Company: IR
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001628280-25-047838
Chunk: 98

Company: Ingersoll Rand Inc.
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 2
Chunk 98
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 thereof or through other transactions. The actual timing, number, manner and value of any shares repurchased will depend on several factors, including the market price of our stock, general market and economic conditions, our liquidity requirements, applicable legal requirement and other business considerations.

A substantial portion of our cash is in jurisdictions outside of the United States. We do not assert ASC 740-30 (formerly APB 23) indefinite reinvestment of our historical non-U.S. earnings or future non-U.S. earnings. The Company records a deferred foreign tax liability to cover all estimated withholding, state income tax and foreign income tax associated with repatriating all non-U.S. earnings back to the United States. Our deferred income tax liability as of September 30, 2025 was $55.4 million which primarily consisted of withholding taxes.

49

Working Capital

September 30, 2025December 31, 2024Net Working Capital:Current assets$4,163.3 $4,163.5 Less: Current liabilities1,925.6 1,818.9 Net working capital$2,237.7 $2,344.6 Operating Working Capital:Accounts receivable$1,429.3 $1,335.4 Plus: Inventories (excluding LIFO reserve)1,351.8 1,134.2 Plus: Contract assets128.8 111.2 Less: Accounts payable831.6 843.6 Less: Contract liabilities (current)341.9 318.6 Operating working capital$1,736.4 $1,418.6 

Net working capital decreased $106.9 million to $2,237.7 million as of September 30, 2025 from $2,344.6 million as of December 31, 2024. Operating working capital increased $317.8 million to $1,736.4 million as of September 30, 2025 from $1,418.6 million as of December 31, 2024. The increase in operating working capital is due to higher inventories, higher accounts receivable, lower accounts payable and higher contract assets, partially offset by higher contract liabilities.

The increase in accounts receivable was primarily due to the timing of revenues in the quarter and seasonal changes in collection timing. The increase in inventories was primarily due to additions to support channel access, foreign currency translation, and acquisitions. The increase in contract assets