ITT Inc.

ITT reported Q2 revenue of $1.5 billion, up 51% year over year and 13% organically. Adjusted EPS was $2.08, up 18% year over year, and adjusted operating margin expanded 40 basis points. Orders increased 53% overall and 13% organically, with book-to-bill of 1.1. Free cash flow year-to-date was $176 million, though that included $71 million of one-time acquisition-related expenses; excluding those, free cash flow was up 15% year over year, and Q2 free cash flow margin was 11%. Looking ahead, ITT raised 2026 organic revenue guidance to 5% to 8%, adjusted operating margin to approximately 20.5% at the midpoint, adjusted EPS to $8.22 at the midpoint, and free cash flow midpoint to $565 million, with free cash flow margin expected between 10% and 11%. Management also expects leverage to improve to about 2.3x by year-end.

Luca Savi struck an upbeat tone, saying ITT accelerated Q1 momentum and delivered strong performance across the portfolio through execution and acquisition benefits. He emphasized that legacy businesses are “firing on all cylinders” and that acquisitions are compounding value by adding higher-growth, higher-margin exposure. He repeatedly pointed to market share gains, backlog growth, and operational discipline as reasons for confidence in the rest of 2026 and beyond.

Mike Savinelli highlighted record Q2 revenue of $1.5 billion, 55% operating income growth, and 40 basis points of margin expansion, while noting that SPX FLOW contributed a full quarter in the period. He said CCT margin reached 21.7% and Motion Technologies margin was 21.1%, while Flow Technologies margin was diluted by SPX FLOW but should expand sequentially as synergies and productivity actions ramp. He also said year-to-date free cash flow was $176 million, impacted by $71 million of one-time acquisition-related expenses, and that leverage was reduced ahead of plan to 2.5x after $124 million of debt paydown.

Analysts focused on how far along SPX FLOW is in lean/80-20 improvement, pricing versus cost, and where the strongest revenue synergy opportunities sit. Management said SPX FLOW still has work to do to make lean a deeper part of the factory “DNA,” but the plants are generally well run and the team has strong talent; they also said price/cost is positive at the company level, with more pressure in Motion Technologies. On synergies, management pointed to cross-selling between legacy ITT and SPX FLOW offerings, especially Bornemann pumps with Waukesha channels and potential in hygienic and biopharma end markets.