Selected Financial Data
since 2005
Income Statement
Illinois Tool Works Inc., selected items from income statement, long-term trends
US$ in millions
| 12 months ended: | Operating revenue | Operating income | Net income |
|---|---|---|---|
| Dec 31, 2021 | 14,455) | 3,477) | 2,694) |
| Dec 31, 2020 | 12,574) | 2,882) | 2,109) |
| Dec 31, 2019 | 14,109) | 3,402) | 2,521) |
| Dec 31, 2018 | 14,768) | 3,584) | 2,563) |
| Dec 31, 2017 | 14,314) | 3,494) | 1,687) |
| Dec 31, 2016 | 13,599) | 3,064) | 2,035) |
| Dec 31, 2015 | 13,405) | 2,867) | 1,899) |
| Dec 31, 2014 | 14,484) | 2,888) | 2,946) |
| Dec 31, 2013 | 14,135) | 2,514) | 1,679) |
| Dec 31, 2012 | 17,924) | 2,847) | 2,870) |
| Dec 31, 2011 | 17,787) | 2,731) | 2,071) |
| Dec 31, 2010 | 15,870) | 2,357) | 1,527) |
| Dec 31, 2009 | 13,877) | 1,386) | 947) |
| Dec 31, 2008 | 15,869) | 2,338) | 1,519) |
| Dec 31, 2007 | 16,171) | 2,624) | 1,870) |
| Dec 31, 2006 | 14,055) | 2,421) | 1,718) |
| Dec 31, 2005 | 12,922) | 2,259) | 1,495) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
- Operating Revenue
- The operating revenue showed an overall increasing trend from 2005 to 2012, rising from 12,922 million US$ in 2005 to a peak of 17,924 million US$ in 2012. However, after this peak, revenue experienced a notable decline in 2013 and 2014, dropping to 14,135 million US$ and 14,484 million US$, respectively. The years following 2014 showed fluctuations with a general downward tendency, declining to a low of 12,574 million US$ in 2020 before recovering slightly to 14,455 million US$ in 2021. This pattern indicates challenges in maintaining sustained growth in revenue over the latter part of the period.
- Operating Income
- Operating income increased steadily from 2005 through 2007, beginning at 2,259 million US$ and reaching 2,624 million US$. In 2008 and 2009, there was a significant drop, with operating income falling sharply to 1,386 million US$ in 2009, reflecting possible operational difficulties or economic impacts during that timeframe. From 2010 onwards, there was a consistent recovery and growth in operating income, peaking at 3,584 million US$ in 2018. Despite a slight drop in 2019 and 2020, operating income rebounded to 3,477 million US$ in 2021. The overall trajectory suggests improved operational efficiency or profitability improvements after the 2009 downturn.
- Net Income
- Net income trends closely mirrored those of operating income, starting at 1,495 million US$ in 2005 and generally increasing up to 2,870 million US$ in 2012. There was a pronounced dip in 2009 to 947 million US$, consistent with the operating income downturn. Following 2012, net income fluctuated more markedly than operating income. Notably, there was a decline in 2013 to 1,679 million US$ followed by a peak in 2014 at 2,946 million US$. Subsequently, net income declined in 2015 and 2017 but surged again in 2018 and 2019 to levels above 2,500 million US$. A decline was observed in 2020, likely influenced by external factors impacting profitability, with a partial recovery in 2021. This variability suggests exposure to non-operational factors or extraordinary items affecting net profitability in certain years.
- Summary
- The financial data reflect a company experiencing growth in the early years of the period, peaking around 2012, followed by challenges marked by declining revenue and fluctuating profitability. Operating income and net income showed resilience with recovery and growth post-2009, although revenue did not sustain a similar upward path after 2012. Net income exhibited greater volatility than operating income, indicating that factors beyond core operations influenced overall profitability. The recent slight recoveries in 2021 suggest potential stabilization or adaptation to prior challenges. Continual monitoring of revenue trends and profitability drivers would be advisable.
