Ed Moreland Aijana Zellner
Ed Moreland Aijana Zellner Contact Media Relations Investor Relations Rockwell Automation Rockwell Automation 571.296.0391 440.289.8439
Rockwell Automation Reports Fourth Quarter and Full Year 2026 Results; Introduces Fiscal 2027 Guidance • Fourth quarter reported sales up 1%; organic sales up 3% year over year; both reduced by ~(4) percentage points from the customer tariff refund program
• Fourth quarter diluted EPS of $3.11 and Adjusted EPS of $3.88; up 153% and 16% year over year, respectively
◦ Both include a favorable $0.11 net impact of IEEPA tariff refund related items
• Full year reported and organic sales up 8% year over year; both reduced by ~(1) percentage point from the customer tariff refund program
• Organic ARR grew 5% year over year; software ARR grew high single digits year over year
• Full year fiscal 2026 diluted EPS of $12.54 and Adjusted EPS of $13.42; up 63% and 27% year over year, respectively
◦ Both include a favorable $0.11 net impact of IEEPA tariff refund related items
• Full year fiscal 2026 cash provided by operating activities of $1,958 million and free cash flow of $1,701 million; up 27% and 25% year over year, respectively
◦ Both include a favorable $108 million impact of IEEPA tariff refunds and related interest income
MILWAUKEE (November 5, 2026) – Rockwell Automation, Inc. (NYSE: ROK) today reported fiscal 2026 fourth quarter and full year results and introduced fiscal 2027 guidance. "Rockwell delivered a strong finish to a great year, with broad-based topline growth, margin expansion, and double-digit earnings growth. Our results underscore the differentiation of our strategy and operating model, as we continue to gain share, strengthen our leadership in core markets, and expand our position in high-growth areas including semiconductor and data centers,” said Blake Moret, Chairman and CEO. Page 1 In the fourth quarter of fiscal 2026, the Company received $103 million of International Emergency Economic Powers Act tariff refunds (IEEPA tariff refunds) and $5 million of related interest, the benefits of which are reported as a reduction of Cost of sales and an increase in Interest income in our Consolidated Statement of Operations for the three and twelve months ended September 30, 2026. In addition, the Company approved and communicated a refund program for customers (customer tariff refund program) that paid price increases on purchases of products that were impacted by IEEPA tariffs. The Company recognized an accrual of $85 million for estimated refunds to be issued to customers as a reduction of sales in the Consolidated Statement of Operations for the three and twelve months ended September 30, 2026. The impacts on Sales and Cost of sales are reported as unallocated in the segment Sales and Earnings Information. The after-tax net impact of IEEPA tariff refunds, including interest, the customer tariff refund program, and related non-recurring charges reported in unallocated, of $0.11 is included in diluted EPS and Adjusted EPS.
Fiscal 2026 fourth quarter sales were $2,332 million, up 1% compared to $2,316 million in the fourth quarter of fiscal 2025. Organic sales increased 3%. Divestitures decreased sales by (2)%. Reported and Organic sales were reduced by ~(4) percentage points from the customer tariff refund program.
Income before income taxes was $433 million in the fourth quarter of fiscal 2026 compared to $63 million in the same period last year. Pre-tax margin was 18.6% in the fourth quarter of fiscal 2026 compared to 2.7% in the same period last year. The increase was primarily driven by the prior year non-cash impairment charge related to the Sensia joint venture and an accounting change and accrual increase for legacy asbestos liabilities, higher sales volume, the net impact of IEEPA tariff refund related items, favorable mix, and the margin benefit of the Sensia joint venture dissolution, partially offset by a charitable contribution, higher compensation, and restructuring charges. Enterprise operating profit was $572 million in the fourth quarter of fiscal 2026, up 16% compared to $493 million in the same period of fiscal 2025. Enterprise operating margin was 24.5% in the fourth quarter compared to 21.3% a year ago. The increase in Enterprise operating margin was driven by higher sales volume, the net impact of IEEPA tariff refund related items, favorable mix, and the margin benefit of the Sensia joint venture dissolution, partially offset by higher compensation. Page 2 Fiscal 2026 fourth quarter net income attributable to Rockwell Automation was $346 million or $3.11 per share, compared to $138 million or $1.23 per share in the fourth quarter of fiscal 2025. The increases in net income attributable to Rockwell Automation and diluted EPS were primarily due to higher pre-tax income. Fiscal 2026 fourth quarter Adjusted EPS was $3.88, up 16% compared to $3.34 in the fourth quarter of fiscal 2025, primarily due to higher sales volume and Enterprise operating profit.
Cash flow generated by operating activities in the fourth quarter of fiscal 2026 was $680 million, compared to $454 million in the fourth quarter of fiscal 2025. Free cash flow was $602 million, compared to $405 million in the fourth quarter of fiscal 2025. Increases in cash flow provided by operating activities and free cash flow were primarily due to higher pre-tax income and $108 million of tariff refunds and related interest income. Page 3
Fiscal 2026 sales were $8,989 million, a reported and organic increase of 8% from $8,342 million in fiscal 2025. Divestitures decreased sales by (2)% and currency translation increased sales by 2%. Reported and Organic sales were reduced by (1) percentage point from the customer tariff refund program.
Income before income taxes was $1,685 million in fiscal 2026, compared to $917 million in fiscal 2025. Pre-tax margin was 18.7% in fiscal 2026, compared to 11.0% in fiscal 2025. The increase was primarily due to the prior year non-cash impairment charge related to the Sensia joint venture and an accounting change and accrual increase for legacy asbestos liabilities, higher sales volume, price realization, favorable mix, productivity, and the net impact of IEEPA tariff refund related items, partially offset by higher compensation, a charitable contribution, and restructuring charges. Enterprise operating profit was $1,997 million in fiscal 2026, up 27% from $1,578 million in fiscal 2025. Enterprise operating margin was 22.2% compared to 18.9% a year ago. The increase was due to higher sales volume, price realization, favorable mix, productivity, and the net impact of IEEPA tariff refund related items, partially offset by higher compensation.
Fiscal 2026 net income attributable to Rockwell Automation was $1,409 million or $12.54 per share, compared to $869 million or $7.67 per share in fiscal 2025. The increases in net income attributable to Rockwell Automation and diluted EPS were primarily due to higher pre-tax income. Fiscal 2026 Adjusted EPS was $13.42, up 27% compared to $10.53 in fiscal 2025. The increase in Adjusted EPS was primarily due to higher Enterprise operating profit.
Cash flow generated by operating activities in fiscal year 2026 was $1,958 million, compared to $1,544 million in fiscal 2025. Free cash flow was $1,701 million compared to $1,358 million last year. Increases in cash flow provided by operating activities and free cash flow were driven by higher pre-tax income and $108 million of tariff refunds and related interest income. Page 4
The table below provides guidance for sales growth and earnings per share for fiscal 2027.
Sales Growth EPS Guidance(1) Guidance(1) Reported sales 4.5% - 7.5% Diluted EPS $13.78 - $14.78 growth(2) Organic sales growth(2) 6% - 9% Adjusted EPS(3) $14.50 - $15.50 (3) Inorganic sales growth ~ —% Divestiture ~ (1.5)% Currency translation ~ —%
(2) Reported and Organic sales growth include a ~1 percentage point benefit from the FY26 customer tariff refund program.
“We enter fiscal 2027 from a position of strength, with healthy customer demand and significant new product releases. As industrial operations become increasingly AI-enabled and autonomous, Rockwell is uniquely positioned to orchestrate plant-wide workflows. We are committed to growing customer value, increasing market share, and expanding margins,” Moret continued. Page 5 Following is a discussion of quarter and full year results for our business segments.
Intelligent Devices fiscal 2026 fourth quarter sales were $1,144 million, a reported and organic increase of 5% compared to $1,086 million in the same period last year. Segment operating earnings were $247 million in the fourth quarter of fiscal 2026 compared to $215 million in the same period last year. Segment operating margin increased to 21.6% in the fourth quarter of fiscal 2026 from 19.8% a year ago driven by higher sales volume, favorable currency, positive price/cost, and favorable mix, partially offset by higher compensation.
Intelligent Devices fiscal 2026 sales were $4,185 million, an increase of 11% from $3,756 million last year. Organic sales increased 10% and currency translation increased sales by 1%. Segment operating earnings were $839 million in fiscal 2026 compared to $676 million in fiscal 2025. Segment operating margin increased to 20.0% in fiscal 2026 from 18.0% a year ago driven by higher sales volume, productivity, and favorable mix, partially offset by higher compensation.
Software & Control fiscal 2026 fourth quarter sales were $754 million, a reported and organic increase of 15% compared to $657 million in the same period last year. Segment operating earnings were $256 million in the fourth quarter of fiscal 2026 compared to $205 million in the same period last year. Segment operating margin increased to 34.0% in the fourth quarter of fiscal 2026 from 31.2% a year ago driven by higher sales volume.
Software & Control fiscal 2026 sales were $2,818 million, an increase of 18% from $2,383 million last year. Organic sales increased 17% and currency translation increased sales by 1%. Segment operating earnings were $952 million in fiscal 2026 compared to $708 million in fiscal 2025. Segment operating margin increased to 33.8% in fiscal 2026 from 29.7% a year ago driven by higher sales volume, partially offset by higher compensation. Page 6
Lifecycle Services fiscal 2026 fourth quarter sales were $519 million, a decrease of (9)% compared to $573 million in the same period last year. Organic sales increased 2%. Divestitures decreased sales by (11)%. Segment operating earnings were $85 million in the fourth quarter of fiscal 2026 compared to $100 million in the same period last year. Segment operating margin decreased to 16.4% in the fourth quarter of fiscal 2026 from 17.5% a year ago due to higher compensation and unfavorable project mix, partially offset by the margin benefit from the Sensia joint venture dissolution and higher sales volume.
Lifecycle Services fiscal 2026 sales were $2,071 million, a decrease of (6)% from $2,203 million in fiscal 2025. Organic sales decreased by (2)%. Divestitures decreased sales by (6)% and currency translation increased sales by 2%. Segment operating earnings were $312 million in fiscal 2026 compared to $319 million in fiscal 2025. Segment operating margin increased to 15.1% in fiscal 2026 from 14.5% a year ago due to strong project execution and the margin benefit from the Sensia joint venture dissolution, partially offset by higher compensation. Page 7
ARR - Organic ARR grew 5% compared to the end of the fourth quarter of fiscal 2025.
