Rockwell Automation
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Rockwell Automation (ROK) investor relations material

Rockwell Automation Q1 2026 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q1 2026 earnings summary5 Feb, 2026

Executive summary

  • Reported sales increased 12% year-over-year to $2,105 million, with organic sales up 10% and currency contributing 2%.

  • Adjusted EPS rose 49% to $2.75, and diluted EPS increased 67% to $2.69, both exceeding expectations.

  • Segment operating margin rose to 20.7%, up 360 bps year-over-year, driven by strong demand, productivity, and favorable tax items.

  • Double-digit growth in sales and earnings was achieved, with AI adoption and productivity actions supporting margin expansion.

  • Total annual recurring revenue (ARR) grew 7% year-over-year.

Financial highlights

  • Q1 sales reached $2,105 million, up from $1,881 million, with gross margin expanding to 48.3% and segment operating earnings up 36% to $435 million.

  • Adjusted EPS was $2.75, up from $1.85 year-over-year; GAAP diluted EPS was $2.69.

  • Free cash flow was $170 million, down from $293 million, mainly due to working capital and incentive compensation payments.

  • Pre-tax margin improved to 16.2% from 11.3% year-over-year.

  • Adjusted EBITDA was $447 million, up from $329 million, with margin at 21.2%.

Outlook and guidance

  • Fiscal 2026 reported sales growth guidance reaffirmed at 3%-7%, with organic sales growth of 2%-6%.

  • Adjusted EPS guidance raised to $11.40–$12.20, reflecting a lower full-year tax rate.

  • Segment margin is expected to be ~21.5% for the full year.

  • Free cash flow conversion is projected at ~100%.

  • Guidance excludes the impact of the anticipated dissolution of the Sensia joint venture.

Q1 cash flow decrease: working capital impact?
Lifecycle Services sales drop, margin gain drivers?
Sensia JV dissolution impact on tax rate?
What specific signals would raise full-year organic sales outlook?
How does AI adoption impact share growth and margins?
What drives the divergence in segment performance?
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Citi's Global Industrial Tech & Mobility Conference 202617 Feb, 2026
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Citi's Global Industrial Tech & Mobility Conference 202617 Feb, 2026

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Frequently asked questions

Rockwell Automation Inc is a provider of industrial automation and digital transformation solutions. The company offers hardware, software, and services for control systems, intelligent devices, and analytics platforms. It serves industries such as manufacturing, energy, life sciences, and logistics. Rockwell Automation Inc is headquartered in Milwaukee, Wisconsin, and its shares are listed on the NYSE.

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