Rockwell Automation Inc. today reported fiscal second quarter net income of $729.3 million, or $4.45 per share, up from $146.5 million, or 81 cents per share, in the same period a year ago, as the Milwaukee company reaped the one-time benefits of the sale of its Power Systems division.
The sale generated an after-tax gain of $603.2 million.
Rockwell's total sales for the quarter remained relatively flat at $1.2 billion, up slightly from $1.1 billion.
"Our results in the quarter were mixed. Concentrated efforts to accelerate returns from our growth investments allowed us to deliver solid top-line results despite the lack of growth in North America. Revenue growth was again particularly strong in Europe and Latin America. Operating margins, however, were mildly disappointing primarily due to very difficult revenue mix and the lagged execution of our productivity plans. We remain committed to building a more valuable enterprise, and to simultaneously driving both growth and productivity," said Keith Nosbusch, chairman and chief executive officer of Rockwell. "We expect both stronger revenue growth and higher operating margins in our second half. Continued strength in Europe and Latin America should be augmented by an expected recovery in U.S. demand, and modest improvement in Asia. Operating margin will benefit from a more profitable revenue mix and from higher cost productivity."
Sale of Power Systems unit boosts Rockwell
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