Abstract
Rockwell Automation will report its quarterly results on February 05, 2026, Pre-Market, with investors watching revenue, margins, and adjusted EPS amid shifting end-market demand and software adoption trends.
Market Forecast
Consensus and company guidance indicate Rockwell Automation’s current quarter revenue at USD 2.08 billion, with forecast gross profit margin and net profit margin implied by recent trajectory and mix; adjusted EPS is projected at USD 2.46, with year-over-year growth of 55.28%. Forecast EBIT is USD 0.38 billion, up 53.16% year-over-year, while revenue growth is projected at 10.48% year-over-year, reflecting resilient demand and favorable pricing mix. The main business outlook emphasizes continued demand across Intelligent Devices, Software & Control, and Lifecycle Services, with particular attention on product availability and backlog conversion. The most promising segment is Software & Control, poised to benefit from ongoing software subscriptions and control modernization initiatives, supported by rising attach rates; last quarter revenue for Software & Control was USD 0.66 billion with improving year-over-year momentum.
Last Quarter Review
Rockwell Automation’s previous quarter delivered revenue of USD 2.32 billion, gross profit margin of 69.43%, GAAP net profit attributable to the parent company of USD 0.14 billion, net profit margin of 5.96%, and adjusted EPS of USD 3.34, with year-over-year revenue growth of 13.78%, EPS growth of 35.22%, and EBIT of USD 0.52 billion, exceeding estimates. A key highlight was strong operational execution producing a significant EBIT beat of USD 0.10 billion relative to consensus, indicating effective expense control and favorable product mix. Main business highlights included Intelligent Devices revenue of USD 1.09 billion, Software & Control revenue of USD 0.66 billion, and Lifecycle Services revenue of USD 0.57 billion, with the combined mix underpinning margin stability and improved backlog conversion; Software & Control demonstrated improving adoption trends that supported recurring revenue visibility.
Current Quarter Outlook
Intelligent Devices
The Intelligent Devices segment remains central to Rockwell Automation’s hardware-led growth engine this quarter, anchoring core motion, sensing, and industrial components used across discrete and hybrid manufacturing. With last quarter revenue of USD 1.09 billion, expectations for this quarter hinge on steady order intake from automotive, food and beverage, and diversified industrial customers, coupled with smoother lead times and ongoing normalization of the supply chain. Pricing discipline and product mix should support margins, although any short-cycle demand volatility could flow through bookings and backlog conversion rates. Watch for signals on capital spending plans and project pipeline sustainability, as these directly influence shipment cadence and margin leverage in Intelligent Devices. Execution around inventory positioning and discounting restraint will be important for maintaining contribution margins while protecting share in competitive sub-categories.
Software & Control
Software & Control continues to show the strongest structural growth potential, enabled by subscriptions, edge control, and scalable visualization platforms. The segment’s last quarter revenue of USD 0.66 billion reflected momentum in control modernization and software attach, laying groundwork for higher recurring revenue and an improved gross margin profile. For the current quarter, forecast revenue growth at the consolidated level skews favorably toward Software & Control as customers prioritize digital transformation, analytics, and lifecycle efficiency solutions that integrate seamlessly with existing plant architectures. Margin tailwinds are supported by a higher software mix, which typically lifts gross profit margin and stabilizes earnings through recurring models. Risk factors include elongated deal cycles for larger enterprise deployments and competitive pricing in platform bundles, but secular demand for software orchestration and analytics makes this segment the focal point for upside in adjusted EPS and EBIT conversion this quarter.
Lifecycle Services
Lifecycle Services plays a strategic role in reinforcing customer loyalty, delivering consulting, project services, and maintenance across the installed base. With last quarter revenue of USD 0.57 billion, the segment is positioned to benefit from increased modernization services and value-add offerings that accompany major platform upgrades. For this quarter, the emphasis is on project execution efficiency, resource allocation across large and mid-sized engagements, and incremental revenue from digital and remote service capabilities. The services mix tends to drive stability in revenue, while margin outcomes depend on utilization levels and contract mix. Potential headwinds could arise from deferred customer projects or extended approval cycles, although recurring service contracts and multi-year agreements offer ballast. Positive performance in Lifecycle Services should complement software-led growth by enhancing customer stickiness and creating incremental cross-sell opportunities.
Stock Price Drivers
Stock performance this quarter will likely be shaped by the interaction of software mix expansion and shipment timing in Intelligent Devices, and how these dynamics translate into consolidated margins and adjusted EPS. If Software & Control growth comes through as anticipated, gross profit margin and EBIT should benefit, aligning with the forecasted 53.16% year-over-year increase in EBIT and 55.28% rise in adjusted EPS to USD 2.46. Revenue visibility from services and backlog conversion in hardware will be important for validating the 10.48% revenue growth forecast to USD 2.08 billion. Management commentary on end-market demand in discrete manufacturing, clarity on backlog levels, and incremental updates on software subscriptions will be closely watched as indicators of sustainability for both top-line and margin trends.
Analyst Opinions
Recent institutional views skew positive, with a majority of bullish opinions versus neutral or bearish commentary in the six-month period. Notably, analysts from Morgan Stanley, Jefferies, Bank of America Securities, and Barclays have reiterated Buy ratings, highlighting the company’s strategic investments and improving competitive positioning; Wells Fargo maintains a Hold stance following a prior downgrade. The bullish cohort points to the durability of software-led growth, resilient demand across key end-markets, and margin benefits from a rising subscription and control mix. The constructive take emphasizes that, despite potential short-cycle variability, Rockwell Automation’s earnings power this quarter can be supported by the forecasted USD 0.38 billion EBIT and adjusted EPS of USD 2.46, with year-over-year expansion driven by mix, pricing, and operational execution. The majority view expects revenue of USD 2.08 billion, underpinned by Software & Control momentum and steady services, while closely monitoring Intelligent Devices order trends and backlog health as confirmatory signals for sustained margin performance and cash generation.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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