What changed in Snap-on's 2026 10-K compared to 2025?

Across the narrative sections we track, Snap-on (SNA) added 261 paragraphs, removed 250, and edited 220 between the 2025 and 2026 10-K filings. The biggest movers are Item 7. Management's Discussion & Analysis (+172/−164), Item 1A. Risk Factors (+41/−40), Item 1. Business (+30/−29).

Did Snap-on add new Risk Factors in the 2026 10-K?

Yes — Item 1A Risk Factors shows 41 new/edited paragraphs and 40 removed paragraphs versus the 2025 10-K.

What changed in Snap-on's MD&A (Item 7) in 2026?

Item 7 Management's Discussion & Analysis shows 172 new/edited paragraphs and 164 removed paragraphs year-over-year. Read the side-by-side diff to see exactly which revenue, margin, and outlook commentary was rewritten.

Did Snap-on update its Cybersecurity disclosure (Item 1C) in 2026?

Item 1C Cybersecurity has 5 paragraph-level changes between the 2025 and 2026 filings.

Where does this SNA 10-K diff come from?

The source filings are Snap-on's official 2025 and 2026 Form 10-K annual reports from SEC EDGAR. 10q10k.net parses each filing, aligns paragraphs by section (Item 1, 1A, 1C, 2, 3, 7, 7A), and highlights every added, removed and edited sentence side-by-side.

What changed in Snap-on's 10-K — 2025 vs 2026

Paragraph-level year-over-year comparison of Snap-on's 2025 and 2026 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2026 report.

+261 added−250 removedSource: 10-K (2026-02-12) vs 10-K (2025-02-13)

Top changes in Snap-on's 2026 10-K

261 paragraphs added · 250 removed · 220 edited across 7 sections

Item 7. Management's Discussion & Analysis+172 / −164 · 148 edited
Item 1A. Risk Factors+41 / −40 · 33 edited
Item 1. Business+30 / −29 · 23 edited
Item 1C. Cybersecurity+5 / −5 · 4 edited
Item 5. Market for Registrant's Common Equity+6 / −6 · 6 edited

Item 1. Business

Business — how the company describes what it does

23 edited+7 added−6 removed85 unchanged

2025 filing

2026 filing

Biggest changeIn 2024 , the company’s total Scope 1 and Scope 2 GHG emissions of 89,085 metric tons of carbon dioxide equivalent (“CO2e”) reflected an intensity of 18.9 (metric tons of CO2e, divided by net sales in millions). 12 SNAP-ON INCORPORATED Snap-on’s sustainability framework is focused on key areas impacting our industry, including energy management, employee health and safety, and material management, and is aligned with the principles of the International Financial Reporting Standards Foundation (formerly known as the Sustainability Accounting Standards Board or “SASB”), which has been consolidated into the International Financial Reporting Standards Foundation.

Biggest changeSnap-on strives to protect environmental quality and human welfare in its workplaces and in its communities by implementing sound policies designed to prevent, mitigate and reduce the company’s impact on the environment. 12 SNAP-ON INCORPORATED Snap-on’s sustainability framework is focused on key areas impacting our industry, including energy management, employee health and safety, and material management, and is aligned with the principles of the International Financial Reporting Standards Foundation (formerly known as the Sustainability Accounting Standards Board or “SASB”), which has been consolidated into the International Financial Reporting Standards Foundation.

The Snap-on Tools Group segment net sales reflect external net sales, while the Commercial & Industrial Group and the Repair Systems & Information Group segment net sales include both external and intersegment net sales. Snap-on accounts for intersegment net sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments.

The segment net sales of the Snap‑on Tools Group reflect external net sales, while the segment net sales of the Commercial & Industrial Group and the Repair Systems & Information Group include both external and intersegment net sales. Snap-on accounts for intersegment net sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments.

Furthermore, through our Snap-on Value Creation Processes, a suite of principles we use every day, the company remains committed to the areas of safety, quality, customer connection, innovation and RCI, which are closely linked to and contribute to improving employee engagement, productivity, and efficiency. 2024 ANNUAL REPORT 11 Successful execution of our way forward is dependent on attracting, developing and retaining key employees and members of our management team, which we achieve through the following: • Snap-on believes strongly in workplace safety.

Furthermore, through our Snap-on Value Creation Processes, a suite of principles we use every day, the company remains committed to the areas of safety, quality, customer connection, innovation and RCI, which are closely linked to and contribute to improving employee engagement, productivity, and efficiency. 2025 ANNUAL REPORT 11 Successful execution of our way forward is dependent on attracting, developing and retaining key employees and members of our management team, which we achieve through the following: • Snap-on believes strongly in workplace safety.

Recently filed EEO-1 data is available under “ESG Reporting” in the “Investors” section of the company’s website at www.snapon.com . Additionally, on a global basis, approximately 2,300 employees are represented by unions and/or covered under collective bargaining agreements with varying expiration dates through 2027. In recent years, Snap-on has not experienced any significant work slowdowns, stoppages or other labor disruptions.

Recently filed EEO-1 data is available under “ESG Reporting” in the “Investors” section of the company’s website at www.snapon.com . Additionally, on a global basis, approximately 2,300 employees are represented by unions and/or covered under collective bargaining agreements with varying expiration dates through 2029. In recent years, Snap-on has not experienced any significant work slowdowns, stoppages or other labor disruptions.

Snap-on will also post any amendments to these documents, or information about any waivers granted to directors or executive officers with respect to the Code of Business Conduct and Ethics, on the company’s website at www.snapon.com . 2024 ANNUAL REPORT 5 Products and Services Tools; Diagnostics, Information and Management Systems; and Equipment Snap-on offers a broad line of products and complementary services that are grouped into three product categories: (i) tools; (ii) diagnostics, information and management systems; and (iii) equipment.

Snap-on will also post any amendments to these documents, or information about any waivers granted to directors or executive officers with respect to the Code of Business Conduct and Ethics, on the company’s website at www.snapon.com . 2025 ANNUAL REPORT 5 Products and Services Tools; Diagnostics, Information and Management Systems; and Equipment Snap-on offers a broad line of products and complementary services that are grouped into three product categories: (i) tools; (ii) diagnostics, information and management systems; and (iii) equipment.

As of 2024 year end, Snap-on had industrial sales associates and independent distributors primarily in the United States, Canada and in various European, Latin American, Middle Eastern, Asia Pacific and African countries, with the United States representing the majority of Snap-on’s total industrial sales. 2024 ANNUAL REPORT 9 Snap-on also sells software, services and solutions to the automotive, commercial, heavy duty, agriculture, power equipment and power sports segments.

As of 2025 year end, Snap-on had industrial sales associates and independent distributors primarily in the United States, Canada and in various European, Latin American, Middle Eastern, Asia Pacific and African countries, with the United States representing the majority of Snap-on’s total industrial sales. 2025 ANNUAL REPORT 9 Snap-on also sells software, services and solutions to the automotive, commercial, heavy duty, agriculture, power equipment and power sports segments.

Snap-on believes that it complies with applicable environmental and government requirements in its operations. Expenditures on environmental and governmental matters through EH & SMS have not had a material effect upon Snap-on’s capital expenditures, earnings or competitive position. However, the increasing global focus on climate change is resulting in new and/or more stringent environmental or climate-related regulations or standards.

Snap-on believes that it complies with applicable environmental and government requirements in its operations. Expenditures on environmental and governmental matters through EH & SMS have not had a material effect upon Snap-on’s capital expenditures, earnings or competitive position. However, the global focus on climate change is resulting in new and/or more stringent environmental or sustainability-related regulations or standards.

Some of the major trade names and trademarks and the products and services with which they are associated include the following: Names Products and Services Snap-on Hand tools, power tools, tool storage products (including tool control software and hardware), diagnostics, certain equipment and related accessories, mobile tool stores, websites, electronic parts catalogs, warranty analytics solutions, business management systems and services, OEM specialty tools and equipment development and distribution, and OEM facilitation services ATI Aircraft hand tools and machine tools AutoCrib Asset and tool control systems autoVHC Vehicle inspection and training services BAHCO Saw blades, cutting tools, pruning tools, hand tools, power tools and tool storage, including tool control systems Blue-Point Hand tools, power tools, tool storage, diagnostics, certain equipment and related accessories Car-O-Liner Collision repair equipment and information systems Cartec Safety testing, brake testers, test lane equipment, dynamometers, suspension testers, emission testers and other equipment CDI Torque tools Challenger Vehicle lifts Cognitran OEM SaaS products Dealer-FX Service operation solutions and OEM SaaS systems Ecotechnics Vehicle air conditioning service equipment Fastorq Hydraulic torque and tensioning products Fish and Hook Saw blades, cutting tools, pruning tools, hand tools, power tools and tool storage Hofmann Wheel balancers, vehicle lifts, tire changers, wheel aligners, brake testers and test lane equipment Irimo Saw blades, cutting tools, hand tools, power tools and tool storage John Bean Wheel balancers, vehicle lifts, tire changers, wheel aligners, brake testers and test lane equipment Josam Heavy duty alignment and collision repair solutions Lindström Hand tools Mitchell1 Repair and service information, shop management systems and business services Mountz Torque tools Nexiq Diagnostic tools, information and program distributions for fleet and heavy duty equipment Norbar Torque tools Power Hawk Rescue tools and related equipment for military, government, fire and rescue Pro-Cut Brake service equipment and accessories Sandflex Hacksaw blades, bandsaws, saw blades, hole saws and reciprocating saw blades ShopKey Repair and service information, shop management systems and business services Sioux Power tools Sturtevant Richmont Torque tools Sun Diagnostic tools, wheel balancers, vehicle lifts, tire changers, wheel aligners, air conditioning products and emission testers TreadReader Automotive tire drive-over ramps and handheld devices TruckCam Commercial vehicle OEM factory solutions Williams Hand tools, tool storage, certain equipment and related accessories 2024 ANNUAL REPORT 7 Financial Services Snap-on also generates revenue from various financing programs that include: (i) installment sales and lease contracts arising from franchisees’ customers and Snap-on customers who require financing for the purchase or lease of tools, diagnostics, and equipment products on an extended-term payment plan; and (ii) business and vehicle loans and leases to franchisees.

Some of the major trade names and trademarks and the products and services with which they are associated include the following: Names Products and Services Snap-on Hand tools, power tools, tool storage products (including tool control software and hardware), diagnostics, certain equipment and related accessories, mobile tool stores, websites, electronic parts catalogs, warranty analytics solutions, business management systems and services, OEM specialty tools and equipment development and distribution, and OEM facilitation services ATI Aircraft hand tools and machine tools AutoCrib Asset and tool control systems autoVHC Vehicle inspection and training services BAHCO Saw blades, cutting tools, pruning tools, hand tools, power tools and tool storage, including tool control systems Blue-Point Hand tools, power tools, tool storage, diagnostics, certain equipment and related accessories Car-O-Liner Collision repair equipment and information systems Cartec Safety testing, brake testers, test lane equipment, dynamometers, suspension testers, emission testers and other equipment CDI Torque tools Challenger Vehicle lifts Cognitran OEM SaaS products Dealer-FX Service operation solutions and OEM SaaS systems Ecotechnics Vehicle air conditioning service equipment Fastorq Hydraulic torque and tensioning products Fish and Hook Saw blades, cutting tools, pruning tools, hand tools, power tools and tool storage Hofmann Wheel balancers, vehicle lifts, tire changers, wheel aligners, brake testers and test lane equipment Irimo Saw blades, cutting tools, hand tools, power tools and tool storage John Bean Wheel balancers, vehicle lifts, tire changers, wheel aligners, brake testers and test lane equipment Josam Heavy duty alignment and collision repair solutions Lindström Hand tools Mitchell1 Repair and service information, shop management systems and business services Mountz Torque tools Nexiq Diagnostic tools, information and program distributions for fleet and heavy duty equipment Norbar Torque tools Power Hawk Rescue tools and related equipment for military, government, fire and rescue Pro-Cut Brake service equipment and accessories ShopKey Repair and service information, shop management systems and business services Sioux Power tools Sturtevant Richmont Torque tools Sun Diagnostic tools, wheel balancers, vehicle lifts, tire changers, wheel aligners, air conditioning products and emission testers TreadReader Automotive tire drive-over ramps and handheld devices TruckCam Commercial vehicle OEM factory solutions Williams Hand tools, tool storage, certain equipment and related accessories 2025 ANNUAL REPORT 7 Financial Services Snap-on also generates revenue from various financing programs that include: (i) installment sales and lease contracts arising from franchisees’ customers and Snap-on customers who require financing for the purchase or lease of tools, diagnostics, and equipment products on an extended-term payment plan; and (ii) business and vehicle loans and leases to franchisees.

Hand tools include wrenches, sockets, ratchet wrenches, pliers, screwdrivers, punches and chisels, saws and cutting tools, pruning tools, torque measuring instruments and other similar products. Power tools include cordless (battery), pneumatic (air), hydraulic and corded (electric) tools, such as impact wrenches, ratchets, screwdrivers, drills, sanders, grinders and similar products. Tool storage includes tool chests, roll cabinets and other similar products.

Hand tools include wrenches, sockets, ratchet wrenches, pliers, screwdrivers, punches and chisels, saws and cutting tools, pruning tools, torque tools and other similar products. Power tools include cordless (battery), pneumatic (air), hydraulic and corded (electric) tools, such as impact wrenches, ratchets, screwdrivers, drills, sanders, grinders and other similar products. Tool storage includes tool chests, roll cabinets and other similar products.

Snap-on believes it is a meaningful participant in the industrial tools and equipment market sector. 8 SNAP-ON INCORPORATED Distribution Channels Snap-on serves customers primarily through the following channels of distribution: (i) the mobile van channel; (ii) company direct sales; (iii) distributors; and (iv) e-commerce.

As of 2024 year end, company-owned routes comprised approximately 5% of the total route population. Snap-on may elect to increase or reduce the number of company-owned routes in the future. As of 2024 year end, Snap-on’s total route count was approximately 4,700, including approximately 3,400 routes in the United States.

As of 2025 year end, company-owned routes comprised approximately 5% of the total route population. Snap-on may elect to increase or reduce the number of company-owned routes in the future. As of 2025 year end, Snap-on’s total route count was approximately 4,700, including approximately 3,400 routes in the United States.

