v3.26.1
Revenue Recognition
 6 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Substantially all of our revenue is from contracts with customers. We recognize revenue as promised products are transferred to, or services are performed for, customers in an amount that reflects the consideration to which we expect to be entitled in exchange for those products and services. Our offerings consist of industrial automation and information products, solutions, and services.
Our products include hardware, software, and configured-to-order products. Our solutions include custom-engineered systems and software. Our services include customer technical support and repair, asset management and optimization consulting, and training. Also included in our services is a portion of revenue related to spare parts that are managed within our services offering.
Our operations are comprised of the Intelligent Devices segment, the Software & Control segment, and the Lifecycle Services segment. Revenue from the Intelligent Devices segment is predominantly comprised of product sales, which are recognized at a point in time. Revenue from the Software & Control segment is comprised of product sales, which are recognized at a point in time, and software products, which may be recognized over time if certain criteria are met. Revenue from the Lifecycle Services segment is predominantly comprised of solutions and services, which are primarily recognized over time. See Note 15 for more information.
In most countries, we sell primarily through independent distributors in conjunction with our direct sales force. We sell large systems and service offerings principally through our direct sales force, though opportunities are sometimes identified through distributors.
Unfulfilled Performance Obligations
As of March 31, 2026, we expect to recognize approximately $1,362 million of revenue in future periods from unfulfilled performance obligations from existing contracts with customers. We expect to recognize revenue of approximately $803 million from our remaining performance obligations over the next 12 months with the remaining balance recognized thereafter.
We have applied the practical expedient to exclude the value of remaining performance obligations for (i) contracts with an original term of one year or less and (ii) contracts for which we recognize revenue in proportion to the amount we have the right to invoice for services performed. The amounts above also do not include the impact of contract renewal options that are unexercised as of March 31, 2026.
Disaggregation of Revenue
The following tables present our revenue disaggregation by geographic region for our three operating segments (in millions). We attribute sales to the geographic regions based on the country of destination.
 Three Months Ended March 31, 2026
North America Europe, Middle East, and AfricaAsia Pacific Latin AmericaTotal
Intelligent Devices $672 $175 $92 $69 $1,008 
Software & Control 464 109 71 40 684 
Lifecycle Services 276 146 94 31 547 
Total Company Sales$1,412 $430 $257 $140 $2,239 
 Three Months Ended March 31, 2025
North AmericaEurope, Middle East, and AfricaAsia Pacific Latin AmericaTotal
Intelligent Devices $600 $151 $86 $59 $896 
Software & Control 403 78 52 35 568 
Lifecycle Services 285 129 89 34 537 
Total Company Sales$1,288 $358 $227 $128 $2,001 
 Six Months Ended March 31, 2026
North AmericaEurope, Middle East, and AfricaAsia Pacific Latin AmericaTotal
Intelligent Devices $1,322 $316 $188 $135 $1,961 
Software & Control 894 200 137 82 1,313 
Lifecycle Services 535 286 187 62 1,070 
Total Company Sales$2,751 $802 $512 $279 $4,344 
 Six Months Ended March 31, 2025
North AmericaEurope, Middle East, and AfricaAsia Pacific Latin AmericaTotal
Intelligent Devices $1,119 $286 $172 $125 $1,702 
Software & Control 768 151 107 71 1,097 
Lifecycle Services 551 253 199 80 1,083 
Total Company Sales$2,438 $690 $478 $276 $3,882 
Contract Liabilities
Contract liabilities primarily relate to consideration received in advance of performance under the contract.
Below is a summary of our Contract liabilities balance, the portion not expected to be recognized within twelve months is included within Other liabilities in the Consolidated Balance Sheet (in millions):
March 31, 2026March 31, 2025
Balance as of beginning of year$695 $653 
Balance as of end of period720 714 
The most significant changes in our Contract liabilities balance during both the six months ended March 31, 2026 and 2025, were due to amounts billed during the period, partially offset by revenue recognized on amounts billed during the period and revenue recognized that was included in the Contract liabilities balance at the beginning of the period.
In the six months ended March 31, 2026, we recognized revenue of approximately $395 million that was included in the Contract liabilities balance at September 30, 2025. In the six months ended March 31, 2025, we recognized revenue of approximately $506 million that was included in the Contract liabilities balance at September 30, 2024. We did not have a material amount of revenue recognized in the six months ended March 31, 2026 and 2025, from performance obligations satisfied or partially satisfied in previous periods.