Corporate and Other - Fiscal 2026 fourth quarter Corporate and other expense was $26 million compared to $27 million in the fourth quarter of 2025. Corporate and other expense was $116 million for the full fiscal year 2026 compared to $125 million in fiscal 2025.
Amortization of acquisition-related intangible assets - Fiscal 2026 fourth quarter Amortization of acquisition-related intangible assets expense was $29 million, down $6 million from the fourth quarter of fiscal 2025. Full year fiscal 2026 Amortization of acquisition-related intangible assets expense was $120 million, down $21 million from fiscal 2025. The decreases were primarily due to the dissolution of the Sensia joint venture.
Restructuring charges - Fiscal 2026 fourth quarter and full year restructuring charges were $25 million. Fiscal 2025 fourth quarter and full year included an accrual reversal of $5 million.
Charitable Contribution – In the fourth quarter of fiscal 2026 the Company made a $50 million contribution to the Rockwell Automation Charitable Corporation. The contribution optimizes tax benefits and provides funding for philanthropic priorities.
Tax - On a GAAP basis, the effective tax rate in the fourth quarter of fiscal 2026 was 20.1% compared to 52.4% in the fourth quarter of 2025. The effective tax rate for the full fiscal year 2026 was 16.5% compared to 18.3% in fiscal 2025. The Adjusted Effective Tax Rate for the fourth quarter of fiscal 2026 was 20.9% compared to 17.8% in the fourth quarter of 2025. The Adjusted Effective Tax Rate for the full fiscal year 2026 was 19.6% compared to 17.1% in fiscal 2025. The decreases in the GAAP effective tax rate for the fourth quarter and full year were primarily due to the absence of certain Sensia-related tax impacts from 2025 and higher discrete tax benefits in 2026, including a benefit related to the dissolution of the Sensia joint venture, partially offset by BEPS Pillar Two minimum taxes. The increases in the Adjusted Effective Tax Rate were primarily due to BEPS Pillar Two minimum taxes, partially offset by higher discrete tax benefits. Page 8 Share Repurchases - The Company repurchased approximately 1.2 million shares of its common stock at a cost of $500 million during the fourth quarter of fiscal 2026. For the full fiscal year 2026, the Company repurchased 3.1 million shares of its common stock at a cost of $1,254 million. At September 30, 2026, $673 million remained available under the existing share repurchase authorization.
Return on Invested Capital (ROIC) - On a GAAP basis, ROIC was 23.3% for the twelve months ended September 30, 2026, compared to 13.2% for the twelve months ended September 30, 2025. Adjusted ROIC was 20.4% for fiscal year 2026, compared to 14.6% for fiscal year 2025. The increase in ROIC and Adjusted ROIC was due to higher pre-tax income.
Net Income and Adjusted EBITDA - Net Income in the fourth quarter of fiscal 2026 was $346 million, compared to $30 million in the fourth quarter of 2025. Adjusted EBITDA in the fourth quarter of fiscal 2026 was $620 million, compared to $538 million in the fourth quarter of 2025. Net Income for fiscal year 2026 was $1,407 million, compared to $749 million for fiscal year 2025. Adjusted EBITDA was $2,182 million for fiscal year 2026, compared to $1,753 million for fiscal year 2025. The increase was primarily driven by higher net income. Page 9
Non-GAAP Measures - Organic sales, Enterprise operating profit, Enterprise operating margin, Adjusted Income, Adjusted EPS, Adjusted Effective Tax Rate, free cash flow, free cash flow conversion, Adjusted ROIC, Adjusted EBITDA, and Adjusted EBITDA margin are non-GAAP measures that are reconciled to GAAP measures in the attachments to this release.
Total ARR - Annual recurring revenue (ARR) is a key metric that enables measurement of progress in growing our recurring revenue business. It represents the annual contract value of all active recurring revenue contracts at any point in time. Recurring revenue is defined as a revenue stream that is contractual, typically for a period of 12 months or more, and has a high probability of renewal. The probability of renewal is based on historical renewal experience of the individual revenue streams, or management's best estimates if historical renewal experience is not available. Total ARR growth is calculated as the dollar change in ARR, adjusted to exclude the effects of currency, divided by ARR as of the prior period. The effects of currency translation are excluded by calculating Total ARR on a constant currency basis. Total ARR includes acquisitions even if there was no comparable ARR in the prior period. We believe that Total ARR provides useful information to investors because it reflects our recurring revenue performance period over period including the effect of acquisitions. Our measure of ARR may be different from measures used by other companies. Because ARR is based on annual contract value, it does not represent revenue recognized during a particular reporting period or revenue to be recognized in future reporting periods and is not intended to be a substitute for revenue, contract liabilities, or backlog.
Organic ARR - Organic annual recurring revenue is Total ARR that excludes comparable ARR in the prior period for the divested businesses. Page 10
A conference call to discuss the quarterly results will be held at 7:30 a.m. Central Standard Time on Thursday, November 5, 2026. This call will be an audio webcast and accessible on the Rockwell Automation Investor Relations website (https://www.rockwellautomation.com/en-us/company/investor-relations.html ) . Presentation materials will also be available on the website prior to the call.
Interested parties can access the conference call by dialing the following numbers: +1 (585) 542-9983 in the United States or +1 (833) 461-5787 toll-free. International dial-in numbers are available here: https://help.events.q4inc.com/eahc/international-dial-in-numbers. The meeting ID is 697888635.
This call is also accessible via webcast (https://events.q4inc.com/attendee/697888635/guest).
A replay of the call will be available on the Investor Relations section of the Rockwell Automation website through December 7, 2026. Page 11 This news release contains statements (including certain projections and business trends) that are “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Words such as “believe”, “estimate”, “project”, “plan”, “expect”, “anticipate”, “will”, “intend”, and other similar expressions may identify forward-looking statements. Actual results may differ materially from those projected as a result of certain risks and uncertainties, many of which are beyond our control, including but not limited to:
• macroeconomic factors, including inflation, global and regional business conditions, commodity prices, currency exchange rates, the cyclical nature of our customers’ capital spending, and sovereign debt concerns;
• laws, regulations, and governmental policies affecting our activities in the countries where we do business, including those related to trade policies, including tariffs, taxation, trade controls, cybersecurity, and climate change;
• the severity and duration of disruptions to our business due to natural disasters (including those as a result of climate change), pandemics, acts of war, strikes, terrorism, social unrest or other causes;
• our ability to manage and mitigate the risks related to the adoption and integration of artificial intelligence (AI), as well as security vulnerabilities and breaches, in our hardware and software products, solutions, and services;
• the availability, effectiveness, and security of our information technology systems;
• the successful execution of our cost productivity and margin expansion initiatives;
• the successful integration and management of strategic transactions and achievement of the expected benefits of these transactions;
• the successful development of advanced technologies and demand for and market acceptance of new and existing hardware and software products;
• our ability to manage and mitigate the risks associated with our solutions and services businesses;
• competitive hardware and software products, solutions, and services, pricing pressures, and our ability to provide high quality products, solutions, and services;
• disruptions to our distribution channels or the failure of distributors to develop and maintain capabilities to sell our products;
• intellectual property infringement claims by others and the ability to protect our intellectual property;
• the uncertainty of claims by taxing authorities in the various jurisdictions where we do business;
• the uncertainties of litigation, including liabilities related to the safety and security of the hardware and software products, solutions, and services we sell;
• our ability to manage costs related to employee retirement and health care benefits; and
• other risks and uncertainties, including but not limited to those detailed from time to time in our Securities and Exchange Commission (SEC) filings.
Rockwell Automation, Inc. (NYSE: ROK), is a global leader in industrial automation and digital transformation. We connect the imaginations of people with the potential of technology to expand what is humanly possible, making the world more productive and more sustainable. Headquartered in Milwaukee, Wisconsin, Rockwell Automation employs approximately 27,000 problem solvers dedicated to our customers in more than 100 countries as of fiscal year end 2026. To learn more about how we are bringing Connected Enterprise to life across industrial enterprises, visit www.rockwellautomation.com. Page 12
Page 14 (1) Includes an $85 million reduction of sales for the customer tariff refund program, a $103 million reduction of cost of sales for IEEPA tariff refunds received, and $8 million of related non-recurring charges. (2) Enterprise operating profit and Enterprise operating margin are non-GAAP financial measures. We exclude from income before income taxes and pre-tax margin, non-operating pension and postretirement benefit credit (cost), amortization of acquisition-related intangible assets, impairment of intangible assets, net legacy asbestos and environmental charges, gain or loss on fair value of investments, restructuring charges aligned with enterprise-wide strategic initiatives, charitable contributions, gain on dissolution of Sensia, net of transaction costs, and interest expense, net because we do not consider these items to be directly related to the operating performance of our enterprise. We believe Enterprise operating profit and Enterprise operating margin are useful to investors as measures of operating performance. We use these measures to monitor and evaluate the profitability of our operating enterprise. Our measures of Enterprise operating profit and Enterprise operating margin may be different from measures used by other companies.
