Coming off a third quarter earnings report in mid-October that included considerable year-over-year sales and profit decreases, W.W. Grainger issued its monthly sales update on Thursday for October, which continued a downward trend.
Grainger – No. 3 on Industrial Distribution's 2015 Big 50 List – said that October total sales declined 1 percent compared to the same period last year, with organic sales down 2 percent. The overall 1 percent decline included 4 percentage points from its Sept. 1 acquisition of U.K.-based Cromwell Group, and a 3-point negative impact from currency headwinds. Excluding those two factors, the organic sales decline was driven by a 1-point decline in price and a 1-point decline in lower sales of safety products.
October had 22 selling days, one less than in 2014.
By geographic segment, Grainger's year-over-year October sales decreased 3 percent in the U.S., decreased 25 percent in Canada (-13 percent in local currency), and increased 43 percent in Other Businesses (+18 percent organic).
For Grainger's U.S. customer end markets, it noted the following sales performances:
- Retail was up in the mid-single digits
- Light Manufacturing was flat
- Government was down in the low single digits
- Heavy Manufacturing, Commercial and Contractors were down in the mid-single digits
- Resellers were down in the low double digits
- Natural Resources was down in the low twenties
Grainger plans to report its November sales update on Friday, Dec. 11.
More on Grainger:
Grainger COO Talks Company Outlook, Struggles & Successes In Friday Presentation (9/19)