GIC

Global Industrial’s second quarter resulted in a positive market reaction, supported by broad-based sales growth and margin expansion. Management attributed outperformance to a combination of deeper customer relationships, a shift toward a relationship-driven B2B model, and the scaling of e-procurement capabilities. CEO Anesa Chaibi highlighted that the company’s evolving strategy has enabled it to become more embedded in customers’ purchasing processes, translating to improved retention and larger average order sizes. The expansion of group purchasing organization (GPO) partnerships and increased vertical specialization also played a significant role in driving high single-digit sales growth. Is now the time to buy GIC? Find out in our full research report (it’s free). Revenue: $386.6 million vs analyst estimates of $377.4 million (7.7% year-on-year growth, 2.4% beat) Adjusted EPS: $0.54 vs analyst estimates of $0.54 (in line) Operating Margin: 12.8%, up from 9.3% in the same quarter last year Market Capitalization: $1.52 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Michael Francis (William Blair) asked about factors impacting gross margin beyond tariff refunds. CFO Thomas Clark cited higher transportation costs and a larger mix of big orders, which, while profitable, pressured the gross margin line. Michael Francis (William Blair) inquired about which initiatives are most important now and going forward. CEO Anesa Chaibi highlighted the shift to a new go-to-market strategy and outside sales team as primary drivers, alongside product assortment expansion. Michael Francis (William Blair) questioned the use of increased cash on the balance sheet. Clark pointed to strong cash conversion and noted ongoing buybacks and dividends, while Chaibi added that M&A opportunities are being explored. Anthony Lebiedzinski (Sidoti & Company) asked if sales growth was steady across the quarter. Clark confirmed average daily sales growth was consistent through April, May, and June, with similar trends continuing into the third quarter. Anthony Lebiedzinski (Sidoti & Company) sought clarity on the company's approach to supporting small and medium businesses amid strategic account focus. Chaibi emphasized that SMBs remain a key target and that efforts to better understand and serve their needs are ongoing. As we look toward the next few quarters, our analysts will watch (1) the pace of adoption for e-procurement and digital integrations, (2) further scaling of group purchasing organization partnerships, and (3) execution of vertical specialization within sales and marketing. We are also monitoring the impact of transportation costs and macroeconomic volatility on margins and customer activity. Global Industrial currently trades at $39.80, up from $37.39 just before the earnings. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it’s free for active Edge members). WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses. But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Tuesday, Aug. 4, 2026 at 2:00 a.m. ET Chief Executive Officer - Anesa Chaibi Senior Vice President and Chief Financial Officer - Thomas Clark Operator: Good afternoon, ladies and gentlemen, and welcome to Global Industrial's Second Quarter 2026 Earnings Call. At this time, I would like to turn the call over to Mike Smargiassi of the Plunkett Group. Please go ahead. Mike Smargiassi: Thank you, and welcome to the Global Industrial Second Quarter 2026 Earnings Call. Today's call will include formal remarks from Anesa Chaibi, Chief Executive Officer; and Tex Clark, Senior Vice President and Chief Financial Officer. Formal remarks will be followed by a question-and-answer session. Today's discussion may include certain forward-looking statements. It should be understood that actual results could differ materially from those projected due to a number of factors, including those described under the forward-looking statements caption and under Risk Factors in the company's annual report on Form 10-K and quarterly report on Form 10-Q. In addition, on today's call, management will discuss non-GAAP financial measures. Definitions of these non-GAAP measures, together with reconciliations to the most directly comparable GAAP measures are included in today's earnings release. These non-GAAP measures should be considered in addition to and not as a substitute for results prepared in accordance with GAAP. The earnings release is available on the company's website and has been filed with the SEC on a Form 8-K. This call is the property of Global Industrial Company. I will now turn the call over to Anesa. Anesa Chaibi: Thanks, Mike. Good afternoon, everyone, and thank you for joining us. I would like to start by thanking the entire Global Industrial team for all of their hard work and dedication. Due to their efforts, we delivered another quarter of strong broad-based growth with second quarter revenue increasing 7.7% or 9.3% on an average daily basis. This marks our third consecutive quarter of high single-digit average daily sales growth. As of today, this revenue momentum has continued at a similar growth rate into the third quarter. Over the past year, we have been repositioning Global Industrial toward a deeper relationship-led B2B model. Our objective is to strengthen our value proposition and become a preferred supplier to our customers by becoming an extension of their team and making it easier for them to transact with us through the channels and systems they use every day. As we expand our e-procurement capabilities and GPO relationships, we are integrating into our customers' purchasing processes, leading to improved retention, increased share of wallet and stronger financial performance. Our GPO business has now reached meaningful scale with annualized sales on pace to hit $100 million this year, an important milestone for an organic initiative that began just a few years ago. GPO relationships provide us access to new customers through established contractual arrangements and allow us to engage with a more sophisticated procurement level buyer. Their industry specialization for public sector, health care, hospitality and private sector manufacturing provides strong alignment with our customer vertical approach. They also create a natural pathway into customers' e-procurement systems where purchasing activity can become more recurring and integrated. As a key 2026 priority, e-procurement is another area we are seeing significant momentum. By integrating our offering directly into customers' procurement platforms, we are moving closer to where purchasing decisions are made. Our punch-out integrations are designed to include more customer-centric experiences, allowing buying experiences to be customized to align with what our customers are searching for. This improves ease of use, strengthens customer retention and provides opportunities to broaden the range of products and solutions customers purchase from us. In the first half of this year, we expanded our eprocurement customer