Graco Inc. (GGG) Income Statement

30Y historyFree accessUpdated daily

Revenue growth of 7.9% in 2026Q3 failed to translate to earnings, with EPS declining 8.5% to $0.75 as gross margin fell to a decade-low 50.5% and operating margin compressed to 25.3%, while SG&A of $127.5M rose 7.8% in near-lockstep with the top line, suggesting unfavorable operating leverage.

Annual statement

GGG Income Statement

Graco Inc. (GGG) annual income statement — 30-year revenue, gross profit & net income history

Annual Quarterly

Metric	TTM	Dec'25	Dec'24	Dec'23	Dec'22	Dec'21	Dec'20	Dec'19	Dec'18	Dec'17	Dec'16	Dec'15	Dec'14	Dec'13	Dec'12	Dec'11	Dec'10	Dec'09	Dec'08	Dec'07	Dec'06	Dec'05	Dec'04	Dec'03	Dec'02	Dec'01	Dec'00	Dec'99	Dec'98	Dec'97	Dec'96

Sales/Revenue	2.31B	2.24B	2.11B	2.2B	2.14B	1.99B	1.65B	1.65B	1.65B	1.47B	1.33B	1.29B	1.22B	1.1B	1.01B	895.28M	744.07M	579.21M	817.27M	841.34M	816.47M	731.7M	605.03M	535.1M	487.05M	472.82M	494.37M	442.5M	432.2M	413.9M	391.8M
Revenue Growth %	5.39%	5.83%	-3.75%	2.43%	7.84%	20.45%	0.25%	-0.44%	12.11%	10.94%	3.33%	5.35%	10.61%	9.04%	13.09%	20.32%	28.46%	-29.13%	-2.86%	3.05%	11.58%	20.94%	13.07%	9.87%	3.01%	-4.36%	11.72%	2.38%	4.42%	5.64%	1.42%
Cost of Goods Sold	1.11B	1.06B	990.86M	1.03B	1.09B	953.66M	795.18M	786.29M	770.75M	681.7M	621.05M	601.78M	554.39M	496.57M	461.93M	395.08M	340.62M	286.4M	385.09M	393.91M	382.51M	352.35M	276.62M	252.3M	236.89M	238.06M	228.07M	196.6M	199M	197.4M	183.1M
COGS % of Revenue	-	47.55%	46.89%	47.12%	50.67%	47.98%	48.19%	47.77%	46.62%	46.22%	46.72%	46.78%	45.4%	44.98%	45.62%	44.13%	45.78%	49.45%	47.12%	46.82%	46.85%	48.16%	45.72%	47.15%	48.64%	50.35%	46.13%	44.43%	46.04%	47.69%	46.73%
Gross Profit	1.2B	1.17B	1.12B	1.16B	1.06B	1.03B	854.94M	859.76M	882.54M	793.05M	708.24M	684.7M	666.74M	607.46M	550.53M	500.2M	403.44M	292.82M	432.18M	447.43M	433.96M	379.35M	328.41M	282.8M	250.16M	234.76M	266.3M	245.9M	233.2M	216.5M	208.7M
Gross Margin %	51.96%	52.45%	53.11%	52.88%	49.33%	52.02%	51.81%	52.23%	53.38%	53.78%	53.28%	53.22%	54.6%	55.02%	54.38%	55.87%	54.22%	50.55%	52.88%	53.18%	53.15%	51.84%	54.28%	52.85%	51.36%	49.65%	53.87%	55.57%	53.96%	52.31%	53.27%
Gross Profit Growth %	-	4.52%	-3.32%	9.8%	2.27%	20.94%	-0.56%	-2.58%	11.28%	11.97%	3.44%	2.69%	9.76%	10.34%	10.06%	23.98%	37.78%	-32.25%	-3.41%	3.1%	14.39%	15.51%	16.13%	13.05%	6.56%	-11.84%	8.3%	5.45%	7.71%	3.74%	3.99%
