Stock Groups

Emerson quarterly profit falls over 7% as supply chain woes hit sales -Breaking

by Mike Robinson

[ad_1]

© Reuters. FILE PHOTO – Emerson Electric Co displayed on a floor of the New York Stock Exchange in New York (USA), January 13, 2020. REUTERS/Brendan McDermid

(Reuters] – Emerson Electric Co (NYSE: Electric Co) reported a 7.3% decline in quarterly profits on Wednesday. This was due to a shortage of component labor and others across the industry, which meant that demand could not be met by American manufacturing conglomerate.

The company’s Automation Solutions unit was its largest business. Sales were affected by $125 million due to logistical and supply problems, Emerson stated. Emerson joins other U.S. businesses that have suffered similar losses.

This St. Louis-based business, founded a century ago to sell fans and motors, has been involved in a series of recent acquisitions that have helped it reposition itself as a technology-focused firm.

Emerson now offers a range of products that include automation software and air conditioning tools. Last month, Emerson announced it was merging its software units in an $11 billion deal with Aspen Technology (NASDAQ)

Net income decreased to $670million (or $1.11 per Share) in the fourth quarter that ended September 30, from $723million or $1.20 a year ago.

The net revenue increased 8.5% to $4.95 trillion

Disclaimer Fusion MediaWe remind you that this site does not contain accurate or real-time data. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by exchanges. They are instead provided by market makers. As such, the prices might not reflect market values and could be incorrect. Fusion Media is not responsible for trading losses that may be incurred as a consequence of the use of this data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.



[ad_2]