5 Revealing Analyst Questions From ITT's Q1 Earnings Call

ITT’s first quarter saw a positive market response, as the company delivered flat sales of $913 million—exceeding Wall Street revenue expectations by a small margin. Management attributed stable performance to strong order momentum, especially in the Industrial Process segment and recent acquisitions. CEO Luca Savi highlighted that orders grew 7% overall, with notable contributions from the kSARIA and Svanehøj acquisitions, driving a record backlog. Despite headwinds from lower volumes in auto and aerospace and currency effects, Savi credited “shop floor productivity and price” for supporting margins and noted record free cash flow in the quarter.

Is now the time to buy ITT? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions ITT’s Q1 Earnings Call

• Scott Davis (Melius Research) asked if the surge in orders reflected pre-buying ahead of price increases. CEO Luca Savi replied that order growth was driven by long-term project wins and market share gains, not purchasing acceleration.
• Mike Halloran (Baird) questioned how much pricing and FX contributed to updated guidance. CFO Emmanuel Caprais detailed that minor positive impacts from FX and share count were offset by higher tax rates and inflation, with acquisitions performing better than initially expected.
• Vlad Bystricky (Citigroup) inquired about risk to Saudi project spending amid oil price declines. Savi said customer tone remains positive, with orders in oil and gas continuing to grow and market share gains offsetting external risks.
• Jeff Hammond (KeyBanc Capital Markets) pressed on the company’s ability to pass through tariff costs and the sourcing strategy. Savi explained that dual sourcing and price increases, especially on non-USMCA products, would mitigate tariff impacts without affecting EPS guidance.
• Joe Ritchie (Goldman Sachs) asked about VIDAR’s sales strategy and cross-selling potential. Savi clarified VIDAR operates as a separate business with its own sales force, though some sales incentives could leverage existing pump business relationships.

Catalysts in Upcoming Quarters

Looking ahead, the StockStory team will be monitoring (1) the pace at which VIDAR gains commercial traction and contributes to revenue, (2) the successful conversion of record project backlog into realized sales, and (3) the effectiveness of pricing and sourcing actions in offsetting tariff pressures. Progress on M&A execution and further innovation announcements will also be important milestones.

ITT currently trades at $154.78, up from $137.09 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free).

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