(3) Amortization of acquisition-related intangibles excludes amortization of internally developed and capitalized intangible software products. See
(4) Adjusted EPS is a non-GAAP earnings measure. See Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate Reconciliation for more information on this non-GAAP measure. Page 15
September 30, 2026 September 30, 2025 ────────────────────────────────────────────────────────────────────────────── Assets Cash and cash equivalents $ 433 $ 468 Receivables 1,891 1,931 Inventories 1,316 1,247 Property, net 871 797 Operating lease 350 403 right-of-use assets Goodwill and intangibles 4,493 4,703 Other assets 1,914 1,670 Total $ 11,268 $ 11,219 Liabilities and Shareowners’ Equity Short-term debt $ 711 $ 610 Accounts payable 1,013 930 Long-term debt 2,569 2,614 Operating lease 272 329 liabilities Other liabilities 3,149 3,025 Shareowners’ equity attributable to 3,552 3,654 Rockwell Automation, Inc. Noncontrolling interests 2 57 Total $ 11,268 $ 11,219
Twelve Months Ended September 30, Operating activities: 2026 2025 ────────────────────────────────────────────────────────────────────────────── Net income $ 1,407 $ 749 Depreciation and 314 325 amortization Retirement benefits 37 43 expense Pension contributions -15 -88 Gain on dissolution of -15 — Sensia Accounting method change for net legacy — 91 asbestos-related defense costs Impairment of goodwill and intangible — 224 assets Receivables/inventories… 17 -9 Contract liabilities 20 39 Compensation and 73 168 benefits Income taxes -82 -168 Other operating 202 170 activities Cash provided by 1,958 1,544 operating activities Investing activities: Capital expenditures -257 -186 Purchases of investments -12 -14 Dissolution of Sensia, net of cash -27 — derecognized Other investing -5 -16 activities Cash used for investing -301 -216 activities Financing activities: Net issuance (repayment) of commercial 185 -134 paper Issuance of short-term 33 513 debt Issuance of long-term — 14 debt Repayment of short-term -70 -500 debt Repayment of long-term — -303 debt Payment of capital lease -62 — obligations Cash dividends -618 -591 Purchases of treasury -1,256 -425 stock Proceeds from the exercise of stock 95 101 options Other financing -1 -10 activities Cash used for financing -1,694 -1,335 activities Effect of exchange rate 2 4 changes on cash Decrease in cash and $ -35 $ -3 cash equivalents
We translate sales of subsidiaries operating outside of the United States using exchange rates effective during the respective period. Therefore, changes in currency exchange rates affect our reported sales. Sales by acquired businesses also affect our reported sales. We believe that organic sales, defined as sales excluding the effects of acquisitions and changes in currency exchange rates, which is a non-GAAP financial measure, provides useful information to investors because it reflects regional and operating segment performance from the activities of our businesses without the effect of acquisitions and changes in currency exchange rates. We use organic sales as one measure to monitor and evaluate our regional and operating segment performance. When we acquire businesses, we exclude sales in the current period for which there are no comparable sales in the prior period. We determine the effect of changes in currency exchange rates by translating the respective period’s sales using the same currency exchange rates that were in effect during the prior year. When we divest a business, we exclude sales in the prior period for which there are no comparable sales in the current period. Organic sales growth is calculated by comparing organic sales to reported sales in the prior year, excluding divestitures. We attribute sales to the geographic regions based on the country of destination.
The following is a reconciliation of reported sales to organic sales for the three and twelve months ended September 30, 2026, compared to sales for the three and twelve months ended September 30, 2025:
(1) Represents estimated refunds to customers under the customer tariff refund program. The following is a reconciliation of reported sales to organic sales for our operating segments for the three and twelve months ended September 30, 2026, compared to sales for the three and twelve months ended September 30, 2025:
(1) Represents estimated refunds to customers under the customer tariff refund program. The following is a reconciliation of reported sales growth to organic sales growth for the three and twelve months ended September 30, 2026, compared to sales for the three and twelve months ended September 30, 2025:
The following is a reconciliation of reported sales growth to organic sales growth for our operating segments for the three and twelve months ended September 30, 2026, compared to sales for the three and twelve months ended September 30, 2025:
(1) Represents estimated refunds to customers under the customer tariff refund program. Page 18
(in millions, except per share amounts and percentages) Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate are non-GAAP earnings measures that exclude non-operating pension and postretirement benefit (credit) cost, amortization of acquisition-related intangible assets, impairment of intangible assets, net legacy asbestos and environmental charges, gain or loss on fair value of investments, restructuring charges aligned with enterprise-wide strategic initiatives, gain on dissolution of Sensia, net of transaction costs, and charitable contributions, including their respective tax effects and discrete tax items. Non-operating pension and postretirement benefit cost is defined as all components of our net periodic pension and postretirement benefit cost except for service cost.
The Company adjusts its non-GAAP results to exclude Amortization of acquisition- related intangible assets as such amounts are significantly impacted by the timing and/or size of acquisitions. Management believes that the adjustment of Amortization of acquisition-related intangible assets supplements the GAAP information with a measure that can be used to assess the comparability of operating performance between periods and as compared to industry peers. Although the Company excludes Amortization of acquisition-related intangible assets from its non-GAAP expenses, management believes that it is important for investors to understand that such intangible assets were recorded as part of an acquisition and contribute to revenue generation.
In fiscal 2026, we updated the definition of our non-GAAP earnings measures to exclude both charitable contributions and the gain on the dissolution of the Sensia joint venture, net of transaction costs, and certain related tax impacts. We believe this change to our definition provides investors with a more useful presentation of our operating performance as these items and their related tax impacts are not reflective of our ongoing operations. We did not revise prior years because there were no similar amounts.
We believe that Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate provide useful information to our investors about our operating performance and allow management and investors to compare our operating performance period over period. Adjusted EPS is also used as a financial measure of performance for our annual incentive compensation. Our measures of Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate may be different from measures used by other companies. These non-GAAP measures should not be considered a substitute for Net income attributable to Rockwell Automation, diluted EPS, and effective tax rate. Page 19 The following are the components of operating and non-operating pension and postretirement benefit cost (credit) (in millions):
The components of net periodic pension and postretirement benefit cost other than the service cost component are included in Other income (expense) in the Condensed Statement of Operations. Page 20 Amortization of acquisition-related intangible assets, impairment of intangible assets, non-operating pension and postretirement benefit (credit) cost, and restructuring charges are not allocated to our operating segments because these costs are excluded from our measurement of each segment's operating performance for internal purposes. If we were to allocate these costs, we would attribute them to each of our segments as follows (in millions):
Non-opera… pension Three Twelve and Months Months postretir… Ended Ended benefit September September cost 30, 30, (credit) 2026 2025 2026 2025 ────────────────────────────────────────────────────────────────────────────── Intellige… $ 2 $ -2 $ -2 $ -2 Devices Software & 2 -1 -2 -1 Control Lifecycle 2 -1 -4 -2 Services Amortizat… of acquisiti… intangible assets(1) Intellige… $ 11 $ 9 $ 42 $ 37 Devices Software & 16 17 66 66 Control Lifecycle 2 9 12 38 Services Impairment of intangible assets Intellige… $ — $ — $ — $ — Devices Software & — — — — Control Lifecycle — -224 — -224 Services Restructu… charges Intellige… $ 9 $ -2 $ 9 $ -2 Devices Software & 8 -2 8 -2 Control Lifecycle 8 -1 8 -1 Services
(1) Amortization of acquisition-related intangible assets does not include amortization for intangibles internally developed, which is included in segment operating earnings. For the three and twelve months ended September 30, 2026, the amortization expense for internally developed intangible amortization was $3 million and $11 million, respectively. For the three and twelve months ended September 30, 2025, the amortization expense for internally developed intangible amortization was $3 million and $11 million, respectively. Page 21 The following are reconciliations of Net income attributable to Rockwell Automation, diluted EPS, and effective tax rate to Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate, respectively:
Three Twelve Months Months Ended Ended September September 2026 30, 2025 2026 30, 2025 ────────────────────────────────────────────────────────────────────────────── Net income attribut… $ 346 $ 138 $ 1,409 $ 869 to Rockwell Automati… Non-oper… pension and postreti… 8 1 -2 1 benefit (credit) cost Tax effect of non-oper… pension and -2 — — -1 postreti… benefit (credit) cost Amortiza… of acquisit… intangib… assets 29 32 119 130 attribut… to Rockwell Automati… Tax effect of amortiza… of acquisit… intangib… -7 -7 -29 -29 assets attribut… to Rockwell Automati… Impairme… of intangib… assets — 119 — 119 attribut… to Rockwell Automati… Tax effect of impairme… of intangib… — -9 — -9 assets attribut… to Rockwell Automati… Net legacy asbestos -5 141 -2 154 and environm… charges Tax effect of net legacy 1 -34 — -37 asbestos and environm… charges Gain or loss on fair — — 7 3 value of investme… Tax effect of gain or loss on — — -2 -1 fair value of investme… Restruct… 25 -5 25 -5 charges Tax effect of -7 1 -7 1 restruct… charges Charitab… 50 — 50 — contribu… Tax effect of -12 — -12 — charitab… contribu… Gain on dissolut… of Sensia, net of transact… 6 — -5 — costs, attribut… to Rockwell Automati… Tax and tax items associat… with gain on dissolut… of Sensia, — — -44 — net of transact… costs, attribut… to Rockwell Automati… Adjusted $ 432 $ 377 $ 1,507 $ 1,195 Income
Fiscal 2027 Guidance Diluted EPS $13.78 - $14.78 Non-operating pension and postretirement benefit -0.09 credit, net of tax Amortization of acquisition-related intangible assets attributable to Rockwell Automation, net of 0.81 tax Adjusted EPS $14.50 - $15.50 Effective tax rate ~ 20% Tax effect of non-operating pension and ~ —% postretirement benefit cost Tax effect of amortization of acquisition-related intangible assets attributable to Rockwell ~ —% Automation Adjusted effective tax rate ~ 20%
Our definition of free cash flow, which is a non-GAAP financial measure, takes into consideration capital investments required to maintain the operations of our businesses and execute our strategy. In our opinion, free cash flow provides useful information to investors regarding our ability to generate cash from business operations that is available for acquisitions and other investments, service of debt principal, dividends, and share repurchases. We use free cash flow, as defined, as one measure to monitor and evaluate our performance, including as a financial measure for our annual incentive compensation. Our definition of free cash flow may be different from definitions used by other companies.
Free cash flow conversion (free cash flow as a percentage of Adjusted Income) is a non-GAAP financial measure, which reflects our ability to generate cash from the operations of our business while considering the capital investments required to maintain operations and execute our strategy as a ratio of our operating performance. We believe free cash flow conversion provides useful information to investors about our ability to convert operating performance into cash generation. Our measure of free cash flow conversion may be different from measures used by other companies.
