Earnings Releases·Oct 27, 2026, 9:20 AM ET

Illinois Tool Works — Third Quarter 2026 Earnings Summary

Q3 revenue rose 4.4% year-over-year to $4.24 billion (3.8% organic), while GAAP operating income hit a record $1.18 billion (+5.9%) and EPS grew 6.8% to $3.00.
Full-year 2026 guidance was raised: GAAP EPS midpoint increased by $0.05 to $11.50, revenue growth guidance moved to 4.5%-5.5%, and operating margin is projected at 26.5%-27.5%.
Capital returns included a 7% dividend increase to $6.88 annually (63rd consecutive year) and $187 million in share repurchases.
Segment performance was mixed, with Test & Measurement (+17.3%) and Polymers & Fluids (+8.1%) driving growth, while Automotive OEM, Construction, and Specialty Products reported declines.
A July tornado reduced Q3 revenue by an estimated $40 million in the Welding segment, though business interruption insurance largely offset the operating income impact.