Snap-on charges nominal initial and ongoing monthly franchise fees. Franchise fee revenue, including nominal, non-refundable initial and ongoing monthly fees (primarily for sales and business training, marketing and product promotion programs, and technology support), is recognized as the fees are earned. Franchise fee revenue totaled $19.4 million, $18.7 million and $18.4 million in fiscal 2024, 2023 and 2022, respectively.

Snap-on charges nominal initial and ongoing monthly franchise fees. Franchise fee revenue, including nominal, non-refundable initial and ongoing monthly fees (primarily for sales and business training, marketing and product promotion programs, and technology support), is recognized as the fees are earned. Franchise fee revenue totaled $21.2 million, $19.4 million and $18.7 million in fiscal 2025, 2024 and 2023, respectively.

To date, over 350,000 students have earned Snap-on certifications, preparing them for successful and satisfying careers across various technical disciplines.

To date, over 415,000 students have earned Snap-on certifications, preparing them for successful and satisfying careers across various technical disciplines.

The company does not currently anticipate any significant impact in 2025 from raw material and purchased component cost or availability issues.

The company does not currently anticipate any significant impact in 2026 from raw material and purchased component cost or availability issues.

While such regulations have historically created select opportunities for our business operations, the company continually monitors developments in this area. Human Capital Management As of December 28, 2024, Snap-on employed approximately 13,000 people worldwide, of which approximately 7,300 were employed in the United States and approximately 5,700 were outside the United States.

While such regulations have historically created select opportunities for our business operations, the company continually monitors developments in this area. Human Capital Management As of January 3, 2026, Snap-on employed approximately 13,000 people worldwide, of which approximately 7,300 were employed in the United States and approximately 5,700 were outside the United States.

As of 2024 year end, Snap-on and its subsidiaries held approximately 940 active and pending patents in the United States and approximately 3,420 active and pending patents outside of the United States. Sales relating to any single patent did not represent a material portion of Snap-on’s revenues in any of the last three years.

As of 2025 year end, Snap-on and its subsidiaries held approximately 945 active and pending patents in the United States and approximately 3,590 active and pending patents outside of the United States. Sales relating to any single patent did not represent a material portion of Snap-on’s revenues in any of the last three years.

For 2024, Snap-on had an overall safety incident rate of 1.08 (nu mber of injuries and illnesses multiplied by 200,000, divided by hours worked). • Snap-on is committed to its employees and provides developmental opportunities throughout the organization.

For 2025, Snap-on had an overall safety incident rate of 0.92 (nu mber of injuries and illnesses multiplied by 200,000, divided by hours worked). • Snap-on is committed to its employees and provides developmental opportunities throughout the organization.

The following table shows the consolidated net sales of these product categories for the last three years: Net Sales (Amounts in millions) 2024 2023 2022 Product Category: Tools $ 2,546.2 $ 2,528.9 $ 2,399.4 Diagnostics, information and management systems 1,028.1 991.2 942.4 Equipment 1,133.1 1,210.1 1,151.0 $ 4,707.4 $ 4,730.2 $ 4,492.8 The tools product category includes hand tools, power tools, tool storage products and other similar products.

The following table shows the consolidated net sales of these product categories for the last three years: Net Sales (Amounts in millions) 2025 2024 2023 Product Category: Tools $ 2,541.9 $ 2,546.2 $ 2,528.9 Diagnostics, information and management systems 1,112.2 1,028.1 991.2 Equipment 1,089.1 1,133.1 1,210.1 $ 4,743.2 $ 4,707.4 $ 4,730.2 The tools product category includes hand tools, power tools, tool storage products and other similar products.

The company’s “coherent growth” strategy focuses on developing and expanding its professional customer base in its legacy automotive market, as well as in adjacent markets, additional geographies and other areas, including in critical industries, where the cost and penalties for failure can be high.

Today, Snap-on extends its reach “beyond the garage,” and the company’s “coherent growth” strategy focuses on developing and expanding its professional customer base in its legacy automotive market, as well as in adjacent markets, additional geographies and other areas, including in critical industries, where the cost and penalties for failure are high.

Snap-on evaluates the performance of the Commercial & Industrial Group, the Snap-on Tools Group and the Repair Systems & Information Group operating segments based on segment net sales and segment operating earnings while the Financial Services operating segment is evaluated based on segment revenue and segment operating earnings.

Intersegment amounts are eliminated to arrive at Snap-on’s consolidated financial results. Recent Acquisitions Snap-on has continued to broaden its business through a series of coherent acquisitions, which have expanded and enhanced Snap-on’s capabilities in a variety of critical industries and in its business operations serving primarily owners and managers of independent repair shops and OEM dealerships.

Acquisitions Snap-on has continued to broaden its business through a series of coherent acquisitions, which have expanded and enhanced Snap-on’s capabilities in a variety of critical industries and in its business operations serving primarily owners and managers of independent repair shops and OEM dealerships. For information regarding acquisitions, see Note 3 to the Consolidated Financial Statements.

Identifiable assets by segment are those assets used in the respective reportable segment’s operations. Corporate assets consist of cash and cash equivalents (excluding cash held at Financial Services), deferred income taxes and certain other assets. Corporate expenses primarily reflect stock-based compensation and other costs not attributable to an operating segment.

The Financial Services operating segment is evaluated based on financial services revenue and segment operating earnings. Identifiable assets by segment are those assets used in the respective reportable segment’s operations. Corporate assets consist of cash and cash equivalents (excluding cash held at Financial Services), deferred income taxes and certain other assets.

The company has voluntarily reported Scope 1 and Scope 2 greenhouse gas (“GHG”) emissions to the CDP (formerly known as the Carbon Disclosure Project) on an annual basis since 2008.

Snap-on’s SASB Index is available under “ESG Reporting” in the “Investors” section of the company’s website at www.snapon.com . In addition, the company has voluntarily reported Scope 1 and Scope 2 greenhouse gas (“GHG”) emissions to the CDP (formerly known as the Carbon Disclosure Project) on an annual basis since 2008.

Removed

Today, Snap-on defines its value proposition more broadly, extending its reach “beyond the garage” to deliver a broad array of unique solutions that make work easier for serious professionals.

Added

Since that time, our principal value-creating mechanism has been to observe work and translate the insights gained into creative solutions that make essential tasks easier, meeting the needs of rapidly-evolving workplaces.

Removed

For information regarding recent acquisitions, see Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and Note 3 to the Consolidated Financial Statements.

Added

Corporate expenses primarily reflect stock-based compensation and other costs not attributable to an operating segment. Intersegment amounts are eliminated to arrive at Snap-on’s consolidated financial results.

Removed

E-commerce Snap-on offers current and prospective customers online access to research and purchase products through its public website, www.snapon.com . The site features an online catalog of Snap-on hand tools, power tools, tool storage units and diagnostic equipment available to customers in the United States, the United Kingdom, Canada and Australia.

Added

Digital Commerce Snap-on communicates with current and prospective customers through its digital ecosystem including websites (such as www.snapon.com ), apps, and social media channels across its businesses.

Removed

E-commerce and certain other system enhancement initiatives are designed to improve productivity and further leverage the one-on-one relationships and service Snap-on has with its current and prospective customers. Sales through the company’s e-commerce distribution channel were not significant in any of the last three years.

Added

For select customers served by the Commercial & Industrial Group and the Repair Systems & Information Group, the company provides a variety of specific digital platforms to accommodate research and the direct purchase of products and services.

Removed

Snap-on prioritizes continuous improvement in all facets of its operations, including environmental matters and health and safety. The company strives to protect environmental quality and human welfare in its workplaces and in its communities by implementing sound policies designed to prevent, mitigate and reduce the company’s impact on the environment.

Added

For over 105 years, Snap-on has remained steadfast in connecting with customers, the people of work, and in creating products that solve the most critical tasks.

Removed

Snap-on’s SASB Index is available under “ESG Reporting” in the “Investors” section of the company’s website at www.snapon.com .

Added

The company’s offerings serve these professionals and society by providing productivity-enhancing solutions that are integral to the repair and maintenance of the equipment and systems that move our world forward, potentially prolonging useful lives and extending the replacement cycle. The company prioritizes continuous improvement in all facets of its operations, including environmental matters and health and safety.

Added

In 2025, the company’s total Scope 1 and Scope 2 GHG emissions of 89,041 metric tons of carbon dioxide equivalent (“CO2e”) reflected an intensity of 18.8 (metric tons of CO2e, divided by net sales in millions).

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

33 edited+8 added−7 removed90 unchanged

2025 filing

2026 filing

Biggest changeIf our franchisees are not successful, or if we do not maintain an effective relationship with our franchisees, the delivery of products, the collection of receivables and/or our relationship with end users could be adversely affected and thereby negatively impact our business, financial condition, results of operations and cash flows. 2024 ANNUAL REPORT 13 In addition, if we are unable to maintain effective relationships with franchisees, Snap-on or the franchisees may choose to terminate the relationship, which may result in: (i) open routes, in which end-user customers are not provided reliable service; (ii) litigation resulting from termination; (iii) reduced collections or increased charge-offs of franchisee receivables owed to Snap-on; and/or (iv) reduced collections or increased charge-offs of finance and contract receivables.

Biggest changeIn addition, if we are unable to maintain effective relationships with franchisees, Snap-on or the franchisees may choose to terminate the relationship, which may result in: (i) open routes, in which end-user customers are not provided reliable service; (ii) litigation resulting from termination; (iii) reduced collections or increased charge-offs of franchisee receivables owed to Snap-on; and/or (iv) reduced collections or increased charge-offs of finance and contract receivables.

Future problems that impair or compromise the company’s information technology infrastructure, or that of our third party service providers, including those due to natural disasters, power outages, major network failures, security breaches or malicious attacks, or those occurring during system upgrades and/or new system implementations could impede our operations.

Problems that impair or compromise the company’s information technology infrastructure, or that of our third party service providers, including those due to natural disasters, power outages, major network failures, security breaches or malicious attacks, or those occurring during system upgrades and/or new system implementations could impede our operations.

Future cyber events, however, could cause us to lose customers and/or revenue and could require us to incur significant expense to remediate, including as a result of legal or regulatory claims, proceedings, fines or penalties, and could also damage our reputation.

Cyber events, however, could cause us to lose customers and/or revenue and could require us to incur significant expense to remediate, including as a result of legal or regulatory claims, proceedings, fines or penalties, and could also damage our reputation.

These developments, and other potential future legislation and regulations, including the increasing global regulation of privacy rights and use of AI, may also adversely affect the customers to which, and the markets into which, we sell our products, and increase our costs and otherwise negatively affect our business, reputation, results of operations and financial condition, including in ways that cannot yet be foreseen.

Other potential future legislation and regulations, including the increasing global regulation of privacy rights and use of AI, may also adversely affect the customers to which, and the markets into which, we sell our products, and increase our costs and otherwise negatively affect our business, reputation, results of operations and financial condition, including in ways that cannot yet be foreseen.

Approximately 29% of our revenues in 2024 were generated outside of the United States. Future growth rates and success of our business depends in large part on continued growth in our non-U.S. operations, including growth in emerging markets and critical industries. Numerous risks and uncertainties affect our non-U.S. operations.

Approximately 29% of our revenues in 2025 were generated outside of the United States. Future growth rates and success of our business depends in large part on continued growth in our non-U.S. operations, including growth in emerging markets and critical industries. Numerous risks and uncertainties affect our non-U.S. operations.

As we integrate, implement and deploy new information technology processes and enhance our information infrastructure across our global operations, we could experience disruptions that may have an adverse effect on our business, financial condition, results of operations and cash flows. Failure to attract, develop, retain and effectively manage qualified personnel could lead to a loss of revenue and/or profitability.

As we integrate, implement and deploy new information technology processes and enhance our information infrastructure across our global operations, we could experience disruptions that may have an adverse effect on our business, financial condition, results of operations and cash flows. 16 SNAP-ON INCORPORATED Failure to attract, develop, retain and effectively manage qualified personnel could lead to a loss of revenue and/or profitability.

The determination of the appropriate levels of the allowances for credit losses involves a high degree of subjectivity and judgement, and requires the company to make estimates of credit risks, which may undergo material changes as a result of economic conditions and other factors.

The determination of the appropriate levels of the allowances for credit losses involves a high degree of subjectivity and judgment, and requires the company to make estimates of credit risks, which may undergo material changes as a result of economic conditions and other factors.

In addition, transitions of important responsibilities to new individuals inherently include the possibility of disruptions to our operations, which could negatively affect our business, financial condition, results of operations and cash flows. 16 SNAP-ON INCORPORATED We may not successfully integrate businesses we acquire, which could have an adverse impact on our business, financial condition, results of operations and cash flows.

In addition, transitions of important responsibilities to new individuals inherently include the possibility of disruptions to our operations, which could negatively affect our business, financial condition, results of operations and cash flows. We may not successfully integrate businesses we acquire, which could have an adverse impact on our business, financial condition, results of operations and cash flows.

While we believe that changes in vehicle technologies provide us with opportunities to develop innovative products and solutions for the vehicle repair market, if we are not able to effectively execute on those possibilities, our business and results of operations could suffer. The performance of Snap-on’s mobile tool distribution business depends on the success of its franchisees.

While we believe that changes in vehicle technologies provide us with opportunities to develop innovative products and solutions for the vehicle repair market, if we are not able to effectively execute on those possibilities, our business and results of operations could suffer. 2025 ANNUAL REPORT 13 The performance of Snap-on’s mobile tool distribution business depends on the success of its franchisees.

We expect that the level of competition will remain high in the future, which, if not effectively matched or exceeded, could limit our ability to maintain or increase market share or profitability. Foreign operations are subject to political, economic, trade and other risks that could adversely affect our business, financial condition, results of operations and cash flows.

We expect that the level of competition will remain high in the future, which, if not effectively matched or exceeded, could limit our ability to maintain or increase market share or profitability. 14 SNAP-ON INCORPORATED Foreign operations are subject to political, economic, trade and other risks that could adversely affect our business, financial condition, results of operations and cash flows.