The table below provides the calculation of free cash flow and free cash flow conversion for fiscal years 2026 and 2025:
Page 25 Return On Invested Capital and Adjusted Return On Invested Capital Our press release contains information regarding Adjusted ROIC, which is a non- GAAP financial measure. We believe that Adjusted ROIC is useful to investors as a measure of performance and of the effectiveness of the use of capital in our operations. We use Adjusted ROIC as one measure to monitor and evaluate our performance. Our measure of Adjusted ROIC may be different from that used by other companies. We define Adjusted ROIC as the percentage resulting from the following calculation:
(a) net income, before interest expense, income tax provision, amortization of acquisition-related intangible assets, and goodwill and intangible asset impairment divided by;
(b) average invested capital for the year, calculated as a five quarter rolling average using the sum of short-term debt, long-term debt, shareowners’ equity, and accumulated amortization of goodwill and other intangible assets, minus cash and cash equivalents, short-term investments, and long-term investments (fixed income securities), multiplied by;
(c) one minus the effective tax rate for the period. ROIC and Adjusted ROIC are calculated as follows (in millions, except percentages):
Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures. We believe that Adjusted EBITDA and Adjusted EBITDA margin provide investors with additional insight into our financial results and operating trends by excluding non-operational, non-recurring, and non-cash items. We use Adjusted EBITDA and Adjusted EBITDA margin as measures to monitor and evaluate our performance. We define Adjusted EBITDA as net income before interest expense, net, income tax provision, depreciation, amortization, impairment of intangible assets, non- operating pension and postretirement benefit credit, net legacy asbestos and environmental charges, gain or loss on fair value of investments, restructuring charges aligned with enterprise-wide strategic initiatives, gain on dissolution of Sensia, net of transaction costs, charitable contribution, and Adjusted EBITDA attributable to non-controlling interests. Our measures of Adjusted EBITDA and Adjusted EBITDA margin may be different from those used by other companies, and Adjusted EBITDA and Adjusted EBITDA margin are not substitutes for net income, net profit margin, or any other measure calculated in accordance with GAAP. The following is a reconciliation of Net income to Adjusted EBITDA and net profit margin to Adjusted EBITDA margin (in millions, except percentages):
Full text with the tables
Exhibit 99
1201 S. Second Street
Milwaukee, WI 53204
USA
News Release
Ed Moreland Aijana Zellner
Contact Media Relations Investor Relations
Rockwell Automation Rockwell Automation
571.296.0391 440.289.8439
Rockwell Automation Reports Fourth Quarter and Full Year 2026 Results;
Introduces Fiscal 2027 Guidance
• Fourth quarter reported sales up 1%; organic sales up 3% year over year; both
reduced by ~(4) percentage points from the customer tariff refund program
• Fourth quarter diluted EPS of $3.11 and Adjusted EPS of $3.88; up 153% and 16%
year over year, respectively
◦ Both include a favorable $0.11 net impact of IEEPA tariff refund related items
• Full year reported and organic sales up 8% year over year; both reduced by
~(1) percentage point from the customer tariff refund program
• Organic ARR grew 5% year over year; software ARR grew high single digits year
over year
• Full year fiscal 2026 diluted EPS of $12.54 and Adjusted EPS of $13.42; up 63%
and 27% year over year, respectively
◦ Both include a favorable $0.11 net impact of IEEPA tariff refund related items
• Full year fiscal 2026 cash provided by operating activities of $1,958 million
and free cash flow of $1,701 million; up 27% and 25% year over year,
respectively
◦ Both include a favorable $108 million impact of IEEPA tariff refunds and
related interest income
• Fiscal 2027 guidance:
◦ Reported sales growth of 4.5% to 7.5%; organic sales growth of 6% to 9%
◦ Diluted EPS $13.78 - $14.78; Adjusted EPS $14.50 - $15.50
MILWAUKEE (November 5, 2026) – Rockwell Automation, Inc. (NYSE: ROK) today
reported fiscal 2026 fourth quarter and full year results and introduced fiscal
2027 guidance.
"Rockwell delivered a strong finish to a great year, with broad-based topline
growth, margin expansion, and double-digit earnings growth. Our results
underscore the differentiation of our strategy and operating model, as we
continue to gain share, strengthen our leadership in core markets, and expand
our position in high-growth areas including semiconductor and data centers,”
said Blake Moret, Chairman and CEO.
Page 1
In the fourth quarter of fiscal 2026, the Company received $103 million of
International Emergency Economic Powers Act tariff refunds (IEEPA tariff
refunds) and $5 million of related interest, the benefits of which are reported
as a reduction of Cost of sales and an increase in Interest income in our
Consolidated Statement of Operations for the three and twelve months ended
September 30, 2026. In addition, the Company approved and communicated a refund
program for customers (customer tariff refund program) that paid price increases
on purchases of products that were impacted by IEEPA tariffs. The Company
recognized an accrual of $85 million for estimated refunds to be issued to
customers as a reduction of sales in the Consolidated Statement of Operations
for the three and twelve months ended September 30, 2026. The impacts on Sales
and Cost of sales are reported as unallocated in the segment Sales and Earnings
Information. The after-tax net impact of IEEPA tariff refunds, including
interest, the customer tariff refund program, and related non-recurring charges
reported in unallocated, of $0.11 is included in diluted EPS and Adjusted EPS.
Fiscal Q4 2026 Financial Results
Fiscal 2026 fourth quarter sales were $2,332 million, up 1% compared to $2,316
million in the fourth quarter of fiscal 2025. Organic sales increased 3%.
Divestitures decreased sales by (2)%. Reported and Organic sales were reduced by
~(4) percentage points from the customer tariff refund program.
Income before income taxes was $433 million in the fourth quarter of fiscal 2026
compared to $63 million in the same period last year. Pre-tax margin was 18.6%
in the fourth quarter of fiscal 2026 compared to 2.7% in the same period last
year. The increase was primarily driven by the prior year non-cash impairment
charge related to the Sensia joint venture and an accounting change and accrual
increase for legacy asbestos liabilities, higher sales volume, the net impact of
IEEPA tariff refund related items, favorable mix, and the margin benefit of the
Sensia joint venture dissolution, partially offset by a charitable contribution,
higher compensation, and restructuring charges. Enterprise operating profit was
$572 million in the fourth quarter of fiscal 2026, up 16% compared to $493
million in the same period of fiscal 2025. Enterprise operating margin was 24.5%
in the fourth quarter compared to 21.3% a year ago. The increase in Enterprise
operating margin was driven by higher sales volume, the net impact of IEEPA
tariff refund related items, favorable mix, and the margin benefit of the Sensia
joint venture dissolution, partially offset by higher compensation.
Page 2
Fiscal 2026 fourth quarter net income attributable to Rockwell Automation was
$346 million or $3.11 per share, compared to $138 million or $1.23 per share in
the fourth quarter of fiscal 2025. The increases in net income attributable to
Rockwell Automation and diluted EPS were primarily due to higher pre-tax income.
Fiscal 2026 fourth quarter Adjusted EPS was $3.88, up 16% compared to $3.34 in
the fourth quarter of fiscal 2025, primarily due to higher sales volume and
Enterprise operating profit.
Cash flow generated by operating activities in the fourth quarter of fiscal 2026
was $680 million, compared to $454 million in the fourth quarter of fiscal 2025.
Free cash flow was $602 million, compared to $405 million in the fourth quarter
of fiscal 2025. Increases in cash flow provided by operating activities and free
cash flow were primarily due to higher pre-tax income and $108 million of tariff
refunds and related interest income.
Page 3
Fiscal 2026 Full Year Financial Results
Fiscal 2026 sales were $8,989 million, a reported and organic increase of 8%
from $8,342 million in fiscal 2025. Divestitures decreased sales by (2)% and
currency translation increased sales by 2%. Reported and Organic sales were
reduced by (1) percentage point from the customer tariff refund program.
Income before income taxes was $1,685 million in fiscal 2026, compared to $917
million in fiscal 2025. Pre-tax margin was 18.7% in fiscal 2026, compared to
11.0% in fiscal 2025. The increase was primarily due to the prior year non-cash
impairment charge related to the Sensia joint venture and an accounting change
and accrual increase for legacy asbestos liabilities, higher sales volume, price
realization, favorable mix, productivity, and the net impact of IEEPA tariff
refund related items, partially offset by higher compensation, a charitable
contribution, and restructuring charges. Enterprise operating profit was $1,997
million in fiscal 2026, up 27% from $1,578 million in fiscal 2025. Enterprise
operating margin was 22.2% compared to 18.9% a year ago. The increase was due to
higher sales volume, price realization, favorable mix, productivity, and the net
impact of IEEPA tariff refund related items, partially offset by higher
compensation.
Fiscal 2026 net income attributable to Rockwell Automation was $1,409 million or
$12.54 per share, compared to $869 million or $7.67 per share in fiscal 2025.
The increases in net income attributable to Rockwell Automation and diluted EPS
were primarily due to higher pre-tax income. Fiscal 2026 Adjusted EPS was
$13.42, up 27% compared to $10.53 in fiscal 2025. The increase in Adjusted EPS
was primarily due to higher Enterprise operating profit.
Cash flow generated by operating activities in fiscal year 2026 was $1,958
million, compared to $1,544 million in fiscal 2025. Free cash flow was $1,701
million compared to $1,358 million last year. Increases in cash flow provided by
operating activities and free cash flow were driven by higher pre-tax income and
$108 million of tariff refunds and related interest income.
Page 4
Fiscal Year 2027 Outlook
The table below provides guidance for sales growth and earnings per share for
fiscal 2027.
Sales Growth EPS Guidance(1)
Guidance(1)
Reported sales 4.5% - 7.5% Diluted EPS $13.78 - $14.78
growth(2)
Organic sales growth(2) 6% - 9% Adjusted EPS(3) $14.50 - $15.50
(3)
Inorganic sales growth ~ —%
Divestiture ~ (1.5)%
Currency translation ~ —%
(1) Guidance as of November 5, 2026.
(2) Reported and Organic sales growth include a ~1 percentage point benefit from
the FY26 customer tariff refund program.
(3) Organic sales growth and Adjusted EPS are non-GAAP measures. See
Organic Sales
, Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate, and
Fiscal 2027 Guidance
for more information on these non-GAAP measures.
“We enter fiscal 2027 from a position of strength, with healthy customer demand
and significant new product releases. As industrial operations become
increasingly AI-enabled and autonomous, Rockwell is uniquely positioned to
orchestrate plant-wide workflows. We are committed to growing customer value,
increasing market share, and expanding margins,” Moret continued.
Page 5
Following is a discussion of quarter and full year results for our business
segments.
Intelligent Devices
Intelligent Devices fiscal 2026 fourth quarter sales were $1,144 million, a
reported and organic increase of 5% compared to $1,086 million in the same
period last year. Segment operating earnings were $247 million in the fourth
quarter of fiscal 2026 compared to $215 million in the same period last year.
Segment operating margin increased to 21.6% in the fourth quarter of fiscal 2026
from 19.8% a year ago driven by higher sales volume, favorable currency,
positive price/cost, and favorable mix, partially offset by higher compensation.
Intelligent Devices fiscal 2026 sales were $4,185 million, an increase of 11%
from $3,756 million last year. Organic sales increased 10% and currency
translation increased sales by 1%. Segment operating earnings were $839 million
in fiscal 2026 compared to $676 million in fiscal 2025. Segment operating margin
increased to 20.0% in fiscal 2026 from 18.0% a year ago driven by higher sales
volume, productivity, and favorable mix, partially offset by higher
compensation.
