ITW’s revenues from food equipment sales crossed the $2 billion (£1.2 billion) mark last year, it was revealed in the company’s accounts today.
The news means that the food equipment division, which counts Hobart and Foster among its ranks, is now the third largest unit by turnover out of the seven that ITW operates.
Sales of catering equipment and refrigeration reached $2.047 billion (£1.233 billion) in 2013, representing overall growth of 5.5% and 2% organically. Operating income totalled $385m (£232m).
The performance during the last three months was particularly strong, as ITW grew food equipment sales 10% year-on-year and 4% organically to $547m (£330m).
The company said the increase was heavily driven by solid equipment and service growth in the North American markets. Operating margins improved 250 basis points to 19.5%.
As well as Hobart and Foster, ITW owns brands such as Avery Berkel, Bonnet, MBM, Traulsen, Vulcan and Wolf.
Overall ITW revenues reached $14.1 billion (£8.5 billion) for the year, with $3.5 billion (£2.1 billion) of that figure generated in the last quarter.
Organic revenues increased 2.8%, with international growing 3.3% and North America growing 2.6%. Internationally, Europe showed further stabilisation as organic revenues grew 1.8% and Asia Pacific grew 4.1%.
“We were pleased with the company’s performance in the quarter and for the year,” said Scott Santi, president and CEO of ITW. “In the quarter, we continued to deliver meaningful improvement in our earnings per share, operating margin, and return on invested capital metrics. In addition, we saw modest improvement in the demand environment in a number of our key end markets which drove a noticeable sequential improvement in the company’s organic growth rate in the quarter.”
ITW told investors it expects total revenue growth in a range of 3% to 6% for the first quarter of the year.