We, our franchisees and our customers, and the economy as a whole, also may be affected by future world or local events outside our control, such as tariffs and other trade protection measures put in place by the United States or other countries, acts of terrorism, developments in the war on terrorism, armed conflicts (including the ongoing war in Ukraine, as well as conflicts in the Middle East and other regions), civil unrest, conflicts in international situations, supply chain inefficiencies, labor interruptions, weather events and natural disasters, outbreaks of infectious diseases, as well as government-related developments or issues, including changes in tax laws and regulations, new or enhanced regulations related to climate change and other sustainability matters, and changes in financial accounting standards.

We, our franchisees and our customers, and the economy as a whole, also may be affected by future world or local events outside our control, such as tariffs, sanctions and other trade protection measures put in place by the United States or other countries, acts of terrorism, developments in the war on terrorism, armed conflicts (including the ongoing war in Ukraine, as well as conflicts in other regions), civil unrest, conflicts in international situations, supply chain inefficiencies, labor interruptions, weather events and natural disasters (including physical impacts of climate change), outbreaks of infectious diseases, as well as government-related developments or issues, including changes in government appropriations, modifications to tax laws and regulations, new or enhanced regulations related to climate change and other sustainability matters, and changes in financial accounting standards.

In addition to claims concerning individual products, as a manufacturer, we can be subject to costs, potential negative publicity and lawsuits related to product recalls, which could adversely impact our results of operations and damage our reputation. Legal disputes could adversely affect our business, reputation, financial condition, results of operations and cash flows.

In addition to claims concerning individual products, as a manufacturer, we can be subject to costs, potential negative publicity and lawsuits related to product recalls, which could adversely impact our results of operations and damage our reputation. 20 SNAP-ON INCORPORATED Legal disputes could adversely affect our business, reputation, financial condition, results of operations and cash flows.

Approximately 39% of our consolidated net revenues (net sales plus financial services revenue) in 2024 were generated by the Snap-on Tools Group, which consists of Snap-on’s business operations primarily serving vehicle service and repair technicians through the company’s multinational mobile tool distribution channel.

Approximately 38% of our consolidated net revenues (net sales plus financial services revenue) in 2025 were generated by the Snap-on Tools Group, which consists of Snap-on’s business operations primarily serving vehicle service and repair technicians through the company’s multinational mobile tool distribution channel.

Furthermore, an inability to successfully manage climate change or sustainability matters, or to effectively respond to new, or changes in, legal or regulatory requirements concerning sustainability matters, or increased operating or manufacturing costs due to changes in the regulatory environment, could adversely affect our business.

An inability to successfully or effectively respond to new, or changes in, legal or regulatory requirements concerning sustainability matters, or increased operating or manufacturing costs due to changes in the regulatory environment, could adversely affect our business.

These allowances represent an estimate of expected credit losses over the remaining contractual life of the receivables, using historical loss experience, asset specific risk characteristics, current conditions, reasonable and supportable forecasts, and an appropriate reversion period, when applicable.

The company maintains allowances for credit losses for receivables to provide for defaults and nonperformance. These allowances represent an estimate of expected credit losses over the remaining contractual life of the receivables, using historical loss experience, asset specific risk characteristics, current conditions, reasonable and supportable forecasts, and an appropriate reversion period, when applicable.

If circumstances surrounding our customers’ ability to repay their credit obligations were to deteriorate and result in the write-down or write-off of such receivables, it would negatively affect our operating results for the relevant period and, if large, could have a material adverse effect on our business, financial condition, results of operations and cash flows. 2024 ANNUAL REPORT 17 The company maintains allowances for credit losses for receivables to provide for defaults and nonperformance.

Petroleum and energy prices have periodically increased significantly over short periods of time; future volatility and changes may be caused by market fluctuations, supply and demand, currency fluctuations, production and transportation disruptions, climate change regulations, world events, including armed conflicts, and governmental actions.

Petroleum and energy prices have periodically increased significantly over short periods of time; future volatility and changes may be caused by market fluctuations, supply and demand imbalances (including due to the proliferation of AI data centers), currency variabilities, production and transportation disruptions, climate change regulations, world events, including armed conflicts, and governmental actions.

Significant changes to legislative and regulatory activity, and compliance burdens, including those associated with: (i) sales to our government, military and defense contractor customers; and (ii) classification of third parties, including our franchisees, as independent from the company, as well as the manner in which they are applied, could significantly impact our business and the economy as a whole. 2024 ANNUAL REPORT 19 Financial services businesses of all kinds are subject to significant and complex regulations and enforcement.

Adverse outcomes or settlements could also require us to pay damages, potentially in excess of amounts reserved, or incur liability for other remedies that could have a material adverse effect on our business, reputation, financial condition, results of operations and cash flows. 20 SNAP-ON INCORPORATED Our operations expose us to the risk of environmental liabilities, costs, litigation and violations that could adversely affect our financial condition, results of operations and reputation.

These include political, economic and social instability, such as acts of war, armed conflicts, civil disturbance or acts of terrorism, local labor conditions, and trade relations with China.

These include political, economic and social instability, such as acts of war, armed conflicts, civil disturbance or acts of terrorism, local labor conditions, and adverse changes in trade relations with China, Canada, the European Union and other nations.

A significant decrease in market interest rates and a decrease in the fair value of plan assets would increase net pension expense and may adversely affect the company’s future financial results.

A significant decrease in market interest rates and a decrease in the fair value of plan assets would increase net pension expense and may adversely affect the company’s future financial results. See Note 11 to the Consolidated Financial Statements for additional information on the company’s pension plans.

Legal and Regulatory Risks Legislation and regulations relating to our business and the countries where we operate, including those related to sustainability matters, as well as any changes to such legislation or regulations, in addition to new compliance obligations or a failure to maintain existing compliance requirements, may, if significant, affect our business, reputation, results of operations and financial condition.

Therefore, we cannot give assurances that credit will be available on terms that we consider attractive, or at all, if and when necessary or beneficial to us. 2025 ANNUAL REPORT 19 Legal and Regulatory Risks Legislation and regulations relating to our business and the countries where we operate, including those related to sustainability matters, as well as any changes to such legislation or regulations, in addition to new compliance obligations or a failure to maintain existing compliance requirements, may, if significant, affect our business, reputation, results of operations and financial condition.

Should the economic environment in our non-U.S. markets deteriorate from current levels, our results of operations and financial position could be materially impacted, including as a result of the effects of potential impairment write-downs of goodwill and/or other intangible assets related to these businesses. 14 SNAP-ON INCORPORATED The Russian invasion of Ukraine and the ongoing conflict in the region has led to sanctions and actions taken against Russia and Belarus by the United States, the United Kingdom, the European Union and others.

We have a substantial amount of goodwill and purchased intangible assets, almost all of which are booked in the Commercial & Industrial Group and in the Repair Systems & Information Group.

The recognition of impairment charges on goodwill or other intangible assets could adversely impact our future financial condition and results of operations. We have a substantial amount of goodwill and purchased intangible assets, almost all of which are booked in the Commercial & Industrial Group and in the Repair Systems & Information Group.

Exposure to credit risks of customers and resellers may make it difficult to collect receivables, and our allowances for credit losses for receivables may prove inadequate, which could adversely affec t our operating results and financial condition.

Adverse fluctuations in interest rates and/or our ability to provide competitive financing programs could also have an adverse impact on our revenue and profitability. 2025 ANNUAL REPORT 17 Exposure to credit risks of customers and resellers may make it difficult to collect receivables, and our allowances for credit losses for receivables may prove inadequate, which could adversely affec t our operating results and financial condition.

Since we may need to make additional contributions to address changes in obligations and/or a loss in plan assets, the combination of declining market interest rates, past or future plan asset investment losses, and/or changes in plan demographics could adversely impact our results of operations, financial condition and cash flows. 18 SNAP-ON INCORPORATED The company’s pension plan expense is comprised of the following factors: (i) service cost; (ii) interest on projected benefit obligations; (iii) expected return on plan assets; (iv) the amortization of prior service costs and credits; (v) effects of actuarial gains and losses; and (vi) settlement/curtailment costs, when applicable.

Moreover, since each distribution method has distinct risks and costs, our failure to implement the most advantageous balance in the delivery model for our products and services could adversely affect our revenue and profitability. 2024 ANNUAL REPORT 15 Data security and information technology infrastructure and security are critical to supporting business objectives; failure of our systems, as well as those of third parties with which we do business, to operate effectively could adversely affect our business and reputation.

Data security and information technology infrastructure and security are critical to supporting business objectives; failure of our systems, as well as those of third parties with which we do business, to operate effectively could adversely affect our business and reputation.

Failure to comply with any of these laws or regulations could also result in civil, criminal, monetary and/or non-monetary penalties, damage to our reputation, and/or require significant remediation costs. In recent years there has been increased public awareness, concern and focus on environmental and sustainability issues, including matters related to climate change, and we expect these trends to continue.

Expansion of the conflict or changes in governmental and/or third party responses or actions could adversely impact our business, results of operations and financial condition.

The Russian invasion of Ukraine and the ongoing conflict in the region has led to sanctions and actions taken against Russia and Belarus by the United States, the United Kingdom, the European Union and others. Expansion of the conflict or changes in governmental and/or third party responses or actions could adversely impact our business, results of operations and financial condition.

As previously disclosed, in 2022, the company experienced and responded to a cyber incident that did not have a significant impact on the results of our operations.

The company has experienced and responded to cyber incidents. No event has had a significant impact on the results of our operations.

In addition, various industry and third-party requirements or standards have been developed that are intended to reduce or mitigate climate change as well as other environmental or sustainability risks. Increased regulatory requirements or standards may result in increased compliance or input costs, including those related to energy or raw materials, for us and our suppliers.

New or increased regulatory requirements or standards may result in higher compliance or input costs, including those related to energy or raw materials, for us and our suppliers.

In addition, outbreaks of infectious diseases, weather events, armed conflicts, government actions (including those affecting trade) or other circumstances beyond our control could also impact the availability of raw materials and components. Physical risks of climate change may also impact the availability and cost of materials, sources and supply of energy and could also increase operating costs.

In addition, government actions (including those affecting trade), armed conflicts, weather events, outbreaks of infectious diseases or other circumstances beyond our control could also impact the availability of raw materials and components. 2025 ANNUAL REPORT 15 Raw materials, components and certain purchased finished goods can exhibit price and demand cyclicality, including as a result of tariffs, other trade protection measures, inflationary factors and supply chain inefficiencies.

We use various energy sources to transport, produce and distribute products, and some of our products have components that are petroleum based.

Unexpected variability associated with these and other factors has resulted, and in the future could result, in an increase in product costs and require Snap-on to increase prices or reduce costs to maintain margins. We use various energy sources to transport, produce and distribute products, and some of our products have components that are petroleum based.

Removed

Raw materials, components and certain purchased finished goods can exhibit price and demand cyclicality, including as a result of tariffs, other trade protection measures, inflationary factors, and supply chain inefficiencies. Associated unexpected variability has resulted, and in the future could result, in an increase in product costs and require Snap-on to increase prices or reduce costs to maintain margins.

Added

If our franchisees are not successful, or if we do not maintain an effective relationship with our franchisees, the delivery of products, the collection of receivables and/or our relationship with end users could be adversely affected and thereby negatively impact our business, financial condition, results of operations and cash flows.

Removed

Adverse fluctuations in interest rates and/or our ability to provide competitive financing programs could also have an adverse impact on our revenue and profitability.

Added

Starting in the first quarter of 2025, the United States government announced additional tariffs on goods imported into the U.S. from numerous countries and multiple nations countered with reciprocal tariffs and other actions in response.

Removed

The company’s pension plan expense is comprised of the following factors: (i) service cost; (ii) interest on projected benefit obligations; (iii) expected return on plan assets; (iv) the amortization of prior service costs and credits; (v) effects of actuarial gains and losses; and (vi) settlement/curtailment costs, when applicable.

Added

While Snap-on is relatively advantaged in the tariff environment, generally manufacturing products in the markets where they are sold, the company’s costs can be affected by trade policies.

Removed

See Note 11 to the Consolidated Financial Statements for additional information on the company’s pension plans. 18 SNAP-ON INCORPORATED The recognition of impairment charges on goodwill or other intangible assets could adversely impact our future financial condition and results of operations.

Added

Removed

Therefore, we cannot give assurances that credit will be available on terms that we consider attractive, or at all, if and when necessary or beneficial to us.

Added

Financial services businesses of all kinds are subject to significant and complex regulations and enforcement.

Removed

The current focus on these matters is resulting in additional and/or more restrictive regulations, such as the Corporate Sustainability Reporting Directive (CSRD) in the European Union and the currently stayed SEC regulations relating to climate change disclosures.

Added

Regulations, such as the Corporate Sustainability Reporting Directive (CSRD) in the European Union, as well as various industry and third-party requirements or standards have been developed that are intended to address environmental or sustainability risks.

Removed

For example, if significant increases in fuel economy requirements or changes to vehicle emissions requirements for internal combustion engine vehicles were imposed, there could be a decrease in demand for such vehicles and a reduction in miles driven, which could adversely impact the demand for certain of our products and services.

Added

Additionally, as a government contractor, purchasing regulations contain many operational requirements and a failure to comply with such requirements could result in civil and criminal penalties or other actions that could have a material adverse effect on the company’s reputation, business, financial condition and results of operations.

Added

Our operations expose us to the risk of environmental liabilities, costs, litigation and violations that could adversely affect our financial condition, results of operations and reputation.

Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

4 edited+1 added−1 removed18 unchanged

2025 filing

2026 filing

Biggest changeThe company’s cybersecurity program is designed to detect, contain and respond to cybersecurity threats and incidents in a prompt and effective manner with the primary goals of protecting information assets, preventing the misuse and loss of those assets, minimizing disruptions to the business, and establishing the basis for audits and risk assessments. 2024 ANNUAL REPORT 21 Elements of the cybersecurity program include: • A cross-functional approach to addressing and managing the risk from cybersecurity threats and incidents involving management personnel from operations, legal, risk, finance, information technology and other key business functions, and with oversight by the Board of Directors. • Collaboration mechanisms with public and private entities, including intelligence and enforcement agencies (such as the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency), industry groups, consultants and other third-party service providers to identify and assess cybersecurity risks. • Technical safeguards intended to protect the company’s information systems from cybersecurity threats, including data encryption, firewalls, threat monitoring, intrusion prevention and detection systems, anti-malware, access controls, privilege management, network segmentation, asset and end point management, and ongoing system security assessments. • Annual training for personnel regarding cybersecurity threats based on their roles, responsibilities, and levels of system access. • A risk-based approach to identifying and monitoring cybersecurity risks presented by third parties, such as vendors and service providers, that includes periodic assessments. • A data incident response plan that addresses the company’s response to a cybersecurity threat or incident.