Software & Control
Software & Control fiscal 2026 fourth quarter sales were $754 million, a
reported and organic increase of 15% compared to $657 million in the same period
last year. Segment operating earnings were $256 million in the fourth quarter of
fiscal 2026 compared to $205 million in the same period last year. Segment
operating margin increased to 34.0% in the fourth quarter of fiscal 2026 from
31.2% a year ago driven by higher sales volume.
Software & Control fiscal 2026 sales were $2,818 million, an increase of 18%
from $2,383 million last year. Organic sales increased 17% and currency
translation increased sales by 1%. Segment operating earnings were $952 million
in fiscal 2026 compared to $708 million in fiscal 2025. Segment operating margin
increased to 33.8% in fiscal 2026 from 29.7% a year ago driven by higher sales
volume, partially offset by higher compensation.
Page 6
Lifecycle Services
Lifecycle Services fiscal 2026 fourth quarter sales were $519 million, a
decrease of (9)% compared to $573 million in the same period last year. Organic
sales increased 2%. Divestitures decreased sales by (11)%. Segment operating
earnings were $85 million in the fourth quarter of fiscal 2026 compared to $100
million in the same period last year. Segment operating margin decreased to
16.4% in the fourth quarter of fiscal 2026 from 17.5% a year ago due to higher
compensation and unfavorable project mix, partially offset by the margin benefit
from the Sensia joint venture dissolution and higher sales volume.
Lifecycle Services fiscal 2026 sales were $2,071 million, a decrease of (6)%
from $2,203 million in fiscal 2025. Organic sales decreased by (2)%.
Divestitures decreased sales by (6)% and currency translation increased sales by
2%. Segment operating earnings were $312 million in fiscal 2026 compared to $319
million in fiscal 2025. Segment operating margin increased to 15.1% in fiscal
2026 from 14.5% a year ago due to strong project execution and the margin
benefit from the Sensia joint venture dissolution, partially offset by higher
compensation.
Page 7
Supplemental Information
ARR - Organic ARR grew 5% compared to the end of the fourth quarter of fiscal
2025.
Corporate and Other - Fiscal 2026 fourth quarter Corporate and other expense was
$26 million compared to $27 million in the fourth quarter of 2025. Corporate and
other expense was $116 million for the full fiscal year 2026 compared to $125
million in fiscal 2025.
Amortization of acquisition-related intangible assets - Fiscal 2026 fourth
quarter Amortization of acquisition-related intangible assets expense was $29
million, down $6 million from the fourth quarter of fiscal 2025. Full year
fiscal 2026 Amortization of acquisition-related intangible assets expense was
$120 million, down $21 million from fiscal 2025. The decreases were primarily
due to the dissolution of the Sensia joint venture.
Restructuring charges - Fiscal 2026 fourth quarter and full year restructuring
charges were $25 million. Fiscal 2025 fourth quarter and full year included an
accrual reversal of $5 million.
Charitable Contribution – In the fourth quarter of fiscal 2026 the Company made
a $50 million contribution to the Rockwell Automation Charitable Corporation.
The contribution optimizes tax benefits and provides funding for philanthropic
priorities.
Tax - On a GAAP basis, the effective tax rate in the fourth quarter of fiscal
2026 was 20.1% compared to 52.4% in the fourth quarter of 2025. The effective
tax rate for the full fiscal year 2026 was 16.5% compared to 18.3% in fiscal
2025. The Adjusted Effective Tax Rate for the fourth quarter of fiscal 2026 was
20.9% compared to 17.8% in the fourth quarter of 2025. The Adjusted Effective
Tax Rate for the full fiscal year 2026 was 19.6% compared to 17.1% in fiscal
2025. The decreases in the GAAP effective tax rate for the fourth quarter and
full year were primarily due to the absence of certain Sensia-related tax
impacts from 2025 and higher discrete tax benefits in 2026, including a benefit
related to the dissolution of the Sensia joint venture, partially offset by BEPS
Pillar Two minimum taxes. The increases in the Adjusted Effective Tax Rate were
primarily due to BEPS Pillar Two minimum taxes, partially offset by higher
discrete tax benefits.
Page 8
Share Repurchases - The Company repurchased approximately 1.2 million shares of
its common stock at a cost of $500 million during the fourth quarter of fiscal
2026. For the full fiscal year 2026, the Company repurchased 3.1 million shares
of its common stock at a cost of $1,254 million. At September 30, 2026, $673
million remained available under the existing share repurchase authorization.
Return on Invested Capital (ROIC) - On a GAAP basis, ROIC was 23.3% for the
twelve months ended September 30, 2026, compared to 13.2% for the twelve months
ended September 30, 2025. Adjusted ROIC was 20.4% for fiscal year 2026, compared
to 14.6% for fiscal year 2025. The increase in ROIC and Adjusted ROIC was due to
higher pre-tax income.
Net Income and Adjusted EBITDA - Net Income in the fourth quarter of fiscal 2026
was $346 million, compared to $30 million in the fourth quarter of 2025.
Adjusted EBITDA in the fourth quarter of fiscal 2026 was $620 million, compared
to $538 million in the fourth quarter of 2025. Net Income for fiscal year 2026
was $1,407 million, compared to $749 million for fiscal year 2025. Adjusted
EBITDA was $2,182 million for fiscal year 2026, compared to $1,753 million for
fiscal year 2025. The increase was primarily driven by higher net income.
Page 9
Definitions
Non-GAAP Measures - Organic sales, Enterprise operating profit, Enterprise
operating margin, Adjusted Income, Adjusted EPS, Adjusted Effective Tax Rate,
free cash flow, free cash flow conversion, Adjusted ROIC, Adjusted EBITDA, and
Adjusted EBITDA margin are non-GAAP measures that are reconciled to GAAP
measures in the attachments to this release.
Total ARR - Annual recurring revenue (ARR) is a key metric that enables
measurement of progress in growing our recurring revenue business. It represents
the annual contract value of all active recurring revenue contracts at any point
in time. Recurring revenue is defined as a revenue stream that is contractual,
typically for a period of 12 months or more, and has a high probability of
renewal. The probability of renewal is based on historical renewal experience of
the individual revenue streams, or management's best estimates if historical
renewal experience is not available. Total ARR growth is calculated as the
dollar change in ARR, adjusted to exclude the effects of currency, divided by
ARR as of the prior period. The effects of currency translation are excluded by
calculating Total ARR on a constant currency basis. Total ARR includes
acquisitions even if there was no comparable ARR in the prior period. We believe
that Total ARR provides useful information to investors because it reflects our
recurring revenue performance period over period including the effect of
acquisitions. Our measure of ARR may be different from measures used by other
companies. Because ARR is based on annual contract value, it does not represent
revenue recognized during a particular reporting period or revenue to be
recognized in future reporting periods and is not intended to be a substitute
for revenue, contract liabilities, or backlog.
Organic ARR - Organic annual recurring revenue is Total ARR that excludes
comparable ARR in the prior period for the divested businesses.
Page 10
Conference Call
A conference call to discuss the quarterly results will be held at 7:30 a.m.
Central Standard Time on Thursday, November 5, 2026. This call will be an audio
webcast and accessible on the Rockwell Automation Investor Relations website
(https://www.rockwellautomation.com/en-us/company/investor-relations.html ) .
Presentation materials will also be available on the website prior to the call.
Interested parties can access the conference call by dialing the following
numbers: +1 (585) 542-9983 in the United States or +1 (833) 461-5787 toll-free.
International dial-in numbers are available here:
https://help.events.q4inc.com/eahc/international-dial-in-numbers. The meeting ID
is 697888635.
This call is also accessible via webcast
(https://events.q4inc.com/attendee/697888635/guest).
A replay of the call will be available on the Investor Relations section of the
Rockwell Automation website through December 7, 2026.
Page 11
This news release contains statements (including certain projections and
business trends) that are “forward-looking statements” as defined in the Private
Securities Litigation Reform Act of 1995. Words such as “believe”, “estimate”,
“project”, “plan”, “expect”, “anticipate”, “will”, “intend”, and other similar
expressions may identify forward-looking statements. Actual results may differ
materially from those projected as a result of certain risks and uncertainties,
many of which are beyond our control, including but not limited to:
• macroeconomic factors, including inflation, global and regional business
conditions, commodity prices, currency exchange rates, the cyclical nature of
our customers’ capital spending, and sovereign debt concerns;
• laws, regulations, and governmental policies affecting our activities in the
countries where we do business, including those related to trade policies,
including tariffs, taxation, trade controls, cybersecurity, and climate change;
• the severity and duration of disruptions to our business due to natural
disasters (including those as a result of climate change), pandemics, acts of
war, strikes, terrorism, social unrest or other causes;
• the availability and price of components and materials;
• our ability to manage and mitigate the risks related to the adoption and
integration of artificial intelligence (AI), as well as security vulnerabilities
and breaches, in our hardware and software products, solutions, and services;
• the availability, effectiveness, and security of our information technology
systems;
• the successful execution of our cost productivity and margin expansion
initiatives;
• our ability to attract, develop, and retain qualified employees;
• the successful integration and management of strategic transactions and
achievement of the expected benefits of these transactions;
• the successful development of advanced technologies and demand for and market
acceptance of new and existing hardware and software products;
• our ability to manage and mitigate the risks associated with our solutions and
services businesses;
• competitive hardware and software products, solutions, and services, pricing
pressures, and our ability to provide high quality products, solutions, and
services;
• the availability and cost of capital;
• disruptions to our distribution channels or the failure of distributors to
develop and maintain capabilities to sell our products;
• intellectual property infringement claims by others and the ability to protect
our intellectual property;
• the uncertainty of claims by taxing authorities in the various jurisdictions
where we do business;
• the uncertainties of litigation, including liabilities related to the safety
and security of the hardware and software products, solutions, and services we
sell;
• our ability to manage costs related to employee retirement and health care
benefits; and
• other risks and uncertainties, including but not limited to those detailed
from time to time in our Securities and Exchange Commission (SEC) filings.
Rockwell Automation, Inc. (NYSE: ROK), is a global leader in industrial
automation and digital transformation. We connect the imaginations of people
with the potential of technology to expand what is humanly possible, making the
world more productive and more sustainable. Headquartered in Milwaukee,
Wisconsin, Rockwell Automation employs approximately 27,000 problem solvers
dedicated to our customers in more than 100 countries as of fiscal year end
2026. To learn more about how we are bringing Connected Enterprise to life
across industrial enterprises, visit www.rockwellautomation.com.
Page 12
ROCKWELL AUTOMATION, INC.
