Illinois Tool Works (ITW) FY2019 results: revenue $14.1 billion, down 4.5% on the year
Illinois Tool Works Inc. (ITW) reported revenue of $14.1 billion for fiscal 2019, the year ended 31 December 2019, down 4.5% on the year before. Net income was $2.5 billion, down 1.6%, and diluted earnings per share $7.74. The figures are the company's own, from the 10-K it filed with the SEC on 14 February 2020.
Revenue
$14.1 billion
-4.5% on the year
FY2012FY2019
Operating margin
24.1%
24.3% a year earlier
FY2012FY2019
Net income
$2.5 billion
-1.6% on the year
FY2012FY2019
Diluted EPS
$7.74
+1.8% on the year
FY2012FY2019
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Revenue
14,109
14,768
14,314
-4.5%
Cost of revenue
8,187
8,604
8,309
-4.8%
Gross profit
5,922
6,164
6,005
-3.9%
Gross margin
42.0%
41.7%
42.0%
Research and development
221
233
225
-5.2%
Operating income
3,402
3,584
3,485
-5.1%
Operating margin
24.1%
24.3%
24.3%
Interest expense
221
257
260
-14.0%
Pre-tax income
3,288
3,394
3,270
-3.1%
Income tax
767
831
1,583
-7.7%
Effective tax rate
23.3%
24.5%
48.4%
Net income
2,521
2,563
1,687
-1.6%
Net margin
17.9%
17.4%
11.8%
Diluted EPS
$7.74
$7.60
$4.86
+1.8%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Operating cash flow
2,995
2,811
2,402
+6.5%
Capital expenditure
326
364
297
-10.4%
Free cash flow
2,669
2,447
2,105
+9.1%
Free cash flow margin
18.9%
16.6%
14.7%
Cash from investing
-183
-325
-251
Cash from financing
-2,326
-3,964
-1,674
Share-based compensation
41.0
40.0
36.0
+2.5%
Buybacks
1,500
2,000
1,000
-25.0%
Dividends paid
1,321
1,124
941
+17.5%
Dividend per share
$4.14
$3.56
$2.86
+16.3%
Diluted shares, weighted
326m
337m
347m
-3.4%
Shares outstanding at period end
320m
328m
342m
-2.5%
Balance sheet
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Shareholders' equity
3,030
3,258
4,589
-7.0%
Debt
7,758
7,379
8,328
+5.1%
Operating lease liabilities
128
n/a
n/a
Other liabilities
4,152
4,233
3,863
-1.9%
Total liabilities and equity
15,068
14,870
16,780
+1.3%
Fixed assets
1,729
1,791
1,778
-3.5%
Goodwill
4,492
4,633
4,752
-3.0%
Intangible assets
851
1,084
1,272
-21.5%
Cash and equivalents
1,981
1,504
3,094
+31.7%
Receivables
2,461
2,622
2,628
-6.1%
Inventory
1,164
1,318
1,220
-11.7%
Other assets
2,390
1,918
2,036
+24.6%
Total assets
15,068
14,870
16,780
+1.3%
10-K for the year ended 31 December 2019, filed 14 February 2020: the filing.