| Metric | Value ($ M) | Q2 FY25 | Q3 FY24 |
|---|---|---|---|
| Revenue | 4.1K | 0.1% | 2.3% |
| Total Income | 4.1K | 0.1% | 2.3% |
| Expenditure | 2.9K | 1.3% | 1.1% |
| PBT | — | ||
| Net Profit | 821.00 | 8.7% | 29.2% |
| OPM | 27.40% | 1.05pp | 0.87pp |
| NPM | 20.23% | 1.60pp | 9.02pp |
| EPS | 2.82 | 9.3% | 28.1% |
ITW Reports Q3 2025 Results: Revenue $4.1 Billion, Up 2%
04 May 2026 · 4 May, 8:48 am
Summary
Illinois Tool Works Inc. reported a 2% increase in revenue to $4.1 billion for the third quarter of 2025, with organic revenue growing by 1%. The company's GAAP EPS increased by 6% to $2.81, excluding a divestiture gain from the previous year. ITW achieved a record operating margin of 27.4%, driven by enterprise initiatives. The company is narrowing its full year 2025 GAAP EPS guidance range to $10.40 to $10.50 per share.
Key Highlights
- 1
Illinois Tool Works reported third quarter revenue of $4.1 billion, an increase of 2% with organic growth of 1%.
- 2
The company achieved a record operating margin of 27.4% in Q3 2025, an expansion of 90 bps.
- 3
GAAP EPS reached $2.81, an increase of 6% excluding prior year divestiture gain.
- 4
Operating cash flow was $1 billion, and free cash flow increased 15% to $0.9 billion.
- 5
ITW is narrowing its full year GAAP EPS guidance range to $10.40 to $10.50 per share.
- 6
The company repurchased $375 million of its own shares and raised its dividend seven percent, bringing the annualized payout to $6.44 per share.
Management Comments
Christopher A. O’Herlihy
"The ITW team concluded the third quarter with solid operational and financial execution, delivering EPS of $2.81, which grew six percent year-over-year excluding the divestiture gain, alongside record operating margin of 27.4 percent, and a 15 percent increase in free cash flow. This outcome underscores the fundamental strength of the ITW Business Model, the inherent resilience of our diversified portfolio, and the high-quality execution demonstrated by our colleagues worldwide." "We are very pleased with the significant strategic progress made throughout the year, especially how our focus on excellence in Customer-Back Innovation is enabling consistent above-market organic growth. As we head into the final quarter, we are narrowing our full year EPS guidance range, and remain committed to delivering high-quality, differentiated performance in any economic environment."
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