: 10 locations (including 2 in Test & Measurement)
    • Intelligent Devices: 80 locations (25 Sensors, 55 Final Control)
    • Safety & Productivity: 20 locations
    • 5 locations support multiple segments
  • Most facilities are owned; some are leased.

Backlog and demand indicators

• Consolidated order backlog:
  • $9.6 billion as of September 30, 2026
  • $8.6 billion as of September 30, 2025
• Approximately 70% of backlog is expected to be recognized as revenue in the next 12 months; the remainder is expected in the following two years.
• Backlog by business group (Sept 30, 2026 vs. 2025; in millions):
  • Software & Systems: $4,899 (2026) vs. $4,197 (2025)
  • Intelligent Devices: $4,494 (2026) vs. $4,258 (2025)
  • Safety & Productivity: $200 (2026) vs. $174 (2025)
  • Total Backlog: $9,593 (2026) vs. $8,629 (2025)

Research and development

• R&D, engineering expense, and customer-funded engineering and development:
  • 2026: 8.3% of sales
  • 2025: 8.1% of sales
  • 2024: 8.1% of sales

People and culture

• Employees: approximately 70,000 as of September 30, 2026
• Employee engagement (2026): 93% participation in the annual survey (91% in 2025); overall engagement score 80% (79% in 2025)
• Safety metrics (2026): total recordable injuries 0.22 per 100 employees; lost or restricted workday rate 0.15 per 100 employees
• Emerson emphasizes competitive wages and benefits and an inclusive culture; management reports sufficient human capital to operate effectively.

Environmental sustainability and governance

• Emerson focuses on environmental sustainability and the operational impact of its technologies and products.
• The company maintains governance and safety programs overseen by dedicated Board committees and a Chief Sustainability Officer.
• The Technology and Environmental Sustainability Board committee oversees product cybersecurity, R&D, and sustainability goals and programs.