CONDENSED STATEMENT OF OPERATIONS INFORMATION
(in millions, except percentages)
Three Twel…
Mont… Mont…
Ended Ended
Sept… Sept…
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Sal… $ 2,332 $ 2,316 $ 8,989 $ 8,342
(a)
Cost
of -1,1… -1,1… -4,4… -4,3…
sal…
Gro…
pro… 1,210 1,120 4,495 4,016
(b)
Sel…
gen…
and -566 -471 -2,0… -1,9…
adm…
exp…
(c)
Eng…
and -189 -191 -714 -679
dev…
Oth…
inc… 11 -134 50 -126
(ex…
Goo…
and
int… — -224 — -224
ass…
imp…
Int… -33 -37 -134 -156
exp…
Inc…
bef… 433 63 1,685 917
inc…
tax…
Inc…
tax -87 -33 -278 -168
pro…
Net 346 30 1,407 749
inc…
Net
inc…
(lo…
att… — -108 -2 -120
to
non…
int…
Net
inc…
att…
to $ 346 $ 138 $ 1,409 $ 869
Roc…
Aut…
Inc.
Gro…
pro…
as
per… 51.9 % 48.4 % 50.0 % 48.1 %
of
sal…
(b/…
SG&A
as
per… 24.3 % 20.3 % 22.4 % 22.9 %
of
sal…
(c/…
E&D
as
per… 8.1 % 8.2 % 7.9 % 8.1 %
of
sal…
(d/…
Page 13
ROCKWELL AUTOMATION, INC.
SALES AND EARNINGS INFORMATION
(in millions, except per share amounts and percentages)
Three Twe…
Mont… Mon…
Ended End…
Sept… Sep…
30, 30,
Sal… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Int…
Dev… $ 1,144 $ 1,086 $ 4,185 $ 3,7…
(a)
Sof…
& 754 657 2,818 2,3…
Con…
(b)
Lif…
Ser… 519 573 2,071 2,2…
(c)
Oth…
una… -85 — -85 —
ite…
Tot…
sal… $ 2,332 $ 2,316 $ 8,989 $ 8,3…
(d)
Seg…
ope…
ear…
Int…
Dev… $ 247 $ 215 $ 839 $ 676
(e)
Sof…
& 256 205 952 708
Con…
(f)
Lif…
Ser… 85 100 312 319
(g)
Cor…
and -26 -27 -116 -125
oth…
Oth…
una… 10 — 10 —
ite…
Ent…
ope… 572 493 1,997 1,5…
pro…
Non…
pen…
and
pos… -8 -1 2 -1
ben…
cre…
(co…
Amo…
of
acq… -29 -35 -120 -141
int…
ass…
Imp…
of — -224 — -224
int…
ass…
Net
leg…
asb… 5 -141 2 -154
and
env…
cha…
Gain
or
loss
on — — -7 -3
fair
val…
of
inv…
Res… -25 5 -25 5
cha…
Cha… -50 — -50 —
con…
Gain
on
dis…
of
Sen… -6 — 4 —
net
of
tra…
cos…
Int…
exp… -26 -34 -118 -143
net
Inc…
bef…
inc… 433 63 1,685 917
tax…
(i)
Inc…
tax -87 -33 -278 -168
pro…
Net 346 30 1,407 749
inc…
Net
inc…
(lo…
att… — -108 -2 -120
to
non…
int…
Net
inc…
att…
to $ 346 $ 138 $ 1,409 $ 869
Roc…
Aut…
Inc.
Dil… $ 3.11 $ 1.23 $ 12.54 $ 7.67
EPS
Adj… $ 3.88 $ 3.34 $ 13.42 $ 10.…
EPS…
Ave…
dil…
sha… 111.1 113.0 112.0 113…
for
dil…
EPS
Pre…
mar… 18.6 % 2.7 % 18.7 % 11.0 %
(i/…
Seg…
ope…
mar…
Int…
Dev… 21.6 % 19.8 % 20.0 % 18.0 %
(e/…
Sof…
& 34.0 % 31.2 % 33.8 % 29.7 %
Con…
(f/…
Lif…
Ser… 16.4 % 17.5 % 15.1 % 14.5 %
(g/…
Ent…
ope… 24.5 % 21.3 % 22.2 % 18.9 %
mar…
Page 14
(1) Includes an $85 million reduction of sales for the customer tariff refund
program, a $103 million reduction of cost of sales for IEEPA tariff refunds
received, and $8 million of related non-recurring charges.
(2) Enterprise operating profit and Enterprise operating margin are non-GAAP
financial measures. We exclude from income before income taxes and pre-tax
margin, non-operating pension and postretirement benefit credit (cost),
amortization of acquisition-related intangible assets, impairment of intangible
assets, net legacy asbestos and environmental charges, gain or loss on fair
value of investments, restructuring charges aligned with enterprise-wide
strategic initiatives, charitable contributions, gain on dissolution of Sensia,
net of transaction costs, and interest expense, net because we do not consider
these items to be directly related to the operating performance of our
enterprise. We believe Enterprise operating profit and Enterprise operating
margin are useful to investors as measures of operating performance. We use
these measures to monitor and evaluate the profitability of our operating
enterprise. Our measures of Enterprise operating profit and Enterprise operating
margin may be different from measures used by other companies.
(3) Amortization of acquisition-related intangibles excludes amortization of
internally developed and capitalized intangible software products. See
Other Supplemental Information
for our presentation and reconciliation by segment.
(4) Adjusted EPS is a non-GAAP earnings measure. See Adjusted Income, Adjusted
EPS, and Adjusted Effective Tax Rate Reconciliation for more information on this
non-GAAP measure.
Page 15
ROCKWELL AUTOMATION, INC.
CONDENSED BALANCE SHEET INFORMATION
(in millions)
September 30, 2026 September 30, 2025
──────────────────────────────────────────────────────────────────────────────
Assets
Cash and cash equivalents $ 433 $ 468
Receivables 1,891 1,931
Inventories 1,316 1,247
Property, net 871 797
Operating lease 350 403
right-of-use assets
Goodwill and intangibles 4,493 4,703
Other assets 1,914 1,670
Total $ 11,268 $ 11,219
Liabilities and
Shareowners’ Equity
Short-term debt $ 711 $ 610
Accounts payable 1,013 930
Long-term debt 2,569 2,614
Operating lease 272 329
liabilities
Other liabilities 3,149 3,025
Shareowners’ equity
attributable to 3,552 3,654
Rockwell Automation, Inc.
Noncontrolling interests 2 57
Total $ 11,268 $ 11,219
Page 16
ROCKWELL AUTOMATION, INC.
CONDENSED CASH FLOW INFORMATION
(in millions)
Twelve Months Ended
September 30,
Operating activities: 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net income $ 1,407 $ 749
Depreciation and 314 325
amortization
Retirement benefits 37 43
expense
Pension contributions -15 -88
Gain on dissolution of -15 —
Sensia
Accounting method change
for net legacy — 91
asbestos-related defense
costs
Impairment of goodwill
and intangible — 224
assets
Receivables/inventories… 17 -9
Contract liabilities 20 39
Compensation and 73 168
benefits
Income taxes -82 -168
Other operating 202 170
activities
Cash provided by 1,958 1,544
operating activities
Investing activities:
Capital expenditures -257 -186
Purchases of investments -12 -14
Dissolution of Sensia,
net of cash -27 —
derecognized
Other investing -5 -16
activities
Cash used for investing -301 -216
activities
Financing activities:
Net issuance (repayment)
of commercial 185 -134
paper
Issuance of short-term 33 513
debt
Issuance of long-term — 14
debt
Repayment of short-term -70 -500
debt
Repayment of long-term — -303
debt
Payment of capital lease -62 —
obligations
Cash dividends -618 -591
Purchases of treasury -1,256 -425
stock
Proceeds from the
exercise of stock 95 101
options
Other financing -1 -10
activities
Cash used for financing -1,694 -1,335
activities
Effect of exchange rate 2 4
changes on cash
Decrease in cash and $ -35 $ -3
cash equivalents
Page 17
ROCKWELL AUTOMATION, INC.
OTHER SUPPLEMENTAL INFORMATION
(in millions, except percentages)
Organic Sales
We translate sales of subsidiaries operating outside of the United States using
exchange rates effective during the respective period. Therefore, changes in
currency exchange rates affect our reported sales. Sales by acquired businesses
also affect our reported sales. We believe that organic sales, defined as sales
excluding the effects of acquisitions and changes in currency exchange rates,
which is a non-GAAP financial measure, provides useful information to investors
because it reflects regional and operating segment performance from the
activities of our businesses without the effect of acquisitions and changes in
currency exchange rates. We use organic sales as one measure to monitor and
evaluate our regional and operating segment performance. When we acquire
businesses, we exclude sales in the current period for which there are no
comparable sales in the prior period. We determine the effect of changes in
currency exchange rates by translating the respective period’s sales using the
same currency exchange rates that were in effect during the prior year. When we
divest a business, we exclude sales in the prior period for which there are no
comparable sales in the current period. Organic sales growth is calculated by
comparing organic sales to reported sales in the prior year, excluding
divestitures. We attribute sales to the geographic regions based on the country
of destination.
The following is a reconciliation of reported sales to organic sales for the
three and twelve months ended September 30, 2026, compared to sales for the
three and twelve months ended September 30, 2025:
Th…
Mo…
En…
Se… Ef…
30, of
20… Ch… Sa…
Re… in Or… Re… Ex…
Sa… Cu… 2… Sa… Sa… Di… Di…
──────────────────────────────────────────────────────────────────────────────
N… $ 1,… $ -2 $ 1… $ 1… $ -… $ 1…
A…
E… 397 -5 4… 4… -… 3…
A… 308 2 3… 2… -3 2…
P…
L… 144 9 1… 1… -2 1…
A…
O…
u… -85 — -… — — —
i…
T… $ 2,… $ 4 $ 2… $ 2… $ -… $ 2…
Tw…
Mo…
En…
Se…
30,
20… 2…
Ef…
Re… of Or… Re… Sa…
Sa… Ch… Sa… Sa… Di… Ex…
in Di…
Cu…
N… $ 5,… $ 5 $ 5… $ 5… $ -… $ 5…
A…
E… 1,… 73 1… 1… -… 1…
A… 1,… 10 1… 1… -5 1…
P…
L… 562 43 5… 5… -3 5…
A…
O…
u… -85 — -… — — —
i…
T… $ 8,… $ 131 $ 8… $ 8… $ -… $ 8…
(1) Represents estimated refunds to customers under the customer tariff refund
program.
