Industrial automation solutions provider Rockwell Automation, Inc. (ROK) Wednesday reported higher fourth-quarter profit, as sales grew about 4 percent with growth in both of its segments. Adjusted earnings beat analysts' expectations, while revenues missed view.
For the quarter, the company's net income increased to $248.7 million or $1.79 per share from $215.3 million or $1.53 per share in the prior-year quarter. Excluding non-operating pension costs and related income tax effects, adjusted earnings were $1.86 per share, while the firm posted $1.62 per share in the prior-year quarter.
On average, 19 analysts polled by Thomson Reuters expected the company to report earnings of $1.82 per share. Analysts' estimates typically exclude special items.
Total segment operating earnings were $395.8 million, up 11 percent compared to $357.8 million in the same period last year. Total segment operating margin increased to 22.2 percent from 20.9 percent a year ago.
Total sales for the quarter grew 3.9 percent to $1.78 billion from $1.72 billion a year ago, while 18 analysts were looking for revenue of $1.80 billion.
Organic sales growth was 4.4 percent, and currency translation reduced sales by 0.7 percent.
Architecture & Software segment sales were $747.4 million, an increase of 4.6 percent from last year. Control Products & Solutions sales rose 3.3 percent to $1.03 billion.
Looking ahead, for fiscal 2015, the company expects adjusted earnings to be in the range of $6.55 to $6.95 per share. Wall Street currently is looking for fiscal year 2015 earnings of $6.81 per share.
The firm anticipates organic sales growth of 2.5 to 6.5 percent. For fiscal year 2014, the company's sales totaled $6.62 billion.
Commenting on the outlook, Keith Nosbusch, chairman and chief executive officer of the company said, "Despite heightened uncertainty in some regions, the U.S. economy remains strong, and forecasts call for continued moderate global economic growth."
ROK closed Tuesday's trading at $112.86.
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