ITT Inc. announced that the second phase of its $25 million expansion at the Industrial Process (IP) manufacturing facility in Dammam, Saudi Arabia, is complete, effectively doubling the plant’s production capacity for Middle East customers. The new phase adds approximately 30,000 sq m of floor space, increases power and testing capacity, and positions the site to secure more than $300 million in annual orders by 2030, up from the $160 million of orders secured in 2024.
The expansion is a cornerstone of ITT’s “in‑region, for‑region” strategy, which seeks to reduce shipping costs, improve on‑time delivery, and better serve the fast‑growing Middle East market. The Dammam plant is part of ITT’s IP segment, which generated roughly $1.4 billion in revenue in 2024 and is a global leader in flow technology for chemical, energy, mining, marine, and industrial markets.
In the broader context, ITT’s Q3 2025 results showed a 13% revenue increase to $999 million and an adjusted EPS of $1.78, a 21% rise over Q3 2024. Operating margin expanded to 18.5% from 18.3% in the prior year, driven by higher volume, productivity gains, and pricing power in the IP segment. Management highlighted the expansion as a key growth lever, noting that the new capacity will support the company’s ambition to capture a larger share of the Middle East market and enhance margins through localized production.
CEO Luca Savi emphasized that the Dammam expansion builds on a strong foundation in the Kingdom and is a strategic investment in ITT’s future growth, people, and plant. He also underscored the company’s commitment to “local, excellent engineering and manufacturing in the region for the region,” a philosophy that has helped ITT secure significant orders and maintain a 96% on‑time delivery rate since 2019.
Analysts have responded positively to ITT’s expansion strategy, with recent upgrades to earnings estimates reflecting confidence in the company’s ability to translate increased capacity into higher order volumes and margin improvement. The expansion, coupled with recent acquisitions such as Svanehøj and kSARIA, positions ITT to capitalize on high‑growth markets while maintaining a robust competitive edge in the Middle East.
The expansion’s impact extends beyond capacity. By localizing production, ITT reduces lead times, lowers logistics costs, and strengthens relationships with key regional customers. The company’s focus on advanced manufacturing and the Fourth Industrial Revolution aligns with Saudi Arabia’s industrial policy, further reinforcing the strategic fit and long‑term growth potential of the Dammam site.
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