Operating Expenses	580.94M	562.45M	552.36M	514.18M	484.74M	502.63M	463.22M	435.3M	446.11M	432.6M	402.34M	382.57M	357.81M	327.69M	325.85M	280.69M	250.3M	218.35M	244.81M	214.95M	207.96M	188.28M	166.88M	153.97M	137.31M	134.58M	155.06M	152.6M	156.2M	151M	155.6M
OpEx % of Revenue	-	25.15%	26.14%	23.42%	22.61%	25.29%	28.07%	26.45%	26.98%	29.33%	30.27%	29.74%	29.3%	29.68%	32.18%	31.35%	33.64%	37.7%	29.95%	25.55%	25.47%	25.73%	27.58%	28.77%	28.19%	28.46%	31.37%	34.49%	36.14%	36.48%	39.71%
Selling, General & Admin	498.61M	480.15M	465.13M	432.16M	404.73M	422.98M	355.8M	367.74M	382.99M	372.5M	341.73M	324.02M	303.56M	276.26M	276.93M	239.14M	212.6M	180.81M	208.25M	184.67M	177.99M	161.31M	145.1M	135.88M	119.14M	113.77M	119.61M	118.2M	124.3M	119.7M	125M
SG&A % of Revenue	-	21.47%	22.01%	19.68%	18.88%	21.28%	21.56%	22.34%	23.17%	25.26%	25.71%	25.19%	24.86%	25.02%	27.35%	26.71%	28.57%	31.22%	25.48%	21.95%	21.8%	22.05%	23.98%	25.39%	24.46%	24.06%	24.19%	26.71%	28.76%	28.92%	31.9%
Research & Development	82.33M	82.3M	87.23M	82.82M	80.01M	79.65M	72.19M	67.56M	63.12M	60.11M	60.61M	58.56M	54.25M	51.43M	48.92M	41.55M	37.7M	37.54M	36.56M	30.28M	29.97M	26.97M	21.78M	18.09M	18.17M	20.81M	20M	19.7M	18.2M	17.8M	17.9M
R&D % of Revenue	-	3.68%	4.13%	3.77%	3.73%	4.01%	4.38%	4.1%	3.82%	4.08%	4.56%	4.55%	4.44%	4.66%	4.83%	4.64%	5.07%	6.48%	4.47%	3.6%	3.67%	3.69%	3.6%	3.38%	3.73%	4.4%	4.05%	4.45%	4.21%	4.3%	4.57%
Other Operating Expenses	0	0	0	0	0	0	35.23M	0	0	2.85M	366K	-1.4M	0	0	0	0	0	0	0	0	0	0	0	0	0	0	15.45M	14.7M	13.7M	13.5M	12.7M
Operating Income	619.56M	610.74M	570.1M	646.84M	572.7M	531.32M	391.72M	424.46M	436.43M	360.45M	113.88M	302.13M	308.93M	279.77M	224.68M	219.51M	153.14M	74.47M	187.37M	232.48M	226M	191.07M	161.53M	128.83M	112.85M	100.18M	111.24M	93.3M	77M	65.5M	53.1M
Operating Margin %	26.82%	27.31%	26.98%	29.46%	26.72%	26.73%	23.74%	25.79%	26.4%	24.44%	8.57%	23.48%	25.3%	25.34%	22.19%	24.52%	20.58%	12.86%	22.93%	27.63%	27.68%	26.11%	26.7%	24.08%	23.17%	21.19%	22.5%	21.08%	17.82%	15.83%	13.55%
Operating Income Growth %	-	7.13%	-11.86%	12.95%	7.79%	35.64%	-7.71%	-2.74%	21.08%	216.52%	-62.31%	-2.2%	10.42%	24.52%	2.35%	43.34%	105.65%	-60.26%	-19.41%	2.87%	18.28%	18.29%	25.38%	14.17%	12.64%	-9.94%	19.23%	21.17%	17.56%	23.35%	17.22%
EBITDA	728.88M	718.17M	656.85M	721.16M	638.7M	590.65M	447.05M	473.37M	484.18M	406.03M	162.17M	346.73M	344.44M	317.08M	263.44M	252M	187.11M	109.61M	222.86M	261.14M	252.04M	214.57M	179.34M	147.58M	130.93M	118.68M	126.69M	108M	90.7M	79M	65.8M
