Business Context and Reporting Period
Company: Emerson Electric Co.
Filing Type: Form 8-K (Current Report)
Date of Report: November 3, 2015
Reporting Period: Fourth Quarter and Fiscal Year 2015
This filing serves as a notification that the Company issued a press release on November 3, 2015, detailing its financial results for the fourth quarter and full fiscal year 2015. The specific financial data is contained in the attached press release (Exhibit 99.1) rather than within the body of this 8-K form.
Key Financial Metrics
The provided text does not contain specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. These metrics are referenced as being detailed in the press release furnished as Exhibit 99.1.
The filing highlights the use of Non-GAAP Financial Measures to evaluate performance. Management excludes the following items from certain metrics to provide insight into underlying operating performance:
- Certain gains and losses
- Impairments
- Costs associated with the planned spinoff of the network power business
- Other strategic portfolio repositioning actions
Metrics presented on this adjusted basis include earnings, earnings per share, return on common stockholders' equity, and return on total capital.
Material Changes and Operational Context
The filing references underlying orders growth defined as the trailing three-month average orders growth versus the prior year, excluding currency, acquisitions, and divestitures. This definition was previously reported in a Form 8-K filed on October 16, 2015. No specific percentage changes or comparative figures are provided in this text.
Guidance, Outlook, and Risks
Forward-Looking Statements: The press release contains forward-looking statements subject to risks and uncertainties. Emerson undertakes no obligation to update these statements.
Key Risks and Uncertainties:
- Ability to successfully complete strategic portfolio repositioning actions (including the network power spinoff).
- Financial impact of the aforementioned strategic actions.
- Economic and currency conditions.
- Market demand, pricing, and competitive factors.
- Protection of intellectual property and technological factors.
Investor Verification Checklist
- Review Exhibit 99.1 (the November 3, 2015 press release) for specific GAAP and Non-GAAP financial figures for Q4 and FY 2015.
- Verify the reconciliation between GAAP and Non-GAAP measures, specifically regarding costs related to the network power business spinoff.
- Assess the impact of currency fluctuations on reported orders growth as defined in the October 16, 2015 filing.
- Monitor progress on the strategic portfolio repositioning and the timeline for the network power spinoff.