Exhibit 99.1

PARKER HANNIFIN REPORTS RECORD FIRST QUARTER IN SALES, EARNINGS AND CASH FLOW FROM OPERATIONS

Cleveland, Ohio: October 18, 2005 – Parker Hannifin Corporation (NYSE: PH) today reported new first quarter records in sales, earnings and cash flow from operations. For the first quarter of fiscal-year 2006, sales were $2.11 billion, up 13 percent, as compared to sales of $1.88 billion from the same period last year. Cash flow from operations reached a first quarter record $217.0 million, or 10.3 percent of sales, surpassing $157.1 million in the same period last year, or 8.4 percent of sales.

Fully diluted earnings per share in the first quarter of fiscal 2006 were $1.43, which includes an expense of 10 cents per diluted share related to the adoption of FAS 123R, which requires the expensing of equity-based compensation. First quarter earnings also include income from discontinued operations of 24 cents per diluted share, or $28.9 million, primarily attributable to the gain on the divestiture of the Astron custom-engineered buildings business in addition to the profits of such business. Income from continuing operations in the first quarter of fiscal 2006 was $1.19 per diluted share, up 13 percent over same period in the prior year. Income from continuing operations was $1.29 per diluted share, an increase of 23 percent, without the impact from the adoption of FAS 123R in the current quarter, which was not in effect during the same period in the prior year.

The company continues to expect a total FAS 123R expense for equity-based compensation in fiscal 2006 of approximately 15 to 20 cents per diluted share, which includes the 10 cents per diluted share expense already incurred in the current quarter.

One year ago, fully diluted earnings per share in the first quarter of fiscal 2005 were $1.11, which includes income from discontinued operations of 6 cents per diluted share, or $6.7 million, consisting of profit from the Astron business, and the Specialty Chemicals business that was divested in December 2004. Income from continuing operations in the first quarter of fiscal 2005 was $1.05 per diluted share.

1

“We are very pleased with the record performance in the first quarter. Our record cash flow from operations as a percentage of sales this quarter should keep us within the top tier of our peer group, which is one of the key goals we have set for ourselves. This is a great start to what we expect will be another record year at Parker,” said Chairman and CEO Don Washkewicz. “We feel very good about how the company is executing and taking advantage of the growth opportunities in our global markets. Our Win Strategy continues to provide clarity across each of our divisions and business groups on what’s important—including premiere customer service, top quartile return on invested capital, and profitable growth. “

First Quarter Segment Results

In the North American Industrial segment, first-quarter operating income improved 15 percent to $137.1 million, on sales of $929.2 million.

The International Industrial segment first-quarter operating income increased 21 percent to $80.4 million, on sales of $620.8 million.

In the company’s Climate & Industrial Controls segment, first-quarter operating income increased 18 percent to $18.6 million, on sales of $214.7 million.

The Aerospace segment reported a first-quarter increase in operating income of 7 percent to $54.8 million, on sales of $348.8 million.

The “Other” segment, comprised solely of the divested Astron business, has now been eliminated as a segment.

The expense of 10 cents per diluted share in the current quarter related to the adoption of FAS 123R is included in “Other Expense” for segment reporting purposes, and is not included in the operating segment results.

Other highlights from the quarter include the following strategic acquisitions that have added products and systems solutions to Parker’s global portfolio of motion and control businesses:

2

Outlook

The company has increased its previous earnings guidance provided on July 28, 2005, when it announced fiscal 2005 year-end results. Including the impact of FAS 123R, the company’s updated guidance now projects earnings from continuing operations for fiscal-year 2006 to range from $4.85 to $5.30 per diluted share.

“Most of our markets are doing well, and we continue to see strong results ahead,” added Washkewicz. “We are especially pleased with the continued strength of our unrivaled network of distributors. Our global distribution organization is performing very well, providing Parker with the ability to swiftly serve customers in many cities and towns across the world. As we look ahead to another record year of growth and earnings, we are especially pleased that our strong balance sheet allows us to invest with discipline and purpose. There are many opportunities ahead to gain share and maintain a competitive distinction in innovative products and systems solutions that our customers value.”

In addition to this information, Parker advises shareholders to note order trends, for which the company makes a disclosure several business days after the conclusion of each month. This information is available on the company’s investor information web site, at www.phstock.com.

NOTICE OF CONFERENCE CALL: Parker Hannifin’s conference call and slide presentation to discuss its fiscal first-quarter results is available to all interested parties via live webcast today at 10:00 a.m. ET, on the company’s investor information web site, www.phstock.com. To access the call, click on the “Live Webcast” link. From this link, users also may complete a pre-call system test and register for e-mail notification of future events and information available from Parker.

With annual sales exceeding $8 billion, Parker Hannifin is the world’s leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide

3

variety of commercial, mobile, industrial and aerospace markets. The company employs more than 50,000 people in 46 countries around the world. Parker has increased its annual dividends paid to shareholders for 49 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 www.parker.com, or its investor information site at www.phstock.com.

Forward-Looking Statements:

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.

#        #        #

4

PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2005

CONSOLIDATED STATEMENT OF INCOME

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.

BUSINESS SEGMENT INFORMATION BY INDUSTRY

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.

CONSOLIDATED BALANCE SHEET

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.

CONSOLIDATED STATEMENT OF CASH FLOWS

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.