EBITDA Margin %	31.55%	32.11%	31.08%	32.85%	29.8%	29.72%	27.09%	28.76%	29.29%	27.53%	12.2%	26.95%	28.21%	28.72%	26.02%	28.15%	25.15%	18.92%	27.27%	31.04%	30.87%	29.32%	29.64%	27.58%	26.88%	25.1%	25.63%	24.41%	20.99%	19.09%	16.79%
EBITDA Growth %	6.78%	9.34%	-8.92%	12.91%	8.13%	32.12%	-5.56%	-2.23%	19.25%	150.37%	-53.23%	0.67%	8.63%	20.36%	4.54%	34.68%	70.71%	-50.82%	-14.66%	3.61%	17.47%	19.64%	21.52%	12.72%	10.32%	-6.33%	17.31%	19.07%	14.81%	20.06%	16.67%
D&A (Non-Cash Add-back)	109.32M	107.43M	86.75M	74.32M	66M	59.33M	55.33M	48.91M	47.75M	45.58M	48.29M	44.61M	35.52M	37.32M	38.76M	32.48M	33.97M	35.14M	35.49M	28.66M	26.05M	23.5M	17.81M	18.75M	18.08M	18.49M	15.45M	14.7M	13.7M	13.5M	12.7M
EBIT	633.07M	644.09M	592.11M	613.99M	575.62M	518.68M	385.93M	418.99M	425.15M	363.3M	306.16M	302.13M	308.93M	279.77M	236.6M	218.86M	152.72M	73.52M	186.21M	232.27M	226M	191.07M	161.53M	128.83M	112.85M	100.18M	111.24M	93.22M	76.89M	65.5M	53.1M
Net Interest Income	-3.28M	-2.89M	-2.83M	-5.19M	-9.9M	-10.21M	-11.28M	-13.11M	-14.38M	-16.2M	-17.59M	-17.64M	-18.73M	-18.15M	-19.27M	-9.13M	-4.18M	-4.85M	-7.63M	-3.43M	0	0	0	0	0	0	0	0	0	0	0
Interest Income	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0
Interest Expense	3.28M	2.89M	2.83M	5.19M	9.9M	10.21M	11.28M	13.11M	14.38M	16.2M	17.59M	17.64M	18.73M	18.15M	19.27M	9.13M	4.18M	4.85M	7.63M	3.43M	946K	1.37M	0	483K	0	0	0	0	0	0	0
Other Income/Expense	17.42M	30.46M	19.18M	-38.04M	-6.98M	-22.86M	-17.07M	-18.58M	-25.66M	-31.65M	-24.49M	172.59M	6.15M	9.05M	-7.35M	-9.79M	-4.6M	-5.8M	-8.79M	-3.64M	-1.63M	-1.72M	-750K	-920K	-1.12M	-2.72M	-5.33M	-4.38M	-5.53M	-2M	-300K
Pretax Income	636.99M	641.2M	589.28M	608.8M	565.72M	508.46M	374.65M	405.88M	410.77M	347.09M	96.66M	474.71M	315.07M	288.82M	217.33M	209.73M	148.54M	68.67M	178.58M	228.84M	224.37M	189.35M	160.78M	127.91M	111.72M	97.47M	105.91M	88.8M	71.4M	63.5M	52.8M
Pretax Margin %	27.57%	28.67%	27.88%	27.73%	26.39%	25.58%	22.7%	24.66%	24.85%	23.54%	7.27%	36.9%	25.8%	26.16%	21.47%	23.43%	19.96%	11.86%	21.85%	27.2%	27.48%	25.88%	26.57%	23.9%	22.94%	20.61%	21.42%	20.07%	16.52%	15.34%	13.48%
Income Tax	119.51M	119.36M	103.2M	102.29M	105.08M	68.6M	44.2M	62.02M	69.71M	94.68M	55.98M	129M	89.5M	78M	68.2M	67.4M	45.7M	19.7M	57.7M	76M	74.6M	63.5M	52.1M	41.2M	36.1M	32.2M	35.8M	29.5M	24.1M	18.8M	16.6M
Effective Tax Rate %	18.76%	18.62%	17.51%	16.8%	18.57%	13.49%	11.8%	15.28%	16.97%	27.28%	57.92%	27.17%	28.41%	27.01%	31.38%	32.14%	30.77%	28.69%	32.31%	33.21%	33.25%	33.54%	32.4%	32.21%	32.31%	33.04%	33.8%	33.22%	33.75%	29.61%	31.44%
