ITT (ITT) Q2 2026 Earnings Call Transcript
ITT Inc. reported Q2 2026 revenue of $1.5B, up 51.5% reported and 12.7% organic, driven by SPX FLOW acquisition and aerospace and defense momentum. Adjusted EPS was $2.08 (+18.2%). Orders were $1.64B with a 1.1 book-to-bill. Free cash flow was $162M. Full-year 2026 guidance raised to 5% to 8% organic revenue growth and adjusted EPS $8.12 to $8.32.
How this was made
The 30-second read
Why it matters
Traders can update models based on the raised full-year organic revenue and adjusted EPS ranges, leverage progress toward target, and margin expansion drivers, while monitoring stated risks around Middle East order timing and inflation/cost recovery.
Market read
A guidance raise with leverage reduction and margin expansion is the core catalyst, tempered by Middle East order delays and inflation-related margin pressure.
What to watch
Tariff refund benefit is small ($500k net) and guidance assumes no additional net benefits; inflation and cost recovery gaps could pressure margins if conditions worsen.
Background
ITT’s Q2 2026 call centers on integration progress from the SPX FLOW acquisition and segment-level momentum in aerospace and defense, energy transition, and automotive friction aftermarket.
Ticker impact
ITT reported Q2 2026 results and raised full-year guidance, including adjusted EPS $8.12 to $8.32 and organic revenue growth 5% to 8%.
Moderately positive bias for the next few sessions, with potential volatility around any follow-up commentary on Middle East order timing.
The article discloses multiple decision-relevant datapoints: raised organic revenue and EPS ranges, 2.5x leverage after $124m debt paydown, and segment margin expansion, partially offset by Middle East delays and inflation pressures.
Market effects
Reinforces demand strength in aerospace and defense interconnects and pumps, but highlights execution risk from regional order deferrals.
Middle East order delays are flagged as a near-term regional growth headwind, potentially affecting defense/aerospace supply-chain sentiment.
Energy transition and oil and gas pump shipments appear to be a key driver, supporting broader industrial capex expectations.
Counterpoint
Despite raised guidance, the Flow Technologies organic orders decline and Middle East delays suggest the revenue ramp may be less durable than the headline growth implies.
Key entities
- companyITT Inc.
Reported Q2 2026 results, raised 2026 guidance, and discussed SPX FLOW integration, segment margins, leverage, and order timing risks.
- executiveLuca Savi
CEO who highlighted defense tailwinds for kSARIA and noted Middle East order delays.
- executiveMike Savinelli
Interim CFO who discussed margin expansion offset by material inflation and integration-related synergy expectations.
