ITW 3Q revenues up 16 percent

PRNewswire

GLENVIEW — Illinois Tool Works Inc. reported third quarter revenues increased 16.2 percent from increases in its N. American and China operations.

The company said total revenues were $4.581 billion, up 16.2 percent from the same period last year. North American organic revenues increasing 7.8 percent and international organic revenues growing 4.2 percent, the company said in a statement. In Europe and China, organic revenues increased 3.8 percent and 16.2 percent, respectively.

Acquisitions net of divestitures added 5.3 percent to revenues. Currency translation contributed 4.7 percent to total revenues. Contributions from currency translation moderated as the quarter progressed.

“Our financial performance in the third quarter was helped by solid growth in both our total revenues and our organic revenues,” said David B. Speer, chairman and chief executive officer. “Overall, end market demand in the quarter was essentially in line with second quarter levels and our forecast expectations. We also generated strong free operating cash flow in the quarter, allowing us to continue to have a well balanced capital allocation approach around dividends, acquisitions and share repurchase.”

The company noted the largest gains were in its Power Systems and Electronics segment, which increased 21.2 percent, and its Transportation segment, which was up 25.8 percent. Segment organic revenues grew 9.5 percent mainly due to ongoing strength in the automotive OEM car builds and the Company’s related product penetration.