CLEVELAND, Aug. 3 /PRNewswire-FirstCall/ -- Parker Hannifin Corporation (NYSE: PH) today reported an increase of 14 percent in total orders for the month of July compared to the same month a year ago. The company derives orders from a wide variety of global end markets which the company serves directly and through a network of thousands of distributor locations.
In addition, Parker reported the following orders by operating segment in July.
- Orders in the Industrial North America segment increased 14 percent over the same month a year ago.
- Orders in the Industrial International segment increased 12 percent over the same month a year ago.
- Orders in the Aerospace segment increased 17 percent on a rolling 12 month average basis.
- Orders in the Climate and Industrial Controls segment increased 19 percent over the same month a year ago.
"As we begin our new fiscal year, we are providing an overall indicator of our business by adding a Total Parker order rate to our monthly reporting," said Chief Financial Officer Tim Pistell. "In addition to this macro view of Parker, we will continue to provide business segment information as we have for many several years. At the same time, we will continue to evaluate various disclosure options that may help both analysts and shareholders better understand the diverse motion and control markets we serve."
The Total Parker orders number is derived from a weighted average of the year-over-year monthly percent change in orders for the Industrial North America, Industrial International, and Climate and Industrial Controls segments, and the year-over-year 12-month rolling average of orders in the Aerospace segment.
To ensure the clarity of this change in order reporting, the following one-time chart is included this month. The chart displays fiscal 2006's previously disclosed orders by operating segment and adds 12 months of history for Total Parker orders. Industrial Parker - North Industrial - Total America* International* Aerospace* Climate* FY06 July 8% 10% 6% 8% 7% FY06 Aug 7% 7% 5% 6% 20% FY06 Sep 6% 8% 4% 8% 4% FY06 Oct 9% 7% 5% 12% 31% FY06 Nov 8% 8% 5% 11% 11% FY06 Dec 14% 13% 14% 13% 20% FY06 Jan 8% 11% (1)% 18% 8% FY06 Feb 13% 9% 11% 21% 20% FY06 Mar 7% 3% 2% 23% 14% FY06 Apr 17% 13% 23% 18% 19% FY06 May 13% 11% 16% 12% 17% FY06 June 11% 7% 8% 15% 30% FY07 July 14% 14% 12% 17% 19% *Previously disclosed numbers
Orders provide near-term perspective on the company's outlook, particularly when viewed in the context of prior and future monthly order rates. However, orders are not in themselves an indication of future performance. All comparisons are at constant currency exchange rates, with the prior year restated to the current-year rates. All exclude acquisitions until they can be reflected in both the numerator and denominator. Aerospace comparisons are rolling 12-month average computations.
Comparative data on current and historical orders is available on the company's investor information web site, http://www.phstock.com. To access the information, first click on "Newsroom" and then click on the "Monthly Orders" link. Parker's investor web site also offers registration for investors to receive automatic e-mail notification of all upcoming news, events and information from the company.
With annual sales exceeding $9 billion, Parker Hannifin is the world's leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of commercial, mobile, industrial and aerospace markets. The company employs more than 57,000 people in 46 countries around the world. Parker has increased its annual dividends paid to shareholders for 50 consecutive years, among the top five longest-running dividend-increase records in the S&P 500 index. For more information, visit the company's web site at http://www.parker.com, or its investor information site at http://www.phstock.com.
Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. All statements regarding future performance, earnings projections, events or developments are forward-looking statements. It is possible that the future performance and earnings projections of the company and individual segments may differ materially from current expectations, depending on economic conditions within both its industrial and aerospace markets, and the company's ability to achieve anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins, and growth and innovation initiatives. A change in economic conditions in individual markets may have a particularly volatile effect on segment results. Among the other factors which may affect future performance are: changes in business relationships with and purchases by or from major customers or suppliers, including delays or cancellations in shipments; uncertainties surrounding timing, successful completion or integration of acquisitions; threats associated with and efforts to combat terrorism; competitive market conditions and resulting effects on sales and pricing; increases in raw- material costs that cannot be recovered in product pricing; the company's ability to manage costs related to employee retirement and health care benefits and insurance; and global economic factors, including manufacturing activity, air travel trends, currency exchange rates, difficulties entering new markets and general economic conditions such as inflation and interest rates. The company makes these statements as of the date of this disclosure, and undertakes no obligation to update them.
SOURCE Parker Hannifin Corporation
CONTACT: Media, Christopher M. Farage, Vice President, Corp. Communications, +1-216-896-2750, or firstname.lastname@example.org; or Financial Analysts, Pamela Huggins, Vice President - Treasurer, +1-216-896-2240, or email@example.com
Web site: http://www.phstock.com