ITW Reports 7 Percent Growth in Operating Revenues for Three Months Ended April 30, 2006; Base Revenues Increase 5 Percent for Three Month Period
GLENVIEW, Ill., May 15, 2006 -- Illinois Tool Works Inc. today reported an operating revenue increase of 7 percent for the three months ended April 30, 2006. Operating revenues for the three month period consisted of 5 percent growth from base revenues and a 5 percent increase from acquisitions. Currency translation and intercompany sales lowered revenues 3 percent in the period. The Company's base revenue growth continued to benefit from strong demand from North America end markets.
On a manufacturing segment basis, the Company's three month moving average percentage change for operating revenues, comprised of base revenues and acquisitions, is provided below.
(% change for 3 months ended April 30, 2006 versus prior year period) *Engineered Products/North America: + 11% *Engineered Products/International: + 7% *Specialty Systems/North America: + 9% *Specialty Systems/International: + 13%
After one month of actual results, the Company continues to forecast a second quarter earnings range of $1.52 to $1.58. For full-year 2006, the Company also continues to forecast a range of earnings of $5.89 to $6.07. For the second quarter, base revenues are expected to grow in a range of 4.2 percent to 6.2 percent. For the full-year, base revenues are forecasted to grow in a range of 4.6 percent to 6.0 percent.
The statements regarding the Company's 2006 earnings and revenue growth estimates are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company's first quarter and full-year forecasts. These statements are subject to certain risks, uncertainties and other factors, which could cause actual results to differ materially from those anticipated. Important factors that could cause actual results to differ materially from the Company's expectations are set forth in ITW's Form 10-Q for the first quarter of 2006.
ITW is a $12.8 billion in revenues diversified manufacturer of highly engineered components and industrial systems and consumables. The company consists of approximately 700 business units in 48 countries and employs some 50,000 people.