Balance Sheet: Assets
Illinois Tool Works Inc., selected items from assets, long-term trends
US$ in millions
| Current assets | Total assets | |
|---|---|---|
| Dec 31, 2021 | 6,374) | 16,077) |
| Dec 31, 2020 | 6,523) | 15,612) |
| Dec 31, 2019 | 6,253) | 15,068) |
| Dec 31, 2018 | 5,778) | 14,870) |
| Dec 31, 2017 | 7,278) | 16,780) |
| Dec 31, 2016 | 6,123) | 15,201) |
| Dec 31, 2015 | 6,720) | 15,729) |
| Dec 31, 2014 | 8,076) | 17,678) |
| Dec 31, 2013 | 9,816) | 19,966) |
| Dec 31, 2012 | 7,960) | 19,309) |
| Dec 31, 2011 | 6,849) | 17,984) |
| Dec 31, 2010 | 5,968) | 16,250) |
| Dec 31, 2009 | 5,675) | 16,082) |
| Dec 31, 2008 | 5,924) | 15,213) |
| Dec 31, 2007 | 6,166) | 15,526) |
| Dec 31, 2006 | 5,206) | 13,880) |
| Dec 31, 2005 | 4,112) | 11,446) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
The analysis of the provided annual financial data reveals notable trends in asset management over the examined period.
- Current Assets
- The current assets demonstrated an overall upward trajectory from 2005 to 2013, increasing from 4,112 million US dollars to a peak of 9,816 million US dollars in 2013. This rise suggests enhanced liquidity and potentially more efficient working capital management during these years. However, from 2013 onwards, current assets exhibited a downward trend, declining sharply to 5,778 million US dollars in 2018. Subsequently, moderate fluctuations occurred, with current assets rising slightly to 6,523 million US dollars in 2020 before a minor decrease to 6,374 million US dollars in 2021. The initial growth followed by decline could indicate changes in operational cycles, inventory management, or receivables collection efficiency.
- Total Assets
- Total assets consistently increased from 11,446 million US dollars in 2005 to a high of 19,966 million US dollars by 2013, confirming solid asset growth possibly driven by investments or acquisitions. However, this was followed by a decline to 14,870 million US dollars in 2018. From 2018 to 2021, total assets stabilized and slightly recovered, reaching 16,077 million US dollars in 2021. The pattern mirrors that of current assets, indicating potential asset divestitures, depreciation, or realignment of asset composition in the latter years.
In summary, both current and total assets showed strong growth until around 2013, followed by a contraction phase until 2018, and a subsequent period of stabilization. These trends suggest significant shifts in asset management strategy and operational focus occurring during the middle to later years of the period analyzed.
Balance Sheet: Liabilities and Stockholders’ Equity
Illinois Tool Works Inc., selected items from liabilities and stockholders’ equity, long-term trends
US$ in millions
| Current liabilities | Total liabilities | Total debt | Stockholders’ equity attributable to ITW | |
|---|---|---|---|---|
| Dec 31, 2021 | 3,470) | 12,451) | 7,687) | 3,625) |
| Dec 31, 2020 | 2,589) | 12,430) | 8,122) | 3,181) |
| Dec 31, 2019 | 2,154) | 12,038) | 7,758) | 3,026) |
| Dec 31, 2018 | 3,542) | 11,612) | 7,380) | 3,254) |
| Dec 31, 2017 | 3,053) | 12,191) | 8,328) | 4,585) |
| Dec 31, 2016 | 2,760) | 10,942) | 7,829) | 4,254) |
| Dec 31, 2015 | 2,368) | 10,501) | 7,422) | 5,224) |
| Dec 31, 2014 | 3,533) | 10,854) | 7,457) | 6,819) |
| Dec 31, 2013 | 6,034) | 10,257) | 6,344) | 9,703) |
| Dec 31, 2012 | 2,651) | 8,739) | 5,048) | 10,561) |
| Dec 31, 2011 | 2,977) | 7,949) | 3,990) | 10,018) |
| Dec 31, 2010 | 3,094) | 6,869) | 2,830) | 9,370) |
| Dec 31, 2009 | 2,836) | 7,264) | 3,129) | 8,808) |
| Dec 31, 2008 | 4,876) | 7,550) | 3,677) | 7,663) |
| Dec 31, 2007 | 2,960) | 6,175) | 2,299) | 9,351) |
| Dec 31, 2006 | 2,637) | 4,863) | 1,418) | 9,018) |
| Dec 31, 2005 | 2,001) | 3,899) | 1,211) | 7,547) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
The data reveals several notable trends and shifts across key financial metrics over the analyzed period.
