Grainger (NYSE: GWW), Chicago, on Thursday reported second-quarter sales of $2.84 billion, down 2% compared to the year-ago quarter. The company said it gained significant share in the U.S. even as the MRO market declined 14% to 15% during the period.
Grainger’s profit decreased 56% to $114 million, while diluted earnings per share of $2.10 were down from $4.67 in 2Q 2019 and missed analysts’ estimates by 86 cents.
“We remain grounded in our priorities of serving our customers well, helping our customers and team members focus on safety and well-being, and maintaining a strong financial position even in times like these,” said DG Macpherson, chairman and CEO. “During the second quarter, Grainger performed well. We gained significant share in a down market, fueled by elevated levels of pandemic product sales and improving trends in non-pandemic product sales throughout the quarter. On the cost side, we achieved significant leverage and generated over $75 million of sequential cost reductions contributing to strong operating cash flow and allowing continued investment in the business. The work our team members are doing resonates with our customers and communities and positions Grainger to support our customers and deliver results even in this uncertain time.”
For the first six months, Grainger’s sales increased 2.6% to $5.84 billion while its profit decreased 44% to $287 million.
Look for more analysis on Grainger’s quarterly performance on the MDM blog Friday.