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Investor Presentaiton

Q4'22 FINANCIAL PERFORMANCE GAAP EPS $1.93 $2.95 +53% - Ex. Divestiture gains $2.34 +21% +8% $4.0B $3.7B REVENUE Q4'21 Q4'22 +12% Organic HIGHLIGHTS Strong growth momentum across the majority of our business portfolio as evidenced by organic growth of 12% Aggressive execution on our "Win the Recovery" strategy resulting in profitable market penetration and double-digit growth in 5 segments - FX translation impact of (5)%, Acquisition/Divestitures +1% Excellent execution in a challenging operating environment resulting in strong financial performance - Incremental margin of 52% - Enterprise initiatives contribution of 110 bps - Price/cost accretive to EPS and margin impact of 70 bps Record GAAP EPS of $2.95 including divestiture gains OPERATING MARGIN 22.7% - Ex. MTS Acquisition AFTER-TAX ROIC* 24.8% 25.2% +210 bps 27.2% 30.8% +360 bps - · EPS growth of 21% excluding divestiture gains ITW ITW DELIVERED A RECORD Q4 TO CLOSE OUT A VERY STRONG 2022 * See ITW's fourth quarter 2022 press release for the reconciliation from GAAP to non-GAAP measures. 3
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