Biggest changeElements of the cybersecurity program include: • A cross-functional approach to addressing and managing the risk from cybersecurity threats and incidents involving management personnel from operations, legal, risk, finance, information technology and other key business functions, and with oversight by the Board of Directors. • Collaboration mechanisms with public and private entities, including intelligence and enforcement agencies (such as the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency), industry groups, consultants and other third-party service providers to identify and assess cybersecurity risks. • Technical safeguards intended to protect the company’s information systems from cybersecurity threats, including data encryption, firewalls, threat monitoring, intrusion prevention and detection systems, anti-malware, access controls, privilege management, network segmentation, asset and end point management, and ongoing system security assessments. • Annual training for personnel regarding cybersecurity threats based on their roles, responsibilities, and levels of system access. • A risk-based approach to identifying and monitoring cybersecurity risks presented by third parties, such as vendors and service providers, that includes periodic assessments. • A data incident response plan that addresses the company’s response to a cybersecurity threat or incident.

The VP of IT has served in information technology leadership roles at Snap-on for over 13 years. In addition to regularly updating senior management on information security matters as part of the company’s quarterly business review process, the CIO provides a dedicated presentation to the Board of Directors on information security matters at least once per year.

The VP of IT has served in information technology leadership roles at Snap-on for over 14 years. In addition to regularly updating senior management on information security matters as part of the company’s quarterly business review process, the CIO provides a dedicated presentation to the Board of Directors on information security matters at least once per year.

The Incident Response Team also coordinates communications with internal and external stakeholders. 22 SNAP-ON INCORPORATED The Incident Response Team leads the materiality assessment with input and guidance from senior management, including the Chief Executive Officer, Chief Financial Officer, and Chief Accounting Officer.

The Incident Response Team also coordinates communications with internal and external stakeholders. The Incident Response Team leads the materiality assessment with input and guidance from senior management, including the Chief Executive Officer, Chief Financial Officer, and Chief Accounting Officer.

In addition, the company has established a data incident response plan, which provides employees with the process and mechanism to report any suspected or confirmed cybersecurity threat or data incident.

The company’s Internal Audit function also annually evaluates compliance with the company’s overall information technology policies, and the Director of Internal Audit reports the results of these assessments to the Audit Committee. 22 SNAP-ON INCORPORATED In addition, the company has established a data incident response plan, which provides employees with the process and mechanism to report any suspected or confirmed cybersecurity threat or data incident.

Removed

The company’s Internal Audit function also annually evaluates compliance with the company’s overall information technology policies, and the Vice President of Internal Audit reports the results of these assessments to the Audit Committee.

Added

The company’s cybersecurity program is designed to detect, contain and respond to cybersecurity threats and incidents in a prompt and effective manner with the primary goals of protecting information assets, preventing the misuse and loss of those assets, minimizing disruptions to the business, and establishing the basis for audits and risk assessments.

Item 2. Properties

Properties — owned and leased real estate

3 edited+0 added−0 removed3 unchanged

2025 filing

2026 filing

Biggest changeLocations: Santo Tome, Argentina Manufacturing Owned C&I New South Wales, Australia Distribution and financial services Leased SOT, FS Minsk, Belarus Manufacturing Owned C&I Santa Bárbara d’Oeste, Brazil Manufacturing and distribution Owned RS&I Calgary, Canada Distribution Leased SOT Mississauga, Canada Distribution Leased SOT, RS&I Beijing, China Manufacturing and distribution Leased C&I Kunshan, China Manufacturing Owned C&I Xiaoshan, China Manufacturing Owned C&I Banbury, England Manufacturing and distribution Owned C&I Bramley, England Manufacturing Owned C&I Kettering, England Distribution and financial services Owned and leased SOT, C&I, FS Bauge-en-Anjou, France Manufacturing Owned C&I Sopron, Hungary Manufacturing Owned RS&I Correggio, Italy Manufacturing Owned RS&I Tokyo, Japan Distribution Leased C&I Helmond, Netherlands Distribution Owned C&I Vila do Conde, Portugal Manufacturing Owned C&I Irun, Spain Manufacturing Owned C&I Placencia, Spain Manufacturing Owned C&I Vitoria, Spain Manufacturing and distribution Owned C&I Edsbyn, Sweden Manufacturing Owned C&I Kungsör, Sweden Manufacturing and distribution Owned RS&I Lidköping, Sweden Manufacturing Owned C&I * Segment abbreviations: C&I – Commercial & Industrial Group SOT – Snap-on Tools Group RS&I – Repair Systems & Information Group FS – Financial Services 24 SNAP-ON INCORPORATED

Biggest changeLocations: Santo Tome, Argentina Manufacturing Owned C&I New South Wales, Australia Distribution and financial services Leased SOT, FS Minsk, Belarus Manufacturing Owned C&I Santa Bárbara d’Oeste, Brazil Manufacturing and distribution Owned RS&I Calgary, Canada Distribution Leased SOT Mississauga, Canada Distribution Leased SOT, RS&I Hangzhou, China Manufacturing Leased C&I Kunshan, China Manufacturing Owned C&I Banbury, England Manufacturing and distribution Owned C&I Bramley, England Manufacturing Owned C&I Kettering, England Distribution and financial services Owned and leased SOT, C&I, FS Bauge-en-Anjou, France Manufacturing Owned C&I Sopron, Hungary Manufacturing Owned RS&I Correggio, Italy Manufacturing Owned and leased RS&I Tokyo, Japan Distribution Leased C&I Helmond, Netherlands Distribution Owned C&I Vila do Conde, Portugal Manufacturing Owned C&I Irun, Spain Manufacturing Owned C&I Placencia, Spain Manufacturing Owned C&I Vitoria, Spain Manufacturing and distribution Owned C&I Edsbyn, Sweden Manufacturing Owned C&I Kungsör, Sweden Manufacturing and distribution Owned RS&I Lidköping, Sweden Manufacturing Owned and leased C&I * Segment abbreviations: C&I – Commercial & Industrial Group SOT – Snap-on Tools Group RS&I – Repair Systems & Information Group FS – Financial Services 24 SNAP-ON INCORPORATED

Snap-on management continually monitors the company’s capacity needs and makes adjustments as dictated by market and other conditions. 2024 ANNUAL REPORT 23 The following table provides information about our corporate headquarters and financial services operations, and each of Snap-on’s principal active manufacturing locations, distribution centers and software development locations (exceeding 50,000 square feet) as of 2024 year end: Location Principal Property Use Owned/Leased Segment* U.S.

Snap-on management continually monitors the company’s capacity needs and makes adjustments as dictated by market and other conditions. 2025 ANNUAL REPORT 23 The following table provides information about our corporate headquarters and financial services operations, and each of Snap-on’s principal active manufacturing locations, distribution centers and software development locations (exceeding 50,000 square feet) as of 2025 year end: Location Principal Property Use Owned/Leased Segment* U.S.

Snap-on’s facilities in the United States occupy approximately 4.5 million square feet, of which 71% is owned, including its corporate and general office facility located in Kenosha, Wisconsin. Snap-on’s facilities outside the United States occupy approximately 4.5 million square feet, of which approximately 72% is owned. Certain Snap-on facilities are leased through operating and finance lease agreements.

Snap-on’s facilities in the United States occupy approximately 4.5 million square feet, of which 71% is owned, including its corporate and general office facility located in Kenosha, Wisconsin. Snap-on’s facilities outside the United States occupy approximately 4.0 million square feet, of which approximately 71% is owned. Certain Snap-on facilities are leased through operating and finance lease agreements.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

6 edited+0 added−0 removed8 unchanged

2025 filing

2026 filing

Biggest changePeriod Shares purchased Average price per share Shares purchased as part of publicly announced plans or programs Approximate value of shares that may yet be purchased under publicly announced plans or programs* (in millions) 09/29/24 to 10/26/24 21,000 $ 324.26 21,000 $ 493.6 10/27/24 to 11/23/24 157,000 350.74 157,000 460.0 11/24/24 to 12/28/24 137,000 355.49 137,000 429.4 Total/Average 315,000 351.04 315,000 N/A N/A: Not applicable * Subject to further adjustment pursuant to the 1996 Authorization described below, as of December 28, 2024, the approximate value of shares that may yet be purchased pursuant to the outstanding Board authorizations discussed below is $429.4 million. • In 1996, the Board authorized the company to repurchase shares of the company’s common stock periodically in the open market or in privately negotiated transactions (“the 1996 Authorization”).

Biggest changePeriod Shares purchased Average price per share Shares purchased as part of publicly announced plans or programs Approximate value of shares that may yet be purchased under publicly announced plans or programs* (in millions) 09/28/2025 to 10/25/2025 50,000 $ 343.96 50,000 $ 293.9 10/26/2025 to 11/22/2025 85,000 338.65 85,000 266.3 11/23/2025 to 01/03/2026 92,000 346.97 92,000 260.0 Total/Average 227,000 343.19 227,000 N/A N/A: Not applicable * Subject to further adjustment pursuant to the 1996 Authorization described below, as of January 3, 2026, the approximate value of shares that may yet be purchased pursuant to the outstanding Board authorizations discussed below is $260.0 million. • In 1996, the Board authorized the company to repurchase shares of the company’s common stock periodically in the open market or in privately negotiated transactions (“the 1996 Authorization”).

The 2024 Authorization will expire when the aggregate repurchase price limit is met, unless terminated earlier by the Board. 2024 ANNUAL REPORT 25 Other Purchases or Sales of Equity Securities The following chart discloses information regarding transactions by a counterparty in shares of Snap-on’s common stock during the fourth quarter of fiscal 2024 pursuant to a prepaid equity forward agreement (the “Agreement”) that is intended to reduce the impact of market risk associated with the stock-based portion of the company’s deferred compensation plans.

The 2024 Authorization will expire when the aggregate repurchase price limit is met, unless terminated earlier by the Board. 2025 ANNUAL REPORT 25 Other Purchases or Sales of Equity Securities The following chart discloses information regarding transactions by a counterparty in shares of Snap-on’s common stock during the fourth quarter of fiscal 2025 pursuant to a prepaid equity forward agreement (the “Agreement”) that is intended to reduce the impact of market risk associated with the stock-based portion of the company’s deferred compensation plans.

Issuer Purchases of Equity Securities The following chart discloses information regarding the shares of Snap-on’s common stock repurchased by the company during the fourth quarter of fiscal 2024, all of which were purchased pursuant to the Board’s authorizations that the company has publicly announced.

Issuer Purchases of Equity Securities The following chart discloses information regarding the shares of Snap-on’s common stock repurchased by the company during the fourth quarter of fiscal 2025, all of which were purchased pursuant to the Board’s authorizations that the company has publicly announced.

Item 5: Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Snap-on had 52,381,673 shares of common stock outstanding as of 2024 year end. Snap-on’s stock is listed on the New York Stock Exchange under the ticker symbol “SNA.” At February 7, 2025, there were 3,836 registered holders of Snap-on common stock.

Item 5: Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Snap-on had 51,867,055 shares of common stock outstanding as of 2025 year end. Snap-on’s stock is listed on the New York Stock Exchange under the ticker symbol “SNA.” At February 6, 2026, there were 3,636 registered holders of Snap-on common stock.

Period Shares Purchased (Sold) Average Price per Share 09/29/24 to 10/26/24 (9,500) $ 325.27 10/27/24 to 11/23/24 — — 11/24/24 to 12/28/24 400 361.00 Total/Average (9,100) 326.71 26 SNAP-ON INCORPORATED Five-year Stock Performance Graph The graph below illustrates the cumulative total shareholder return on Snap-on common stock since December 31, 2019, of a $100 investment, assuming that dividends were reinvested quarterly.

Period Shares Purchased Average Price per Share 09/28/2025 to 10/25/2025 — $ — 10/26/2025 to 11/22/2025 — — 11/23/2025 to 01/03/2026 500 348.71 Total/Average 500 348.71 26 SNAP-ON INCORPORATED Five-year Stock Performance Graph The graph below illustrates the cumulative total shareholder return on Snap-on common stock since December 31, 2020, of a $100 investment, assuming that dividends were reinvested quarterly.

Fiscal Year Ended* Snap-on Incorporated S&P 500 Industrials S&P 500 December 31, 2019 $ 100.00 $ 100.00 $ 100.00 December 31, 2020 104.01 111.06 118.40 December 31, 2021 134.00 134.52 152.39 December 31, 2022 145.95 127.15 124.79 December 31, 2023 189.28 150.20 157.59 December 31, 2024 228.34 176.44 197.02 * The company’s fiscal year ends on the Saturday that is on or nearest to December 31 of each year; for ease of calculation, the fiscal year end is assumed to be December 31.

