Revenue Growth and Strong Financial Performance
ITW reported a 3% increase in revenue for Q3 2025 excluding a 1% reduction due to strategic product line simplification. Organic growth was 1%, with a 2% contribution from favorable foreign currency translation. Operating income grew by 6% to $1.1 billion, and operating margin improved by 90 basis points to 27.4%.
Automotive OEM Segment Success
The automotive OEM segment reported a 7% increase in revenue and 5% organic growth. The segment saw a 240 basis point improvement in operating margin to 21.8%. China experienced a 10% revenue growth, driven by market share gains in the EV market.
Welding Segment Performance
The Welding segment achieved 3% organic growth with equipment sales up 6% and consumables down 2%. The segment's operating margin improved by 30 basis points to 32.6%.
Dividend Increase and Share Repurchases
ITW announced its 62nd consecutive dividend increase, raising it by 7%. The company has repurchased over $1.1 billion of its outstanding shares year-to-date.