Q3 2024 Rockwell Automation Inc Earnings Call Transcript
Key Points
- Rockwell Automation Inc (ROK) achieved strong margin performance in Q3 due to accelerated cost-saving actions.
- The company expects $100 million in savings in the second half of the year and $120 million in incremental savings next year.
- Lifecycle services saw a strong quarter with organic sales up over 11% year-over-year.
- Total ARR for the company was up a strong 17% this quarter.
- Adjusted EPS of $2.71 exceeded expectations, driven by better revenue, mix, and cost-saving actions.
- Order growth continued to ramp at a slower-than-expected pace.
- Q3 orders were up only low single digits year-over-year and sequentially, with weaker end-user demand.
- Organic sales in the software & control segment declined over 31% year-over-year.
- Sales in discrete industries were down high single digits versus prior year, with significant declines in automotive and semiconductor sectors.
- The company reduced its fiscal year '24 guidance due to a more gradual pace of orders growth.
(audio in progress) Ms. Zellner, please go ahead.
Thank you, Julianne. Good morning and thank you for joining us for Rockwell Automation's Third Quarter Fiscal 2024 Earnings Release Conference Call. With me today is Blake Moret, our Chairman and CEO; and Nick Gangestad, our CFO.
Our results were released earlier this morning, and the press release and charts have been posted to our website. Both the press release and charts included in our call today will reference non-GAAP measures. Both the press release and charts include reconciliations of these non-GAAP measures. A webcast of this call will be available on our website for replay for the next 30 days. For your convenience, a transcript of our prepared remarks will also be available on our website at the conclusion of today's call.
Before we get started, I need to remind you that our comments will include statements related to the expected future results of our company and are, therefore, forward
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