Parker Hannifin Corp. on Thursday reported record sales in its third quarter and raised its outlook heading into the final months of its fiscal year.
The supplier of motion and control technologies said that Q3 sales reached $5.49 billion — an increase of 10.6% over the same period last year and a new record for the company. Organic sales were up 6.5%, while currency impacts and recent acquisitions contributed 2.6% and 1.5%, respectively. The total included $3.67 billion from its diversified industrial division and $1.81 billion from aerospace systems.
Parker reported segment operating income of $1.28 billion and segment operating margin of 23.4%, which was up 20 basis points year over year. Net income came in at $904 million, a decline of 6% that officials attributed to a tax benefit in the previous third quarter; on an adjusted basis, net income was up 16%.
Parker Chairman and CEO Jenny Parmentier noted that the company also set records for “adjusted segment operating income and margin, adjusted earnings per share and year-to-date operating cash flow.”
“With strong orders and record backlog, we are raising our outlook and now expect mid-teens adjusted EPS growth for the year,” Parmentier said in a statement.
The company now expects 7% sales growth for the full year and adjusted segment operating margin of 27.2%.
