ITT Corp. Sees 2016 Results Mostly Below View; Hikes Dividend

(RTTNews) - While reporting its fourth-quarter financial results today, ITT Corp. (ITT), a manufacturer of highly engineered critical components, provided fiscal 2016 financial outlook mostly below analysts' estimates and raised its quarterly dividend by 5 percent.

For fiscal 2016, ITT Corp forecast total revenue to be flat to down 4 percent, and reported earnings per share in a range of $1.72 to $2.11. The company also forecast adjusted earnings per share in a range of $2.42 to $2.68 per share, which is flat at the midpoint and up 2 percent excluding the impact of foreign exchange compared to 2015.

The company noted that from a total revenue perspective, global friction share gains and positive impacts from the acquisitions of Wolverine Advanced Materials and Hartzell Aerospace are expected to more than offset significant declines in the global oil and gas and chemical and industrial pump markets, reflecting the benefits of a diversified portfolio. Total revenue also reflects the negative impacts of price and foreign exchange.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $2.67 per share for the year on 2.5 percent growth in revenues to $2.51 billion. Analysts' estimates typically exclude special items.

ITT Corp. also said it is increasing its dividend by 5 percent to 12.4 cents per share on the company's outstanding stock.

The company's board of directors has approved the cash dividend for the first quarter of 2016, which will be payable on April 1, 2016, to shareholders of record as of the close of business on March 11, 2016.