Emerson 2011 Annual Report Download - page 4

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02 | 2011 Emerson
THE YEAR IN REVIEW
Emerson performed very well in 2011, as we
delivered exceptional operating margins and record
earnings to our shareholders. We hit our financial
targets and strengthened our balance sheet. For the
55th consecutive year, Emerson increased its annual
dividend to shareholders. The Board of Directors
acted on October 31, 2011, to further increase the
quarterly dividend by 16 percent to an annual rate
of $1.60, reflecting compound annual growth of
11 percent since 1956.
Sales in 2011 were $24.2 billion, up 15 percent
compared with 2010 sales of $21.0 billion. Net
earnings per share in 2011 increased 15 percent to
$3.27, compared with $2.84 in 2010.
Underlying sales (excluding acquisitions and
foreign currency translation) were up 11 percent
compared with 2010 results. Our operating profit
margin improved significantly in 2011, reaching
17.5 percent. Emerson’s after-tax return on total
capital was 19.6 percent, up from 18.9 percent
in 2010.
Cash flow from operations in 2011 was $3.2 billion,
another year of solid performance. Generating
strong free cash flow continues to be among our
highest priorities. With it, we invest in internal growth
programs, fund acquisitions and provide long-term,
Edward L. Monser
President and
Chief Operating Officer