0000049826-26-000008
SEC filingIllinois Tool Works Inc. (ITW) filed its 10-K for the fiscal year ended December 31, 2025, reporting solid financial performance. The company generated Operating Revenue of $16.04B and Net Income of $3.07B, resulting in a Diluted Earnings Per Share of $10. Operating Income stood at $4.22B, reflecting an Operating Margin of approximately 26.3%. The company demonstrated strong cash generation capabilities, with Net Cash Provided by Operating Activities totaling $3.13B. After capital expenditures of $419.0M, Free Cash Flow remained robust at approximately $2.71B. ITW returned significant capital to shareholders, paying $1.78B in cash dividends and repurchasing $1.50B of common stock. The balance sheet shows Total Assets of $16.15B against Total Liabilities and Stockholders' Equity of $16.15B, with Total Stockholders' Equity at $3.23B. The company maintained a disciplined cost structure, with Cost of Revenue at $8.97B and SG&A expenses at $2.78B. Interest expense was reported at $292.0M, with Income Taxes totaling $900.0M.
Illinois Tool Works Inc. reported strong financial results for the fiscal year ended December 31, 2025. Operating Revenue totaled $16.04B, while Cost of Revenue was $8.97B, resulting in a Gross Profit of $7.07B. The company achieved Operating Income of $4.22B after accounting for Selling, Administrative, and R&D expenses of $2.78B and Amortization of $80.0M. Net Income for the period was $3.07B, translating to a Basic EPS of $11 and a Diluted EPS of $10. The effective tax rate was approximately 22.7%, with Income Tax expense of $900.0M on Pre-tax Income of $3.97B. These figures reflect a profitable and operationally efficient fiscal year.
The company reported total Operating Revenue of $16.04B for FY 2025. The document provided does not contain a detailed breakdown of revenue by specific business segments or geographic regions. Consequently, an analysis of specific growth drivers or segment-level performance cannot be derived from the available XBRL data or document text. The revenue performance is presented on a consolidated basis, reflecting the aggregate results of the company's diversified industrial operations.
ITW demonstrated solid profitability metrics for the year. The Gross Margin was approximately 44.1%, calculated from the $7.07B Gross Profit on $16.04B Revenue. The Operating Margin was strong at 26.3%, derived from Operating Income of $4.22B. Interest Expense of $292.0M impacted the bottom line, though Other Income of $42.0M provided a partial offset. The Net Profit Margin stood at approximately 19.1%, indicating effective cost management and strong pricing power within their industrial markets.
The company displayed robust cash generation with Net Cash from Operating Activities of $3.13B. Capital expenditures (Additions to Plant and Equipment) were $419.0M, resulting in a Free Cash Flow of approximately $2.71B. The Balance Sheet reflects Total Assets of $16.15B and Total Stockholders' Equity of $3.23B. Total Debt (Short-term and Long-term) amounted to $8.97B. Cash and Equivalents ended the year at $708.0M, down from the prior year, largely due to significant capital returns to shareholders totaling $3.28B in dividends and buybacks.
The provided XBRL financial data and document text do not contain specific forward-looking statements, management guidance, or strategic priorities for the upcoming fiscal year. Therefore, an assessment of future outlook or strategic initiatives cannot be included in this analysis. Investors should refer to the complete 10-K filing for MD&A discussions on future expectations and risk factors.