Net Profit Margin
since 2005
Calculation
Emerson Electric Co., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net earnings common stockholders1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Sep 30, 2019 | 12.55% | = | 100 | × | 2,306) | ÷ | 18,372) |
| Sep 30, 2018 | 12.66% | = | 100 | × | 2,203) | ÷ | 17,408) |
| Sep 30, 2017 | 9.94% | = | 100 | × | 1,518) | ÷ | 15,264) |
| Sep 30, 2016 | 11.26% | = | 100 | × | 1,635) | ÷ | 14,522) |
| Sep 30, 2015 | 12.15% | = | 100 | × | 2,710) | ÷ | 22,304) |
| Sep 30, 2014 | 8.75% | = | 100 | × | 2,147) | ÷ | 24,537) |
| Sep 30, 2013 | 8.12% | = | 100 | × | 2,004) | ÷ | 24,669) |
| Sep 30, 2012 | 8.06% | = | 100 | × | 1,968) | ÷ | 24,412) |
| Sep 30, 2011 | 10.24% | = | 100 | × | 2,480) | ÷ | 24,222) |
| Sep 30, 2010 | 10.29% | = | 100 | × | 2,164) | ÷ | 21,039) |
| Sep 30, 2009 | 8.24% | = | 100 | × | 1,724) | ÷ | 20,915) |
| Sep 30, 2008 | 9.72% | = | 100 | × | 2,412) | ÷ | 24,807) |
| Sep 30, 2007 | 9.46% | = | 100 | × | 2,136) | ÷ | 22,572) |
| Sep 30, 2006 | 9.16% | = | 100 | × | 1,845) | ÷ | 20,133) |
| Sep 30, 2005 | 8.22% | = | 100 | × | 1,422) | ÷ | 17,305) |
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), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
1 US$ in millions
The analysis of the financial data over the presented periods reveals several notable trends regarding profitability and revenue performance.
- Net Earnings Common Stockholders
- Net earnings demonstrated a fluctuating but generally upward trend from 2005 to 2019. Starting at 1,422 million USD in 2005, earnings peaked at 2,710 million USD in 2015 before experiencing a sharp decline to 1,635 million USD in 2016 and a further dip in 2017. The subsequent years saw a recovery, reaching approximately 2,306 million USD in 2019. This volatility suggests periods of both strong performance and significant challenges.
- Net Sales
- Sales exhibited growth with some variability. Beginning at 17,305 million USD in 2005, sales expanded steadily until 2014, when they reached a maximum of 24,537 million USD. However, a marked decrease followed in 2015 and 2016, dropping below 15,000 million USD, which indicates a contraction or divestiture. From 2017 onward, sales gradually increased again, attaining 18,372 million USD by 2019, though not fully recovering to earlier peak levels.
- Net Profit Margin
- Profit margins varied between approximately 8% and 13% throughout the period. The margin generally hovered around 8-10% for most years, with significant improvement noted in 2014, reaching 12.15%, followed by a slight decline but maintaining levels above 9% thereafter. The highest recorded margin of 12.66% in 2018 indicates improved operational efficiency or favorable market conditions during that time.
Overall, the data reflects a company experiencing considerable earnings growth with intermittent declines, correlated with fluctuations in sales volume. Profitability margins improved significantly in the mid-2010s despite sales downturns, suggesting possible enhancements in cost management or product mix strategies. The recovery in sales and earnings towards the latter years indicates resilience and potential adaptation to market conditions.
