Graco: Q3 2025 Investor Presentation - Final

INVESTOR PRESENTATION THIRD QUARTER 2025

W0RLDWIDE

September 2025 Year to Date

62%

22%

16%

AMERICAS EMEA ASIA PACIFIC

4ft%

43%

8%

CONTRACTOR INDUSTRIAL EXPANSION

MARKETS

DISTRIBUTI0N 0F GL0BfiL SfiLES

70%

53%

61%

Americas

EMEA

Asia Pacific

21%

25%

22%

17%

22%

ft%

CONTRACTOR

INDUSTRIAL

EXPANSION MARKETS

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

3

1% Wood

1% White Goods

2% Mining

3% Electronics

3% 0il & Natural Gas 4% Public Worfis

4% Vehicle Services

47%

Construction

ft%

0ther

ft%

fiutomotive

17%

Industrial & Machinery

2024 NET SfiLES BY END MfiRKET

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

4

TRUSTED S0LUTI0NS T0 KEEP

J0BS M0VING & FLUIDS PUMPING

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 5

DIVERSIFIED FLUID HfiNDLING BUSINESS

Difficult applications; corrosive, viscous, hard-to-move materials

Organic Revenue CAGR*

*20-year average, constant currency

Of revenue is parts and accessories

6

CUST0MER R0I

Lowest total

cost of ownership

HIGH CUST0MER VfiLUE,

STR0NG PR0DUCT DIFFERENTIfiTI0N

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

7

STRfiTEGIC INITIfiTIVES

• New Product Development

• New Markets

• Global Expansion

• End-user Conversion

• Acquisitions

10%

Targeted Revenue CAGR

Targeted Earnings CAGR

Through a cycle.

GR0WTH PLfiNS fiND EfiRNINGS DRIVERS

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

8

Through a cycle.

12%+

Acquisitions

3-4%

9-10%

Strategic

initiatives 1-2%

5-7%

Price

1-2%

3%

Industrial Production Average Growth Rate

Targeted Organic CAGR

Targeted Revenue CAGR

Targeted Earnings CAGR

GR0WTH PLfiNS fiND EfiRNINGS DRIVERS

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

9

L0W V0LUME, HIGH MIX DELIVERS CUST0MER R0I

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

10

0RGfiNIC REVENUE

CfiGR

RETURN 0N

INVESTED CfiPITfiL

RETURN 0N EQUITY

RETURN 0N fiSSETS

Based on a 20-year average. Organic revenue at constant currency.

EXCEPTI0NfiL RETURNS

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

11

BUSINESS M0DEL

• Brand Promise

• Engineering Excellence

• Manufacturing Excellence

• Service Excellence

• Extensive Reach

• Culture & Talent

  I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 12

  
  
  

  BRfiND PR0MISE

  GRfiC0'S BRICK fiND M0RTfiR VfiLUES

  • Customer focus

  • Quality

  • Continuous improvement

  • Fact-based decision making

  • Results driven

    The result of these values is our promise to our customers: We are committed to delivering innovation, quality and service.

    I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 13

    
    
    

    ENGINEERING EXCELLENCE

    TfiRGET D0UBLE-DIGIT RETURNS 0N NEW PR0DUCTS

    fiNNUfiL R&D INVESTMENT:

• >1.5x* our peer group

• 4.0%* as a percent of sales vs. peers at 2.7%

  *Peers: ITW, LECO, DOV, IEX, NDSN,, based on a 5-year average, 2020 - 2024.

  I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 14

  
  
  

  MfiNUFfiCTURING EXCELLENCE

• >80% product based in USA

• Zero cost change goal on the same basket of goods (year over year)

• <1% warranty costs

  I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 15

  
  
  

  SERVICE

  EXCELLENCE

• Orders in by noon, ship the same day

• 95% in-stock service level goal

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 16

0UTLETS/DISTRIBUT0RS

CUST0MERS IN

C0UNTRIES

INSTfiLLED BfiSE

YEfiRS 0LD

FfiCILITIES IN

C0UNTRIES

I N V E S T O R P R E S E N T A T I O N - Q 1 2 0 2 5 17

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

EXTENSIVE REfiCH

4,300

TOTAL

NUMBER OF EMPLOYEES

1,900

EMPLOYEES OUTSIDE OF THE U.S.

23

AVERAGE YEARS OF EXECUTIVE

TENURE

10

AVERAGE YEARS OF EMPLOYEE TENURE

*Based on data as of 12/27/2024

CULTURE & TfiLENT

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

KEY END MfiRKETS

• Residential and non-residential construction

• Residential and non-residential remodeling

• Transportation Infrastructure

  GR0WTH DRIVERS & TRENDS

• End user conversion from brush and roll

• Product innovation and channel expansion

• Housing and new construction

• Infrastructure spending

• Regional labor rates

• New markets

• Material changes

  SELECT REPRESENTfiTIVE INDUSTRY PfiRTICIPfiNTS:

• Wagner/Titan

• Campbell Hausfeld

• Bedford

• Regional Competition

  20

  C0NTRfiCT0R

  2025 September,

  nine-month performance

  $806M

  SEGMENT REVENUE

  -3%

  0RGfiNIC REVENUE DECLINE

  25.5%

  0PERfiTING MfiRGIN

  -440 BfiSIS P0INTS

  INDUSTRIfiL
  
  
  

  KEY END MfiRKETS

• General Industrial

• Automotive

• Vehicle Service

• Pharmaceutical, food and beverage

  GR0WTH DRIVERS & TRENDS

• Factory movement and upgrades

• Automation

• Technology upgrades

• Energy-efficiency upgrades

• Material changes

  SELECT REPRESENTfiTIVE INDUSTRY PfiRTICIPfiNTS:

• Nordson

• Dover

• Ingersoll Rand

• Binks

• Regional Competition

22

INDUSTRIfiL

2025 September,

nine-month performance

SEGMENT REVENUE

0RGfiNIC REVENUE GR0WTH

0PERfiTING MfiRGIN

+110 BfiSIS P0INTS

EXPfiNSI0N MfiRKETS

2025 September,

nine-month performance

SEGMENT REVENUE

0RGfiNIC REVENUE GR0WTH

0PERfiTING MfiRGIN

+480 BfiSIS P0INTS

KEY END MfiRKETS

• Semiconductor

• Oil and natural gas

• Environmental

  GR0WTH DRIVERS & TRENDS

• Factory movement and upgrades

• Technology and energy-efficiency upgrades

• Asset life maintenance

• Environmental regulations

  SELECT REPRESENTfiTIVE INDUSTRY PfiRTICIPfiNTS:

• IDEX

• Parker Hannifin

• Ingersoll Rand

• Regional Competition

24

0RGfiNIC GR0WTH

• International footprint

• Product development

• Production capacity and capabilities

  fiCQUISITI0NS

• Supplement to organic growth

• Leverage core competencies into adjacencies

• Strong balance sheet position

  SHfiREH0LDER RETURN

• Solid dividend history

• Approximately 9.0 million shares remaining on repurchase authorization

  26

  I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5

  L0NG-TERM CfiSH DEPL0YMENT PRI0RITIES

  KEY INVESTMENT fiTTRIBUTES

  • Drive long-term, above-market growth

  • Premium products that deliver strong ROI for end users

  • Leading industry positions

  • Serve niche markets where customers are willing to purchase quality, technology-based products

  • Products perform mission-critical functions

  • Recurring parts and accessories sales

  • Shareholder-minded management

  • Financial strength

27

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

2023

2024

2025

2026

I N V E S T O R P R E S E N T A T I O N - Q 3 2 0 2 5 29

KEY fiCQUISITI0NS