Financial Performance - Total revenue for Q2 2023 was $325.8 million, an increase of 2.3% year-over-year, while organic revenue was $301.9 million, down 5.2% [18][8] - Gross profit for the quarter was $112.9 million, flat compared to last year, with a gross margin of 34.7%, down 80 basis points year-over-year [19][20] - Operating income from continuing operations was $29.1 million, with an operating margin of 8.9% [23] Business Line Performance - Organic U.S. revenue declined by 5.2%, while organic revenue in Canada was approximately flat in local currency, showing significant improvement from Q1 [18] - E-commerce sales grew to over 60% of total sales transactions, driven by enhancements in the online shopping experience [10][8] - Direct sales channel remained soft year-over-year due to cautious purchasing behavior and lower average order value [11] Market Performance - Price deflation was noted in the range of low to mid-single digits, contrasting with neutral pricing in Q1 and a benefit in the previous year [18] - The manufacturing segment faced challenges, with cautious behavior observed among small and medium-sized businesses [35] Company Strategy and Industry Competition - The acquisition of Indoff in late May 2023 is expected to diversify operations and broaden customer reach, enhancing the company's value proposition [6][7] - The company is focused on strengthening its competitive position through investments in sales and marketing, particularly targeting customer acquisition [11][15] - Management is actively working on cross-selling and private brand opportunities to enhance the margin profile of the Indoff business [23][42] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in navigating current market conditions, citing strong cash flows and a solid balance sheet [15][25] - There is an expectation of continued variability in gross margins throughout 2023 due to seasonality and inventory management [21] - Customer sentiment is anticipated to improve, which may positively impact performance in the latter half of the year [15] Other Important Information - The company declared a quarterly dividend of $0.20 per share of common stock [26] - Strong cash flow from continuing operations was reported at $37 million for the quarter [24] Q&A Session Summary Question: Can you quantify the price deflation impact on the organic sales decline? - Management indicated that low single digits contributed to the organic sales decline, with competitive pricing and lower container costs being significant factors [33][34] Question: How is the enterprise customer segment performing? - Management noted that while the manufacturing segment is challenged, they are continuing to invest in sales and marketing to drive growth in larger customer segments [35] Question: What improvements have been seen in customer trends? - Management highlighted improvements in e-commerce performance and noted that some customers are beginning to transact after cautious behavior earlier in the year [36] Question: Is price deflation across all merchandise categories? - Management confirmed that price deflation is observed across many core product categories, driven by competitive pricing and cost reductions [39][41] Question: What synergy opportunities exist with the Indoff acquisition? - Management expressed satisfaction with the integration process and highlighted opportunities for private label expansion and cross-selling to enhance margins [42] Question: How much visibility is there into Indoff's project-based business? - Management acknowledged that the project-based nature of Indoff's business can lead to variability, but they are gaining better visibility as integration progresses [44][45]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q Global Industrial Company (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delaware 11-3262067 (I.R.S. Employer Identification No.) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ...

Global Industrial Company (NYSE:GIC) Q1 2023 Earnings Conference Call May 2, 2023 5:00 PM ET Company Participants Barry Litwin - Chief Executive Officer Tex Clark - Senior Vice President, Chief Financial Officer Mike Smargiassi - Investor Relations Conference Call Participants Anthony Lebiedzinski - Sidoti Operator Good day! And welcome to Global Industrial Company First Quarter 2023 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions]. Please note, this event is ...

