Jun 30, 2020

ITT Q2 2020 Earnings Report

ITT's second-quarter results reflected diversification, resilience, and proactive actions to mitigate the impacts of the pandemic.

Key Takeaways

ITT Inc. reported a 29 percent decrease in revenue, driven by the negative global impact of COVID-19. EPS from continuing operations decreased to $0.53, and adjusted EPS decreased 39 percent to $0.57. The company increased its cost reduction target to $160 million.

ITT generated tremendous free cash flow and delivered 25 percent adjusted decremental margins.

Leaders acted decisively to increase cost reduction target to $160 million, which will further benefit strong decremental margins.

Industrial Process business continued to expand margins despite top line pressures.

The company is targeting full-year 2020 adjusted decremental margins in the range of 22 to 28 percent.

Total Revenue
$515M
Previous year: $720M
-28.5%
EPS
$0.57
Previous year: $0.93
-38.7%
Total Organic Growth
-28%
Industrial Process Organic Growth
-17%
Motion Technologies Organic Growth
-35%
Gross Profit
$164M
Previous year: $232M
-29.5%
Cash and Equivalents
$819M
Previous year: $532M
+54.0%
Total Assets
$4.15B
Previous year: $4.04B
+2.7%

ITT

ITT

ITT Revenue by Segment

Forward Guidance

The Company is now targeting full-year 2020 adjusted decremental margins in the range of 22 to 28 percent.

Revenue & Expenses

Visualization of income flow from segment revenue to net income