Q2 FY26 · Ended Jun 30, 2026 · View SEC filing
High-Touch earns a bigger share of profit than sales
High-Touch turns 79.0% of sales into 85.0% of operating earnings, while the faster-growing online side earns a thinner margin.
For investorsWhat Grainger's margin rests on once tariff refunds pass
For foundersWhat a smaller distributor can learn from running two sales models
The filing ties High-Touch's gross margin gain mainly to tariff refunds, so part of the lift rests on a policy event.
Capital spending has nearly tripled over seven years, so free cash flow has fallen from its peak while operating cash held steady.
A higher tax rate held net earnings growth below pre-tax growth; a smaller share count restored it per share.
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Business Lens describes W. W. Grainger from its own filings with the SEC. It is not a view on its shares, a target, or advice to buy, sell or hold anything; figures are as filed and may be restated by the company later. The filing is linked above.
