Grainger(US:GWW) Prnewswire·2024-08-01 12:00Core Insights - Grainger reported second quarter sales of $4.3 billion, reflecting a 3.1% increase year-over-year, and a 5.1% increase on a daily, organic constant currency basis [1][3] - The company achieved a diluted EPS of $9.51 on a reported basis, up 2.5%, and $9.76 on an adjusted basis, up 5.2% compared to the same quarter in 2023 [1][7] - Grainger narrowed its 2024 earnings guidance, projecting total sales growth of 4.0% to 6.0% and adjusted diluted EPS of $38.00 to $39.50 [1][10] Financial Performance - Net sales for Q2 2024 were $4,312 million, up from $4,182 million in Q2 2023, marking a 3.1% increase [2][16] - Gross profit for the quarter was $1,694 million, a 3.0% increase from $1,644 million in Q2 2023, maintaining a gross profit margin of 39.3% [2][5] - Operating earnings were reported at $649 million, down 1.8% from $661 million in Q2 2023, with an operating margin of 15.1% [2][6] Segment Performance - In the High-Touch Solutions - N.A. segment, sales increased by 3.1% on a reported basis and 3.7% on a daily, organic constant currency basis [4] - The Endless Assortment segment saw daily sales rise by 3.3%, or 11.7% on a daily, constant currency basis, driven by strong performance from core B2B customers [4] Cash Flow and Shareholder Returns - The company generated $411 million in operating cash flow and returned $345 million to shareholders through dividends and share repurchases [1][9] - Free cash flow for the quarter was reported at $335 million after capital expenditures of $76 million [9][28] Guidance Update - Grainger updated its 2024 guidance, projecting net sales between $17.0 billion and $17.3 billion, with adjusted diluted EPS revised to a range of $38.00 to $39.50 [10][11]