The company has recently realigned its business after finding buyers for its telecom-based (IYZ) Network Power segment in August 2016. Emerson based this decision on the rationale of becoming a more focused enterprise. Since the transaction is expected to close by December 2016, the company is likely to report financials of the segment for the year ending September 30, 2016.
In its current form, Emerson operates its businesses under five segments: Process Management, Industrial Automation, Climate Technologies, Commercial & Residential Solutions, and Network Power. The segments represented 37%, 18%, 18%, 8%, and 19%, respectively, of company’s sales in fiscal 2015.
Since the Network Power segment is due to be divested, we’ve excluded it from our analysis. Rockwell Automation (ROK), Parker Hannifin (PH), and Honeywell Process Solutions (HON) are some of Emerson’s key competitors.
On August 18, 2016, Emerson announced that it signed an agreement to acquire Pentair’s (PNR) valves and controls business. To make our analysis more current, we’ve included our view on this acquisition in the next part of this series.
View more information: https://marketrealist.com/2016/09/emerson-electrics-core-business-areas/