Fiscal Year Ended* Snap-on Incorporated S&P 500 Industrials S&P 500 December 31, 2020 $ 100.00 $ 100.00 $ 100.00 December 31, 2021 128.84 121.12 128.71 December 31, 2022 140.33 114.48 105.40 December 31, 2023 181.99 135.24 133.10 December 31, 2024 219.55 158.87 166.40 December 31, 2025 228.88 189.72 196.16 * The company’s fiscal year ends on the Saturday that is on or nearest to December 31 of each year; for ease of calculation, the fiscal year end is assumed to be December 31.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

148 edited+24 added−16 removed53 unchanged

2025 filing

2026 filing

Biggest changeQuarterly Data 2024 ANNUAL REPORT 35 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) (Amounts in millions, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total 2024 Net sales $ 1,182.3 $ 1,179.4 $ 1,147.0 $ 1,198.7 $ 4,707.4 Gross profit 596.7 597.3 587.8 596.1 2,377.9 Financial services revenue 99.6 100.5 100.4 100.5 401.0 Financial services expenses (31.3) (30.3) (28.7) (33.8) (124.1) Net earnings 269.6 277.6 257.5 264.2 1,068.9 Net earnings attributable to Snap-on Incorporated 263.5 271.2 251.1 258.1 1,043.9 Earnings per share – basic* 4.99 5.15 4.77 4.92 19.85 Earnings per share – diluted* 4.91 5.07 4.70 4.82 19.51 Cash dividends paid per share 1.86 1.86 1.86 2.14 7.72 First Quarter Second Quarter Third Quarter Fourth Quarter Total 2023 Net sales $ 1,183.0 $ 1,191.3 $ 1,159.3 $ 1,196.6 $ 4,730.2 Gross profit 589.6 603.7 578.2 577.6 2,349.1 Financial services revenue 92.6 93.4 94.9 97.2 378.1 Financial services expenses (26.3) (26.5) (25.5) (29.3) (107.6) Net earnings 254.3 269.9 249.1 261.3 1,034.6 Net earnings attributable to Snap-on Incorporated 248.7 264.0 243.1 255.3 1,011.1 Earnings per share – basic* 4.69 4.98 4.60 4.84 19.11 Earnings per share – diluted* 4.60 4.89 4.51 4.75 18.76 Cash dividends paid per share 1.62 1.62 1.62 1.86 6.72 * Amounts may not total to annual earnings per share because each quarter and year are calculated separately based on basic and diluted weighted-average common shares outstanding during each respective period. 36 SNAP-ON INCORPORATED Fourth Quarter Results of operations for the fourth quarters of 2024 and 2023 are as follows: Fourth Quarter (Amounts in millions) 2024 2023 Change Net sales $ 1,198.7 100.0 % $ 1,196.6 100.0 % $ 2.1 0.2 % Cost of goods sold (602.6) (50.3) % (619.0) (51.7) % 16.4 2.6 % Gross profit 596.1 49.7 % 577.6 48.3 % 18.5 3.2 % Operating expenses (330.9) (27.6) % (319.7) (26.7) % (11.2) (3.5) % Operating earnings before financial services 265.2 22.1 % 257.9 21.6 % 7.3 2.8 % Financial services revenue 100.5 100.0 % 97.2 100.0 % 3.3 3.4 % Financial services expenses (33.8) (33.6) % (29.3) (30.1) % (4.5) (15.4) % Operating earnings from financial services 66.7 66.4 % 67.9 69.9 % (1.2) (1.8) % Operating earnings 331.9 25.5 % 325.8 25.2 % 6.1 1.9 % Interest expense (12.3) (0.9) % (12.5) (1.0) % 0.2 1.6 % Other income (expense) – net 19.6 1.5 % 17.5 1.4 % 2.1 12.0 % Earnings before income taxes 339.2 26.1 % 330.8 25.6 % 8.4 2.5 % Income tax expense (75.0) (5.8) % (69.5) (5.4) % (5.5) (7.9) % Net earnings 264.2 20.3 % 261.3 20.2 % 2.9 1.1 % Net earnings attributable to noncontrolling interests (6.1) (0.4) % (6.0) (0.5) % (0.1) (1.7) % Net earnings attributable to Snap-on Inc. $ 258.1 19.9 % $ 255.3 19.7 % $ 2.8 1.1 % Percentage Disclosure: All income statement line item percentages below “Operating earnings from financial services” are calculated as a percentage of the sum of Net sales and Financial services revenue.

Biggest changeThe year-over-year increase primarily reflects the benefits from the legal payments received in 2024. 2025 ANNUAL REPORT 35 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Quarterly Data (Amounts in millions, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total 2025 Net sales $ 1,141.1 $ 1,179.4 $ 1,190.8 $ 1,231.9 $ 4,743.2 Gross profit 578.5 595.5 605.9 605.5 2,385.4 Financial services revenue 102.1 101.7 101.1 108.0 412.9 Financial services expenses (31.8) (33.5) (32.2) (33.6) (131.1) Net earnings 246.7 256.8 271.8 267.0 1,042.3 Net earnings attributable to Snap-on Incorporated 240.5 250.3 265.4 260.7 1,016.9 Earnings per share – basic* 4.59 4.80 5.09 5.02 19.52 Earnings per share – diluted* 4.51 4.72 5.02 4.94 19.19 Cash dividends paid per share 2.14 2.14 2.14 2.44 8.86 First Quarter Second Quarter Third Quarter Fourth Quarter Total 2024 Net sales $ 1,182.3 $ 1,179.4 $ 1,147.0 $ 1,198.7 $ 4,707.4 Gross profit 596.7 597.3 587.8 596.1 2,377.9 Financial services revenue 99.6 100.5 100.4 100.5 401.0 Financial services expenses (31.3) (30.3) (28.7) (33.8) (124.1) Net earnings 269.6 277.6 257.5 264.2 1,068.9 Net earnings attributable to Snap-on Incorporated 263.5 271.2 251.1 258.1 1,043.9 Earnings per share – basic* 4.99 5.15 4.77 4.92 19.85 Earnings per share – diluted* 4.91 5.07 4.70 4.82 19.51 Cash dividends paid per share 1.86 1.86 1.86 2.14 7.72 * Amounts may not total to annual earnings per share because each quarter and year are calculated separately based on basic and diluted weighted-average common shares outstanding during each respective period. 36 SNAP-ON INCORPORATED Fourth Quarter Results of operations for the fourth quarters of 2025 and 2024 are as follows: Fourth Quarter (Amounts in millions) 2025 2024 Change Net sales $ 1,231.9 100.0 % $ 1,198.7 100.0 % $ 33.2 2.8 % Cost of goods sold (626.4) (50.8) % (602.6) (50.3) % (23.8) (3.9) % Gross profit 605.5 49.2 % 596.1 49.7 % 9.4 1.6 % Operating expenses (340.3) (27.7) % (330.9) (27.6) % (9.4) (2.8) % Operating earnings before financial services 265.2 21.5 % 265.2 22.1 % — — % Financial services revenue 108.0 100.0 % 100.5 100.0 % 7.5 7.5 % Financial services expenses (33.6) (31.1) % (33.8) (33.6) % 0.2 0.6 % Operating earnings from financial services 74.4 68.9 % 66.7 66.4 % 7.7 11.5 % Operating earnings 339.6 25.3 % 331.9 25.5 % 7.7 2.3 % Interest expense (13.4) (1.0) % (12.3) (0.9) % (1.1) (8.9) % Other income (expense) – net 15.7 1.2 % 19.6 1.5 % (3.9) (19.9) % Earnings before income taxes 341.9 25.5 % 339.2 26.1 % 2.7 0.8 % Income tax expense (74.9) (5.6) % (75.0) (5.8) % 0.1 0.1 % Net earnings 267.0 19.9 % 264.2 20.3 % 2.8 1.1 % Net earnings attributable to noncontrolling interests (6.3) (0.4) % (6.1) (0.4) % (0.2) (3.3) % Net earnings attributable to Snap-on Incorporated $ 260.7 19.5 % $ 258.1 19.9 % $ 2.6 1.0 % Percentage Disclosure: All income statement line item percentages below “Operating earnings from financial services” are calculated as a percentage of the sum of Net sales and Financial services revenue.

The Commercial & Industrial Group intends to focus on the following strategic priorities in 2025: • Expanding our business with existing customers and reaching new customers in critical industries and other market segments; • Leveraging our investments in emerging markets to support growth initiatives; • Broadening our product offering designed particularly for critical industry segments; • Increasing our customer-connection-driven understanding of work across multiple industries; • Investing in innovation that, guided by that understanding of work, delivers an ongoing stream of productivity-enhancing custom-engineered solutions; and • Continuing to reduce structural and operating costs, as well as improve efficiencies, through RCI initiatives.

The Commercial & Industrial Group intends to focus on the following strategic priorities in 2026: • Expanding our business with existing customers and reaching new customers in critical industries and other market segments; • Leveraging our investments in emerging markets to support growth initiatives; • Broadening our product offering designed particularly for critical industry segments; • Increasing our customer-connection-driven understanding of work across multiple industries; • Investing in innovation that, guided by that understanding of work, delivers an ongoing stream of productivity-enhancing custom-engineered solutions; and • Continuing to reduce structural and operating costs, as well as improve efficiencies, through RCI initiatives.

We expect to continue to deploy these processes in our existing operations as well as into our recently acquired businesses. Snap-on’s RCI initiatives employ a structured set of tools and processes across multiple businesses and geographies intended to eliminate waste and improve operations.

We expect to continue to deploy these processes in our existing operations as well as into our more recently acquired businesses. Snap-on’s RCI initiatives employ a structured set of tools and processes across multiple businesses and geographies intended to eliminate waste and improve operations.

The segment net sales of the Snap-on Tools Group reflect external net sales, while the segment net sales of the Commercial & Industrial Group and the Repair Systems & Information Group include both external and intersegment net sales. Snap-on accounts for intersegment net sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments.

Financial Services consists of the business operations of Snap-on’s finance subsidiaries. Snap-on evaluates the performance of the Commercial & Industrial Group, the Snap-on Tools Group and the Repair Systems & Information Group operating segments based on segment net sales and segment operating earnings.

Financial Services consists of the business operations of Snap-on’s finance subsidiaries. The CODM evaluates the performance of the Commercial & Industrial Group, the Snap-on Tools Group and the Repair Systems & Information Group operating segments based on segment net sales and segment operating earnings.

The Snap-on Tools Group intends to focus on the following strategic priorities in 2025: • Enhancing franchisee sales productivity, profitability, commercial health, and satisfaction; • Developing new programs and products to match current technician preferences, reaching new customers and increasing penetration with existing customers; • Expanding investment in new product innovation and development; and • Improving customer service levels and productivity in back office support functions, manufacturing and the supply chain through RCI initiatives and capacity investment.

The Snap-on Tools Group intends to focus on the following strategic priorities in 2026: • Enhancing franchisee sales productivity, profitability, commercial health, and satisfaction; • Developing new programs and products to match current technician preferences, reaching new customers and increasing penetration with existing customers; • Expanding investment in new product innovation and development; and • Improving customer service levels and productivity in back office support functions, manufacturing and the supply chain through RCI initiatives and capacity investment.

As of 2024 year end, Snap-on’s domestic pension plans’ assets comprised approximately 86% of the company’s worldwide pension plan assets. 48 SNAP-ON INCORPORATED Based on forward-looking capital market expectations, Snap-on selected an expected return on plan assets assumption for its U.S. pension plans of 7.5%, the same rate used in 2024, to be used in determining pension expense for 2025.

As of 2025 year end, Snap-on’s domestic pension plans’ assets comprised approximately 86% of the company’s worldwide pension plan assets. 48 SNAP-ON INCORPORATED Based on forward-looking capital market expectations, Snap-on selected an expected return on plan assets assumption for its U.S. pension plans of 7.5%, the same rate used in 2025, to be used in determining pension expense for 2026.

In 2024, the long-term investment performance objective for Snap-on’s domestic plans’ assets was to achieve net of expense returns that met or exceeded the 7.5% domestic expected return on plan assets assumption. Snap-on uses a three-year, market-related value asset method of amortizing the difference between actual and expected returns on its domestic plans’ assets.

In 2025, the long-term investment performance objective for Snap-on’s domestic plans’ assets was to achieve net of expense returns that met or exceeded the 7.5% domestic expected return on plan assets assumption. Snap-on uses a three-year, market-related value asset method of amortizing the difference between actual and expected returns on its domestic plans’ assets.

Financial Services intends to focus on the following strategic priorities in 2025: • Delivering financial products and services that attract and sustain profitable franchisees and support Snap‑on’s strategies for expanding market coverage and penetration; • Improving productivity levels and ensuring high quality in all financial products and processes through the use of RCI initiatives; and • Maintaining healthy portfolio performance levels.

Financial Services intends to focus on the following strategic priorities in 2026: • Delivering financial products and services that attract and sustain profitable franchisees and support Snap‑on’s strategies for expanding market coverage and penetration; • Improving productivity levels and ensuring high quality in all financial products and processes through the use of RCI initiatives; and • Maintaining healthy portfolio performance levels.

Based on the company’s second quarter 2024 impairment testing, and assuming a hypothetical 10% decrease in the estimated fair values of each of its 11 reporting units, the hypothetical fair value of each of the company’s 11 reporting units would have been greater than its carrying value. See Note 7 to the Consolidated Financial Statements for additional information about goodwill.

Based on the company’s second quarter 2025 impairment testing, and assuming a hypothetical 10% decrease in the estimated fair values of each of its 11 reporting units, the hypothetical fair value of each of the company’s 11 reporting units would have been greater than its carrying value. See Note 7 to the Consolidated Financial Statements for additional information about goodwill.

See Note 11 to the Consolidated Financial Statements for additional information on pension plans. 2024 ANNUAL REPORT 49 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Outlook We believe that our markets and our operations possess and have demonstrated continuing and considerable resilience against the uncertainties of the current environment.

See Note 11 to the Consolidated Financial Statements for additional information on pension plans. 2025 ANNUAL REPORT 49 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Outlook We believe that our markets and our operations possess and have demonstrated continuing and considerable resilience against the uncertainties of the current environment.

Our strategic priorities and plans for 2025 also involve continuing to build on our Snap-on Value Creation Processes – our suite of strategic principles and processes we employ every day designed to create value, and employed in the areas of safety, quality, customer connection, innovation and Rapid Continuous Improvement (“RCI”).

Our strategic priorities and plans for 2026 also involve continuing to build on our Snap-on Value Creation Processes – our suite of strategic principles and processes we employ every day designed to create value, and employed in the areas of safety, quality, customer connection, innovation and Rapid Continuous Improvement (“RCI”).

The selection of the 5.6% weighted-average discount rate for Snap-on’s domestic pension plans as of 2024 year end (compared to 5.5% as of 2023 year end) represents the single rate that produces the same present value of cash flows as the estimated benefit plan payments.

The selection of the 5.5% weighted-average discount rate for Snap-on’s domestic pension plans as of 2025 year end (compared to 5.6% as of 2024 year end) represents the single rate that produces the same present value of cash flows as the estimated benefit plan payments.

The allowance represents management’s estimate of the expected losses in the company’s finance receivables portfolio based on ongoing assessments and evaluations of credit losses over the remaining contractual life of the receivables portfolio considering collectability, historical loss experience, current conditions and future market changes.

