Taking another recession-related wallop, Rockwell Automation announced a 31% revenue decline in its fiscal third quarter, with the biggest surprise coming from a blow to its solutions business.
In the period ended June 30, Rockwell reported revenue of $1.01 billion, nearly a third less than the $1.47 billion it reported in the third quarter of fiscal 2008. Currency translation contributed 5 percentage points to the decline, which was slightly offset by 1 percentage point of growth from acquisitions, the company said.
Net income plummeted to $32.8 million or $0.23 per share, from $152.6 million or $1.03 per share in the prior-year period.
Both of Rockwell’s businesses — Architecture & Software and Control Products & Solutions — saw double-digit decreases in revenue, 36% and 28% respectively. Last quarter, Chairman and CEO Keith Nosbusch said he expected sales to continue to trend downward due to project delays and some cancellations. At the time, Rockwell’s rays of hope were growth in its process business and a strong solutions business, which together benefited from a 4% increase last quarter.