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Snap-on SNA Contract Liabilities

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Other financials

Income statement

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Revenue$1.3B+4.2%
Operating income$336.4M+2.8%
Net income$260.6M+4.1%
EPS (diluted)$4.96+5.1%

Balance sheet

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Cash & equivalents$1.6B+12.8%
Total debt$993.5M-22.6%
Total equity$6.0B+5.7%
Total assets$8.6B+5.4%

Cash flow

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Operating cash flow$271.5M+14.5%
CapEx$23.1M+17.3%
Free cash flow$248.4M+14.2%

Valuation

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Market cap$21.67B+28.5%
Enterprise value$21.01B+26.0%
P/E21×+4.1×
P/S4.1×+0.8×

Profitability

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Gross margin52.8%
Operating margin25.4%-0.1pp
Net margin19.6%-0.1pp
FCF margin21%+0.9pp

Returns & leverage

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Return on equity17.6%-0.6pp
Debt / equity0.2×-0.1×
Current ratio3.4×-1.0×

Where this comes from

Reported directly by Snap-on in its filing.

Tagged under the XBRL concept us-gaap:ContractWithCustomerLiability.

The source filing: Snap-on’s 10-Q, filed July 23, 2026.

Filed
Jul 23, 2026, 11:05 AM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q3 2026
Accession
0000091440-26-000144

Contract liabilities: Contract liabilities are recorded when cash payments are received in advance of Snap-on’s performance. The timing of payment is typically on a monthly, quarterly or annual basis. The balance of total contract liabilities was $90.8 million and $73.5 million at July 4, 2026, and January 3, 2026, respectively. The current portion of contract liabilities is included in “Other accrued liabilities” and the non-current portion of such liabilities is included in “Other long-term liabilities” on the accompanying Condensed Consolidated Balance Sheets. During the three and six months ended July 4, 2026, Snap-on recognized $11.5 million and $49.4 million of revenue that was included in the contract liability balance at January 3, 2026, which was primarily from the amortization of software subscriptions, extended warranties and other subscription agreements.

Item 1: Financial Statements

FAQ

What is Snap-on's contract liabilities?
Snap-on (SNA) reported contract liabilities of $90.8M in Q2 2026.
How has Snap-on's contract liabilities changed year-over-year?
Snap-on's contract liabilities increased by 18.4% year-over-year, from $76.7M to $90.8M.
What is the long-term trend for Snap-on's contract liabilities?
Over 5 years (2020 to 2025), Snap-on's contract liabilities has grown at a 3.8% compound annual growth rate (CAGR), from $61M to $73.5M.
What does contract liabilities mean?
Revenue collected or billed in advance of performance — deferred revenue under ASC 606 terminology, representing future revenue obligations.

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