In pursuit of these initiatives, we project that capital expenditures in 2025 will approximate $100 million. Snap-on currently anticipates that its full-year 2025 effective income tax rate will be in the range of 22% to 23%. 50 SNAP-ON INCORPORATED

In pursuit of these initiatives, we project that capital expenditures in 2026 will approximate $100 million. Snap-on currently anticipates that its full-year 2026 effective income tax rate will be in the range of 22% to 23%. 50 SNAP-ON INCORPORATED

The company’s methodologies for valuing goodwill are applied consistently on a year-over-year basis; the assumptions used in performing the second quarter 2024 impairment calculations were evaluated in light of then-current market and business conditions.

The company’s methodologies for valuing goodwill are applied consistently on a year-over-year basis; the assumptions used in performing the second quarter 2025 impairment calculations were evaluated in light of then-current market and business conditions.

Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2025; see Note 11 and Note 12 to the Consolidated Financial Statements for information on the company’s benefit plans and payments.

Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2026; see Note 11 and Note 12 to the Consolidated Financial Statements for information on the company’s benefit plans and payments.

The domestic discount rate as of 2024 and 2023 year end was selected based on a cash flow matching methodology developed by the company’s outside actuaries that incorporates a review of current economic conditions.

The domestic discount rate as of 2025 and 2024 year end was selected based on a cash flow matching methodology developed by the company’s outside actuaries that incorporates a review of current economic conditions.

Determination of the proper level of allowance requires management to exercise judgment about the timing, frequency and severity of credit losses that could materially affect the provision for credit losses and, as a result, net earnings.

To determine the 2025 net periodic benefit cost, Snap-on is using weighted-average discount rates for its domestic and foreign pension plans of 5.6% and 4.6%, respectively, and an expected return on plan assets for its domestic pension plans of 7.5%. The expected returns on plan assets for foreign pension plans ranged from 2.2% to 6.4% as of 2024 year end.

To determine the 2026 net periodic benefit cost, Snap-on is using weighted-average discount rates for its domestic and foreign pension plans of 5.5% and 4.9%, respectively, and an expected return on plan assets for its domestic pension plans of 7.5%. The expected returns on plan assets for foreign pension plans ranged from 2.2% to 6.7% as of 2025 year end.

Snap-on completed its annual impairment testing of goodwill in the second quarter of 2024, the results of which did not result in any impairment. As of 2024 year end, the company has no accumulated impairment losses.

Snap-on completed its annual impairment testing of goodwill in the second quarter of 2025, the results of which did not result in any impairment. As of 2025 year end, the company has no accumulated impairment losses.

Due to the uncertainty of the timing of settlements with taxing authorities, Snap-on is unable to make reasonably reliable estimates of the period of cash settlement of unrecognized tax benefits totaling $6.6 million for its remaining uncertain tax liabilities. See Note 8 to the Consolidated Financial Statements for information on income taxes.

Due to the uncertainty of the timing of settlements with taxing authorities, Snap-on is unable to make reasonably reliable estimates of the period of cash settlement of unrecognized tax benefits totaling $7.4 million for its remaining uncertain tax liabilities. See Note 8 to the Consolidated Financial Statements for information on income taxes.

Net cash used by investing activities of $204.1 million in 2024 included additions to finance receivables of $966.0 million, which were partially offset by collections of $837.8 million.

Net cash used by investing activities of $204.1 million in 2024 included additions to finance receivables of $966.0 million, partially offset by collections of $837.8 million.

In 2025, Snap-on expects to make ongoing progress along its decisive runways for coherent growth, leveraging capabilities already proven in the automotive repair arena, developing and expanding its professional customer base, not only in automotive repair, but in adjacent markets, additional geographies and other areas, including extending in critical industries, where the cost and penalties for failure can be high.

Snap-on expects to make ongoing progress along its decisive runways for coherent growth, leveraging capabilities already proven in the automotive repair arena, developing and expanding its professional customer base, not only in automotive repair, but in adjacent markets, additional geographies and other areas, including extending in critical industries, where the cost and penalties for failure are high.

Due to Snap-on’s credit rating over the years, external funds have been available at an acceptable cost. As of February 7, 2025, Snap-on’s long-term debt and commercial paper were rated, respectively: A2 and P-1 by Moody’s Investors Service; A- and A-2 by Standard & Poor’s; and A and F1 by Fitch Ratings.

Due to Snap-on’s credit rating over the years, external funds have been available at an acceptable cost. As of February 6, 2026, Snap-on’s long-term debt and commercial paper were rated, respectively: A2 and P-1 by Moody’s Investors Service; A- and A-2 by Standard & Poor’s; and A and F1 by Fitch Ratings.

As of 2024 year end, Snap-on was in compliance with all covenants of its Credit Facility and other debt agreements. Snap-on believes it has sufficient available cash and access to both committed and uncommitted credit facilities to cover its expected funding needs on both a short-term and long-term basis.

As of 2025 year end, Snap-on was in compliance with all covenants of its Credit Facility and other debt agreements. 44 SNAP-ON INCORPORATED Snap-on believes it has sufficient available cash and access to both committed and uncommitted credit facilities to cover its expected funding needs on both a short-term and long-term basis.

Fiscal 2023 as Compared to Fiscal 2022 A discussion regarding our financial condition and results of operations for fiscal 2023 compared to fiscal 2022 can be found under “Part II, Item 7: Management’s Discussion and Analysis of Financial Condition and Results of Operations,” in our Annual Report on the Form 10-K for the fiscal year ended December 30, 2023, which was filed with the SEC on February 16, 2024, and is available on the SEC’s website at www.sec.gov as well as in the “Investors” section of our website at www.snapon.com .

Fiscal 2024 as Compared to Fiscal 2023 A discussion regarding our financial condition and results of operations for fiscal 2024 compared to fiscal 2023 can be found under “Part II, Item 7: Management’s Discussion and Analysis of Financial Condition and Results of Operations,” in our Annual Report on the Form 10-K for the fiscal year ended December 28, 2024, which was filed with the SEC on February 13, 2025, and is available on the SEC’s website at www.sec.gov as well as in the “Investors” section of our website at www.snapon.com .

New Accounting Standards See Note 1 to the Consolidated Financial Statements for information on new accounting standards. Critical Accounting Policies and Estimates The Consolidated Financial Statements and related notes contain information that is pertinent to management’s discussion and analysis.

New Accounting Standards See Note 1 to the Consolidated Financial Statements for information on new accounting standards. 46 SNAP-ON INCORPORATED Critical Accounting Policies and Estimates The Consolidated Financial Statements and related notes contain information that is pertinent to management’s discussion and analysis.

The weighted-average discount rate for Snap-on’s foreign pension plans of 4.6% (compared to 4.3% as of 2023 year end) represents the single rate that produces the same present value of cash flows as the estimated benefit plan payments.

The weighted-average discount rate for Snap-on’s foreign pension plans of 4.9% (compared to 4.6% as of 2024 year end) represents the single rate that produces the same present value of cash flows as the estimated benefit plan payments.

Of the $1,360.5 million of cash and cash equivalents as of 2024 year end, $494.1 million was held outside of the United States. Snap-on maintains non-U.S. funds in its foreign operations to: (i) provide adequate working capital; (ii) satisfy various regulatory requirements; and/or (iii) take advantage of business expansion opportunities as they arise.

Of the $1,624.5 million of cash and cash equivalents as of 2025 year end, $548.5 million was held outside of the United States. Snap-on maintains non-U.S. funds in its foreign operations to: (i) provide adequate working capital; (ii) satisfy various regulatory requirements; and/or (iii) take advantage of business expansion opportunities as they arise.

Snap-on believes that its cash generated from operations, available cash on hand, and funds available from its credit facilities, will be sufficient to fund the company’s additional share repurchases, if any. Snap-on has paid consecutive quarterly cash dividends, without interruption or reduction, since 1939. Cash dividends paid in 2024 and 2023 totaled $406.4 million and $355.6 million, respectively.

Snap-on believes that its cash generated from operations, available cash on hand, and funds available from its credit facilities, will be sufficient to fund the company’s additional share repurchases, if any. Snap-on has paid consecutive quarterly cash dividends, without interruption or reduction, since 1939. Cash dividends paid in 2025 and 2024 totaled $462.2 million and $406.4 million, respectively.

Days sales outstanding (trade and other accounts receivable – net as of the respective period end, divided by the respective trailing 12 months of sales, times 360 days) was 62 days and 60 days at the respective 2024 and 2023 year ends.

Days sales outstanding (trade and other accounts receivable – net as of the respective period end, divided by the respective trailing 12 months of sales, times 360 days) was 67 days and 62 days at the respective 2025 and 2024 year ends.

Changes in economic conditions and assumptions, including the resulting credit quality metrics relative to the performance of the finance receivables portfolio, create uncertainty and could result in changes to both the allowance for credit losses and provision for credit losses.

Changes in economic conditions and assumptions, including the resulting credit quality metrics relative to the performance of the finance receivables portfolio, create uncertainty and could result in changes to both the allowances for credit losses and provisions for credit losses.

Lowering the expected rate of return assumption for Snap-on’s domestic pension plans’ assets by 50 bps would have increased Snap-on’s 2024 domestic pension expense by approximatel y $6.0 million. The objective of Snap-on’s discount rate assumption is to reflect the rate at which the pension benefits could be effectively settled.

Lowering the expected rate of return assumption for Snap-on’s domestic pension plans’ assets by 50 bps would have increased Snap-on’s 2025 domestic pension expense by approximatel y $5.4 million. The objective of Snap-on’s discount rate assumption is to reflect the rate at which the pension benefits could be effectively settled.

Management utilizes established policies and procedures in an effort to ensure the estimates and assumptions are well controlled, reviewed and consistently applied. As of December 28, 2024, the ratio of the allowance for credit losses to finance receivables was 3.63%. As of December 30, 2023, the allowance ratio was 3.48%.

Management utilizes established policies and procedures in an effort to ensure the estimates and assumptions are well controlled, reviewed and consistently applied. As of January 3, 2026, the ratio of the allowance for credit losses to finance receivables was 3.75%. As of December 28, 2024, the allowance ratio was 3.63%.

The Repair Systems & Information Group consists of business operations serving other professional vehicle repair customers worldwide, primarily owners and managers of independent repair shops and OEM dealership service and repair shops (“OEM dealerships”) through direct and distributor channels.

The Repair Systems & Information Group consists of business operations serving other professional vehicle repair customers worldwide, primarily owners and managers of independent repair shops and original equipment manufacturer (“OEM”) dealership service and repair shops (“OEM dealerships”) through direct and distributor channels.

Snap-on intends to make contributions of $4.3 million to its foreign pension plans and $6.5 million to its domestic pension plans in 2025, as required by law. Depending on market and other conditions, Snap-on may make discretionary cash contributions to its pension plans in 2025.

Snap-on intends to make contributions of $4.5 million to its foreign pension plans and $3.7 million to its domestic pension plans in 2026, as required by law. Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2026.

Long-term debt of $1,185.5 million as of 2024 year end consisted of: (i) $300.0 million of unsecured 3.25% notes that mature on March 1, 2027 (the “2027 Notes”); (ii) $400.0 million of unsecured 4.10% notes that mature on March 1, 2048 (“the 2048 Notes”); and (iii) $500.0 million of 3.10% notes that mature on May 1, 2050 (the “2050 Notes”), partially offset by $14.5 million of unamortized debt issuance costs and issuance discounts.

Long-term debt of $1,186.4 million as of 2025 year end consisted of: (i) $300.0 million of unsecured 3.25% notes that mature on March 1, 2027 (the “2027 Notes”); (ii) $400.0 million of unsecured 4.10% notes that mature on March 1, 2048 (“the 2048 Notes”); and (iii) $500.0 million of 3.10% notes that mature on May 1, 2050 (the “2050 Notes”), partially offset by $13.6 million of unamortized debt issuance costs and issuance discounts.

Amortization expense was $25.3 million in 2024 and $27.1 million in 2023. See Note 6 and Note 7 to the Consolidated Financial Statements for information on property and equipment and goodwill and other intangible assets.

Amortization expense was $22.7 million in 2025 and $25.3 million in 2024. See Note 6 and Note 7 to the Consolidated Financial Statements for information on property and equipment and goodwill and other intangible assets.

The organic gain includes a mid single-digit increase in activity with OEM dealerships and a low single-digit gain in sales of diagnostic and repair information products to independent repair shop owners and managers, partially offset by a low single-digit decline in sales of undercar equipment.

The organic improvement reflects a double-digit increase in activity with OEM dealerships and a mid single-digit rise in sales of diagnostic and repair information products to independent repair shop owners and managers, partially offset by a low single-digit decline in sales of undercar equipment.

As of year-end 2024, the company had $159.0 million in purchase commitments to be paid in 2025 and $5.1 million to be paid thereafter. Snap-on intends to make contributions of $4.3 million to its foreign pension plans and $6.5 million to its domestic pension plans in 2025, as required by law.

As of year-end 2025, the company had $180.3 million in purchase commitments to be paid in 2026 and $6.5 million to be paid thereafter. Snap-on intends to make contributions of $4.5 million to its foreign pension plans and $3.7 million to its domestic pension plans in 2026, as required by law.

Interest expense in 2024 decreased $0.3 million compared to last year. See Note 9 to the Consolidated Financial Statements for additional information on debt and credit facilities. 32 SNAP-ON INCORPORATED Other income (expense) – net primarily includes interest income, non-service components of net periodic benefit costs, and net gains and losses associated with hedging and currency exchange rate transactions.

See Note 9 to the Consolidated Financial Statements for additional information on debt and credit facilities. 32 SNAP-ON INCORPORATED Other income (expense) – net primarily includes interest income, non-service components of net periodic benefit costs, and net gains and losses associated with hedging and currency exchange rate transactions.

As a percentage of revenues, operating earnings were 25.5% in the quarter compared to 25.2% last year. Interest expense in the fourth quarter of 2024 decreased $0.2 million from last year . See Note 9 to the Consolidated Financial Statements for additional information on debt and credit facilities.

