Rockwell Automation, Inc. · NYSE:ROK
Rockwell Automation — Citi's 2023 Global Industrial Tech and Mobility Conference
20 slides from Rockwell Automation's conference presentation, Feb 21, 2023
Slide 1: Citi's 2023 Global Industrial Tech and Mobility Conference
Millennium Management Citi's 2023 Global Industrial Tech and Mobility Conference February 21, 2023 PUBLIC PUBLIC | Copyright ©2023 Rockwell Automation, Inc. | 1 1
Slide 2: Forward-looking statements and non-GAAP notice
This presentation includes statements related to the expected future results of the company and are therefore forward-looking statements. Actual results may differ materially from those projections due to a wide range of risks and uncertainties, including those that are listed in our SEC filings. Th
Slide 3: Rockwell Automation at a glance
AT A G L A N C E $7.8B 2022 sales 7% Latin America 18% ~25% ~35% $1.9B $3.6B Discrete Process Lifecycle Intelligent EMEA Services Devices We’re taking 14% manufacturing to 61% Asia Pacific a whole new level North America ~40% Hybrid $2.3B Software and Control by making our customers more resilient,
Slide 4: Helping customers across all industries
Helping customers across all industries DISCRETE HYBRID PROCESS PUBLIC | Copyright ©2023 Rockwell Automation, Inc. | 4
Slide 5: Scalable innovation at all levels of the technology stack
Scalable innovation at all levels of the technology stack • Combination of hardware, software and services Industry Solutions that deliver a specific business outcome • Built with ROK product platforms, domain expertise & IP Product Platforms FactoryTalk Logix Stratix View Kinetix PowerFlex • Built
Slide 6: Go-to-Market Acceleration
Go-to-Market Acceleration • Optimization through regional • New technologies and talent • Extension of our talent and industry alignment • Digital consulting – Kalypso • Technology Partners • Market amplification with • Software and high-velocity sales • Machine Builders (OEM) new CMO office & marke
Slide 7: Full Year Outlook Update
Full Year Outlook Update ▶ Total sales growth range of 10% - 14%; Organic growth range of 11% - 15% ▶ Currency to reduce sales ~(2.0) pts ▶ Acquisitions to contribute ~1.0 pt of growth ▶ Information Solutions & Connected Services (IS/CS) sales to grow double digits ▶ Organic ARR expected to grow ~15
Slide 8: Fiscal Year 2023 Guidance
Fiscal Year 2023 Guidance Updated Guidance Prior Guidance Sales Midpoint ~ $8.7B ~ $8.5B Organic Growth Range 11% - 15% 9% - 13% Inorganic Growth ~ 1.0% ~ 1.0% Currency Translation ~ (2.0)% ~ (2.5)% Segment Operating Margin ~ 21% ~ 20.5% Adjusted Effective Tax Rate ~ 18% ~ 18% Adjusted EPS Range $10
Slide 9: More ways to win
More ways to win • Rockwell is delivering on our commitment to accelerate profitable growth We have the technology, • In a relatively short time, we have become people, and ecosystem a scale provider of software, digital to take manufacturing services, and OT cybersecurity, with double-digit growth
Slide 10: Appendix
Appendix PUBLIC | Copyright ©2023 Rockwell Automation, Inc. | 10
Slide 11: Industry Segmentation
Industry Segmentation % of FY22 Sales ~25% ~40% ~35% of sales of sales of sales ~10% Automotive ~20% Food & Beverage ~10% Oil & Gas ~5% Semiconductor ~5% Life Sciences ~5% Mining ~5% e-Commerce & Warehouse ~5% Household & Personal Care ~5% Metals Automation ~5% Tire ~5% Chemicals ~5% General Industr
Slide 12: Q1 FY23 Results: Summary
Q1 FY23 Results: Summary ($ in millions, except per share amounts) Q1 2023 Q1 2022 Total Sales $ 1,981.0 $ 1,857.3 Total segment operating earnings $ 401.0 $ 355.1 Purchase accounting depreciation and amortization (26.0) (26.1) Corporate and other (27.3) (29.4) Non-operating pension and postretireme
Slide 13: Free Cash Flow
Free Cash Flow Three Months Ended ($ in millions) Q1 2023 Q1 2022 Net Income $ 378.7 $ 238.9 Depreciation/Amortization 57.8 58.9 Change in Fair Value of Investments (1) (140.6) (7.6) Retirement Benefits (Income) Expense (1.7) 16.2 Receivables/Inventory/Payables (237.7) (185.7) Compensation and Benef
Slide 14: Reconciliation to Non-GAAP Measures: Organic Sales
Reconciliation to Non-GAAP Measures Organic Sales ($ in millions) Three Months Ended December 31, 2022 2021 Effect of Effect of Reported Sales Less: Effect of Changes in Organic Sales Reported Less: Effect of Changes in Organic Growth Acquisitions Currency Growth Sales(a) Acquisitions(e) Currency(d)
Slide 15: Reconciliation to Non-GAAP Measures: Segment Operating Margin
Reconciliation to Non-GAAP Measures Segment Operating Margin ($ in millions) Three Months Ended December 31, 2022 December 31, 2021 Sales Intelligent Devices (a) $ 936.2 $ 900.3 Software & Control (b) 573.3 513.9 Lifecycle Services (c) 471.5 443.1 Total sales (d) $ 1,981.0 $ 1,857.3 Segment operatin
Slide 16: Reconciliation to Non-GAAP Measures: Adjusted Income and EPS
Reconciliation to Non-GAAP Measures Adjusted Income, Adjusted EPS, and Adjusted Effective Tax Rate ($ in millions, except per share amounts) Three Months Ended December 31, 2022 December 31, 2021 Net income attributable to Rockwell Automation $ 384.0 $ 241.5 Non-operating pension and postretirement
Slide 17: Reconciliation to Non-GAAP Measures: Return On Invested Capital
Reconciliation to Non-GAAP Measures Return On Invested Capital ($ in millions) Twelve Months Ended December 31, 2022 2021 (a) Return Net income $ 1,058.9 $ 992.8 Interest expense 127.8 101.6 Income tax provision 200.1 115.2 Purchase accounting depreciation and amortization 103.8 69.5 Return $ 1,490.
Slide 18: Reconciliation to Non-GAAP Measures: Fiscal 2023 Guidance
Reconciliation to Non-GAAP Measures Fiscal 2023 Guidance ($ in billions, except per share amounts) Organic Sales Fiscal 2023 Guidance Reported sales growth 10% - 14% Less: Inorganic sales growth ~ 1.0% Foreign currency impact ~ (2.0)% Organic sales growth 11% - 15% Segment Operating Margin Total sal
Slide 19: Performance Metric Definition
Performance Metric Definition Organic ARR Growth Annual recurring revenue (ARR) is a key metric that enables measurement of progress in growing our recurring revenue business. It represents the annual contract value of all active recurring revenue contracts at any point in time. Recurring revenue is
Slide 20: Thank you
Thank you www.rockwellautomation.com
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