Illinois Tool Works Q3 Profit Rises but Revenue Misses as Company Lifts Full-Year Sales Outlook

Illinois Tool Works reported higher third-quarter 2026 profit on Tuesday, beating the Wall Street earnings consensus by $0.03 per share, but revenue came in below analyst expectations, sending shares down 4.1% in premarket trading. The consensus EPS estimate heading into the report was approximately $2.97 to $2.99, with analysts projecting revenue of around $4.26 billion for the quarter.

Despite the top-line shortfall, ITW raised its full-year 2026 sales outlook, continuing a pattern of guidance increases seen throughout the year. The company had lifted its full-year GAAP EPS guidance twice previously, raising it by $0.10 after the first quarter and by another $0.15 after the second quarter, which had delivered GAAP EPS of $2.84 and revenue of $4.30 billion. The raised annual sales view signals management confidence in demand trends even as some short-cycle markets remain soft.

The mixed result, a profit beat alongside a revenue miss and guidance increase, produced a negative immediate market reaction, with ITW shares under pressure before the open as investors weighed the top-line disappointment against the improved forward outlook.