As a percentage of revenues, operating earnings were 25.3% in the quarter compared to 25.5% last year. Interest expense in the fourth quarter of 2025 increased $1.1 million from last year . See Note 9 to the Consolidated Financial Statements for additional information on debt and credit facilities.

Lowering Snap-on’s domestic discount rate assumption by 50 bps would have increased Snap-on’s 2024 domestic pension expense and projected benefit obligation by approximately $3.0 million and $46.4 million, respectively. As of 2024 year end, Snap-on’s domestic projected benefit obligation comprised approximately 85% of Snap-on’s worldwide projected benefit obligation.

Lowering Snap-on’s domestic discount rate assumption by 50 bps would have increased Snap-on’s 2025 domestic pension expense and projected benefit obligation by approximately $2.8 million and $46.2 million, respectively. As of 2025 year end, Snap-on’s domestic projected benefit obligation comprised approximately 85% of Snap-on’s worldwide projected benefit obligation.

Estimated cash flows and related goodwill are grouped at the reporting unit level. The company has determined that its reporting units for testing goodwill impairment are its operating segments or components of an operating segment that constitute a business for which discrete financial information is available and for which segment management regularly reviews the operating results.

The company has determined that its reporting units for testing goodwill impairment are its operating segments or components of an operating segment that constitute a business for which discrete financial information is available and for which segment management regularly reviews the operating results.

Snap-on Tools Group Fourth Quarter (Amounts in millions) 2024 2023 Change Segment net sales $ 506.6 100.0 % $ 513.3 100.0 % $ (6.7) (1.3) % Segment cost of goods sold (280.5) (55.4) % (281.2) (54.8) % 0.7 0.2 % Segment gross profit 226.1 44.6 % 232.1 45.2 % (6.0) (2.6) % Segment operating expenses (119.2) (23.5) % (121.1) (23.6) % 1.9 1.6 % Segment operating earnings $ 106.9 21.1 % $ 111.0 21.6 % $ (4.1) (3.7) % Segment net sales of $506.6 million in the fourth quarter of 2024 represented a decrease of $6.7 million, or 1.3%, from 2023 levels, reflecting a $7.3 million, or 1.4%, organic sales decline, partially offset by $0.6 million of favorable foreign currency translation.

Snap-on Tools Group Fourth Quarter (Amounts in millions) 2025 2024 Change Segment net sales $ 505.0 100.0 % $ 506.6 100.0 % $ (1.6) (0.3) % Segment cost of goods sold (272.4) (53.9) % (280.5) (55.4) % 8.1 2.9 % Segment gross profit 232.6 46.1 % 226.1 44.6 % 6.5 2.9 % Segment operating expenses (125.3) (24.9) % (119.2) (23.5) % (6.1) (5.1) % Segment operating earnings $ 107.3 21.2 % $ 106.9 21.1 % $ 0.4 0.4 % Segment net sales of $505.0 million in the fourth quarter of 2025 represented a decrease of $1.6 million, or 0.3%, from 2024 levels, reflecting a $3.4 million, or 0.7%, organic sales decline, partially offset by $1.8 million of favorable foreign currency translation.

Inventories accounted for using the first-in, first-out (“FIFO”) method as of 2024 and 2023 year end approximated 57% and 59% of total inventories, respectively. All other inventories are accounted for using the last-in, first-out (“LIFO”) method. The company’s LIFO reserve was $122.4 million and $115.9 million at 2024 and 2023 year end, respectively.

Inventories accounted for using the first-in, first-out (“FIFO”) method as of 2025 and 2024 year end approximated 62% and 57% of total inventories, respectively. All other inventories are accounted for using the last-in, first-out (“LIFO”) method. The company’s LIFO reserve was $126.7 million and $122.4 million at 2025 and 2024 year end, respectively.

Operating margin for the Commercial & Industrial Group of 16.7% in the quarter compared to 14.9% last year.

Operating margin for the Commercial & Industrial Group of 15.2% in the quarter compared to 16.7% last year.

Lowering Snap-on’s foreign discount rate assumption by 50 bps would have increased Snap-on’s 2024 foreign pension expense and projected benefit obligation by approximately $1.0 million and $12.3 million, respectively.

Lowering Snap-on’s foreign discount rate assumption by 50 bps would have increased Snap-on’s 2025 foreign pension expense and projected benefit obligation by approximately $0.7 million and $12.2 million, respectively.

No amounts were borrowed or outstanding under the Credit Facility during the years ended and as of December 28, 2024 or December 30, 2023.

No amounts were borrowed or outstanding under the Credit Facility during the years ended and as of January 3, 2026, or December 28, 2024.

As of December 28, 2024, the company’s consolidated cash balance, net of certain adjustments, exceeded consolidated debt resulting in actual ratios of (0.01) and (0.05), respectively. Both ratios are within the permitted ranges set forth in this financial covenant.

As of January 3, 2026, the company’s consolidated cash balance, net of certain adjustments, exceeded consolidated debt resulting in actual ratios of (0.05) and (0.21), respectively. Both ratios are within the permitted ranges set forth in this financial covenant.

As of 2024 year end, working capital (current assets less current liabilities) of $3,027.9 million represented an increase of $317.5 million from $2,710.4 million as of 2023 year end primarily as a result of the net changes in working capital discussed below.

As of 2025 year end, working capital (current assets less current liabilities) of $3,484.3 million represented an increase of $456.4 million from $3,027.9 million as of 2024 year end primarily as a result of the net changes in working capital discussed below.

See Note 17 to the Consolidated Financial Statements for additional information on Other income (expense) – net. The effective income tax rate on earnings attributable to Snap-on was 22.6% in 2024 and 22.5% in 2023. See Note 8 to the Consolidated Financial Statements for additional information on income taxes.

See Note 17 to the Consolidated Financial Statements for additional information on Other income (expense) – net. The effective income tax rate on earnings attributable to Snap-on in the fourth quarter was 22.3% in 2025 and 22.5% in 2024.

At the same time, we leveraged existing proficiencies to focus on expanding our professional customer base, not only in automotive repair, but in adjacent markets, additional geographies and other areas, including critical industries, where the cost and penalties for failure can be high.

At the same time, we remained committed to expanding our professional customer base, not only in automotive repair, but in adjacent markets, additional geographies and other areas, including critical industries, where the cost and penalties for failure are high.

The current portions of net finance and contract receivables of $730.3 million as of 2024 year end compared to $714.9 million at 2023 year end. The long-term portions of net finance and contract receivables of $1,730.3 million as of 2024 year end compared to $1,692.1 million at 2023 year end.

The current portions of net finance and contract receivables of $720.2 million as of 2025 year end compared to $730.3 million at 2024 year end. The long-term portions of net finance and contract receivables of $1,721.9 million as of 2025 year end compared to $1,730.3 million at 2024 year end.

Net cash used by financing activities of $649.8 million in 2024 included $406.4 million for dividend payments to shareholders, $290.0 million for the repurchase of 952,000 shares of Snap-on’s common stock, and net repayments of other short-term borrowings of $1.3 million. These amounts were partially offset by $92.3 million of proceeds from stock purchase plans and stock option exercises.

Quarterly dividends in 2023 were $1.86 per share in the fourth quarter and $1.62 per share in the first three quarters ($6.72 per share for the year). 2024 2023 Cash dividends paid per common share $ 7.72 $ 6.72 Cash dividends paid as a percentage of prior-year retained earnings 5.8 % 5.6 % Snap-on believes that its cash generated from operations, available cash on hand, and funds available from its credit facilities, will be sufficient to pay dividends in 2025.

Quarterly dividends in 2025 were $2.44 per share in the fourth quarter and $2.14 per share in the first three quarters ($8.86 per share for the year). 2025 ANNUAL REPORT 45 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Quarterly dividends in 2024 were $2.14 per share in the fourth quarter and $1.86 per share in the first three quarters ($7.72 per share for the year). 2025 2024 Cash dividends paid per common share $ 8.86 $ 7.72 Cash dividends paid as a percentage of prior-year retained earnings 6.1 % 5.8 % Snap-on believes that its cash generated from operations, available cash on hand, and funds available from its credit facilities, will be sufficient to pay dividends in 2026.

Capital expenditures in both years included continued investments related to the company’s execution of its strategic growth initiatives and Value Creation Processes around safety, quality, customer connection, innovation and RCI.

Capital expenditures in 2025 and 2024 totaled $76.0 million and $83.5 million, respectively. Capital expenditures in both years included continued investments related to the company’s execution of its strategic growth initiatives and Value Creation Processes around safety, quality, customer connection, innovation and RCI.

Pension income in 2024 was $6.9 million and Snap-on expects to have pension expense of approximately $16.8 million in 2025, primarily reflecting higher amortization of pension actuarial losses. The projected 2025 pension expense is based on benefit plan status, weighted average discount rates, expected returns on plan assets, and other factors.

Pension expense was $16.9 million in 2025 and Snap-on expects pension expense of approximately $10.3 million in 2026, primarily reflecting lower amortization of pension actuarial losses. The projected 2026 pension expense is based on benefit plan status, weighted average discount rates, expected returns on plan assets, and other factors.

Notes payable of $13.7 million as of 2024 year end compared to $15.6 million as of 2023 year end. Average notes payable outstanding were $14.9 million and $17.5 million in 2024 and 2023, respectively. The 2024 weighted-average interest rate on such borrowings of 10.4% compared with 11.0% in 2023.

Notes payable of $16.2 million as of 2025 year end compared to $13.7 million as of 2024 year end. Average notes payable outstanding were $18.0 million and $14.9 million in 2025 and 2024, respectively. The 2025 weighted-average interest rate on such borrowings of 13.4% compared with 10.4% in 2024.

The asset return assumption is also adjusted by an implicit expense load for estimated administrative and investment-related expenses. Since asset allocation is a key determinant of expected investment returns, the current and expected mix of plan assets are also considered when setting the assumption. Pension expense increases as the expected rate of return on plan assets decreases.

Since asset allocation is a key determinant of expected investment returns, the current and expected mix of plan assets are also considered when setting the assumption. Pension expense increases as the expected rate of return on plan assets decreases.

Finance receivables are comprised of extended-term installment payment contracts to both technicians and independent shop owners (i.e., franchisees’ customers) to enable them to purchase tools, diagnostics, and equipment products on an extended-term payment plan, with average payment terms of approximately four years.

As of 2024 and 2023 year end, inventory turns (trailing 12 months of cost of goods sold, divided by the average of the beginning and ending inventory balances for the trailing 12 months) were 2.4 turns and 2.3 turns, respectively.

Inventory turns (trailing 12 months of cost of goods sold, divided by the average of the beginning and ending inventory balances for the trailing 12 months) were 2.4 a s of both 2025 and 2024 year end.

Snap-on believes that its cash generated from operations, as well as its available cash on hand and funds available from its credit facilities will be sufficient to fund the company’s capital expenditure requirements in 2025. Financing Activities Net cash used by financing activities of $649.8 million in 2024 included net repayments of other short-term borrowings of $1.3 million.

Snap-on believes that its cash generated from operations, as well as its available cash on hand and funds available from its credit facilities will be sufficient to fund the company’s capital expenditure requirements in 2026. Financing Activities Net cash used by financing activities was $749.9 million in 2025 and $649.8 million in 2024.

For reference, a 100 bps increase in the allowance ratios for finance receivables as of December 28, 2024, would have increased Snap-on’s 2024 provision for credit losses and related allowance for credit losses by approximately $20.0 million. For additional information on Snap-on’s allowances for credit losses, see Note 1 and Note 4 to the Consolidated Financial Statements.

For reference, a 100 bps increase in the allowance ratios for finance receivables as of January 3, 2026, would have increased Snap-on’s 2025 provisions for credit losses and related allowance for credit losses by approximately $19.6 million. For additional information on Snap-on’s allowances for credit losses, see Note 1 and Note 4 to the Consolidated Financial Statements.

Net earnings attributable to Snap-on of $1,043.9 million, or $19.51 per diluted share, in 2024, including a $17.5 million, or $0.32 per diluted share, after-tax benefit from the legal payments, compared to $1,011.1 million, or $18.76 per diluted share, in 2023, an increase of $32.8 million or $0.75 per diluted share.

Net earnings attributable to Snap-on of $1,043.9 million, or $19.51 per diluted share, in 2024, included a $17.5 million, or $0.32 per diluted share, after-tax benefit from the 2024 legal payments.

As a result of these factors, segment operating earnings of $121.4 million in the fourth quarter of 2024 compared to $113.3 million in 2023, an increase of $8.1 million or 7.1%. Operating margin for the Repair Systems & Information Group of 26.6% in the quarter compared to 25.1% last year.

As a result of these factors, segment operating earnings of $117.7 million in the fourth quarter of 2025 compared to $121.4 million in 2024. Operating margin for the Repair Systems & Information Group of 25.2% in the quarter compared to 26.6% last year.

Unless otherwise indicated, references in this document to “fiscal 2024” or “2024” refer to the fiscal year ended December 28, 2024; references to “fiscal 2023” or “2023” refer to the fiscal year ended December 30, 2023; and references to “fiscal 2022” or “2022” refer to the fiscal year ended December 31, 2022.

Unless otherwise indicated, references in this document to “fiscal 2025” or “2025” refer to the fiscal year ended January 3, 2026; references to “fiscal 2024” or “2024” refer to the fiscal year ended December 28, 2024; and references to “fiscal 2023” or “2023” refer to the fiscal year ended December 30, 2023.

We expect that our global financial services business, which includes both Snap-on Credit LLC (“SOC”) in the United States and our other international finance subsidiaries, will continue to be a meaningful contributor to our operating earnings going forward. Snap-on has significant international operations and is subject to risks inherent with foreign operations, including foreign currency translation fluctuations.

Within its four reportable operating segments, the company has identified 11 reporting units. Snap-on evaluates the recoverability of goodwill by utilizing an income approach that estimates the fair value of the future discounted cash flows of the reporting units to which the goodwill relates.

Within its four reportable operating segments, the company has identified 11 reporting units. 2025 ANNUAL REPORT 47 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Snap-on evaluates the recoverability of goodwill by utilizing an income approach that estimates the fair value of the future discounted cash flows of the reporting units to which the goodwill relates.

Operating margin for the Snap‑on Tools Group of 22.5% in 2024 compared to 23.6% last year.

