Quarter-to-date service performance data for July 1 through Sept. 24 included: *First-Class Mail: Delivered 88.1 percent of First-Class Mail on time against the USPS service standard, an improvement of 0.6 percentage points from the third quarter. *Marketing Mail: Delivered 92.5 percent of Marketing Mail on time against the USPS service standard, an improvement of 1.5 percentage points from the third quarter. *Periodicals: Delivered 82.2 percent of Periodicals on time against the USPS service standard, an improvement of 3 percentage points from the third quarter. On October 1, the Postal Service will implement new service standards for First-Class Mail and Periodicals. These new service standards will increase delivery reliability, consistency, and efficiency for our customers and across our network. Most First-Class Mail (61 percent) and Periodicals (93 percent) will be unaffected by the new service standard changes. Standards for single-piece First-Class Mail traveling within a local area will continue to be two days.
Third Quarter Highlights:
*Delivered sales of $3.4 billion, up 11.7%, compared to the third quarter of 2020; up 11.9% on an organic, daily, constant currency basis
*Expanded gross margin by 145 bps compared to the third quarter of 2020, expanded by 205 bps sequentially
*Operating earnings of $438 million, up 17.4%, resulting in EPS of $5.65, growth of 25% versus the third quarter of 2020
*Returned $327 million to shareholders through dividends and share repurchases
Grainger (NYSE: GWW) today reported results for the third quarter 2021 with sales of $3.4 billion, up 11.7% and up 11.9% on an organic, daily, constant currency basis compared to the third quarter 2020, driven by strong performance in both the High-Touch Solutions N.A. and Endless Assortment segments.
“During the third quarter, I spent significant time with customers. They consistently commended Grainger on our ability to fulfill orders and deliver products faster than others, and they valued our teams’ commitment to servicing their business needs,” said DG Macpherson, Chairman and Chief Executive Officer. “Demand for core products was very strong throughout the quarter, and Grainger gained share and expanded margins in both segments. Despite the current market and supply chain uncertainties, we are confident in our ability to deliver solid performance in the fourth quarter and into 2022.”
Daily sales for the quarter increased 11.7% compared to the third quarter of 2020 with the same number of selling days. On an organic, constant currency basis, which excludes revenues from the divested China business from the prior year results, daily sales increased 11.9% as compared to the third quarter of 2020. Foreign exchange contributed a 0.1% favorable impact during the third quarter of 2021 compared to the third quarter of 2020.
Gross margin for the third quarter of 2021 was 37.1%, a 145 basis point increase over the prior year quarter driven by solid margin expansion in both segments.
Reported and adjusted operating earnings for the third quarter of 2021 of $438 million were up 16% on a reported basis, and up 17% on an adjusted basis, versus the third quarter of 2020.
Net cash provided by operating activities was $161 million and $311 million for the three months ended September 30, 2021 and 2020, respectively.
details at: https://pressroom.grainger.com/news/press-release-details/2021/Grainger-Reports-Results-For-The-Third-Quarter-2021/default.aspx