Q1 25 EPS
$2.38
BEAT +1.14%
Est. $2.35
Q1 25 Revenue
$3.84B
MISS 0.10%
Est. $3.84B
vs S&P Since Q1 25
-18.9%
TRAILING MARKET
ITW +10.1% vs S&P +29.0%
Market Reaction
Did ITW Beat Earnings? Q1 2025 Results
Illinois Tool Works delivered a modest but meaningful earnings beat in the first quarter of 2025, with GAAP diluted EPS of $2.38 edging past the $2.35 consensus estimate by 1.14%, even as revenue of $3.84 billion came in just 0.10% below expectations… Read more Illinois Tool Works delivered a modest but meaningful earnings beat in the first quarter of 2025, with GAAP diluted EPS of $2.38 edging past the $2.35 consensus estimate by 1.14%, even as revenue of $3.84 billion came in just 0.10% below expectations and declined 3.4% year-over-year. The top-line pressure was largely attributable to foreign currency translation, which alone accounted for 1.8 percentage points of the revenue decline, while organic revenue fell a comparatively contained 1.6%, and was essentially flat on an equal days' basis. Operating margin of 24.8% contracted 60 basis points on an adjusted basis, as 120 basis points of enterprise initiative contributions were absorbed by elevated restructuring costs tied to ITW's 80/20 Front-to-Back projects. Despite the headwinds, management held firm on full-year 2025 GAAP EPS guidance of $10.15 to $10.55, projecting that ongoing pricing actions will offset tariff-related cost pressures, with organic revenue growth of zero to two percent and operating margin targeted at 26.5% to 27.5%.
Key Takeaways
- • Enterprise Initiatives contributed 120 basis points to operating margin
- • Results ahead of plan expectations despite uncertain external environment
- • Organic revenue essentially flat on an equal days' basis
- • Foreign currency translation reduced revenue by 1.8%
- • Discrete tax benefit of $21 million from reversal of valuation allowances on net operating loss carryforwards
ITW YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
ITW Revenue by Segment
With YoY comparisons, source: SEC Filings
“ITW commenced 2025 with solid execution, achieving financial results ahead of plan expectations as we continued to outperform underlying end markets.”
— Christopher A. O'Herlihy, Q1 2025 Earnings Press Release
ITW Earnings Trends
ITW vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
ITW EPS Trend
Earnings per share: estimate vs actual
ITW Revenue Trend
Quarterly revenue: estimate vs actual
ITW Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | $2.66 | — | $4.02B | +0.15% |
| Q4 25 BEAT FY | $2.69 | $2.72 | +1.12% | $4.09B | +0.60% |
| FY Full Year | $10.46 | $10.49 | +0.31% | $16.04B | +0.15% |
| Q3 25 BEAT | $2.70 | $2.81 | +3.91% | $4.06B | -0.70% |
| Q2 25 BEAT | $2.56 | $2.58 | +0.89% | $4.05B | +0.71% |
| Q1 25 BEAT | $2.35 | $2.38 | +1.14% | $3.84B | -0.10% |