Company: GGG
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0000042888-25-000025
Chunk: 32

Company: GRACO INC
Filing Date: 2025-07-23
Form: 10-Q
Item: Item 8
Chunk 32
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 benefit of the 15 percent discount from the lesser of the fair market value per common share on the first day and the last day of the plan year was added to the fair value of the employees’ purchase rights determined using the Black-Scholes option pricing model with the following assumptions and results: Six Months Ended June 27,2025June 28,2024Expected life in years1.01.0Interest rate4.1 %4.9 %Volatility19.6 %24.2 %Dividend yield1.3 %1.1 %Weighted average fair value per share$19.65 $23.16 

6. Earnings per Share

The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share amounts): Three Months EndedSix Months Ended June 27,2025June 28,2024June 27,2025June 28,2024Net earnings available to common shareholders$127,623 $132,978 $251,724 $255,177 Weighted average shares outstanding for basic earnings per share165,785 169,100 167,173 168,795 Dilutive effect of stock options computed using the treasury stock method and the average market price2,776 3,386 2,899 3,671 Weighted average shares outstanding for diluted earnings per share168,561 172,486 170,072 172,466 Basic earnings per share$0.77 $0.79 $1.51 $1.51 Diluted earnings per share$0.76 $0.77 $1.48 $1.48 Anti-dilutive shares not included in diluted earnings per share computation1,837 1,199 3,697 2,139 

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7. Retirement Benefits

The components of net periodic benefit cost for retirement benefit plans were as follows (in thousands): Three Months EndedSix Months Ended June 27,2025June 28,2024June 27,2025June 28,2024Pension BenefitsService cost$1,039 $1,253 $2,292 $2,720 Interest cost2,568 2,204 4,711 4,634 Expected return on assets(2,904)(2,623)(5,807)(5