ITT Q4 Earnings Up, Beats View; Lifts Dividend 7.5% - Quick Facts

(RTTNews) - Engineering and manufacturing company ITT Corp. (ITT) posted significantly higher fourth-quarter 2014 GAAP net income attributable to the company of $33.7 million, or $0.36 per share, compared with last year's $11.2 million, or $0.12 per share.

Adjusted earnings, excluding special items, rose 20 percent to $0.59 per share, reflecting strong operational performance, a lower effective tax rate and negative impacts from foreign exchange. On average, ten analysts surveyed by Thomson Reuters expected the company to earn $0.57 per share for the quarter. Analysts' estimates typically exclude special items.

In the fourth quarter, the firm generated revenue of $660 million, reflecting 2 percent overall growth and 6 percent organic growth. Quarterly results include growth in global oil and gas project pumps and North American chemical and mining pumps, partially offset by expected weakness in aftermarket automotive brake pads and declines in defense and non-strategic connectors. Nine analysts estimated revenue of $648.05 million for the latest period.

In addition, the company announced 2015 guidance with total revenue down 1 to 3 percent and organic revenue up 1 to 3 percent. For 2015, GAAP EPS is expected to be in the range of $1.80 to $2.01, while adjusted EPS in the range of $2.55 to $2.65 per share, up 5 percent at the mid-point and up 13 percent at the mid-point before the foreign exchange impact.

Further, ITT intends to continue to return capital to shareowners via. additional share buybacks of up to $100 million and increasing its dividend by 7.5 percent to 11.83 cents per share.