- Current Liabilities
- Current liabilities show considerable volatility throughout the years. Starting at 2,001 million USD in 2005, they fluctuate with peaks observed in 2008 (4,876 million USD) and again in 2013 (6,034 million USD). Post-2013, the figures decrease substantially by 2015 (2,368 million USD), followed by moderate increases through 2021, ending at 3,470 million USD. This volatility could be indicative of changing short-term obligations or working capital management strategies.
- Total Liabilities
- Total liabilities steadily increase from 3,899 million USD in 2005 to a peak of 12,451 million USD by 2021. The growth is consistent despite minor fluctuations, reflecting an overall increasing obligation trend. The rapid growth between 2007 and 2013 points to an expanding leverage or possibly increased financing activities during that period.
- Total Debt
- Total debt also shows a marked increase, beginning at 1,211 million USD in 2005 and rising to a peak of 8,328 million USD in 2017. The period between 2007 and 2013 features significant escalation, suggesting increased reliance on borrowed funds. After 2017, total debt modestly declines to 7,687 million USD by 2021, indicating some deleveraging or repayment of liabilities.
- Stockholders’ Equity Attributable to the Company
- Equity attributable to stockholders displays a contrasting trajectory compared to liabilities and debt. Starting at 7,547 million USD in 2005, equity rises to a peak around 2012 at approximately 10,561 million USD. After 2012, there is a pronounced decline reaching a low of 3,026 million USD in 2019. Following this low point, equity shows a modest recovery through 2021, reaching 3,625 million USD. This declining trend in equity after 2012 suggests earnings challenges, dividend distributions exceeding net income, share repurchase activities, or asset write-downs impacting retained earnings.
Overall, the financial data points to increasing leverage over the period with total liabilities and debt expanding substantially, while stockholders’ equity weakened after 2012. The company appears to have undergone a phase of higher financial obligations which may have impacted its equity base adversely. Current liabilities' fluctuating pattern indicates dynamic short-term financial activities, possibly responding to operational needs or external economic factors.
Cash Flow Statement
Illinois Tool Works Inc., selected items from cash flow statement, long-term trends
US$ in millions
| 12 months ended: | Net cash provided by operating activities | Net cash (used for) provided by investing activities | Net cash used for financing activities |
|---|---|---|---|
| Dec 31, 2021 | 2,557) | (984) | (2,564) |
| Dec 31, 2020 | 2,807) | (214) | (2,049) |
| Dec 31, 2019 | 2,995) | (183) | (2,326) |
| Dec 31, 2018 | 2,811) | (325) | (3,964) |
| Dec 31, 2017 | 2,402) | (251) | (1,674) |
| Dec 31, 2016 | 2,302) | (532) | (2,255) |
| Dec 31, 2015 | 2,299) | (210) | (2,526) |
| Dec 31, 2014 | 1,616) | 2,842) | (3,551) |
| Dec 31, 2013 | 2,528) | (456) | (1,140) |
| Dec 31, 2012 | 2,072) | 1,047) | (1,571) |
| Dec 31, 2011 | 1,956) | (1,579) | (321) |
| Dec 31, 2010 | 1,561) | (607) | (1,048) |
| Dec 31, 2009 | 2,147) | (504) | (1,250) |
| Dec 31, 2008 | 2,223) | (1,756) | (462) |
| Dec 31, 2007 | 2,484) | (924) | (1,390) |
| Dec 31, 2006 | 2,066) | (1,274) | (575) |
| Dec 31, 2005 | 1,847) | (784) | (1,266) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
The analysis of the cash flow data reveals distinct trends across operating, investing, and financing activities over the 17-year period.
- Operating Activities
- Net cash provided by operating activities exhibits generally positive and stable inflows throughout the period. The values fluctuate between a low of approximately 1,561 million in 2010 and a high of around 2,995 million in 2019. Despite some volatility, there is no clear long-term upward or downward trend; instead, cash generation remains robust and relatively consistent, indicating sustained operational efficiency and cash-generating capacity.
