Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Illinois Tool Works Inc. (NYSE:ITW)

Adjustments to Financial Statements

Advanced level

Adjustments to Current Assets

Illinois Tool Works Inc., adjusted current assets

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Current assets 6,253  5,778  7,278  6,123  6,720 
Adjustments
Add: Allowance for doubtful accounts 20  21  43  43  42 
Add: LIFO reserve1 89  97  89  86  81 
After Adjustment
Adjusted current assets 6,362  5,896  7,410  6,252  6,843 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 LIFO reserve. See details »


Adjustments to Total Assets

Illinois Tool Works Inc., adjusted total assets

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Total assets 15,068  14,870  16,780  15,201  15,729 
Adjustments
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)1 —  203  284  310  275 
Add: Allowance for doubtful accounts 20  21  43  43  42 
Add: LIFO reserve2 89  97  89  86  81 
Less: Deferred income tax assets3 516  554  505  449  346 
After Adjustment
Adjusted total assets 14,661  14,637  16,691  15,191  15,781 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 Operating lease right-of-use asset (before adoption of FASB Topic 842). See details »

2 LIFO reserve. See details »

3 Deferred income tax assets. See details »


Adjustments to Current Liabilities

Illinois Tool Works Inc., adjusted current liabilities

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Current liabilities 2,154  3,542  3,053  2,760  2,368 
Adjustments
Less: Current deferred revenue and customer deposits 188  215  205  180  169 
Less: Current accrued product warranties 45  45  45  45  46 
After Adjustment
Adjusted current liabilities 1,921  3,282  2,803  2,535  2,153 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).


Adjustments to Total Liabilities

Illinois Tool Works Inc., adjusted total liabilities

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Total liabilities 12,038  11,612  12,191  10,942  10,501 
Adjustments
Add: Operating lease liability (before adoption of FASB Topic 842)1 —  203  284  310  275 
Less: Deferred income tax liabilities2 668  707  164  134  256 
Less: Deferred revenue and customer deposits 188  215  205  180  169 
Less: Accrued product warranties 45  45  45  45  46 
After Adjustment
Adjusted total liabilities 11,137  10,848  12,061  10,893  10,305 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 Operating lease liability (before adoption of FASB Topic 842). See details »

2 Deferred income tax liabilities. See details »


Adjustments to Stockholders’ Equity

Illinois Tool Works Inc., adjusted stockholders’ equity attributable to ITW

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Stockholders’ equity attributable to ITW 3,026  3,254  4,585  4,254  5,224 
Adjustments
Less: Net deferred income tax assets (liabilities)1 (152) (153) 341  315  90 
Add: Allowance for doubtful accounts 20  21  43  43  42 
Add: LIFO reserve2 89  97  89  86  81 
Add: Deferred revenue and customer deposits 188  215  205  180  169 
Add: Accrued product warranties 45  45  45  45  46 
Add: Noncontrolling interest
After Adjustment
Adjusted total stockholders’ equity 3,524  3,789  4,630  4,298  5,476 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 Net deferred income tax assets (liabilities). See details »

2 LIFO reserve. See details »


Adjustments to Capitalization Table

Illinois Tool Works Inc., adjusted capitalization table

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Short-term debt 1,351  850  652  526 
Long-term debt 7,754  6,029  7,478  7,177  6,896 
Total reported debt 7,758  7,380  8,328  7,829  7,422 
Stockholders’ equity attributable to ITW 3,026  3,254  4,585  4,254  5,224 
Total reported capital 10,784  10,634  12,913  12,083  12,646 
Adjustments to Debt
Add: Operating lease liability (before adoption of FASB Topic 842)1 —  203  284  310  275 
Add: Current portion of operating lease liability2 51  —  —  —  — 
Add: Long-term portion of operating lease liability3 128  —  —  —  — 
Adjusted total debt 7,937  7,583  8,612  8,139  7,697 
Adjustments to Equity
Less: Net deferred income tax assets (liabilities)4 (152) (153) 341  315  90 
Add: Allowance for doubtful accounts 20  21  43  43  42 
Add: LIFO reserve5 89  97  89  86  81 
Add: Deferred revenue and customer deposits 188  215  205  180  169 
Add: Accrued product warranties 45  45  45  45  46 
Add: Noncontrolling interest
Adjusted total stockholders’ equity 3,524  3,789  4,630  4,298  5,476 
After Adjustment
Adjusted total capital 11,461  11,372  13,242  12,437  13,173 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 Operating lease liability (before adoption of FASB Topic 842). See details »

2 Current portion of operating lease liability. See details »

3 Long-term portion of operating lease liability. See details »

4 Net deferred income tax assets (liabilities). See details »

5 LIFO reserve. See details »


Adjustments to Revenues

Illinois Tool Works Inc., adjusted operating revenue

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended: Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Operating revenue 14,109  14,768  14,314  13,599  13,405 
Adjustment
Add: Increase (decrease) in deferred revenue and customer deposits (27) 10  25  11  (25)
After Adjustment
Adjusted operating revenue 14,082  14,778  14,339  13,610  13,380 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).


Adjustments to Reported Income

Illinois Tool Works Inc., adjusted net income

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended: Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
As Reported
Net income 2,521  2,563  1,687  2,035  1,899 
Adjustments
Add: Deferred income tax expense (benefit)1 32  34  64  (263) (11)
Add: Increase (decrease) in allowance for doubtful accounts (1) (22) —  (1)
Add: Increase (decrease) in LIFO reserve2 (8) (7)
Add: Increase (decrease) in deferred revenue and customer deposits (27) 10  25  11  (25)
Add: Increase (decrease) in accrued product warranties —  —  —  (1) (3)
Add: Other comprehensive income (loss) (28) (345) 520  (303) (846)
After Adjustment
Adjusted net income 2,489  2,248  2,299  1,485  1,006 

Based on: 10-K (filing date: 2020-02-14), 10-K (filing date: 2019-02-15), 10-K (filing date: 2018-02-15), 10-K (filing date: 2017-02-10), 10-K (filing date: 2016-02-12).

1 Deferred income tax expense (benefit). See details »

2 Increase (decrease) in LIFO reserve. See details »