Financial Performance - Consolidated net sales decreased by 5.1% to $273.8 million compared to $288.6 million in the previous year[58] - Consolidated gross margin declined to 35.9% for Q1 2023, down from 37.4% in Q1 2022[58] - Consolidated operating income from continuing operations decreased by 39.7% to $17.8 million compared to $29.5 million last year[58] - Net income per diluted share from continuing operations decreased by 38.6% to $0.35 compared to $0.57 last year[58] - Average daily sales declined by 3.7% in the first quarter, reflecting a soft demand environment[51] - Sales in the United States were down 3.7%, while sales in Canada decreased by 17.3% in local currency[51] - Net sales decreased by 5.1% in Q1 2023 compared to Q1 2022, with U.S. sales down 3.7% and Canada sales down 17.3% in local currency[62] - Gross margin declined by 150 basis points in Q1 2023 compared to Q1 2022, influenced by lower price realization and inventory costs[65] - Operating margin declined by 370 basis points in Q1 2023 compared to Q1 2022, driven by decreased sales and lower gross margin[67] Expenses and Costs - Consolidated selling, distribution, and administrative costs increased by 2.9% to $80.6 million[59] - Selling, distribution, and administrative expenses (SD&A) as a percentage of sales increased by 230 basis points in Q1 2023 compared to Q1 2022, reflecting increased marketing efforts and salary costs[66] Cash Flow and Liquidity - Net cash provided by operating activities from continuing operations was $28.5 million in Q1 2023, a significant increase from a cash outflow of $14.0 million in Q1 2022[71] - Cash and cash equivalents increased to $48.2 million as of March 31, 2023, up from $28.5 million at the end of 2022[70] - The company had over $160 million of liquidity (cash and undrawn line of credit) in the U.S. as of March 31, 2023[82] - The company maintains a $125.0 million secured revolving credit facility, with total availability of $118.0 million as of March 31, 2023[76] - Accounts receivable days outstanding were 38.3 in 2023 compared to 37.8 in 2022, indicating a slight increase in collection time[72] Management and Internal Controls - The Company's management, including the CEO and CFO, concluded that the disclosure controls and procedures are effective as of March 31, 2023[88] - The internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting in accordance with generally accepted accounting principles[89] - There have been no changes in the Company's internal controls over financial reporting during the quarterly period ended March 31, 2023, that materially affected the internal control[91] Future Outlook - The company expects continued margin variability due to the current economic environment and inflationary pressures[51] - The company anticipates capital expenditures in the range of $6.0 to $8.0 million for 2023, focusing on technological upgrades and distribution facilities[80] Customer Metrics - Customer retention remained healthy, reflecting the value of the company's managed sales organization[51]

SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 1-13792 Global Industrial Company (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization ...

Financial Data and Key Metrics Changes - In 2022, the company achieved total revenue of $1.17 billion, reflecting a 9.7% growth driven by organic growth contributing over $100 million [23][35] - Gross margin improved by 90 basis points to 36.1% for the full year, although Q4 gross margin was 36%, down 100 basis points year-over-year [23][58] - Operating income increased by 19.5% to over $105 million, with an operating margin of 9%, a 70 basis point improvement from 2021 [35] Business Line Data and Key Metrics Changes - The private brand offering represented approximately 50% of total sales for the year, indicating a focus on exclusive brands [41] - The heating and winter seasonal category was soft due to a mild winter, impacting demand [30][63] - Average daily sales in Q4 were down 2.2%, with revenue in Canada improving approximately 2.5% in local currency [29][57] Market Data and Key Metrics Changes - U.S. revenue decreased by 0.2% in Q4, while Canadian revenue showed a slight improvement [57] - Demand trends have been muted across categories and sales channels, continuing into 2023 [24][19] - The company noted that customers are being more guarded in their buying decisions due to a competitive pricing environment [58][19] Company Strategy and Development Direction - The company is focused on capturing market share through customer acquisition, retention, and expanding exclusive branded items [25] - A new marketing campaign aimed at operational efficiency has been launched, aligning with customer needs [37] - The company plans to invest in strategic areas such as pricing intelligence, productivity, and margin optimization [55] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the MRO market for 2023, anticipating better performance in the latter half of the year [12][13] - The company is confident in its ability to manage through current challenges and maintain its margin profile [42] - There is an expectation of variability in margins throughout the year as the company works through inventory with higher landed costs [42] Other Important Information - The company announced a quarterly dividend increase of 11.1% to $0.20 per share, marking the seventh consecutive year of dividend increases [44] - A reduction in force was implemented to right-size the cost structure, expected to reduce annualized costs by approximately $6 million [31] Q&A Session Summary Question: Can you provide details on Q4 sales by products or end market? - Management noted that price benefits waned in Q4, with small and medium-sized businesses appearing more cautious compared to large national accounts [50] Question: What is the outlook for the MRO market in 2023? - Management indicated a cautious tone but remains hopeful for better performance in the second half of the year, driven by sales initiatives and investments [12][13] Question: How should we think about inventory management? - The company does not have specific inventory targets but aims to normalize inventory levels as supply chain costs decrease [7]

Global Industrial Company (NYSE:GIC) Q3 2022 Results Conference Call November 1, 2022 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - CEO and Director Tex Clark - Senior Vice President and Chief Financial Officer Conference Call Participants Anthony Lebiedzinski - Sidoti & Company Paul Dircks - William Blair Operator Good afternoon, ladies and gentlemen, and welcome to Global Industrial's Third Quarter 2022 Earnings Call. At this time, I would like to turn the call over t ...

