Company: GGG
Filing Date: 2025-04-23
Form Type: 10-Q
Source: 0000042888-25-000014
Chunk: 34

Company: GRACO INC
Filing Date: 2025-04-23
Form: 10-Q
Item: Item 8
Chunk 34
---
 increase was due primarily to a decrease in excess tax benefits related to stock option exercises.   

Segment Results

Certain measurements of segment operations compared to last year are summarized below:

Contractor Segment

The following table presents net sales and operating earnings as a percentage of sales for the Contractor segment 

(dollars in millions):

 Three Months Ended    March 28,2025March 29,2024Net SalesAmericas$175.9 $165.5 EMEA54.5 46.4 Asia Pacific24.6 18.1 Total$255.0 $230.0 Operating earnings as a percentage of net sales24 %29 %

The following table presents the components of net sales change by geographic region for the Contractor segment:

Three MonthsVolume and PriceAcquisitionsCurrencyTotalAmericas1%6%(1)%6%EMEA(9)%30%(4)%17%Asia Pacific1%40%(6)%35%Segment Total(1)%13%(1)%11%

Contractor segment sales growth for the first quarter included $30 million from acquired operations. The operating margin rate for this segment decreased 5 percentage points compared to the same period last year, including 3 percentage points from the unfavorable effects of lower margin rates of acquired operations, 1 percentage point from adverse impacts of currency translation and 1 percentage point related to price-cost dynamics.  

18

Industrial Segment

The following table presents net sales and operating earnings as a percentage of sales for the Industrial segment 

(dollars in millions):

 Three Months Ended   March 28,2025March 29,2024Net SalesAmericas$121.2 $117.2 EMEA59.4 57.8 Asia Pacific51.1 49.9 Total$231.7 $224.9 Operating earnings as a percentage of net sales34 %33 %

The following table presents the components of net sales change by geographic region for the Industrial segment:

Three MonthsVolume and PriceAcquisitionsCurrencyTotalAmericas5%0%(2)%3%EMEA5%0%(2)%3%Asia Pacific5%0%(3)%2%Segment Total5%0%(2)%3%

Industrial segment sales increased in all regions for the first quarter compared to the same period last year. The operating margin rate increased 1 percentage point as improved sales volume and lower expenses offset the adverse impacts of currency translation.    

19

Expansion Markets Segment

The following table