April 22 Illinois Tool Works Inc posted better-than-expected results on Tuesday, and raised its full-year earnings forecast, citing strong sales of components to the auto industry.
The Glenview, Illinois-based diversified manufacturer, which makes everything from vehicle parts to food service equipment to arc welding tools, reported a profit from continuing operations of $473 million, or $1.01 a share, up from $354 million, or 88 cents a share, in the comparable period last year.
The results from continuing operations excluded income from its decorative surfaces business, which has been sold.
On that basis, analysts on average expected a profit of 98 cents a share, according to Thomson Reuters I/B/E/S.
Sales grew 4 percent to $3.6 billion, the company said, driven by a 13 percent increase in sales to the global auto industry. Sales growth was especially dramatic in China, now the world's No. 1 car market, where revenue jumped 28 percent.
ITW also raised its full-year outlook, saying it now expects to earn a profit in the range of $4.45 to $4.65 a share, up from a previous range of $4.30 to $4.50 a share.
In premarket trading, ITW shares were up 2.2 percent. (Reporting by James B. Kelleher in Detroit; Editing by Nick Zieminski)