Ill. Tool Works 4Q adj. profit meets Street's view
GLENVIEW, Ill. (AP) — Industrial equipment maker Illinois Tool Works' fourth-quarter net income more than doubled, driven by a large gain from the sale of its decorative services unit. Its adjusted results met analysts' estimates.
The Glenview, Ill., company earned $979 million, or $2.11 per share, for the three months ended Dec. 31. That's up sharply from $442 million, or 91 cents per share, a year earlier.
Excluding the gain tied to the unit sale and other items, earnings from continuing operations were 89 cents per share.
That met the expectations of analysts surveyed by FactSet.
Operating revenue fell 2 percent to $4.22 billion, hurt by unfavorable foreign currency translation and the sale of the decorative services division.
The results still beat Wall Street's forecast of $4.16 billion.
Full-year net income rose 39 percent to $2.87 billion, or $6.06 per share, from $2.07 billion, or $4.19 per share, in the prior year.
Annual revenue climbed 1 percent to $17.92 billion from $17.79 billion.
For 2013 Illinois Tool Works Inc. anticipates earnings from continuing operations of $4.13 to $4.37 per share. Revenue is expected to climb 3 to 5 percent from 2012's $17.92 billion. That implies $18.46 billion to $18.81 billion.
Analysts predict full-year earnings of $4.37 per share on revenue of $17.54 billion.
The company foresees first-quarter earnings from continuing operations of 91 to 99 cents per share, with revenue flat to down 2 percent. Based on the prior-year period's revenue of $4.55 billion, this implies $4.46 billion to $4.55 billion.
Wall Street expects earnings of $1.02 per share on revenue of $4.37 billion.