- Investing Activities
- Net cash used for investing activities shows greater variability, frequently alternating between negative and positive values. Early years are characterized by substantial cash outflows, peaking in 2008 with -1,756 million. However, notable positive inflows occur sporadically, with 2012 and 2014 showing significant positive figures (1,047 and 2,842 million respectively), which may indicate asset sales or divestitures in those years. Post-2014, investing cash flows revert to moderate outflows, generally ranging from -183 to -984 million. This pattern suggests dynamic investment and disinvestment activities rather than steady capital expenditure trends.
- Financing Activities
- Net cash used for financing activities consistently represents cash outflows throughout the entire timeline, ranging widely from -321 million in 2011 to a peak outflow of -3,964 million in 2018. The outflows show considerable fluctuation year-to-year, with periods of relatively smaller outflows (e.g., 2006 and 2012) interspersed with more substantial cash usage for financing purposes, particularly noticeable in the years 2013, 2014, 2016, and 2018. This variability may reflect changing strategies in debt repayment, dividend payments, share repurchases, or other financing-related transactions over time.
Overall, the operating cash flows consistently support the company’s activities, while investing and financing cash flows display higher volatility. The presence of large investing inflows in certain years indicates opportunistic asset management, and the fluctuating financing outflows suggest an active approach to capital structure management. The data reflects a company with steady cash generation from core operations, complemented by strategic adjustments in investing and financing activities aligned with changing financial requirements and market conditions.
Per Share Data
Illinois Tool Works Inc., selected data per share, long-term trends
US$
| 12 months ended: | Basic earnings per share 1 | Diluted earnings per share 2 | Dividend per share 3 |
|---|---|---|---|
| Dec 31, 2021 | 8.55 | 8.51 | 4.72 |
| Dec 31, 2020 | 6.66 | 6.63 | 4.42 |
| Dec 31, 2019 | 7.78 | 7.74 | 4.14 |
| Dec 31, 2018 | 7.65 | 7.60 | 3.56 |
| Dec 31, 2017 | 4.90 | 4.86 | 2.86 |
| Dec 31, 2016 | 5.73 | 5.70 | 2.40 |
| Dec 31, 2015 | 5.16 | 5.13 | 2.07 |
| Dec 31, 2014 | 7.33 | 7.28 | 1.81 |
| Dec 31, 2013 | 3.76 | 3.74 | 1.60 |
| Dec 31, 2012 | 6.11 | 6.06 | 1.48 |
| Dec 31, 2011 | 4.21 | 4.19 | 1.40 |
| Dec 31, 2010 | 3.05 | 3.03 | 1.30 |
| Dec 31, 2009 | 1.89 | 1.89 | 1.24 |
| Dec 31, 2008 | 2.93 | 2.91 | 1.18 |
| Dec 31, 2007 | 3.39 | 3.36 | 0.98 |
| Dec 31, 2006 | 3.04 | 3.01 | 0.75 |
| Dec 31, 2005 | 2.62 | 2.60 | 0.61 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1, 2, 3 Data adjusted for splits and stock dividends.
- Earnings per Share (EPS) Trends
- The basic earnings per share (EPS) demonstrated a generally positive trajectory over the analyzed period, with fluctuations reflecting variations in company profitability. Starting at $2.62 in 2005, EPS increased moderately each year, reaching a peak of $6.11 by 2012. A notable dip occurred in 2013 to $3.76, followed by a strong rebound to $7.33 in 2014. After some volatility between 2015 and 2017, EPS rose significantly again, achieving the highest value of $8.55 in 2021. The diluted EPS mirrored the basic EPS trend closely, suggesting consistent earnings quality without significant dilution effects.
- Dividend per Share
- The dividend per share exhibited steady growth throughout the entire period, indicating a stable and progressively shareholder-friendly dividend policy. Increasing from $0.61 in 2005 to $4.72 in 2021, dividends rose yearly without any recorded decrease, reflecting the company’s ongoing commitment to returning value to shareholders despite earnings volatility. The consistent upward trend in dividends suggests strong cash flow management and confidence in future earnings.
- Overall Financial Insights
- The combined trends display a company with increasing earnings capacity and a reliable dividend distribution pattern. Earnings volatility, particularly the downturns seen in 2009 and 2013, may reflect wider economic or operational challenges, yet recovery periods were robust and subsequent growth strong. The alignment of basic and diluted EPS suggests minimal dilution impact on shareholder value. The continuous dividend increases alongside variable earnings indicate a balanced approach to growth and shareholder returns.