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ITW · NYSE · United States · General Industrial Machinery & Equipment
In shortILLINOIS TOOL WORKS INC is profitable, generates cash and carries heavy debt, with revenue stable (+0.9% last year).
Financial health
Strong
Built from five areas over the last five annual reports. Tap an area to see the figures behind it.
| Operating marginShare of each sale left after running the business, before interest and tax. | 26.3% | 100/100 |
|---|---|---|
| Net marginShare of each sale left as profit after every cost, interest and tax. | 19.1% | 96/100 |
| Return on equityProfit earned on the money shareholders put in. Above 15% is strong. | 93.7% | 100/100 |
| Return on invested capitalProfit earned on all the capital used (equity and debt). Above 10% usually means a real competitive edge. | 21.5% | 100/100 |
Weight in the score: 25%
| Current ratioShort-term assets divided by short-term debts. Below 1 can mean tight cash. | 1.21× | 34/100 |
|---|---|---|
| Debt / equityDebt compared with the shareholders' stake. Above 2 is heavily indebted. | 2.78× | 0/100 |
| Net debt / EBITDAYears of operating profit needed to repay net debt. Below 2 is comfortable. | 1.79× | 63/100 |
| Interest coverageHow many times operating profit covers interest. Below 2 is risky. | 14.44× | 100/100 |
| Altman Z''Bankruptcy-risk model. Above 2.6 safe, below 1.1 distress. | 8.54 | 100/100 |
Weight in the score: 25%
| Free cash flow marginCash left from each sale after investments. The money that can pay dividends or reduce debt. | 16.9% | 87/100 |
|---|---|---|
| Free cash flow / net incomeHow much accounting profit turns into real cash. Near 1 or above is healthy. | 0.88× | 73/100 |
| Years with positive free cash flow (last 5) | 5 of 5 | 100/100 |
Weight in the score: 20%
| Profitable years (last 5) | 5 of 5 | 100/100 |
|---|---|---|
| Years of revenue decline (last 5) | 1 of 5 | 67/100 |
| Revenue growth volatility | 7.0% | 85/100 |
| Operating margin volatility | 1.3% | 97/100 |
Weight in the score: 20%
| Revenue growth, 3-year average | 0.2% | 18/100 |
|---|---|---|
| EPS growth, 3-year average | 2.4% | 37/100 |
Weight in the score: 10%
Fiscal year 2025 · change vs prior year
Annual figures as reported. Hover a bar or point for the exact value.
5 older years available with the 10-year history. Essential plan, from €8.25/month →
The last 5 fiscal years from the company's annual reports.
USD millions; negative values in parentheses.
| Fiscal year | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | 14,455 | 15,932 | 16,107 | 15,898 | 16,044 |
| Cost of revenue | 8,489 | 8,136 | 7,944 | 7,604 | 7,556 |
| Gross profit | 5,966 | 7,796 | 8,163 | 8,294 | 8,488 |
| Research & development | 239 | 269 | 284 | 292 | 302 |
| Operating income | 3,477 | 3,790 | 4,040 | 4,264 | 4,216 |
| Interest expense | 202 | 203 | 266 | 283 | 292 |
| Pre-tax income | 3,326 | 3,842 | 3,823 | 2,603 | 2,384 |
| Income tax | 632 | 808 | 866 | 934 | 900 |
| Net income | 2,694 | 3,034 | 2,957 | 3,488 | 3,066 |
| Diluted EPS | $8.51 | $9.77 | $9.74 | $11.71 | $10.49 |
| Diluted shares (millions) | 316 | 311 | 304 | 298 | 292 |
5 older years available with the 10-year history. Essential plan, from €8.25/month →
8.54 Safe zone
Estimates bankruptcy risk from working capital, retained earnings, operating profit and equity. Above 2.6 is considered safe, below 1.1 signals distress.
6/9
Nine yes-or-no tests on profitability, debt, liquidity and efficiency versus the prior year. 7 to 9 is strong, 0 to 3 is weak.
All figures: SEC EDGAR. Ratios and scores are computed by Scorvest (see how it works). Information only, not investment advice. How it works
Latest annual report: Jun 30, 2026 · Data updated Aug 6, 2026