S&P 500 (NYSE:SPY) component ITT Corporation (NYSE:ITT) reported its results for the third quarter. ITT Corporation is a global multi-industry company that designs and manufactures engineered products and related services.
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ITT Corporation Earnings Cheat Sheet
Results: Net income for the diversified operations fell to $73 million (78 cents per share) vs. $108.5 million ($1.17 per share) a year earlier. This is a decline of 32.7% from the year-earlier quarter.
Revenue: Rose 7.8% to $555.9 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: ITT Corporation reported adjusted net income of 44 cents per share. By that measure, the company beat the mean estimate of 39 cents per share. Analysts were expecting revenue of $554.3 million.
Quoting Management: “A year ago this week, ITT executed two successful spin-offs and emerged as a focused and truly global diversified industrial company. Today, we can clearly see the benefits of our transformation. We have gained advantages from our portfolio that is balanced and diversified across key end markets, business cycles and geographies, and we have leveraged our sharper focus to propel the swift and consistent execution of our strategies to drive profitable growth and value creation,” said CEO and President Denise Ramos. “Our focus has accelerated our ability to expand our emerging and aftermarket presence, strengthen our relationships with customers and deploy capital in a value-creating way – exemplified by our recent agreement to acquire Bornemann Pumps – that best supports the priorities and goals of our businesses. I am extremely proud of the performance and accomplishments of the ITT team, especially given the uncertain economic conditions we have faced throughout the year.”
The company has now surpassed analyst estimates for four quarters in a row. It beat the mark by 13 cents in the second quarter, by 7 cents in the first quarter, and by one cent in the fourth quarter of the last fiscal year.
Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the fourth quarter has moved down from 42 cents a share to 41 cents over the last sixty days. For the fiscal year, the average estimate has moved up from $1.68 a share to $1.70 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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