Operating margin for the Snap‑on Tools Group of 21.7% in 2025 compared to 22.5% last year.

These amounts were partially offset by $113.6 million of proceeds from stock purchase plans and stock option exercises. 2024 ANNUAL REPORT 31 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Results of Operations 2024 vs. 2023 Results of operations for 2024 and 2023 are as follows: (Amounts in millions) 2024 2023 Change Net sales $ 4,707.4 100.0 % $ 4,730.2 100.0 % $ (22.8) (0.5) % Cost of goods sold (2,329.5) (49.5) % (2,381.1) (50.3) % 51.6 2.2 % Gross profit 2,377.9 50.5 % 2,349.1 49.7 % 28.8 1.2 % Operating expenses (1,309.1) (27.8) % (1,309.2) (27.7) % 0.1 — Operating earnings before financial services 1,068.8 22.7 % 1,039.9 22.0 % 28.9 2.8 % Financial services revenue 401.0 100.0 % 378.1 100.0 % 22.9 6.1 % Financial services expenses (124.1) (30.9) % (107.6) (28.5) % (16.5) (15.3) % Operating earnings from financial services 276.9 69.1 % 270.5 71.5 % 6.4 2.4 % Operating earnings 1,345.7 26.3 % 1,310.4 25.7 % 35.3 2.7 % Interest expense (49.6) (0.9) % (49.9) (1.0) % 0.3 0.6 % Other income (expense) – net 77.0 1.5 % 67.5 1.3 % 9.5 14.1 % Earnings before income taxes 1,373.1 26.9 % 1,328.0 26.0 % 45.1 3.4 % Income tax expense (304.2) (6.0) % (293.4) (5.7) % (10.8) (3.7) % Net earnings 1,068.9 20.9 % 1,034.6 20.3 % 34.3 3.3 % Net earnings attributable to noncontrolling interests (25.0) (0.5) % (23.5) (0.5) % (1.5) (6.4) % Net earnings attributable to Snap-on Inc. $ 1,043.9 20.4 % $ 1,011.1 19.8 % $ 32.8 3.2 % Percentage Disclosure: All income statement line item percentages below “Operating earnings from financial services” are calculated as a percentage of the sum of Net sales and Financial services revenue.

These amounts were partially offset by $92.3 million of proceeds from stock purchase plans and stock option exercises. 2025 ANNUAL REPORT 31 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Results of Operations 2025 vs. 2024 Results of operations for 2025 and 2024 are as follows: (Amounts in millions) 2025 2024 Change Net sales $ 4,743.2 100.0 % $ 4,707.4 100.0 % $ 35.8 0.8 % Cost of goods sold (2,357.8) (49.7) % (2,329.5) (49.5) % (28.3) (1.2) % Gross profit 2,385.4 50.3 % 2,377.9 50.5 % 7.5 0.3 % Operating expenses (1,339.5) (28.2) % (1,309.1) (27.8) % (30.4) (2.3) % Operating earnings before financial services 1,045.9 22.1 % 1,068.8 22.7 % (22.9) (2.1) % Financial services revenue 412.9 100.0 % 401.0 100.0 % 11.9 3.0 % Financial services expenses (131.1) (31.8) % (124.1) (30.9) % (7.0) (5.6) % Operating earnings from financial services 281.8 68.2 % 276.9 69.1 % 4.9 1.8 % Operating earnings 1,327.7 25.8 % 1,345.7 26.3 % (18.0) (1.3) % Interest expense (50.5) (1.0) % (49.6) (0.9) % (0.9) (1.8) % Other income (expense) – net 58.7 1.1 % 77.0 1.5 % (18.3) (23.8) % Earnings before income taxes 1,335.9 25.9 % 1,373.1 26.9 % (37.2) (2.7) % Income tax expense (293.6) (5.7) % (304.2) (6.0) % 10.6 3.5 % Net earnings 1,042.3 20.2 % 1,068.9 20.9 % (26.6) (2.5) % Net earnings attributable to noncontrolling interests (25.4) (0.5) % (25.0) (0.5) % (0.4) (1.6) % Net earnings attributable to Snap-on Incorporated $ 1,016.9 19.7 % $ 1,043.9 20.4 % $ (27.0) (2.6) % Percentage Disclosure: All income statement line item percentages below “Operating earnings from financial services” are calculated as a percentage of the sum of Net sales and Financial services revenue.

At 2024 year end, the weighted-average rate on outstanding notes payable of 9.5% compared with 11.1% in 2023. Accounts payable of $265.9 million as of 2024 year end represented an increase of $27.9 million from 2023 year-end levels, primarily due to the timing of payments, partially offset by $3.8 million of foreign currency translation.

At 2025 year end, the weighted-average rate on outstanding notes payable of 15.6% compared with 9.5% in 2024. Accounts payable of $229.1 million as of 2025 year end represented a decrease of $36.8 million from 2024 year-end levels, primarily due to the timing of payments, partially offset by $5.5 million of foreign currency translation.

Operating margin for the Snap‑on Tools Group of 21.1% in the quarter compared to 21.6% last year. 38 SNAP-ON INCORPORATED Repair Systems & Information Group Fourth Quarter (Amounts in millions) 2024 2023 Change External net sales $ 389.2 85.2 % $ 386.6 85.8 % $ 2.6 0.7 % Intersegment net sales 67.4 14.8 % 64.2 14.2 % 3.2 5.0 % Segment net sales 456.6 100.0 % 450.8 100.0 % 5.8 1.3 % Segment cost of goods sold (242.0) (53.0) % (247.9) (55.0) % 5.9 2.4 % Segment gross profit 214.6 47.0 % 202.9 45.0 % 11.7 5.8 % Segment operating expenses (93.2) (20.4) % (89.6) (19.9) % (3.6) (4.0) % Segment operating earnings $ 121.4 26.6 % $ 113.3 25.1 % $ 8.1 7.1 % Segment net sales of $456.6 million in the fourth quarter of 2024 represented an increase of $5.8 million, or 1.3%, from 2023 levels, reflecting a $7.3 million, or 1.6%, organic sales increase, partially offset by $1.5 million of unfavorable foreign currency translation.

Operating margin for the Snap‑on Tools Group of 21.2% in the quarter compared to 21.1% last year. 38 SNAP-ON INCORPORATED Repair Systems & Information Group Fourth Quarter (Amounts in millions) 2025 2024 Change External net sales $ 404.9 86.6 % $ 389.2 85.2 % $ 15.7 4.0 % Intersegment net sales 62.9 13.4 % 67.4 14.8 % (4.5) (6.7) % Segment net sales 467.8 100.0 % 456.6 100.0 % 11.2 2.5 % Segment cost of goods sold (248.4) (53.1) % (242.0) (53.0) % (6.4) (2.6) % Segment gross profit 219.4 46.9 % 214.6 47.0 % 4.8 2.2 % Segment operating expenses (101.7) (21.7) % (93.2) (20.4) % (8.5) (9.1) % Segment operating earnings $ 117.7 25.2 % $ 121.4 26.6 % $ (3.7) (3.0) % Segment net sales of $467.8 million in the fourth quarter of 2025 represented an increase of $11.2 million, or 2.5%, from 2024 levels, reflecting a $4.8 million, or 1.0%, organic sales gain and $6.4 million of favorable foreign currency translation.

Snap-on periodically evaluates its cash held outside the United States and may pursue opportunities to repatriate certain foreign cash amounts to the extent that it can be accomplished in a tax efficient manner. 2024 ANNUAL REPORT 43 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Trade and other accounts receivable – net of $815.6 million as of 2024 year end represented an increase of $24.3 million from 2023 year-end levels primarily due to an increase in days sales outstanding, partially offset by $21.2 million of foreign currency translation.

Snap-on periodically evaluates its cash held outside the United States and may pursue opportunities to repatriate certain foreign cash amounts to the extent that it can be accomplished in a tax efficient manner. 2025 ANNUAL REPORT 43 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Trade and other accounts receivable – net of $881.4 million as of 2025 year end represented an increase of $65.8 million from 2024 year-end levels primarily due to a higher mix of sales with longer payment terms, $25.3 million of foreign currency translation and $19.8 million related to the sale of a building.

The following represents the company’s working capital position as of 2024 and 2023 year end: (Amounts in millions) 2024 2023 Cash and cash equivalents $ 1,360.5 $ 1,001.5 Trade and other accounts receivable – net 815.6 791.3 Finance receivables – net 610.3 594.1 Contract receivables – net 120.0 120.8 Inventories – net 943.4 1,005.9 Prepaid expenses and other current assets 139.6 138.4 Total current assets 3,989.4 3,652.0 Notes payable (13.7) (15.6) Accounts payable (265.9) (238.0) Other current liabilities (681.9) (688.0) Total current liabilities (961.5) (941.6) Working capital $ 3,027.9 $ 2,710.4 Cash and cash equivalents of $1,360.5 million as of 2024 year end represented an increase of $359.0 million from 2023 year-end levels primarily due to: (i) $1,217.5 million of cash generated from operations; (ii) $837.8 million of cash from collections of finance receivables; and (iii) $92.3 million of cash proceeds from stock purchase plans and stock option exercises.

The following represents the company’s working capital position as of 2025 and 2024 year end: (Amounts in millions) 2025 2024 Cash and cash equivalents $ 1,624.5 $ 1,360.5 Trade and other accounts receivable – net 881.4 815.6 Finance receivables – net 590.2 610.3 Contract receivables – net 130.0 120.0 Inventories – net 1,025.2 943.4 Prepaid expenses and other current assets 151.5 139.6 Total current assets 4,402.8 3,989.4 Notes payable (16.2) (13.7) Accounts payable (229.1) (265.9) Other current liabilities (673.2) (681.9) Total current liabilities (918.5) (961.5) Working capital $ 3,484.3 $ 3,027.9 Cash and cash equivalents of $1,624.5 million as of 2025 year end represented an increase of $264.0 million from 2024 year-end levels primarily due to: (i) $1,081.7 million of cash generated from operations; (ii) $888.9 million of cash from collections of finance receivables; and (iii) $73.9 million of cash proceeds from stock purchase plans and stock option exercises.

Segment net sales of $1,989.2 million in 2024 represented a decrease of $99.6 million, or 4.8%, from 2023 levels, reflecting a $100.9 million, or 4.8%, organic sales decline, partially offset by $1.3 million of favorable foreign currency translation.

Segment net sales of $1,457.5 million in 2025 represented a decrease of $19.3 million, or 1.3%, from 2024 levels, reflecting a $30.9 million, or 2.1%, organic sales decline, partially offset by $11.6 million of favorable foreign currency translation.

The year-over-year increase primarily reflects a benefit from the recovery of costs associated with a legal matter that occurred in the fourth quarter of 2023. 2024 ANNUAL REPORT 39 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Non-GAAP Supplemental Data The following non-GAAP supplemental data is presented for informational purposes to provide readers with insight into the information used by management for assessing the operating performance of Snap-on’s non-financial services (“Operations”) and Financial Services businesses.

The year-over-year decrease primarily reflects lower performance-based compensation and other costs. 2025 ANNUAL REPORT 39 Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued) Non-GAAP Supplemental Data The following non-GAAP supplemental data is presented for informational purposes to provide readers with insight into the information used by management for assessing the operating performance of Snap-on’s non-financial services (“Operations”) and Financial Services businesses.

See Note 1 and Note 4 to the Consolidated Financial Statements for additional information on financial services. Corporate Snap-on’s fourth quarter 2024 general corporate expenses of $26.6 million compared to $20.5 million last year.

As a result of these factors, segment operating earnings of $74.4 million in the fourth quarter of 2025 compared to $66.7 million in 2024. See Note 1 and Note 4 to the Consolidated Financial Statements for additional information on financial services. Corporate Snap-on’s fourth quarter 2025 general corporate expenses of $20.4 million compared to $26.6 million last year.

Segment operating margin (segment operating earnings as a percentage of segment net sales) for the Commercial & Industrial Group of 16.4% in 2024 compared to 15.5% last year.

As a result of these factors, segment operating earnings of $218.2 million in 2025 compared to $242.1 million in 2024. Segment operating margin (segment operating earnings as a percentage of segment net sales) for the Commercial & Industrial Group of 15.0% in 2025 compared to 16.4% last year.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

3 edited+1 added−0 removed27 unchanged

2025 filing

2026 filing

Biggest changeThe estimated maximum potential net one-day loss in fair value, calculated using the VAR model, as of 2024 and 2023 year end was $9.8 million, consisting of a $10.0 million loss on interest rate-sensitive financial instruments and a $0.2 million gain on foreign currency-sensitive financial instruments; and $15.2 million, consisting of a $15.8 million loss on interest rate-sensitive financial instruments and a $0.6 million gain on foreign currency-sensitive financial instruments, respectively.

Biggest changeAs of year end 2025 and 2024, the estimated maximum potential net one-day loss in fair value, calculated using the VAR model, was $4.7 million and $9.8 million, respectively. For 2025, the estimated loss consisted entirely of a $4.7 million loss on interest rate-sensitive financial instruments.

See Note 10 to the Consolidated Financial Statements for additional information on stock-based deferred compensation risk management. 2024 ANNUAL REPORT 51 Credit Risk Credit risk is the possibility of loss from a customer’s failure to make payments according to contract terms.

See Note 10 to the Consolidated Financial Statements for additional information on stock-based deferred compensation risk management. 2025 ANNUAL REPORT 51 Credit Risk Credit risk is the possibility of loss from a customer’s failure to make payments according to contract terms.

Economic Risk Economic risk is the possibility of loss resulting from economic instability in certain areas of the world. Snap-on continually monitors its exposure in these markets. For example, the company is monitoring the global economic impact of and developments related to the ongoing war in Ukraine as well as conflicts in the Middle East and other regions.

Added

For 2024, the estimated loss of $9.8 million was comprised of a $10.0 million loss on interest rate-sensitive financial instruments, partially offset by a $0.2 million gain on foreign currency-sensitive financial instruments.

Top changes in Snap-on's 2026 10-K

Item 1. Business

Item 1A. Risk Factors

Item 1C. Cybersecurity

Item 2. Properties

Item 5. Market for Registrant's Common Equity

Item 7. Management's Discussion & Analysis

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Other SNA 10-K year-over-year comparisons