Emerson Raises FY18 EPS Guidance; Now Targets Sales At High-end Of Prior Range

(RTTNews) - Emerson (EMR) announced, for 2018, the company's GAAP earnings per share guidance range is increased to $3.10 to $3.20 from prior guidance of $3.05 to $3.15. Total Emerson net sales growth is now expected to be approximately 13 percent, with Automation Solutions up 20 percent and Commercial & Residential Solutions up 2 percent. Excluding a 6 percent impact from acquisitions, divestitures and currency translation, total Emerson underlying sales growth is expected to be approximately 7 percent, with Automation Solutions up 8 percent and Commercial & Residential Solutions up 5 percent. The company noted that the updated guidance does not include the results of the recently announced $810 million Tools & Test acquisition, expected to close in the fiscal fourth quarter.

Second-quarter EPS from continuing operations increased 31 percent to $0.76. Net sales of $4.2 billion increased 19 percent, or 8 percent on an underlying basis.