Overview

• U.S. industrial equipment maker's Q1 revenue rose 33% yr/yr to $1.2 bln

• Adjusted EPS for Q1 rose 25% and beat analyst expectations

• Reported EPS fell 33% due to acquisition-related costs

Outlook

• ITT sees 2026 organic revenue growth of 4% to 6%, total revenue up 36% to 38%

• ITT expects 2026 adjusted EPS of $7.70 to $8.00, up 7% to 11% year over year

• Company forecasts 2026 free cash flow of $540 mln to $580 mln, margin of 10% to 11%

Result Drivers

• SPX FLOW ACQUISITION - Acquisition contributed 17 points of revenue growth and had an immediate accretive effect on adjusted results

• ORGANIC GROWTH - Broad-based organic revenue growth driven by market share gains in connectors, aerospace and defense, and transportation

• PRODUCTIVITY AND PRICING - Higher volumes, productivity benefits, and pricing actions supported adjusted operating income and margin

Company press release: ID:nBw9jRHLma

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Revenue		$1.20 bln
Q1 Adjusted EPS	Beat	$1.98	$1.75 (11 Analysts)
Q1 EPS		$0.89

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

• Wall Street's median 12-month price target for ITT Inc is $233.00, about 9.5% above its May 5 closing price of $212.69

• The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 25 three months ago

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