Grainger reported sales, including fasteners, dropped 2% to $2.84 billion in the second quarter of 2020 amid an estimated 14%-15% overall decline in the U.S. MRO market.  Daily sales slipped 1.9% year-over-year, driven by by volume decreases including unfavorable product mix from heightened levels of pandemic-related sales, as well as decreased volume of non-pandemic products.

Gross profit fell 9% to $1.21 billion, with a margin decline to 35.8% during Q2.  Operating profit dipped 46% to $205 million, while net earnings were down 56% to $114 million.

During the second quarter, the company recorded a $109 million pretax loss from the sale of the Fabory business, which it agreed in June to sell to Dutch capital firm Torqx Capital Partners for an undisclosed sum.

“During the second quarter, Grainger performed well,” stated CEO DG Macpherson.  “We gained significant share in a down market, fueled by elevated levels of pandemic product sales and improving trends in non-pandemic product sales throughout the quarter.”

Sales during the first half of 2020 increased 2.6% to $5.84 billion, while operating earnings decreased 51% to $364 million and net income slipped 41% to $314 million.  Web: Grainger.com