Emerson Reports Fourth-Quarter 2001 Results
Emerson (St. Louis, MO) announced that for the fiscal year 2001 ended September 30, the company achieved sales of $15.5 billion, operating earnings of $1.3 billion, operating earnings per share of $3.01, operating earnings per share, excluding goodwill amortization of $3.36, operating cash flow of $1.7 billion, and free cash flow of $1.2 billion. Including $377.0 million in incremental pre-tax rationalization charges recognized in the fourth quarter, earnings and earnings per share were $1.0 billion and $2.40, respectively.
Net sales for the year were $15,479,625,000 versus sales of $15,544,802,000 in 2000. Net operating earnings for the year were $1,292,200,000 compared with $1,422,400,000. Reported earnings were $1,031,767,000 versus $1,422,400,000. Operating earnings per share for fiscal 2001 were $3.01 versus $3.30. Operating earnings per share, excluding goodwill amortization for fiscal 2001, were $3.36 versus $3.63. Reported earnings per share were $2.40 versus $3.30 a year ago. The operating cash flow for fiscal 2001 was $1,707,725,000 versus $1,839,755,000 the prior year. Free cash flow was $1,153,546,000, an increase of one percent over $1,147,769,000 a year ago.
Fourth-quarter net sales were $3,551,948,000 versus net sales of $4,065,032,000 for the comparable 2000 period. Reported earnings registered a loss of $14,701,000, or $0.03 per share, versus $370,975,000, or $0.86 per share, a year ago. Net operating earnings for the fourth quarter of fiscal 2001 were $245,700,000, versus $370,975,000. Operating earnings per share were $0.58 per share versus $0.86. Operating earnings per share, excluding goodwill amortization for the quarter, were $0.67 versus $0.95.
"Fiscal 2001 was a challenging year," said David Farr, CEO. "As we said previously, economic difficulties that were initially confined to spending in US industrial goods and telecom equipment expanded into a broad-based global downturn now affecting all of our businesses. Our process business achieved an outstanding year, with underlying sales growth of nearly 10 percent, and earnings growth of 28 percent, significantly outpacing the overall market."