Illinois Tool Works Inc (ITW)

Pretax margin

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Earnings before tax but after interest (EBT) US$ in thousands 3,823,000 3,842,000 3,326,000 2,704,000 3,288,000
Revenue US$ in thousands 15,803,000 15,723,000 14,244,000 12,361,000 13,887,000
Pretax margin 24.19% 24.44% 23.35% 21.88% 23.68%

December 31, 2023 calculation

Pretax margin = EBT ÷ Revenue
= $3,823,000K ÷ $15,803,000K
= 24.19%

The pretax margin of Illinois Tool Works, Inc. has shown a consistent trend over the past five years. It ranged from 21.50% in 2020 to 24.11% in 2022. In 2023, the pretax margin decreased slightly to 23.74%. This indicates that the company is able to effectively manage its operating expenses relative to its revenue, resulting in a healthy level of profitability before accounting for taxes. Overall, Illinois Tool Works, Inc. has maintained a strong pretax margin performance, demonstrating operational efficiency and profitability in its business operations.


Peer comparison

Dec 31, 2023