W.W. Grainger, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2011
January 25, 2012 at 06:31 pm IST
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W.W. Grainger, Inc. reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2011. For the quarter, the company reported sales of $8.1 billion were up 12% versus $7.2 billion in 2010. Net earnings were $658 million increased 29% versus $511 million in 2010. Fourth quarter diluted earnings per share of $2.04 increased 11% versus $1.83 in 2010. Diluted earnings per share as adjusted was $2.13 against $1.79 diluted per share a year ago. Operating earnings were $221 million for the 2011 fourth quarter increased 5%. This earnings growth was driven by the 14% increase in sales and higher gross profit margins, which increased 180 basis points, partially offset by operating expenses, which grew at a faster rate than sales. Operating cash flow was $164 million in the 2011 fourth quarter versus $104 million in the 2010 fourth quarter. The company used cash from operations to fund capital expenditures of $66 million in the quarter versus $56 million in the fourth quarter of 2010, and pay down debt. Net sales were $2,076.904 million against $1,826.696 million a year ago. Earnings before income taxes was $226.078 million against $210.148 million a year ago. Net earnings attributable to W.W. Grainger, Inc. was $148.484 million against $132.210 million a year ago.
For the year, the company reported diluted earnings per share as reported was $9.07 against $6.93 diluted per share a year ago. Diluted earnings per share as adjusted was $9.04 against $6.80 diluted per share a year ago. For the 2011 fourth quarter, the company reported sales of $2.1 billion, an increase of 14% versus $1.8 billion in the 2010 quarter. Net earnings for the quarter of $148 million increased 12% versus $132 million in 2010. For the full year, the company generated $724 million in operating cash flow versus $596 million in 2010. Capital expenditures for the year were $197 million versus $128 million in 2010, driven primarily by investments to expand the distribution center network in the United States. Net sales were $8,078.185 million against $7,182.158 million a year ago. Operating earnings were $1,052.429 million against $860.475 million a year ago. Earnings before income taxes was $1,051.527 million against $853.778 million a year ago. Net earnings attributable to W.W. Grainger, Inc. was $658.423 million against $510.865 million a year ago. Additions to property, buildings and equipment -- net of dispositions was $189.664 million against $120.616 million a year ago.
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%).