Shares of Ingersoll-Rand Plc (NYSE: IR), a diversified, global company providing products, services and solutions to improve the comfort of air in homes and buildings, transport, and protect food and perishables, secure homes and commercial properties, are up sharply in trading today after the company reported an increase in its third-quarter profit. IRâ€™s earnings beat its guidance; however, revenue for the quarter missed guidance.
For the third quarter, IR reported a profit of $321.6 million, or $1.03 per share, compared to $86.2 million, or $0.25 per share reported for the same period in the previous year. Excluding one-time items, IRâ€™s earnings for the quarter were $1.07 per share, compared to $0.81 per share reported for the same period in the previous year.
Revenue for the quarter fell 8.1% to $3.59 billion. Back in July, IR projected third-quarter earnings from continuing operations of $0.95 per share to $1 per share and revenue of $3.6 billion to $3.7 billion.
The companyâ€™s climate-solutions revenue fell 15% in the quarter, while industrial-technologies revenue rose 0.7% in the quarter.
Michael W. Lamach, Chairman and CEO of Ingersoll-Rand, said that IR has delivered on its strategy to increase profitability and shareholder value with solid third-quarter earnings per share that exceeded the companyâ€™s forecast. Lamach further said that the company is continuing to generate significant operating leverage while it invests in future growth platforms. Lamach believes the combination of IRâ€™s strategy and a sound use of capital will drive strong earnings growth in the coming years, even if economies do not improve.
Looking ahead to the full year, IR now expects earnings from continuing operations to be between $3.17 per share and $3.23 per share. This compares to previous guidance range of $3.15 per share to $3.25 per share. Revenue for the full year is expected to be between $13.95 billion and $14.05 billion, compared to previous guidance range of $14 billion to $14.2 billion.
IR shares hit an intra-day high of $47.51 in trading today. At last check, the stock was trading 3.33% higher at $47.18 on volume of 1.09 million.