Comparison to Competitors
Emerson Electric Co., net profit margin, long-term trends, comparison to competitors
| Emerson Electric Co. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Sep 30, 2019 | 12.55% | -0.83% | 12.00% | 10.34% | -5.69% | 16.73% | 10.42% | 7.19% |
| Sep 30, 2018 | 12.66% | 10.34% | 11.86% | 9.93% | -19.69% | 16.18% | 9.39% | 7.92% |
| Sep 30, 2017 | 9.94% | 8.78% | 1.77% | 14.63% | -5.11% | 4.08% | 3.92% | 7.61% |
| Sep 30, 2016 | 11.26% | 5.18% | -0.19% | 9.73% | 8.00% | 12.24% | 11.22% | 8.83% |
| Sep 30, 2015 | 12.15% | 5.39% | 4.76% | 9.49% | -5.79% | 12.36% | 7.81% | 13.56% |
| Sep 30, 2014 | 8.75% | 6.00% | 7.09% | 7.95% | 14.27% | 10.52% | 7.93% | 9.55% |
| Sep 30, 2013 | 8.12% | 5.29% | 7.19% | 8.44% | 12.99% | 10.05% | 6.57% | 9.14% |
| Sep 30, 2012 | 8.06% | 4.77% | 9.01% | 7.46% | 13.62% | 7.77% | 5.82% | 8.89% |
| Sep 30, 2011 | 10.24% | 5.85% | 8.59% | 8.41% | 14.97% | 5.66% | 5.71% | 8.56% |
| Sep 30, 2010 | 10.29% | 5.14% | 6.77% | 6.77% | 11.59% | 6.06% | 6.39% | 8.05% |
| Sep 30, 2009 | 8.24% | 1.92% | 3.03% | 3.23% | 10.62% | 6.97% | 6.69% | 7.30% |
| Sep 30, 2008 | 9.72% | 4.39% | 7.40% | 6.88% | 15.44% | 7.64% | 7.53% | 8.08% |
| Sep 30, 2007 | 9.46% | 6.14% | 8.44% | 7.63% | 22.31% | 7.07% | 7.25% | 7.83% |
| Sep 30, 2006 | 9.16% | 3.60% | 9.10% | 7.68% | 20.68% | 6.64% | 6.38% | 7.92% |
| Sep 30, 2005 | 8.22% | 4.69% | 8.39% | 7.24% | 17.66% | 5.98% | 4.90% | 7.26% |
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), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
Comparison to Sector (Capital Goods)
Emerson Electric Co., net profit margin, long-term trends, comparison to sector (capital goods)
| Emerson Electric Co. | Capital Goods | |
|---|---|---|
| Sep 30, 2019 | 12.55% | 5.03% |
| Sep 30, 2018 | 12.66% | 2.99% |
| Sep 30, 2017 | 9.94% | 3.41% |
| Sep 30, 2016 | 11.26% | 7.61% |
| Sep 30, 2015 | 12.15% | 4.69% |
| Sep 30, 2014 | 8.75% | 9.51% |
| Sep 30, 2013 | 8.12% | 8.78% |
| Sep 30, 2012 | 8.06% | 8.73% |
| Sep 30, 2011 | 10.24% | 9.04% |
| Sep 30, 2010 | 10.29% | 7.93% |
| Sep 30, 2009 | 8.24% | 6.61% |
| Sep 30, 2008 | 9.72% | 9.45% |
| Sep 30, 2007 | 9.46% | 11.53% |
| Sep 30, 2006 | 9.16% | 10.82% |
| Sep 30, 2005 | 8.22% | 9.72% |
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), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).
Comparison to Industry (Industrials)
Emerson Electric Co., net profit margin, long-term trends, comparison to industry (industrials)
| Emerson Electric Co. | Industrials | |
|---|---|---|
| Sep 30, 2019 | 12.55% | 4.11% |
| Sep 30, 2018 | 12.66% | 4.75% |
| Sep 30, 2017 | 9.94% | 5.79% |
| Sep 30, 2016 | 11.26% | 7.43% |
| Sep 30, 2015 | 12.15% | 6.48% |
| Sep 30, 2014 | 8.75% | 8.76% |
| Sep 30, 2013 | 8.12% | 8.23% |
| Sep 30, 2012 | 8.06% | 7.39% |
| Sep 30, 2011 | 10.24% | 8.26% |
| Sep 30, 2010 | 10.29% | 7.48% |
| Sep 30, 2009 | 8.24% | 5.76% |
| Sep 30, 2008 | 9.72% | 7.27% |
| Sep 30, 2007 | 9.46% | 9.56% |
| Sep 30, 2006 | 9.16% | 14.87% |
| Sep 30, 2005 | 8.22% | 3.55% |
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), 10-K (reporting date: 2013-09-30), 10-K (reporting date: 2012-09-30), 10-K (reporting date: 2011-09-30), 10-K (reporting date: 2010-09-30), 10-K (reporting date: 2009-09-30), 10-K (reporting date: 2008-09-30), 10-K (reporting date: 2007-09-30), 10-K (reporting date: 2006-09-30), 10-K (reporting date: 2005-09-30).