Financial Performance - Consolidated sales increased 7.6% to $298.5 million for Q3 2022 compared to $277.4 million last year[59] - Consolidated gross margin declined to 35.7% for Q3 2022 compared to 36.8% last year[68] - Consolidated operating income from continuing operations decreased 10.1% to $27.5 million for Q3 2022 compared to $30.6 million last year[68] - Net income per diluted share from continuing operations decreased 13.1% to $0.53 for Q3 2022 compared to $0.61 last year[68] - Consolidated sales increased 13.0% to $905.6 million for the nine months ended September 30, 2022 compared to $801.1 million last year[68] - Consolidated gross margin increased to 36.2% for the nine months ended September 30, 2022 compared to 34.6% last year[68] - Consolidated operating income from continuing operations increased 41.4% to $87.5 million for the nine months ended September 30, 2022 compared to $61.9 million last year[68] - Net income per diluted share from continuing operations increased 29.0% to $1.69 for the nine months ended September 30, 2022 compared to $1.31 last year[68] Market Conditions - The demand environment softened as customers adopted a more guarded approach to buying decisions due to broader market uncertainty[59] Investments and Costs - Investments in the expansion of the Canada distribution network included approximately $0.8 million in ramp-up costs incurred in Q3 2022[59] - Selling, distribution, and administrative (SD&A) costs increased by 10.8% to $79.1 million for the third quarter, reflecting investments in the Canadian distribution network and e-commerce enhancements[78] Cash Flow and Liquidity - Cash and cash equivalents increased by $4.6 million to $20.0 million as of September 30, 2022, compared to $15.4 million at the end of 2021[86] - Working capital increased by $44.7 million to $166.2 million, primarily due to increased inventory and accounts receivable[88] - Net cash provided by operating activities from continuing operations was $23.5 million in 2022, down from $39.3 million in 2021, primarily due to a $48.6 million cash usage in working capital accounts compared to $14.7 million in 2021[90] - Cash generated from net income adjusted by other non-cash items was $72.1 million in 2022, an increase from $54.0 million in 2021, attributed to higher net income for the nine months ended September 30, 2022[90] - Net cash used in investing activities totaled $4.9 million in 2022, up from $3.4 million in 2021, mainly for warehouse machinery and equipment related to the new Canadian distribution center[91] - Net cash used in financing activities was $13.6 million in 2022, primarily due to a quarterly dividend of $0.18 per share totaling approximately $20.8 million, partially offset by $5.5 million from short-term borrowings[92] - The company maintains a $75.0 million secured revolving credit facility, with total outstanding borrowings of $10.0 million and total excess availability of $60.8 million as of September 30, 2022[93] - The company had approximately $76 million of liquidity (cash and undrawn line of credit) in the U.S. as of September 30, 2022[98] Obligations and Expenditures - Obligations under non-cancelable operating leases totaled approximately $101.5 million as of September 30, 2022, with remaining cash expenditures anticipated at $4.1 million for 2022[99] - The company had $1.5 million of standby letters of credit outstanding as of September 30, 2022[100] - Anticipated capital expenditures for 2022 are in the range of $6.0 to $7.0 million, with no contractual commitments at this time[96] Interest and Tax - Interest and other expense, net from continuing operations rose to $0.6 million for the third quarter of 2022, compared to $0.2 million in the same period of 2021[82] - The effective income tax rate increased to 24.5% for the third quarter of 2022, compared to 23.7% in the same period of 2021[74] - The company does not expect a material effect on financial position from a hypothetical one percentage point change in average interest rates, given $10.0 million outstanding under variable rate credit facilities[103]

2Q 2022 GLORAL 2000 | 2200 NAMERICA 0 0 TM SLC t FRIA 1 Cautionary Statement Regarding Forward-Looking Statements | This presentation contains forward-looking statements within the meaning of that term in the Private Securities Litigation Reform Act of 1995 (Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934). Additional written or oral forward-looking statements may be made by the Company from time to time in filings with the Securities and Exchange Commission ...

Global Industrial Company (NYSE:GIC) Q2 2022 Earnings Conference Call August 2, 2022 5:00 PM ET Company Participants Mike Smargiassi - The Plunkett Group Barry Litwin - CEO Tex Clark - SVP and CFO Conference Call Participants Anthony Lebiedzinski - Sidoti & Company Ryan Merkel - William Blair Operator Good afternoon, ladies and gentlemen, and welcome to the Global Industrial's Second Quarter 2022 Earnings Call. At this time, I would like to turn the conference over to Mike Smargiassi of the Plunkett Group. ...