Shares of Ingersoll Rand Inc. (IR) plummeted 7.28% in after-hours trading on Thursday following the company's announcement of its third-quarter results and a reduction in its full-year profit guidance. The industrial machinery and equipment manufacturer reported earnings that were largely in line with expectations but surprised investors with a downward revision to its annual outlook.

For the third quarter, Ingersoll Rand posted a profit of $245.8 million, or $0.61 per share, compared to $221.6 million, or $0.54 per share, in the same period last year. Adjusted earnings per share came in at $0.86, meeting analyst estimates. Revenue rose 5% to $1.96 billion, slightly above the $1.95 billion analysts had projected. The company's industrial technologies and services segment, which accounts for the majority of its revenue, grew by 5% to $1.54 billion.

Despite the solid quarterly performance, Ingersoll Rand cut its full-year adjusted earnings per share forecast to a range of $3.25 to $3.31, down from the previous guidance of $3.34 to $3.46. This reduction in the profit outlook appears to be the primary driver behind the sharp stock decline. The company maintained its projection for annual revenue growth of 4% to 6%, indicating that the lowered earnings guidance may be due to cost pressures or other factors affecting profitability rather than top-line concerns.