Graco Inc. · NYSE:GGG
Graco — Q1 2026 Earnings Presentation
18 slides from Graco's earnings presentation, Apr 23, 2026
Slide 1: A Century of Ingenuity. A Future of Possibility.
A CENTURY OF INGENUITY. A FUTURE OF POSSIBILITY. FIRST QUARTER 2026 EARNINGS CALL 2026.04.23
Slide 2: Safe Harbor
SAFE HARBOR Today’s presentation includes forward-looking statements that reflect management’s current expectations about the Company’s future business and financial performance. These statements are subject to certain risks and uncertainties that could cause actual results to differ from anticipate
Slide 3: Financial Results
FINANCIAL RESULTS Statement of Earnings First Quarter 1) Net earnings and diluted net earnings $ in millions except per share amounts 2026 2025 Change per share have been adjusted to provide a Net Sales $ 540.1 $ 528.3 2% more consistent basis of comparison of on- Gross Profit 280.6 277.7 1% going r
Slide 4: Net Sales
NET SALES Components of Net Sales Change 2026 First Quarter Segment Region Expansion Contractor Industrial Americas EMEA Asia Pacific Consolidated Markets Volume and Price (4)% (8)% (5)% (1)% (14)% (8)% (6)% Acquisitions 3% 8% 0% 4% 9% 0% 5% Currency 3% 4% 1% 0% 9% 3% 3% Total 2% 4% (4)% 3% 4% (5)%
Slide 5: Backlog and Bookings
BACKLOG AND BOOKINGS First Quarter First Quarter Change in Sales Increase in Change in Sales if Backlog Backlog from as Reported Converted Excluding Acquistions at Actual Currency Year End From Q1 2025 $M From Q1 2025 Contractor Segment (1)% $ 3 0% Industrial Segment (4)% 23 5% Expansion Markets Seg
Slide 6: Operating Earnings
OPERATING EARNINGS First Quarter 2025 Operating Earnings, as reported ($M and % of sales) $ 144 27 % Currency translation 6 1 Product and channel mix (19) (1) Effect of acquired businesses 6 0 Expense leverage 1 (1) 2026 Operating Earnings, as reported ($M and % of sales) $ 138 26 % Operating Earnin
Slide 7: First Quarter 2026
FIRST QUARTER 2026 • Up 2 percent from first quarter 2025. Sales from acquired businesses contributed 5 Net Sales percentage points of growth. Currency translation increased net sales by 3 percentage points. • Margin rate down 0.6 percentage points compared to first quarter 2025 Gross Margin > Prima
Slide 8: 2026 Environment
2026 ENVIRONMENT 2026 Outlook Low Single-Digit Growth First Net Sales Change Quarter Contractor Segment (4%) Americas (2%) EMEA (6%) Asia Pacific (12%) Industrial Segment (8%) Americas 1% EMEA (22%) Asia Pacific (12%) Expansion Markets Segment (5%) Americas (15%) EMEA (6%) Asia Pacific 28 % Graco (6
Slide 9: Cash Flow and Liquidity
CASH FLOW AND LIQUIDITY Net Earnings, as Adjusted, and Cash from Operating Activities $185 $197 $178 $183 $179 $132 $139 $122 $120 $125 $127 $123 $129 $113 $119 $110 $112 $120 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Net Earnings, as Adjusted Cash from Operating Activites Other Signific
Slide 10: Other Discussion Items
OTHER DISCUSSION ITEMS • Capital expenditure expectations of approximately $90 - $100 million in 2026 including Cap Ex approximately $50 million in facility expansion projects Expenses • Unallocated corporate expenses in 2026 are expected to be approximately $40 - $43 million • We repurchased 189,00
Slide 11: Contractor Segment Results
CONTRACTOR SEGMENT RESULTS $ in millions First Quarter Net Sales 2026 2025 Change Americas $ 181 $ 176 3% EMEA 56 54 3 Asia Pacific 23 25 (7) Total $ 260 $ 255 2% Operating Earnings $ 62 $ 62 0% % of sales 24 % 24 % 2026 Components of Net Sales Change First First Quarter Quarter Americas Asia Pacifi
Slide 12: Contractor Segment Results
CONTRACTOR SEGMENT RESULTS Change in % of net sales First Quarter 2025 Operating Earnings 24 % Currency translation 1 Expense leverage (1) 2026 Operating Earnings 24 % Contractor Segment Net Sales and Operating Margins Contractor Segment Operating Earnings QTD $450 M 35% $400 M $3M ($5M) 30% $1M $1M
Slide 13: Industrial Segment Results
INDUSTRIAL SEGMENT RESULTS $ in millions First Quarter Net Sales 2026 2025 Change Americas $ 131 $ 121 8% EMEA 63 60 6 Asia Pacific 46 51 (9) Total $ 240 $ 232 4% Operating Earnings $ 76 $ 80 (5)% % of sales 32 % 34 % 2026 Components of Net Sales Change First First Quarter Quarter Americas Asia Paci
Slide 14: Industrial Segment Financial Results
INDUSTRIAL SEGMENT FINANCIAL RESULTS Change in % of net sales First Quarter 2025 Operating Earnings 34 % Currency translation 1 Product cost, product and channel mix (1) Expense leverage (2) 2026 Operating Earnings 32 % Industrial Segment Net Sales and Operating Margins Industrial Segment Operating
Slide 15: Expansion Markets Segment Financial Results
EXPANSION MARKETS SEGMENT FINANCIAL RESULTS $ in millions First Quarter Net Sales 2026 2025 Change Americas $ 22 $ 26 (15)% EMEA 7 7 (4) Asia Pacific 11 8 28 Total $ 40 $ 41 (4)% Operating Earnings $ 10 $ 10 (4)% % of sales 24 % 24 % 2026 Components of Net Sales Change First First Quarter Quarter Am
Slide 16: Expansion Markets Segment Financial Results
EXPANSION MARKETS SEGMENT FINANCIAL RESULTS Change in % of net sales First Quarter 2025 Operating Earnings 24 % Product and channel mix, cost 0 Expense leverage 0 2026 Operating Earnings 24 % Expansion Markets Segment Net Sales and Operating Margins Expansion Markets Segment Operating Earnings QTD $
Slide 17: Adjusted Financial Results
ADJUSTED FINANCIAL RESULTS Non-GAAP Reconciliation First Quarter 2026 2025 Change $ in millions except per share amounts Financial results have been Income taxes, as reported $ 21.6 $ 27.4 (21)% Excess tax benefit from option exercises 6.7 3.6 adjusted for comparability. Income taxes, adjusted $ 28.
Slide 18: Graco - Moving Materials That Matter
( GRACO MOVING MATERIALS THAT MATTER™