Name: Emerson Electric Co. (NYSE:EMR) | Balance Sheet: Assets
Creator: Stock Analysis on Net

Balance Sheet: Assets

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Assets are resources controlled by the company as a result of past events and from which future economic benefits are expected to flow to the entity.

Assets: Selected Items

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Current Assets: Selected Items

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Emerson Electric Co., consolidated balance sheet: assets

US$ in millions

	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015	Sep 30, 2014
Cash and equivalents	1,494)	1,093)	3,062)	3,182)	3,054)	3,149)
Receivables, less allowances	2,985)	3,344)	3,072)	2,701)	4,319)	5,019)
Inventories	1,880)	1,813)	1,696)	1,208)	1,847)	2,057)
Unbilled receivables (contract assets)	456)	—)	—)	—)	—)	—)
Other	324)	369)	422)	2,869)	829)	642)
Other current assets	780)	369)	422)	2,869)	829)	642)
Current assets	7,139)	6,619)	8,252)	9,960)	10,049)	10,867)
Property, plant and equipment, net	3,642)	3,562)	3,321)	2,931)	3,585)	3,802)
Goodwill	6,536)	6,455)	5,316)	3,909)	6,653)	7,182)
Other intangible assets	2,615)	2,751)	1,890)	902)	1,526)	1,689)
Pension assets	164)	591)	197)	—)	—)	—)
Asbestos-related insurance receivables	115)	124)	133)	—)	—)	—)
Deferred income taxes	97)	74)	86)	—)	—)	—)
Other	189)	214)	394)	4,041)	275)	637)
Other noncurrent assets	565)	1,003)	810)	4,041)	275)	637)
Other assets	9,716)	10,209)	8,016)	8,852)	8,454)	9,508)
Noncurrent assets	13,358)	13,771)	11,337)	11,783)	12,039)	13,310)
Total assets	20,497)	20,390)	19,589)	21,743)	22,088)	24,177)

Based on: 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30), 10-K (reporting date: 2014-09-30).

Total assets exhibited a general downward trajectory over the analyzed period, declining from 24,177 million US dollars in 2014 to 20,497 million US dollars in 2019. This contraction was primarily driven by a significant reduction in current assets, while noncurrent assets remained relatively stable, ending the period near their 2014 levels.

Current Asset Dynamics: Current assets decreased from 10,867 million US dollars in 2014 to 7,139 million US dollars in 2019. A notable decline in cash and equivalents is observed, particularly between 2017 and 2018, where balances dropped from 3,062 million US dollars to 1,093 million US dollars. Receivables showed volatility, peaking in 2014 at 5,019 million US dollars and reaching a low of 2,701 million US dollars in 2016 before stabilizing around 2,985 million US dollars by 2019. Inventories followed a similar pattern of initial decline followed by a moderate recovery, ending at 1,880 million US dollars.
Noncurrent Asset Composition: Noncurrent assets ended the period at 13,358 million US dollars, nearly identical to the 13,310 million US dollars reported in 2014. However, the internal composition of these assets shifted. Property, plant, and equipment remained relatively consistent, fluctuating between 2,931 million and 3,802 million US dollars. Goodwill and other intangible assets experienced significant volatility; both metrics saw a sharp decline in 2016—with goodwill dropping to 3,909 million US dollars—followed by a substantial increase through 2019, with goodwill recovering to 6,536 million US dollars. This pattern suggests a period of significant divestitures followed by new acquisitions.
Other Asset Observations: The emergence of specific asset classes in later years is evident, such as the appearance of pension assets starting in 2017 and the introduction of unbilled receivables (contract assets) totaling 456 million US dollars in 2019. Other noncurrent assets showed a significant spike in 2016, reaching 4,041 million US dollars, before returning to levels below 1,000 million US dollars in subsequent years.

The overall asset structure indicates a strategic shift toward a leaner current asset base and an active reallocation of noncurrent assets through acquisitions and divestments. The reduction in total assets is largely a result of lower liquidity levels and a decrease in working capital components relative to the 2014 baseline.

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