(RTTNews) - Industrial automation solutions provider Rockwell Automation Inc. (ROK: News ) on Monday reported a 77% decline in fourth-quarter profit, as revenue dropped 28% from the previous year. However, adjusted earnings easily topped Wall Street view.

Looking ahead, the company guided fiscal 2010 almost in line with Wall Street estimates.

The Milwaukee, Wisconsin-based company said its fourth-quarter net income plunged to $28.9 million or $0.20 per share from $125.6 million or $0.87 per share in the fourth quarter of fiscal 2008. In the third quarter, the company reported net income of $32.8 million or $0.23 per share.

Excluding restructuring charges, fourth-quarter net income was $53.1 million or $0.37 per share. On average, 10 analysts polled by Thomson Reuters expected the company to earn $0.27 per share for the quarter. Analysts' estimates typically exclude special items.

Total sales for the quarter dropped to $1.074 billion from $1.484 billion reported in the fourth quarter of fiscal 2008. The company noted that currency translation contributed 3 percentage points to the decline. Analysts were looking for revenues of $1.05 billion. Third-quarter sales were $1.01 billion. The company said that sequential revenue growth for the quarter supports its view that macroeconomic conditions and demand trends are stabilizing.

Total segment operating earnings for the fourth quarter declined to $79.6 million from $269.1 million in the prior year, owing to the revenue decline and the inclusion of restructuring charges in segment operating earnings.
Rockwell provides industrial automation power, control, and information solutions primarily in the U.S. through two segments, namely Architecture & Software, and Control Products & Solutions. The company employs about 20,000 people serving customers in more than 80 countries.

For the fourth quarter, sales of Architecture & Software segment dropped to $424.1 million from $617.1 million. The segment's operating profit plunged to $36.9 million from $141.6 million.

At Control Products & Solutions, sales for the quarter declined to $650.3 million from $867.2 million. Operating earnings of the segment plummeted to $42.7 million from $127.5 million.

For the fiscal year, net income dropped to $220.7 million or $1.55 per share from $577.6 million or $3.90 per share in the prior year. Sales dropped to $4.333 billion from $5.698 billion. Wall Street expected earnings of $1.58 per share on revenues of $4.32 billion.

To receive FREE breaking news email alerts for Rockwell Automation Inc. and others in your portfolio

 1   2   Next Page