Ingersoll Rand’s Industrial segment – including its power tools business – has seen solid progress above internal expectations.
According to the latest set of financials from the business, covering Q4 2016, revenues rose 1%, with organic revenues rising 2%.
As a whole, the Industrial Products segment of Ingersoll Rand’s business saw organic revenues and bookings down, but the firm added it had seen positive growth in the short cycle Power Tools and Fluid Management businesses.
“Fourth-quarter business segment operating performance was strong and the core business remains very healthy,” said Michael W. Lamach, Chairman and CEO.
“Organic bookings were up more than 7 percent and organic revenues were up 2 percent with excellent full-year free cash flow of 121 percent of adjusted net income…Our Industrial segment continued to make solid, steady progress, with fourth-quarter performance above our initial expectations. We fell short of our guidance range due to a number of negative items in the fourth quarter that, together, drove our results below our guidance. These items included higher-than-expected corporate costs, and a higher-than-forecast tax rate in the quarter.”
Full-Year 2016 Results
Lamach added: “The business operating system that underpins our execution drives innovation, productivity, energy efficiency and sustainability while supporting world-class employee engagement, all of which builds a continuing culture of winning the right way.”