Home » Emerson Annual Reports » 2014 Annual Report - page 65

Emerson 2014 Annual Report Download - page 65

Download and view the complete annual report

Please find page 65 of the 2014 Emerson annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

RECONCILIATION OF

NON-GAAP FINANCIAL MEASURES

2013 2014 2015E

Underlying sales (non-GAAP)

2 % 3 % ~4-5 %

Foreign currency translation (1) –(2)

Acquisitions and divestitures, net – (4) (2)

Net sales 1 % (1)% ~0-1 %

EBIT margin excluding

impairment (non-GAAP)

16.5 %

Impairment/interest expense (2.9)

Pretax earnings margin 13.6 %

CHANGE

2013 2014 ‘13-‘14

Diluted EPS excluding impairment

and tax charges (non-GAAP)

$ 3.54 3.75 6%

Impairment and tax charges (0.78) (0.72) 4

Diluted EPS $ 2.76 3.03 10%

COMPARISON OF FIVE-YEAR

CUMULATIVE SHAREHOLDER RETURN

2009 2010 2011 2012 2013 2014 CAGR

Emerson 100 135 109 131 181 180 12.5%

S&P 500 100 110 111 145 173 207 15.7%

Peer Index* 100 115 109 144 198 214 16.4%

*Dow Jones US Electrical Components & Equipment Index

$100 invested on September 30, 2009 in stock or index, including

reinvestment of dividends. Fiscal year ending September 30.

SAFE HARBOR STATEMENT

This Annual Report contains various forward-looking

statements and includes assumptions concerning

Emerson’s operations, future results and prospects.

These forward-looking statements are based on current

expectations and are subject to risk and uncertainties.

Emerson undertakes no obligation to update any such

statements to reﬂect later developments. In connection

with the “safe harbor” provisions of the Private Securities

Litigation Reform Act of 1995, Emerson provides the

following cautionary statement identifying important

economic, political and technological factors, among

others, changes in which could cause the actual results

or events to differ materially from those set forth in

or implied by the forward-looking statements and

related assumptions.

Such factors include, but are not limited to, the

following: (1) current and future business environment,

including capital and consumer spending, potential

volatility of the end markets served, interest rates,

and currency exchange rates; (2) competitive factors

and competitor responses to Emerson initiatives;

(3) development and market introduction of anticipated

new products; (4) ability to defend and protect our

intellectual property rights; (5) favorable environments

for acquisitions, domestic and foreign, including regula-

tory requirements and market values of candidates;

(6) integration of acquisitions; (7) availability of raw

materials and purchased components; (8) ability to

prevent security breaches or disruptions of our informa-

tion technology systems; (9) stability of governments

and business conditions in foreign countries which could

result in nationalization of facilities or disruption of

operations; (10) favorable access to capital markets;

and (11) outcome of pending and future litigation,

including environmental compliance.

; Emerson; Consider It Solved; PlantWeb;

It’s Never Been Done Before; Rosemount; Smart Wireless; Emerson

Network Power; Chloride; Emerson Process Management; Emerson

Industrial Automation; Emerson Climate Technologies; Emerson

Commercial & Residential Solutions; and their related designs and

logotypes are trademarks, service marks and/or trade names of

Emerson, its subsidiaries, afﬁliates, investments or joint ventures.

Shell; Facebook; University of Dayton; and their related designs and

logotypes used within this Annual Report are the trademarks, service

marks and/or trade names of their owner, and are not owned by or

afﬁliated with Emerson.

_$200

_$150

_$100

_$50

_$0

2009 2014