Company: GGG
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000042888-25-000011
Chunk: 58

Company: GRACO INC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 58
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 Company has no significant off-balance sheet debt or other unrecorded obligations. The Company believes it has the ability to meet its long-term cash requirements by using available cash and internally generated funds and to borrow under its committed and uncommitted credit facilities. 

In December 2024, the Board of Directors increased the Company’s regular quarterly dividend from $0.255 to $0.275 per share, an increase of 8 percent.

Cash Flow. A summary of cash flow follows (in millions):

20242023Operating activities$621.7 $651.0 Investing activities(342.8)(185.3)Financing activities(139.9)(268.0)Effect of exchange rates on cash(1.6)1.0 Net cash provided137.4 198.7 Cash and cash equivalents at end of year$675.3 $537.9 

Cash Flows From Operating Activities. Net cash provided by operating activities was $622 million in 2024, down $29 million compared to 2023, due primarily to lower net earnings. Fewer inventory purchases in 2024 as part of an inventory 

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reduction program, as well as other decreases in working capital partially offset the effects of lower net earnings on cash provided by operating activities.

Cash Flows Used in Investing Activities. Cash flows used in investing activities totaled $343 million in 2024, including $242 million for business acquisitions and $107 million for capital additions. Cash flows used in investing activities totaled $185 million in 2023, including $185 million for capital additions.

Cash Flows Used in Financing Activities. Cash flows used in financing activities totaled $140 million in 2024 and included dividends of $172 million and share repurchases of $31 million, partially offset by net proceeds from share issuances of $66 million.

Cash flows used in financing activities totaled $268 million in 2023 and included share repurchases of $102 million (partially offset by net proceeds from share issuances of $60 million), dividends of $158 million, and net payments on long-term debt and outstanding lines of credit of $65 million.

On December 7, 2018, the Board of Directors authorized the purchase of up to 18 million shares of common stock, primarily through open market transactions. The authorization is for an indefinite period of time or until terminated by the Board. As of December 27, 2024, approximately 13 million shares remain available for purchase under the