DISCONTINUED OPERATIONS

9 Months Ended

Jun. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

On May 31, 2023, the Company completed the sale of a majority stake in its Climate Technologies business to private equity funds managed by Blackstone in a $14.0 billion transaction. As a part of this transaction, Emerson received a note receivable with a face value of $2.25 billion and retained a 40 percent non-controlling common equity interest in a new standalone joint venture between Emerson and Blackstone named Copeland. Subsequently, on June 6, 2024, the Company entered into a definitive agreement to sell its 40 percent non-controlling common equity interest in Copeland to private equity funds managed by Blackstone for $1.5 billion. The transaction closed on August 13, 2024 and the Company recognized a gain of $539 ($435 after-tax) in discontinued operations in fiscal 2024. See Note 10 for further details.

Results from discontinued operations were as follows:


	Three Months Ended June 30,			Nine Months Ended June 30,
	2024		2025	2024	2025
Net sales	$	—	—	—	—
Cost of sales	—		—	—	—
SG&A	—		—	—	1
Gain on sale of business	—		—	—	—
Other deductions, net	20		(4)	115	(6)
Earnings before income taxes	(20)		4	(115)	5
Income taxes	(5)		(2)	(27)	(2)
Earnings, net of tax	$	(15)	6	(88)	7

Results for the three months ended and nine months ended June 30, 2024 included equity method losses of $16 ($9 after-tax) and $111 ($82 after-tax), respectively, related to the Company's non-controlling common equity interest in Copeland.

Net cash from operating and investing activities from discontinued operations for the nine months ended June 30, 2025 and 2024 were as follows:


	Nine Months Ended June 30,
	2024	2025
Cash from operating activities	4	(576)
Cash from investing activities	36	—

Cash from operating activities for the nine months ended June 30, 2025 primarily reflects income taxes paid related to the sale of the Company's 40 percent non-controlling common equity interest in Copeland.