Compared to Estimates, Illinois Tool Works (ITW) Q3 Earnings: A Look at Key Metrics
Illinois Tool Works (ITW) reported $4.03 billion in revenue for the quarter ended September 2023, representing a year-over-year increase of 0.5%. EPS of $2.55 for the same period compares to $2.35 a year ago.
The reported revenue represents a surprise of -1.18% over the Zacks Consensus Estimate of $4.08 billion. With the consensus EPS estimate being $2.44, the EPS surprise was +4.51%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Illinois Tool Works performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Operating Revenue - Organic growth - Total ITW: 0.2% compared to the 1.9% average estimate based on three analysts.
Operating Revenue - Test & Measurement and Electronics - Organic growth: -3.9% versus the three-analyst average estimate of 2.5%.
Operating Revenue - Automotive OEM - Organic growth: 3.8% versus the three-analyst average estimate of 4%.
Operating Revenue - Specialty Products - Organic growth: -5.6% compared to the -2.1% average estimate based on three analysts.
Operating Revenues- Test & Measurement and Electronics: $698 million compared to the $731.22 million average estimate based on four analysts. The reported number represents a change of -2.4% year over year.
Operating Revenues- Construction Products: $522 million compared to the $517.20 million average estimate based on four analysts. The reported number represents a change of -1% year over year.
Operating Revenues- Food Equipment: $678 million compared to the $672.09 million average estimate based on four analysts. The reported number represents a change of +7.1% year over year.
Operating Revenues- Specialty Products: $414 million compared to the $434.45 million average estimate based on four analysts. The reported number represents a change of -5.5% year over year.
Operating Revenues- Intersegment revenues: -$6 million compared to the -$5.17 million average estimate based on four analysts. The reported number represents a change of +20% year over year.
Operating Revenues- Automotive OEM: $799 million versus $784.82 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +6.1% change.
Operating Revenues- Welding: $468 million versus the four-analyst average estimate of $489.17 million. The reported number represents a year-over-year change of -1.9%.
Operating Revenues- Polymers & Fluids: $458 million versus $463.66 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -3.2% change.
View all Key Company Metrics for Illinois Tool Works here>>>
Shares of Illinois Tool Works have returned -5.1% over the past month versus the Zacks S&P 500 composite's -2.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report
