Illinois Tool Works Raises 2023 Outlook But Warns of Uncertainty

By Will Feuer

Illinois Tool Works Inc. raised its full-year sales guidance, saying that currency translations and divestitures would reduce revenue by less than initially expected.

The Glenview, Ill.-based industrial products and equipment manufacturer said it now expects 2023 revenue growth of 2% to 4%, up from previous guidance of 1.5% to 3.5%.

The combined effect of foreign-currency translations and divestitures are expected to lower revenue by 1% this year. In February, Illinois Tool Works said those factors would lower revenue by 0.75% each, or 1.5% on a combined basis.

Illinois Tool Works also raised its 2023 earnings outlook by a nickel on the top and bottom bounds to a range of $9.45 to $9.85 a share. The company said the new guidance includes an expectation for a lower tax rate this year.

"While the near-term economic outlook continues to be uncertain, I am confident that ITW remains well positioned to deliver best-in-class performance in any environment," Chief Executive E. Scott Santi said.

Write to Will Feuer at [e-mail]

(END) Dow Jones Newswires

May 02, 2023 08:42 ET (12:42 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.