Rockwell Automation (ROK – Analyst Report) is the world’s largest company dedicated to industrial automation. Its products, services and solutions address a broad range of challenges in every major industrial sector, from automotive and tire to mining and oil and gas, from pharmaceuticals to food and beverage. Its brands include Allen-Bradley, Reliance Electric and Rockwell Software.

Rockwell’s growth and performance strategy seeks to achieve growth rates in excess of the automation market by expanding its served market, diversifying sales streams by broadening portfolio of products, solutions and services, expanding its global presence, growing market share and making acquisitions. However, unfavorable currency, persistent decline in oil prices and weakness in the mining industry remain headwinds.

Investors have thus been eagerly awaiting the company’s fiscal 2015 fourth quarter earnings report. Let’s have a quick look at the earnings release of this Milwaukee, WI-based provider industrial automation power, control, and information solutions.

Estimate Trend & Surprise History: The earnings estimate revisions for Rockwell Automation moved south prior to the earnings release. The Zacks Consensus Estimate for the fourth quarter of fiscal 2015 has gone down 1% over the past 30 days and currently stands at $1.78. Likewise, the Zacks Consensus Estimate for fiscal 2015 has declined 0.2% to $6.60.

As regards earnings surprise, Rockwell Automation has an enviable track record, outpacing the Zacks Consensus Estimate in all the past four quarters, with an average beat of 6.87%.

Earnings: Rockwell Automation missed on fourth quarter earnings by a margin of 12%. Our consensus called for fourth quarter fiscal 2015 EPS of $1.78, while the company reported EPS of $1.57. For fiscal 2015, Rockwell Automation reported adjusted earnings of $6.40 per share, short of the Zacks Consensus Estimate of $6.60. Earnings also failed to match the company guidance of EPS in the range to $6.55 to $6.70.

Revenue: Rockwell Automation also missed on the revenue front. It reported fourth quarter fiscal 2015 revenues of $1,608 million, failing to match the Zacks Consensus Estimate of $1,687 million. Organic sales growth was offset by a large currency headwind.

For fiscal 2015, the company reported revenues of $6.371 billion, short of the Zacks Consensus Estimate of $6.387 billion as well as the company’s revenue guidance of $6.4 billion.

Key Developments to Note: Rockwell Automation initiated fiscal 2016 adjusted EPS guidance of $5.90 to $6.40 on the back of revenues of $6.0 billion. Organic sales is expected to be flat to down 4% year over year.

Zacks Rank: Currently, Rockwell Automation has a Zacks Rank #4 (Sell). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change.

Market Reaction: Rockwell Automation’s shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.