Illinois Tool Works Full Year 2024 Earnings: EPS Beats Expectations

Illinois Tool Works (NYSE:ITW) Full Year 2024 Results

Key Financial Results

• Revenue: US$15.9b (down 1.3% from FY 2023).
• Net income: US$3.49b (up 18% from FY 2023).
• Profit margin: 22% (up from 18% in FY 2023). The increase in margin was driven by lower expenses.
• EPS: US$11.75 (up from US$9.77 in FY 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Illinois Tool Works EPS Beats Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.6%.

The primary driver behind last 12 months revenue was the Automotive OEM segment contributing a total revenue of US$3.19b (20% of total revenue). Notably, cost of sales worth US$8.86b amounted to 56% of total revenue thereby underscoring the impact on earnings. The largest operating expense was General & Administrative costs, amounting to US$2.65b (75% of total expenses). Explore how ITW's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 3.6% growth forecast for the Machinery industry in the US.

Performance of the American Machinery industry.

The company's share price is broadly unchanged from a week ago.

Risk Analysis

Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Illinois Tool Works that you should be aware of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.