Grainger (NYSE: GWW) supplies all manner of facilities maintenance products to all types of businesses. The company just posted great 2Q numbers. Sales gained 10% to $1.8 billion. Net earnings increased 8% to $113 million and EPS turned out a healthy $1.43. Grainger posted these good numbers and gained market share in a slowing economy. Nice work.
Grainger operates in the U.S., Mexico and is beginning to establish a footprint in China. The company is expanding both its product line and its market reach in each of these markets. Sales in the U.S. grew 9% and the company opened 6 new full service locations. Sales in Mexico grew 25% and the company opened one new full service location. China sales doubled to $2 million from the company's one location, with big expansion plans for the future. Grainger has added another 100,000 products to its catalog and repurchased 800,000 shares of stock for $75 million. CEO James Ryan forecasts FY2008 EPS in the $5.80-$6.10 range, not a bad return on a stock that currently trades right around $86.
Grainger (GWW) gets the job done
Posted Jul 17th 2008 1:23PM by Victoria Erhart
Filed under: Earnings reports, Good news, China, Mexico
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Reader Comments (Page 1 of 1)
7-17-2008 @ 2:26PM
Kent said...
G.W. Grainger's performance is outstanding. I've been out of the loop about this company for some time. At first blush, I would've thought an industrial distributor with no manufacturing capability and archaic industrial product lines, as this Illinois company is, would be in the red. Good move in China: might as well make a market of it where I assume they product source.