Company: GGG
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0000042888-25-000025
Chunk: 2

Company: GRACO INC
Filing Date: 2025-07-23
Form: 10-Q
Item: Item 1
Chunk 2
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 to consolidated financial statements.

4

GRACO INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited) (In thousands)

 Six Months Ended June 27,2025June 28,2024Cash Flows From Operating ActivitiesNet Earnings$251,724 $255,177 Adjustments to reconcile net earnings to net cashprovided by operating activitiesDepreciation and amortization51,844 39,325 Deferred income taxes7,392 7,677 Share-based compensation16,594 20,105 Gain on sale of building(4,737)(1,216)Change inAccounts receivable(9,377)(1,373)Inventories10,983 (22,221)Trade accounts payable17,480 10,645 Salaries and incentives(3,190)(15,482)Retirement benefits and deferred compensation(983)3,193 Other accrued liabilities(36,362)(28,649)Other6,735 (9,259)Net cash provided by operating activities308,103 257,922 Cash Flows From Investing ActivitiesProperty, plant and equipment additions(30,187)(73,449)Proceeds from sale of building10,840 5,630 Acquisition of businesses, net of cash acquired(10,454)— Other(881)(62)Net cash used in investing activities(30,682)(67,881)Cash Flows From Financing Activities(Payments) borrowings on short-term lines of credit, net(930)712 Common stock issued29,318 46,802 Common stock repurchased(360,952)(17,761)Taxes paid related to net share settlement of equity awards(3,833)(4,612)Cash dividends paid(92,195)(85,983)Net cash used in financing activities(428,592)(60,842)Effect of exchange rate changes on cash10,756 (1,144)Net (decrease) increase in cash and cash equivalents(140,415)128,055 Cash and Cash EquivalentsBeginning of year675,336 537,951 End of period$534,921 $666,006 

See notes to consolidated financial statements.

5

GRACO INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(Unaudited) (