The following is a reconciliation of reported sales to organic sales for our
operating segments for the three and twelve months ended September 30, 2026,
compared to sales for the three and twelve months ended September 30, 2025:
Th…
Mo…
En…
Se… Ef…
30, of
20… Ch… Sa…
Re… in Or… Re… Ex…
Sa… Cu… 2… Sa… Sa… Di… Di…
──────────────────────────────────────────────────────────────────────────────
I… $ 1,… $ 3 $ 1… $ 1… $ — $ 1…
D…
S…
& 754 -1 7… 6… — 6…
C…
L… 519 2 5… 5… -… 5…
S…
O…
u… -85 — -… — — —
i…
T… $ 2,… $ 4 $ 2… $ 2… $ -… $ 2…
Tw…
Mo…
En…
Se…
30,
20… 2…
Ef…
Re… of Or… Re… Sa…
Sa… Ch… Sa… Sa… Di… Ex…
in Di…
Cu…
I… $ 4,… $ 61 $ 4… $ 3… $ — $ 3…
D…
S…
& 2,… 37 2… 2… — 2…
C…
L… 2,… 33 2… 2… -… 2…
S…
O…
u… -85 — -… — — —
i…
T… $ 8,… $ 131 $ 8… $ 8… $ -… $ 8…
(1) Represents estimated refunds to customers under the customer tariff refund
program.
The following is a reconciliation of reported sales growth to organic sales
growth for the three and twelve months ended September 30, 2026, compared to
sales for the three and twelve months ended September 30, 2025:
Three
Months
Ended
Septe…
30,
2026
──────────────────────────────────────────────────────────────────────────────
Effect
Repor… of Effect Organic
Sales Changes of Sales
Growth in Dives… Growth
Curren…
North 6 % — % -3 % 9 %
Amer…
EMEA -2 % -1 % -8 % 7 %
Asia 10 % 1 % -1 % 10 %
Paci…
Latin -5 % 6 % -1 % -10 %
Amer…
Other
unal… -4 % — % — % -4 %
item…
Total 1 % — % -2 % 3 %
Twelve
Months
Ended
Septem…
30,
2026
──────────────────────────────────────────────────────────────────────────────
Effect
Report… of Effect Organic
Sales Changes of Sales
Growth in Dives… Growth
Curren…
North 10 % — % -1 % 11 %
Ameri…
EMEA 8 % 5 % -4 % 7 %
Asia 8 % 1 % -1 % 8 %
Pacif…
Latin — % 7 % — % -7 %
Ameri…
Other
unall… -1 % — % — % -1 %
items…
Total 8 % 2 % -2 % 8 %
The following is a reconciliation of reported sales growth to organic sales
growth for our operating segments for the three and twelve months ended
September 30, 2026, compared to sales for the three and twelve months ended
September 30, 2025:
Three
Months
Ended
Septe…
30,
2026
──────────────────────────────────────────────────────────────────────────────
Effect
Repor… of Effect Organic
Sales Changes of Sales
Growth in Dives… Growth
Curren…
Intel… 5 % — % — % 5 %
Devic…
Softw…
& 15 % — % — % 15 %
Contr…
Lifec… -9 % — % -11 % 2 %
Servi…
Other
unall… -4 % — % — % -4 %
items…
Total 1 % — % -2 % 3 %
Twelve
Months
Ended
Septem…
30,
2026
──────────────────────────────────────────────────────────────────────────────
Effect
Report… of Effect Organic
Sales Changes of Sales
Growth in Dives… Growth
Curren…
Intel… 11 % 1 % — % 10 %
Devic…
Softw…
& 18 % 1 % — % 17 %
Contr…
Lifec… -6 % 2 % -6 % -2 %
Servi…
Other
unall… -1 % — % — % -1 %
items…
Total 8 % 2 % -2 % 8 %
(1) Represents estimated refunds to customers under the customer tariff refund
program.
Page 18
ROCKWELL AUTOMATION, INC.
OTHER SUPPLEMENTAL INFORMATION
(in millions, except per share amounts and percentages)
Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate
Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate are non-GAAP
earnings measures that exclude non-operating pension and postretirement benefit
(credit) cost, amortization of acquisition-related intangible assets, impairment
of intangible assets, net legacy asbestos and environmental charges, gain or
loss on fair value of investments, restructuring charges aligned with
enterprise-wide strategic initiatives, gain on dissolution of Sensia, net of
transaction costs, and charitable contributions, including their respective tax
effects and discrete tax items. Non-operating pension and postretirement benefit
cost is defined as all components of our net periodic pension and postretirement
benefit cost except for service cost.
The Company adjusts its non-GAAP results to exclude Amortization of acquisition-
related intangible assets as such amounts are significantly impacted by the
timing and/or size of acquisitions. Management believes that the adjustment of
Amortization of acquisition-related intangible assets supplements the GAAP
information with a measure that can be used to assess the comparability of
operating performance between periods and as compared to industry peers.
Although the Company excludes Amortization of acquisition-related intangible
assets from its non-GAAP expenses, management believes that it is important for
investors to understand that such intangible assets were recorded as part of an
acquisition and contribute to revenue generation.
In fiscal 2026, we updated the definition of our non-GAAP earnings measures to
exclude both charitable contributions and the gain on the dissolution of the
Sensia joint venture, net of transaction costs, and certain related tax impacts.
We believe this change to our definition provides investors with a more useful
presentation of our operating performance as these items and their related tax
impacts are not reflective of our ongoing operations. We did not revise prior
years because there were no similar amounts.
We believe that Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate
provide useful information to our investors about our operating performance and
allow management and investors to compare our operating performance period over
period. Adjusted EPS is also used as a financial measure of performance for our
annual incentive compensation. Our measures of Adjusted Income, Adjusted EPS,
and Adjusted Effective Tax Rate may be different from measures used by other
companies. These non-GAAP measures should not be considered a substitute for Net
income attributable to Rockwell Automation, diluted EPS, and effective tax rate.
Page 19
The following are the components of operating and non-operating pension and
postretirement benefit cost (credit) (in millions):
Three Twelve
Months Months
Ended Ended
September September
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Service $ 10 $ 11 $ 39 $ 42
cost
Operating
pension
and 10 11 39 42
postreti…
benefit
cost
Interest 35 35 139 138
cost
Expected
return on -43 -42 -170 -167
plan
assets
Amortiza…
of net 5 7 18 29
actuarial
loss
Settleme… 11 1 11 1
charges
Non-oper…
pension
and
postreti… 8 1 -2 1
benefit
cost
(credit)
Net
periodic
pension
and $ 18 $ 12 $ 37 $ 43
postreti…
benefit
cost
The components of net periodic pension and postretirement benefit cost other
than the service cost component are included in Other income (expense) in the
Condensed Statement of Operations.
Page 20
Amortization of acquisition-related intangible assets, impairment of intangible
assets, non-operating pension and postretirement benefit (credit) cost, and
restructuring charges are not allocated to our operating segments because these
costs are excluded from our measurement of each segment's operating performance
for internal purposes. If we were to allocate these costs, we would attribute
them to each of our segments as follows (in millions):
Non-opera…
pension Three Twelve
and Months Months
postretir… Ended Ended
benefit September September
cost 30, 30,
(credit) 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Intellige… $ 2 $ -2 $ -2 $ -2
Devices
Software & 2 -1 -2 -1
Control
Lifecycle 2 -1 -4 -2
Services
Amortizat…
of
acquisiti…
intangible
assets(1)
Intellige… $ 11 $ 9 $ 42 $ 37
Devices
Software & 16 17 66 66
Control
Lifecycle 2 9 12 38
Services
Impairment
of
intangible
assets
Intellige… $ — $ — $ — $ —
Devices
Software & — — — —
Control
Lifecycle — -224 — -224
Services
Restructu…
charges
Intellige… $ 9 $ -2 $ 9 $ -2
Devices
Software & 8 -2 8 -2
Control
Lifecycle 8 -1 8 -1
Services
(1) Amortization of acquisition-related intangible assets does not include
amortization for intangibles internally developed, which is included in segment
operating earnings. For the three and twelve months ended September 30, 2026,
the amortization expense for internally developed intangible amortization was $3
million and $11 million, respectively. For the three and twelve months ended
September 30, 2025, the amortization expense for internally developed intangible
amortization was $3 million and $11 million, respectively.
