Moody’s Upgrades ITT Inc. Ratings

Rhea-AI Summary

Moody’s Investors Service has upgraded ITT's ratings, raising its senior unsecured debt rating to Baa2 from Baa3 and its short-term commercial paper rating to Prime-2 from Prime-3. This upgrade reflects Moody’s expectations of sustained profitability improvements and strong free cash flows while maintaining low debt levels. Additionally, the resilience of ITT's earnings and cash flow during the coronavirus pandemic contributed to this positive assessment. ITT, a manufacturer of critical components and technology solutions for various industries, reported $2.85 billion in revenues for 2019.

Positive

• Upgrade of senior unsecured debt rating to Baa2 from Baa3 by Moody's.
• Short-term commercial paper rating upgraded to Prime-2.
• Expectations of sustained improvements in profitability and free cash flow.
• Low funded debt levels and strong liquidity profile.

Negative

• None.

WHITE PLAINS, N.Y.--(BUSINESS WIRE)--Moody’s Investors Service (“Moody’s”) upgraded its rating for ITT Inc. (NYSE: ITT) and its subsidiaries, including the company’s senior unsecured debt rating to Baa2 from Baa3, and its short-term commercial paper rating to Prime-2 (P-2) from Prime-3 (P-3).

In their press release, Moody’s noted the ratings upgrades reflect Moody’s expectation that ITT will sustain improvements in profitability and free cash flows while maintaining relatively low funded debt levels, a strong liquidity profile and well-balanced financial policies.

Moody’s stated further the ratings upgrades also reflect their expectation that ITT’s earnings and cash flow resiliency amid the coronavirus pandemic will sustain.

A link to the Moody’s press release can be found here.

About ITT

ITT is a diversified leading manufacturer of highly engineered critical components and customized technology solutions for the transportation, industrial, and oil and gas markets. Building on its heritage of innovation, ITT partners with its customers to deliver enduring solutions to the key industries that underpin our modern way of life. ITT is headquartered in White Plains, N.Y., with employees in more than 35 countries and sales in approximately 125 countries. The Company generated 2019 revenues of $2.85 billion. For more information, visit www.itt.com.