Business Segments

9 Months Ended

Jun. 30, 2023

Segment Reporting [Abstract]

Business Segments

BUSINESS SEGMENTS

As disclosed in Note 5, the financial results of Climate Technologies, InSinkErator and Therm-O-Disc are reported as discontinued operations for all periods presented. As a result of these portfolio actions, the Company has realigned its business segments and now reports six segments and two business groups, which are highlighted in the table below. The Company also reclassified certain product sales that were previously reported in Control Systems & Software to Discrete Automation.

INTELLIGENT DEVICES	SOFTWARE AND CONTROL
•Final Control	•Control Systems & Software
•Measurement & Analytical	•AspenTech
•Discrete Automation
•Safety & Productivity

The new segments were previously described as follows: Final Control was the Valves, Actuators & Regulators product offering; Measurement & Analytical was the Measurement & Analytical instrumentation product offering; Discrete Automation was the Industrial Solutions product offering; Safety & Productivity was the Tools & Home Products segment, excluding the divested InSinkErator business; Control Systems & Software was the Systems & Software product offering; and, AspenTech remains unchanged. The AspenTech segment was identified in the third quarter of fiscal 2022 as a result of the Heritage AspenTech acquisition and reflects the combined results of Heritage AspenTech and the Emerson Industrial Software Business (see Note 4 for further details). The results for this new segment include the historical results of the Emerson Industrial Software Business (which were previously reported in

the Control Systems & Software segment), while results related to the Heritage AspenTech business only include periods subsequent to the close of the transaction. Prior year amounts have been reclassified to conform to the current year presentation.

	Three Months Ended June 30,					Nine Months Ended June 30,
	Sales			Earnings		Sales		Earnings
	2022		2023	2022	2023	2022	2023	2022	2023
Final Control	$	905	1,035	150	245	2,606	2,889	424	618
Measurement & Analytical	788		913	189	257	2,294	2,550	535	661
Discrete Automation	633		668	115	124	1,894	1,969	365	378
Safety & Productivity	360		363	69	82	1,066	1,034	199	228
Intelligent Devices	2,686		2,979	523	708	7,860	8,442	1,523	1,885
Control Systems & Software	568		663	77	144	1,711	1,892	294	378
AspenTech	239		320	57	27	405	793	51	(60)
Software and Control	807		983	134	171	2,116	2,685	345	318
Stock compensation				(15)	(56)			(92)	(198)
Unallocated pension and postretirement costs				25	42			76	133
Corporate and other				(239)	(43)			(336)	(154)
Gain on subordinated interest				—	—			453	—
Loss on Copeland equity method investment				—	(61)			—	(61)
Eliminations/Interest	(28)		(16)	(50)	(10)	(64)	(52)	(140)	(111)
Interest income from related party				—	10				10
Total	$	3,465	3,946	378	761	9,912	11,075	1,829	1,822

Corporate and other for the three and nine months ended June 30, 2022 included a loss of $162 related to the Company's exit of business operations in Russia and a loss of $47 for the nine months ended June 30, 2023.

Depreciation and amortization (includes intellectual property, customer relationships and capitalized software) by business segment are summarized below:

	Three Months Ended June 30,				Nine Months Ended June 30,
		2022		2023		2022	2023
Final Control		$	53	39		156	129
Measurement & Analytical		27		26		88	84
Discrete Automation		22		20		67	63
Safety & Productivity		15		15		44	44
Intelligent Devices		117		100		355	320
Control Systems & Software		24		22		71	67
AspenTech		72		123		119	369
Software and Control		96		145		190	436
Corporate and other		9		12		26	24
Total		$	222	257		571	780

Sales by geographic destination, Americas, Asia, Middle East & Africa ("AMEA") and Europe, are summarized below:

	Three Months Ended June 30,						Three Months Ended June 30,
	2022						2023
		Americas		AMEA	Europe	Total	Americas	AMEA	Europe	Total
Final Control		$	434	338	133	905	498	399	138	1,035
Measurement & Analytical		397		274	117	788	482	303	128	913
Discrete Automation		320		150	163	633	312	180	176	668
Safety & Productivity		270		20	70	360	269	18	76	363
Intelligent Devices		1,421		782	483	2,686	1,561	900	518	2,979
Control Systems & Software		289		166	113	568	322	207	134	663
AspenTech		131		50	58	239	111	104	105	320
Software and Control		420		216	171	807	433	311	239	983
Total		$	1,841	998	654	3,493	1,994	1,211	757	3,962
	Nine Months Ended June 30,						Nine Months Ended June 30,
	2022						2023
		Americas		AMEA	Europe	Total	Americas	AMEA	Europe	Total
Final Control		$	1,197	1,012	397	2,606	1,438	1,069	382	2,889
Measurement & Analytical		1,069		865	360	2,294	1,333	853	364	2,550
Discrete Automation		890		504	500	1,894	914	539	516	1,969
Safety & Productivity		801		52	213	1,066	777	51	206	1,034
Intelligent Devices		3,957		2,433	1,470	7,860	4,462	2,512	1,468	8,442
Control Systems & Software		839		514	358	1,711	930	578	384	1,892
AspenTech		233		85	87	405	337	228	228	793
Software and Control		1,072		599	445	2,116	1,267	806	612	2,685
Total		$	5,029	3,032	1,915	9,976	5,729	3,318	2,080	11,127