Grainger (NYSE: GWW), Chicago, on Thursday reported second-quarter sales of $3.2 billion, up 13.1% compared to the year-ago quarter. Grainger’s profit of $225 was almost double its profit of $114 million a year ago, while diluted earnings per share of $4.27 were more than twice its EPS of $2.10 in 2Q 2020 but missed analysts’ estimates by 35 cents.
“Grainger is uniquely positioned to navigate one of the most challenging supply chain environments in recent history, with labor shortages, material shortages and transportation challenges,” said DG Macpherson, chairman and CEO. “I am proud of how the Grainger team has remained committed to our operating principles, served customers well during this period and delivered strong top-line growth. As more of the U.S. became vaccinated, and mask mandates were relaxed earlier than expected, demand for pandemic products stalled, resulting in further inventory adjustments and a negative impact to gross profit margin. Excluding these adjustments, our underlying gross profit margin has improved as customer demand has returned to a more normal mix. We remain confident in our ability to achieve full year financial results within our guidance range.”
For the first six months, Grainger’s sales increased 7.8% to $6.3 billion while its profit increased 61.3% to $463 million.