Source: Accesswire

Press Release: Colfax : Earnings Review and Free Research Report: Illinois Tool Works Delivered Record Financial Results; Raised Earnings Guidance for 2017

Research Desk Line-up: Colfax Post Earnings Coverage LONDON, UK / ACCESSWIRE / July 31, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Illinois Tool Works Inc. (NYSE: ITW) ("ITW"), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=ITW, following the Company's announcement of its financial results on July 24, 2017, for Q2 FY17. The Company reported GAAP EPS increase of 16% y-o-y, and a revenue increase of 4.9% y-o-y with an operating margin of 24.3%, an increase of 120 bps y-o-y which is an all-time record for the Company. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:http://protraderdaily.com/register/Get more of our free earnings reports coverage from other constituents of the Diversified Machinery industry. Pro-TD has currently selected Colfax Corporation (NYSE: CFX) for due-diligence and potential coverage as the Company announced on July 28, 2017, its financial results for Q2 2017. Register for a free membership today, and be among the early birds that get access to our report on Colfax when we publish it.At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on ITW; also brushing on CFX. With the links below you can directly download the report of your stock of interest free of charge at:http://protraderdaily.com/optin/?symbol=ITWhttp://protraderdaily.com/optin/?symbol=CFXEarnings ReviewedITW generated operating revenues of $3.60 billion for Q2 FY17 compared to $3.43 billion for Q2 FY16, noting y-o-y increase of 4.9% y-o-y. The Company's revenue numbers met analysts' estimations of $3.60 billion. ITW noted that foreign currency translation reduced revenue by 1.2% in the reported quarter.The Company's operating income for Q2 FY17 was $874 million compared to $792 million for Q2 FY16, an increase of 10.35% y-o-y and was the highest quarterly income total in the Company's history.Net income for Q2 FY17 was $587 million compared to $525 million in Q2 FY16, an increase of 11.8% y-o-y. ITW's net income per share in Q2 FY17 was $1.69 diluted compared to $1.46 diluted, an increase of 15.7% y-o-y. Excluding a $0.03 per share benefit from a legal settlement ITW's EPS came in at $1.66, which was ahead of Wall Street's forecasts of $1.63. The Company also enhanced its total current assets in Q2 FY17 to $6.57 billion compared to $6.12 billion in Q2 FY16, an increase of 7.35% y-o-y.Segment Information In Q2 FY17, ITW's Automotive OEM division's revenue surged 22.2% to $820 million; operating income of $182 million' and operating margin of 22.3%, down 350 basis points (bps).In the Food Equipment segment, the Company recorded total revenues of $529 million, down 1.4% on a y-o-y basis; while its operating income came in at $139 million and operating margin was 26.4% in Q2 FY17, up 140 bps on a y-o-y basis.ITW's Test & Measurement and Electronics division reported total revenues of $519 million, representing growth of 2.55 on a y-o-y basis; operating income of $114 million; and operating margin of 21.9% in Q2 FY17, surging 330 bps compared to the year ago same period.In its Welding division, ITW generated total revenues of $385 million, up 2.9% on a y-o-y basis, while it recorded operating income of $105 million and operating margin of 27.2 % in Q2 FY17; adding 230 bps.In its Polymers & Fluids, ITW generated total revenues of $437 million, down 1.3%; operating income of $94 million; and operating margin of 21.4% in Q2 FY17, up 50 bps. ITW's Construction Products segment generated total revenues of $425 million, up 0.4%; operating income of $102 million; and operating margin of 24.0% in Q2 FY17, down 30 bps.The Company's Specialty Products segment generated total revenues of $490 million, adding 1.1%; operating income of $139 million; and operating margin of 28.3% in Q2 FY17, increasing 230 bps on a y-o-y basis.Cash MattersIn Q2 FY17, ITW reported net cash provided by operating activities of $464 million compared to $535 million in Q2 FY16, a decrease of 13.27% y-o-y. The Company also noted free cash flow of $387 million in Q2 FY17 compared to $471 million in Q2 FY16; a decrease of 17.83% y-o-y.ITW also reported free cash flow to net income conversion rate of 66% for Q2 FY17 compared to 90% in Q2 FY16. The Company, however, noted that excluding $115 million related to an additional discretionary pension contribution, the free cash flow to net income conversion rate for Q2 FY17 would have been 85%. Considering the pension contribution, the Company noted an adjusted free cash flow of $502 million in Q2 FY17.OutlookITW raised its 2017 full-year EPS guidance by $0.12 at the midpoint based on its strong Q2 FY17 results. Now, the Company expects earnings to be in the range of $6.32 to $6.52 per share, up from its prior guidance of $6.20 to $6.40 per share, with organic revenue growth of 2% to 4%. ITW expects operating margin of approximately 24% and free cash flow to exceed 100% of net income. The Company projects an effective tax rate of approximately 29%. For the third quarter of 2017, the Company expects earnings to be in the range of $1.57 to $1.67 per share with organic growth of 1% to 3%.Stock PerformanceIllinois Tool Works' share price finished last Friday's trading session at $140.83, marginally advancing 0.01%. A total volume of 1.31 million shares have exchanged hands, which was higher than the 3-month average volume of 1.20 million shares. The Company's stock price surged 1.98% in the last three months, 9.29% in the past six months, and 22.08% in the previous twelve months. Additionally, the stock gained 15.00% since the start of the year. Shares of the Company have a PE ratio of 22.80 and have a dividend yield of 1.85%. The stock currently has a market cap of $48.65 billion.Pro-Trader Daily:Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.PRESS RELEASE PROCEDURES:The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email [email protected] Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.NO WARRANTYPRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.NOT AN OFFERINGThis document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.CONTACTFor any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at: Email: [email protected] number: (917) 341.4653Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.SOURCE: Pro-Trader Daily

Read full article »

Top Competitors or Alternatives

Missing a competitor? Contribute!

Annual Revenue
Employees
Matthew L. Trerotola's photo - CEO of Colfax

CEO

Matthew L. Trerotola

CEO Approval Rating

71/100

Colfax, provides gas- and fluid-handling and fabrication technology products and services to commercial and governmental customers worldwide. Read more