W.W. Grainger, Inc. Announces Unaudited Consolidated Earnings Results for Fourth Quarter and Full Year Ended December 31, 2017; Revises Earnings Guidance for the Year 2018
January 24, 2018 at 06:30 pm IST
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W.W. Grainger, Inc. announced unaudited consolidated earnings results for fourth quarter and full year ended December 31, 2017. For the quarter, the company reported Net sales of $2,632,461,000 against $2,470,710,000 a year ago. Operating earnings was $239,939,000 against $174,229,000 a year ago. Interest income was $1,205,000 against $243,000 a year ago. Earnings before income taxes were $207,457,000 against $145,309,000 a year ago. Net earnings attributable to the company were $151,059,000 against $60,666,000 a year ago. Diluted per share was $2.63 against was $1.01 a year ago. Operating earnings adjusted was $285,076,000 against $274,777,000 a year ago. Net earnings adjusted was $168,403,000 against $146,918,000 a year ago. Diluted earnings per share adjusted was $2.94 against $2.45 a year ago.
For the year, the company reported Net sales of $10,424,858,000 against $10,137,204,000 a year ago. Operating earnings was $1,048,662,000 against $1,119,497,000 a year ago. Interest income was $2,570,000 against $717,000 a year ago. Earnings before income taxes were $935,324,000 against $1,019,058,000 a year ago. Net earnings attributable to the company were $585,730,000 against $605,928,000 a year ago. Diluted per share was $10.02 against was $9.87 a year ago.
Net cash provided by operating activities of $1,056,557,000 against $1,024,083,000 a year ago. Additions to property, buildings and equipment were $237,283,000 against $284,249,000 a year ago. Operating earnings adjusted was $1,160,310,000 against $1,266,830,000 a year ago. Net earnings adjusted was $669,620,000 against $711,178,000 a year ago. Diluted earnings per share adjusted was $11.46 against $11.58 a year ago.
The company updated its 2018 sales and earnings per share guidance issued on Nov. 10, 2017, to reflect U.S. tax legislation and 2017 actual results. The company still expects 3% to 7% sales growth and now expects earnings per share of $12.95 to $14.15 for 2018. The prior earnings per share guidance for 2018 was $10.60 to $11.80. The increase in the midpoint of the earnings per share guidance is composed of $0.50 from better than expected 2017 operating performance, $2.15 from a lower corporate tax rate under U.S. tax legislation and $0.06 from incremental share buybacks funded by the benefits of the tax legislation, partially offset by $0.10 of lower benefits from clean energy investments and $0.26 in increased investment in the business funded by the benefits of the tax legislation.
W.W Grainger, Inc. specializes in professional distribution of industrial supplies and equipment. The group supplies businesses and institutions with maintenance equipment, industrial safety supplies, service and maintenance parts, lighting products, ventilation equipment, pumps and plumbing products, etc.
At the end of 2020, products are marketed through a network of 407 branches (of which 287 in the United States and 49 in Canada), 29 distribution centers (of which 17 in the United States and 5 in Canada), through catalogues and the Internet.
Net sales are distributed geographically as follows: the United States (72.6%), Canada (4%) and other (23.4%).
W.W. Grainger, Inc. Announces Unaudited Consolidated Earnings Results for Fourth Quarter and Full Year Ended December 31, 2017; Revises Earnings Guidance for the Year 2018