•
Dec 31, 2020

Grainger Q4 2020 Earnings Report

Grainger's Q4 2020 earnings reflected solid top-line growth driven by share gains in the U.S. segment and continued growth in the endless assortment businesses.

Key Takeaways

Grainger reported a 3.3% increase in sales for Q4 2020, reaching $2.9 billion. Reported operating earnings increased by 52% to $275 million, while adjusted operating earnings decreased by 4% to $295 million. The company's performance was driven by share gains in the U.S. segment and strong growth in the endless assortment businesses.

Sales increased by 3.3% to $2.9 billion, and 5.6% on an organic, daily, constant currency basis.

Reported operating earnings increased 52% to $275 million; adjusted operating earnings decreased 4% to $295 million.

Reported operating margin of 9.4% increased 300 basis points; adjusted operating margin of 10.0% decreased 75 basis points.

Operating cash flow increased 24% to $336 million due to the timing of inventory purchases.

Total Revenue
$2.94B
Previous year: $2.85B
+3.3%
EPS
$3.66
Previous year: $3.88
-5.7%
Gross Profit Margin
34.9%
Adjusted Tax Rate
23%
Gross Profit
$1.03B
Previous year: $1.08B
-5.1%
Cash and Equivalents
$585M
Previous year: $360M
+62.5%
Free Cash Flow
$291M
Previous year: $214M
+36.0%
Total Assets
$6.3B
Previous year: $6.01B
+4.8%

Grainger

Grainger

Forward Guidance

Given the continued uncertainty surrounding the pandemic and subsequent path of economic recovery, the company will not be providing 2021 guidance at this time.