Page 21
The following are reconciliations of Net income attributable to Rockwell
Automation, diluted EPS, and effective tax rate to Adjusted Income, Adjusted
EPS, and Adjusted Effective Tax Rate, respectively:
Three Twelve
Months Months
Ended Ended
September September
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Net
income
attribut… $ 346 $ 138 $ 1,409 $ 869
to
Rockwell
Automati…
Non-oper…
pension
and
postreti… 8 1 -2 1
benefit
(credit)
cost
Tax
effect of
non-oper…
pension
and -2 — — -1
postreti…
benefit
(credit)
cost
Amortiza…
of
acquisit…
intangib…
assets 29 32 119 130
attribut…
to
Rockwell
Automati…
Tax
effect of
amortiza…
of
acquisit…
intangib… -7 -7 -29 -29
assets
attribut…
to
Rockwell
Automati…
Impairme…
of
intangib…
assets — 119 — 119
attribut…
to
Rockwell
Automati…
Tax
effect of
impairme…
of
intangib… — -9 — -9
assets
attribut…
to
Rockwell
Automati…
Net
legacy
asbestos -5 141 -2 154
and
environm…
charges
Tax
effect of
net
legacy 1 -34 — -37
asbestos
and
environm…
charges
Gain or
loss on
fair — — 7 3
value of
investme…
Tax
effect of
gain or
loss on — — -2 -1
fair
value
of
investme…
Restruct… 25 -5 25 -5
charges
Tax
effect of -7 1 -7 1
restruct…
charges
Charitab… 50 — 50 —
contribu…
Tax
effect of -12 — -12 —
charitab…
contribu…
Gain on
dissolut…
of
Sensia,
net of
transact… 6 — -5 —
costs,
attribut…
to
Rockwell
Automati…
Tax and
tax items
associat…
with gain
on
dissolut…
of
Sensia, — — -44 —
net of
transact…
costs,
attribut…
to
Rockwell
Automati…
Adjusted $ 432 $ 377 $ 1,507 $ 1,195
Income
Page 22
Three Twel…
Mont… Mont…
Ended Ended
Sept… Sept…
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Dil… $ 3.11 $ 1.23 $ 12.54 $ 7.67
EPS
Non…
pen…
and
pos… 0.07 0.01 -0.02 0.01
ben…
(cr…
cost
Tax
eff…
of
non…
pen… -0.02 — — -0.01
and
pos…
ben…
(cr…
cost
Amo…
of
acq…
int…
ass… 0.26 0.29 1.06 1.15
att…
to
Roc…
Aut…
Tax
eff…
of
amo…
of
acq… -0.06 -0.06 -0.26 -0.26
int…
ass…
att…
to
Roc…
Aut…
Imp…
of
int…
ass… — 1.05 — 1.05
att…
to
Roc…
Aut…
Tax
eff…
of
imp…
of
int… — -0.08 — -0.08
ass…
att…
to
Roc…
Aut…
Net
leg…
asb… -0.05 1.24 -0.02 1.36
and
env…
cha…
Tax
eff…
of
net
leg… 0.01 -0.30 — -0.33
asb…
and
env…
cha…
Gain
or
loss
on — — 0.06 0.02
fair
val…
of
inv…
Tax
eff…
of
gain
or
loss — — -0.02 -0.01
on
fair
val…
of
inv…
Res… 0.23 -0.05 0.23 -0.05
cha…
Tax
eff…
of -0.06 0.01 -0.06 0.01
res…
cha…
Cha… 0.45 — 0.45 —
con…
Tax
eff…
of -0.11 — -0.11 —
cha…
con…
Gain
on
dis…
of
Sen…
net
of 0.05 — -0.04 —
tra…
cos…
att…
to
Roc…
Aut…
Tax
and
tax
ite…
ass…
with
gain
on
dis…
of — — -0.39 —
Sen…
net
of
tra…
cos…
att…
to
Roc…
Aut…
Adj… $ 3.88 $ 3.34 $ 13.42 $ 10.53
EPS
Eff…
tax 20.1 % 52.4 % 16.5 % 18.3 %
rate
Tax
eff…
of
non…
pen… 0.1 % -0.8 % — % 0.1 %
and
pos…
ben…
(cr…
cost
Tax
eff…
of
amo…
of
acq… 0.2 % 0.5 % 0.5 % 0.6 %
int…
ass…
att…
to
Roc…
Aut…
Tax
eff…
of
imp…
of
int… — % -40.3 % — % -3.1 %
ass…
att…
to
Roc…
Aut…
Tax
eff…
of
net
leg… — % 3.4 % — % 1.1 %
asb…
and
env…
cha…
Tax
eff…
of
gain
or
loss — % — % 0.1 % 0.1 %
on
fair
val…
of
inv…
Tax
eff…
of 0.4 % 2.6 % 0.2 % — %
res…
cha…
Tax
eff…
of 0.4 % — % 0.2 % — %
cha…
con…
Tax
and
tax
ite…
ass…
with
gain
on
dis…
of -0.3 % — % 2.1 % — %
Sen…
net
of
tra…
cos…
att…
to
Roc…
Aut…
Adj…
Eff… 20.9 % 17.8 % 19.6 % 17.1 %
Tax
Rate
Page 23
Fiscal 2027 Guidance
Fiscal 2027 Guidance
Diluted EPS $13.78 - $14.78
Non-operating pension and postretirement benefit -0.09
credit, net of tax
Amortization of acquisition-related intangible
assets attributable to Rockwell Automation, net of 0.81
tax
Adjusted EPS $14.50 - $15.50
Effective tax rate ~ 20%
Tax effect of non-operating pension and ~ —%
postretirement benefit cost
Tax effect of amortization of acquisition-related
intangible assets attributable to Rockwell ~ —%
Automation
Adjusted effective tax rate ~ 20%
Note: Guidance as of November 5, 2026.
Page 24
ROCKWELL AUTOMATION, INC.
OTHER SUPPLEMENTAL INFORMATION
(in millions, except percentages)
Free Cash Flow
Our definition of free cash flow, which is a non-GAAP financial measure, takes
into consideration capital investments required to maintain the operations of
our businesses and execute our strategy. In our opinion, free cash flow provides
useful information to investors regarding our ability to generate cash from
business operations that is available for acquisitions and other investments,
service of debt principal, dividends, and share repurchases. We use free cash
flow, as defined, as one measure to monitor and evaluate our performance,
including as a financial measure for our annual incentive compensation. Our
definition of free cash flow may be different from definitions used by other
companies.
The following table summarizes free cash flow by quarter:
D… M… J… S… De… M… Ju… S…
Q… 3… 3… 3… 3… 31, 3… 30, 3…
E… 2… 2… 2… 2… 20… 2… 20… 2…
──────────────────────────────────────────────────────────────────────────────
…
…
… $ 3… $ 1… $ 5… $ 4… $ 234 $ 3… $ 724 $ 6…
…
…
… -… -… -… -… -64 -… -70 -…
…
…
… $ 2… $ 1… $ 4… $ 4… $ 170 $ 2… $ 654 $ 6…
…
(1) Includes a $70 million voluntary contribution to the U.S. pension plan.
(2) Includes $108 million of IEEPA tariff refunds and related interest income.
Free cash flow conversion (free cash flow as a percentage of Adjusted Income) is
a non-GAAP financial measure, which reflects our ability to generate cash from
the operations of our business while considering the capital investments
required to maintain operations and execute our strategy as a ratio of our
operating performance. We believe free cash flow conversion provides useful
information to investors about our ability to convert operating performance into
cash generation. Our measure of free cash flow conversion may be different from
measures used by other companies.
The table below provides the calculation of free cash flow and free cash flow
conversion for fiscal years 2026 and 2025:
Year Ended Sep. 30, 2026 Sep. 30, 2025
──────────────────────────────────────────────────────────────────────────────
Cash provided by $ 1,958 $ 1,544
operating activities
Capital expenditures -257 -186
Free cash flow (a) 1,701 1,358
Adjusted Income (b) 1,507 1,195
Free cash flow 113 % 114 %
conversion (a/b)
Page 25
Return On Invested Capital and Adjusted Return On Invested Capital
Our press release contains information regarding Adjusted ROIC, which is a non-
GAAP financial measure. We believe that Adjusted ROIC is useful to investors as
a measure of performance and of the effectiveness of the use of capital in our
operations. We use Adjusted ROIC as one measure to monitor and evaluate our
performance. Our measure of Adjusted ROIC may be different from that used by
other companies. We define Adjusted ROIC as the percentage resulting from the
following calculation:
(a) net income, before interest expense, income tax provision, amortization of
acquisition-related intangible assets, and goodwill and intangible asset
impairment divided by;
(b) average invested capital for the year, calculated as a five quarter rolling
average using the sum of short-term debt, long-term debt, shareowners’ equity,
and accumulated amortization of goodwill and other intangible assets, minus cash
and cash equivalents, short-term investments, and long-term investments (fixed
income securities), multiplied by;
(c) one minus the effective tax rate for the period.
ROIC and Adjusted ROIC are calculated as follows (in millions, except
percentages):
ROIC
Twel…
Mont…
Ended
Sept… Adj…
(a) 30, ROIC
Ret… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net $ 1,407 $ 749 $ 1,407 $ 749
inc…
Int… 134 156 134 156
exp…
Inc…
tax 278 168 278 168
pro…
Amo…
of
acq… — — 120 141
int…
ass…
Imp…
of — — — 224
int…
ass…
Ret… $ 1,819 $ 1,073 $ 1,939 $ 1,4…
(b)
Ave…
inv…
cap…
Sho… $ 791 $ 940 $ 791 $ 940
debt
Lon… 2,580 2,585 2,580 2,5…
debt
Sha… 3,627 3,601 3,627 3,6…
equ…
Acc…
amo…
of — — 1,405 1,3…
goo…
and
int…
Cash
and -467 -471 -467 -471
cash
equ…
Sho…
and — -2 — -2
lon…
inv…
Ave…
inv… $ 6,531 $ 6,653 $ 7,936 $ 8,0…
cap…
(c)
Eff…
tax
rate
Inc…
tax $ 278 $ 168 $ 278 $ 168
pro…
Inc…
bef… 1,685 917 1,685 917
inc…
tax…
Eff…
tax 16.5 % 18.3 % 16.5 % 18.3 %
rate
(a)
/
(b)
*
(1-… 23.3 % 13.2 % 20.4 % 14.6 %
Ret…
On
Inv…
Cap…
Page 26
Adjusted EBITDA
Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures. We
believe that Adjusted EBITDA and Adjusted EBITDA margin provide investors with
additional insight into our financial results and operating trends by excluding
non-operational, non-recurring, and non-cash items. We use Adjusted EBITDA and
Adjusted EBITDA margin as measures to monitor and evaluate our performance. We
define Adjusted EBITDA as net income before interest expense, net, income tax
provision, depreciation, amortization, impairment of intangible assets, non-
operating pension and postretirement benefit credit, net legacy asbestos and
environmental charges, gain or loss on fair value of investments, restructuring
charges aligned with enterprise-wide strategic initiatives, gain on dissolution
of Sensia, net of transaction costs, charitable contribution, and Adjusted
EBITDA attributable to non-controlling interests. Our measures of Adjusted
EBITDA and Adjusted EBITDA margin may be different from those used by other
companies, and Adjusted EBITDA and Adjusted EBITDA margin are not substitutes
for net income, net profit margin, or any other measure calculated in accordance
with GAAP.
The following is a reconciliation of Net income to Adjusted EBITDA and net
profit margin to Adjusted EBITDA margin (in millions, except percentages):
Three Twe…
Mont… Mon…
Ended Sept… End… Sept…
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Net
inc… $ 346 $ 30 $ 1,407 $ 749
(a)
Int…
exp… 26 34 118 143
net
Inc…
tax 87 33 278 168
pro…
Dep… 45 47 183 173
Amo… 32 38 131 152
Non…
pen…
and
pos… 8 1 -2 1
ben…
(cr…
cost
Imp…
of — 224 — 224
int…
ass…
Net
leg…
asb… -5 141 -2 154
and
env…
cha…
Gain
or
loss
on — — 7 3
fair
val…
of
inv…
Res… 25 -5 25 -5
cha…
Cha… 50 — 50 —
con…
Gain
on
dis…
of
Sen… 6 — -4 —
net
of
tra…
cos…
Adj…
EBI…
att… — -5 -9 -9
to
non…
int…
Adj…
EBI… $ 620 $ 538 $ 2,182 $ 1,7…
(b)
Sal… $ 2,332 $ 2,316 $ 8,989 $ 8,3…
(c)
Net
pro… 14.8 % 1.3 % 15.7 % 9.0 %
mar…
(a/…
Adj…
EBI… 26.6 % 23.2 % 24.3 % 21.0 %
mar…
(b/…
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