Net Income	517.48M	521.84M	486.08M	506.51M	460.64M	439.87M	330.46M	343.85M	341.05M	252.41M	40.67M	345.71M	225.57M	210.82M	149.13M	142.33M	102.84M	48.97M	120.88M	152.84M	149.77M	125.85M	108.68M	86.71M	75.63M	65.27M	70.11M	59.3M	47.3M	44.7M	36.2M
Net Margin %	22.4%	23.33%	23%	23.07%	21.49%	22.13%	20.03%	20.89%	20.63%	17.12%	3.06%	26.87%	18.47%	19.1%	14.73%	15.9%	13.82%	8.45%	14.79%	18.17%	18.34%	17.2%	17.96%	16.21%	15.53%	13.8%	14.18%	13.4%	10.94%	10.8%	9.24%
Net Income Growth %	3.9%	7.36%	-4.03%	9.96%	4.72%	33.11%	-3.9%	0.82%	35.12%	520.57%	-88.23%	53.26%	7%	41.37%	4.78%	38.4%	110.02%	-59.49%	-20.91%	2.05%	19%	15.8%	25.33%	14.66%	15.87%	-6.91%	18.23%	25.37%	5.82%	23.48%	30.69%
Net Income (Continuing)	517.48M	521.84M	486.08M	506.51M	460.64M	439.87M	330.46M	343.85M	341.05M	252.41M	40.67M	345.71M	225.57M	210.82M	149.13M	142.33M	102.84M	48.97M	120.88M	152.84M	149.77M	125.85M	108.68M	86.71M	75.63M	65.27M	70.11M	59.34M	47.26M	44.7M	36.2M
Discontinued Operations	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0
Minority Interest	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0	0
EPS (Diluted)	3.17	3.08	2.82	2.94	2.66	2.52	1.92	2.00	1.97	1.45	0.24	1.95	1.22	1.12	0.81	0.77	0.56	0.27	0.66	0.77	0.72	0.60	0.52	0.41	0.35	0.31	0.34	0.28	0.20	0.17	0.14
EPS Growth %	5.8%	9.22%	-4.08%	10.53%	5.56%	31.25%	-4%	1.52%	35.86%	504.17%	-87.69%	59.84%	8.93%	38.27%	5.19%	37.5%	107.41%	-59.09%	-14.29%	6.94%	20%	15.38%	26.83%	17.14%	12.9%	-8.82%	21.43%	40%	17.65%	21.43%	40%
EPS (Basic)	-	3.14	2.88	3.01	2.73	2.59	1.97	2.07	2.04	1.50	0.24	2.00	1.25	1.15	0.82	0.79	0.57	0.27	0.67	0.78	0.74	0.61	0.52	0.42	0.35	0.31	0.34	0.29	0.20	0.17	0.14
Diluted Shares Outstanding	163.02M	169.22M	172.41M	172.2M	172.89M	174.53M	172.01M	171.62M	173.21M	174.32M	170.88M	177.02M	185.24M	188.37M	185.13M	184.11M	182.41M	180.69M	182.5M	197.95M	207.05M	209.76M	210.35M	211.5M	216.76M	212.82M	208.93M	210.82M	237.84M	264.67M	267.66M
Basic Shares Outstanding	161.07M	166.38M	168.88M	168.44M	168.95M	169.63M	167.46M	166.51M	167.36M	167.93M	166.85M	172.83M	180.44M	183.61M	181.35M	180.86M	180.63M	179.59M	180.79M	195.13M	203.3M	206.32M	207.67M	208.11M	214.03M	208.79M	204.86M	205.41M	232.63M	258.62M	265.6M
Dividend Payout Ratio	-	35.14%	35.4%	31.26%	30.85%	28.9%	35.4%	30.96%	26.05%	31.88%	180.54%	20.08%	29.42%	29%	36.41%	35.58%	46.82%	92.81%	36.98%	28.26%	26.33%	28.45%	119.53%	17.59%	18.36%	18.91%	16.2%	15.01%	22.62%	21.48%	22.93%

