• Full year orders over $10 billion, up over 20% year over year
• Fourth quarter reported sales up 17.6% year over year; organic sales up 20.5% year over year
• Fourth quarter diluted EPS $2.91, up over 300% year over year; Adjusted EPS $3.04, up 30% year over year
• Full year reported sales of $7.8 billion, up 10.9% year over year; organic sales up 11.3% year over year
• ARR grew 14% year over year; total ARR over 8% of revenue
• Full year fiscal 2022 diluted EPS $7.97; Adjusted EPS $9.49
• Full year fiscal 2022 Cash Flow from Operations of $823 million
• Fiscal 2023 guidance:
  • Reported sales growth of 7.5% - 11.5%; organic sales growth of 9.0% - 13.0%
  • Diluted EPS $9.54 - $10.34; Adjusted EPS $10.20 - $11.00

MILWAUKEE — (BUSINESS WIRE) — November 2, 2022 — Rockwell Automation, Inc. (NYSE: ROK) today reported fiscal 2022 fourth quarter and full year results and introduced fiscal 2023 guidance.

"We had a great finish to this fiscal year, with our Q4 organic sales and earnings both growing double digits year over year and sequentially. Rockwell delivered very strong operating performance amidst continued supply chain volatility, significant inflation, and currency headwinds. Our strong orders and sales performance in fiscal 2022 reflect the compelling value we provide to our customers across many industries and regions,” said Blake Moret, Chairman and CEO.

Fiscal Q4 2022 Financial Results

Fiscal 2022 fourth quarter sales were $2,126 million, up 17.6% compared to $1,808 million in the fourth quarter of fiscal 2021. Organic sales increased 20.5%, currency translation decreased sales by 4.8%, and acquisitions increased sales by 1.9%.

Fiscal 2022 fourth quarter net income attributable to Rockwell Automation was $339 million or $2.91 per share, compared to $78.5 million or $0.67 per share in the fourth quarter of fiscal 2021. The increases in net income attributable to Rockwell Automation and EPS were primarily due to fair value adjustments recognized in the fourth quarter of fiscal 2021 in connection with our investment in PTC (the "fourth quarter PTC adjustment"). Fiscal 2022 fourth quarter Adjusted EPS was $3.04, up 30.5% compared to $2.33 in the fourth quarter of fiscal 2021, primarily due to higher sales, partially offset by a higher tax rate and unfavorable currency impact.

Pre-tax margin was 19.1% in the fourth quarter of fiscal 2022 compared to 0.2% in the same period last year. The increase in pre-tax margin was primarily due to the fourth quarter PTC adjustment.

Total segment operating earnings were $495 million in the fourth quarter of fiscal 2022, up 53.1% compared to $323 million in the same period of fiscal 2021. Total segment operating margin was 23.3% in the fourth quarter compared to 17.9% a year ago. The increase in segment operating margin was primarily due to higher sales and positive price/cost, partially offset by unfavorable currency impact.

Cash flow provided by operating activities in the fourth quarter of fiscal 2022 was $399 million, compared to $204 million in the fourth quarter of fiscal 2021. Free cash flow was $359 million compared to $160 million in the fourth quarter of fiscal 2021. Increases in cash flow provided by operating activities and free cash flow were primarily due to higher pre-tax income.

Fiscal 2022 Full Year Financial Results

Sales were $7,760 million in fiscal 2022, up 10.9% from $6,997 million in fiscal 2021. Organic sales increased 11.3%, currency translation decreased sales by 2.7%, and acquisitions increased sales by 2.3%.

Fiscal 2022 net income attributable to Rockwell Automation was $932 million or $7.97 per share, compared to $1,358 million or $11.58 per share in fiscal 2021. The decreases in net income attributable to Rockwell Automation and EPS were primarily due to fair value adjustments recognized in fiscal 2022 and fiscal 2021 in connection with our investment in PTC (the "full year PTC adjustments"). Fiscal 2022 Adjusted EPS was $9.49, up 0.6% compared to $9.43 in fiscal 2021. The increase in Adjusted EPS was primarily due to higher sales and lower incentive compensation, partially offset by higher investment spend, higher tax rate, and a prior year favorable legal settlement.

Pre-tax margin was 13.8% in fiscal 2022, compared to 21.8% last year. The decrease in pre-tax margin was primarily due to the full year PTC adjustments.

Total segment operating earnings were $1,543 million in fiscal 2022, up 10.9% from $1,391 million in fiscal 2021. Total segment operating margin was 19.9% compared to 19.9% a year ago. The positive impact from higher sales and lower incentive compensation was offset by higher investment spend and negative price/cost.

Cash flow provided by operating activities in fiscal year 2022 was $823 million, compared to $1,261 million in fiscal 2021. Free cash flow was $682 million compared to $1,141 million last year. Decreases in cash flow provided by operating activities and free cash flow were driven by higher working capital and the timing of bonus payments.

Outlook

The table below provides guidance for sales growth and earnings per share for fiscal 2023. Our guidance reflects record backlog and assumes continued supply chain stabilization.