01—Abstract
Summary
Summary of the 10-K filed February 28, 2012. Cited figures are marked; the original filing is the authoritative source.
Ecolab Inc.'s 2011 10-K filing provides a comprehensive overview of its business operations, financial performance, and strategic direction as of December 30, 2011.
The company's core business revolves around providing solutions and services for water, hygiene, and energy, catering to a diverse range of industries including food service, hospitality, healthcare, and industrial sectors. This report highlights Ecolab's commitment to delivering essential services that help customers maintain clean, safe, and healthy environments while optimizing their water and energy usage. The company emphasizes its integrated approach, combining chemistry, digital technology, and service to drive efficiency and sustainability for its clients, a key differentiator in a competitive market.
02—Key points
Key Highlights
- Ecolab operates globally, offering solutions and services focused on water, hygiene, and energy to various essential industries.
- The company emphasizes its integrated approach, combining chemistry, digital technology, and on-site service to drive customer value and sustainability.
- The filing details significant segments of Ecolab's business, suggesting a diversified revenue stream across different end markets.
- Risk factors discussed include competition, economic conditions, regulatory changes, and the ability to innovate and integrate acquisitions.
- The report underscores management's focus on operational efficiency, customer relationships, and sustainable growth strategies.
- Financial data presented likely reflects stable performance with a focus on managing costs and driving profitability through service and product innovation.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2011, Ecolab Inc. kept $0.07.
- Revenue$6.80B100.0%
- Cost of revenue−$3.48B51.1%
- Gross profit$3.32B48.9%
- Operating costs−$2.57B37.8%
- Operating income$753.8M11.1%
- Interest, other & tax−$290.5M4.3%
- Net income$463.3M6.8%
Where FY2011 revenue went
$6.80B- Cost of revenue: $3.48B, 51% of revenue
- SG&A: $2.44B, 36% of revenue
- Net income: $463.3M, 6.8% of revenue
- R&D: $96.0M, 1.4% of revenue
- Other operating costs: $35.0M, 0.5% of revenue
- Interest, other & tax: $290.5M, 4.3% of revenue
Kept 6.8% as net incomeNet income $463.3M · 6.8%Other operating costs $35.0M · 0.5%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2011filed February 28, 2012Financial Statements
FY2011 against FY2010
| Line item | FY2011FY2010 | Change |
|---|---|---|
| Revenue | $6.80B$6.09B | +11.6% |
| Cost of Revenue | $3.48B$3.01B | +15.3% |
| Gross Profit | $3.32B$3.08B | +8.0% |
| R&D Expenses | $96.00M$88.00M | +9.1% |
| SG&A Expenses | $2.44B$2.26B | +7.8% |
| Operating Income | $753.80M$806.80M | −6.6% |
| Interest Expense | $82.10M$65.60M | +25.2% |
| Net Income | $463.30M$531.10M | −12.8% |
| EPS (Basic) | $1.95$2.27 | −14.1% |
| EPS (Diluted) | $1.91$2.23 | −14.3% |
| Shares Outstanding (Basic) | 236.90M233.40M | +1.5% |
| Shares Outstanding (Diluted) | 242.10M237.60M | +1.9% |
05—Questions
Frequently Asked Questions
What are Ecolab's primary business segments and revenue drivers?
Ecolab's primary business segments are focused on providing comprehensive solutions and services in water, hygiene, and energy. Revenue is driven by the sale of cleaning and sanitizing products, pest elimination services, water treatment and process chemicals, and other specialized services to a wide array of industrial and institutional customers globally.
What are the key risks facing Ecolab, as identified in the 10-K?
Key risks identified include intense competition within its operating segments, potential impacts from global and regional economic conditions, fluctuations in raw material costs, changes in environmental and other regulations, the company's ability to successfully integrate acquired businesses, and the need for continuous innovation to meet evolving customer needs.
How does Ecolab differentiate itself from competitors?
Ecolab differentiates itself through its integrated approach, which combines advanced chemistry, digital technologies, and expert on-site service. This allows the company to offer tailored solutions that not only ensure cleanliness and safety but also help customers optimize water and energy usage, improve operational efficiencies, and meet sustainability goals.
What is the company's outlook or strategic focus for the upcoming year based on this filing?
While the filing is historical, the strategic emphasis for 2011 and likely beyond focused on driving profitable growth through innovation, expanding its global reach, maintaining strong customer relationships, and enhancing operational efficiencies. The company aimed to leverage its expertise in water, hygiene, and energy to address critical customer needs, particularly in areas of sustainability and resource management.
06—Continue