Key Metrics

Growth RegimeStable

ProfitabilityModerate

Balance SheetFortress

Cash FlowStable

Top Statement Risk

Gross margin compression offsetting revenue recovery

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q3)

Gross Margin Erodes to Decade Low

Graco's gross margin contracted to 50.5% in 2026Q3—the lowest level in the 10-quarter window—down from a 54.4% peak in 2024Q2, a decline of 390 basis points that suggests pricing or mix headwinds are intensifying despite mid-single-digit revenue growth.

The gross margin trajectory has been distinctly volatile, oscillating between 50.5% and 54.4% with no sustained upward or downward trend until the most recent quarter's sharp drop from 53.7% in 2026Q2. COGS rose to $290.2M in 2026Q3 versus $254.1M a year prior—a 14.2% increase far outpacing the 7.9% top-line gain—which warrants close monitoring of whether input cost pass-through mechanisms have weakened. The 50.5% gross margin remains well above industrial peers like Illinois Tool Works at 44.1% and Xylem at 38.5%, indicating the core pricing power narrative is intact, but the direction of travel in the latest quarter is the most concerning signal in this dataset.

Revenue Growth Fails to Translate to Earnings

Despite 7.9% year-over-year revenue growth in 2026Q3, diluted EPS declined 8.5% to $0.75 as operating margin compressed to 25.3% from 27.7%, suggesting the market's quality compounder thesis faces a test if margin erosion proves structural rather than cyclical.

The divergence between top-line momentum and bottom-line delivery in 2026Q3 is stark: revenue of $586.4M grew meaningfully, yet net income of $121.6M fell short of the prior year's $137.6M. A short-seller would focus on the fact that COGS grew at nearly twice the rate of revenue, implying either a loss of pricing discipline, an unfavorable shift in segment mix toward lower-margin Contractor products, or unabsorbed manufacturing costs from underutilized capacity. While the balance sheet remains a fortress with negligible leverage, continued earnings contraction in the face of revenue growth could force a re-rating of the premium multiple investors currently assign to GGG's financial excellence.

Operating Leverage Turns Unfavorable

SG&A expenses of $127.5M in 2026Q3 represent a 7.8% increase year-over-year, roughly matching revenue growth of 7.9%, which indicates overhead is scaling in lockstep with the top line rather than being absorbed to generate incremental operating income.

Operating income of $148.1M in 2026Q3 actually declined from $150.7M in the prior-year period despite higher revenue, translating to a 25.3% operating margin versus 27.7%—a 240 basis point contraction that represents a structural deterioration in cost absorption. However, the pattern across the 10-quarter history is inconsistent: 2025Q4 saw operating income grow 22.0% on 8.1% revenue growth, demonstrating that positive operating leverage is achievable when conditions align. The current negative leverage dynamic, combined with the margin compression, suggests either the company has over-invested in SG&A ahead of demand or that the revenue being captured in the most recent quarter carries a structurally different profitability profile than the historical base.

Share-Based Compensation Drifts Higher

Stock-based compensation of $8.0M in 2026Q3 represents a 10.9% increase from $7.2M in 2024Q3 and a sustained elevation above the $4.6M trough in 2024Q4, suggesting the real dilution burden on shareholders is modestly growing even as net income compresses.

SBC has been relatively stable in the $7.5–9.8M range over the past six quarters, consuming roughly 5.4% of operating income in 2026Q3 compared to 5.2% a year prior—a small but incremental drag on earnings quality that investors should weigh against the headline EPS figure. More significantly, the effective tax burden implied by the gap between operating income and net income appears consistent, offering no unusual non-operating tailwind to flatter results. Given that EPS declined 8.5% year-over-year while SBC grew 11.1%, the quality of reported earnings deteriorated on both a headline and per-share-dilution basis, reinforcing the case that the current profitability level may require closer scrutiny.

GGG — Frequently Asked Questions

Quick answers to the most common questions about buying GGG stock.

What was Graco Inc.'s (GGG) revenue in 2025?

For fiscal year 2025, Graco Inc. (GGG) reported total revenue of $2.24B. This represents a 470.9% increase compared to $391.8M in 1996.

Is Graco Inc. (GGG) profitable?

Graco Inc. (GGG) is profitable, generating $521.8M in net income for the fiscal year ending 2025 with a net profit margin of 23.3%.

What is Graco Inc.'s operating profit margin?

Graco Inc. (GGG) reported an operating income of $610.7M, resulting in an operating profit margin of 27.3%. This margin reflects the operational efficiency of the business before interest and taxes.

What is Graco Inc.'s gross profit and gross margin?

Graco Inc. (GGG) generated $1.17B in gross profit for the year, representing a gross profit margin of 52.5%. This demonstrates the company's core pricing power and production efficiency.