base and have implemented more than 50 purchasing connections, bringing our total digital connections to greater than 1,300 customers, and it's still growing. At the same time, our overall digital business represents more than 60% of our transaction volume. We continue to enhance our digital experience and the integrated e-procurement capabilities that embed us in customer purchasing workflows, while at the same time, facilitating their experience to make them more productive. These capabilities are increasingly important because many B2B customers have a multichannel purchase approach. They may interact with a sales representative, engage a product specialist and ultimately place an order through an integrated digital platform. We have been building upon our capabilities to support that full customer experience. Our sales organization now consists of inside and field-based resources with national account support, vertical expertise and digital capabilities. This allows us to deploy the right resources for the right opportunities to provide the most comprehensive support for our largest and highest potential customers. We are also becoming more specialized in how we approach the market. Our sales, marketing and merchandising teams are increasingly aligned around customer verticals. This is more than an organizational realignment. It is a shift towards a 360-degree understanding of our customers' operating environment and helping them solve a broader set of problems. By developing greater vertical expertise, our teams can have more relevant conversations, identify additional applications for our products, and we can deliver more complete solutions. We are seeing that approach translate into larger orders, stronger performance from our most strategic customers and purchases across multiple core product categories. We are also advancing the use of data, automation and artificial intelligence across the organization. Our initial focus has been on practical applications that enhance sales productivity, customer engagement, marketing insights and the speed and quality of decision-making. We remain disciplined in how we deploy these technologies, prioritizing solutions that improve the customer experience while empowering our associates to leverage these technologies to be more effective and deliver measurable returns. We have been pleased with our progress, but we are still early in the evolution of our go-to-market model, and there is considerable runway and work ahead of us in 2026 and beyond. We intend to continue scaling our sales capabilities, expanding our relationships with customers, increasing e-procurement adoption, strengthening our vertical expertise and improving the coordination of our sales, marketing, merchandising and digital teams. We believe these initiatives can support sustainable organic growth and continued market share gains over time. Finally, I would like to recognize one specific team within Global Industrial. Our Canadian team delivered another exceptional quarter. Revenue increased more than 30% in local currency, marking the fourth consecutive quarter of double-digit growth. After surpassing $100 million in annual revenue in local currency last year, our Canadian business continues to demonstrate its expanding scale and its significant long-term potential, and we are just getting started. I will now turn the call over to Tex to cover our financials in more detail. Thomas Clark: Thank you, Anesa. Second quarter revenue was $386.6 million with average daily sales growing 9.3%. For the first half of 2026, our average daily sales improved 8.4%. In the quarter, U.S. revenue was up 6.3% and Canada revenue improved 33.7% in local currency. We generated broad-based growth in our sales channels and customer verticals. Accounts managed by sales representatives increased in the low double digits, led by our largest strategic accounts. Growth was led by our retail wholesale vertical, while our core industrial customers approached double-digit gains. Results benefited from both volume and price. Pricing contributed approximately 4 points of growth with the balance due to volume and mix. This was the third consecutive quarter of volume improvement. Average order value increased approximately 10%, driven primarily by a greater mix of larger orders rather than price. This is an important point as it highlights the strategic customer relationships we are building and our increasing participation in projects and GPOs. On the tariff front, during the quarter, we recorded approximately $26 million associated with refunds of IEEPA tariffs. We recognized the benefit of approximately $21 million in cost of sales, a reduction of $4 million in inventory related to tariffs paid on items not yet sold and $1 million of interest income. At present, we believe any future refunds associated with IEEPA refunds will be immaterial. This benefit is reflected in our GAAP results. Because it is not representative of the company's underlying operating performance, we have excluded this onetime benefit from non-GAAP adjusted gross profit, adjusted operating income and adjusted earnings per share in our non-GAAP presentation. Non-GAAP gross profit for the quarter was $134.3 million, non-GAAP gross margin was 34.7%, more in line with historical performance. As a reminder, gross margin during the second quarter of 2025 was a record 37.1%, which included approximately 150 basis points of FIFO-related timing benefits associated with price increases taken upon the imposition of increased tariffs in April 2025. Margin performance in the quarter reflected inflation within our transportation network associated with increasing fuel surcharges as well as product and channel mix, which included a lower contribution from our seasonal cooling category compared with the prior year. Fuel costs remain volatile and transportation expense continues to be elevated. We remain focused on the management of our margin profile, recognizing that mix and fluctuations in transportation costs and other inflationary pressures can create variability from quarter-to-quarter. Our pricing, sales and merchandising team members remain focused on mitigating the effects of these macroeconomic impacts on our customers. Selling, general and administrative spending for the quarter was $106.1 million, an improvement of 30 basis points as a percentage of sales as compared to the second quarter last year. Variable compensation, specifically sales commissions were up and reflect a strong sales performance in the quarter. Excluding variable performance-based compensation, SG&A generated approximately 70 basis points of leverage. Non-GAAP operating income from continuing operations was $28.2 million, and non-GAAP operating margin was 7.3%. Operating cash flow from continuing operations was $41.3 million in the quarter. Total depreciation and amortization expense in the quarter was $2 million, while CapEx was $0.9 million. We continue to expect 2026 capital expenditures in the range of $3 million to $4 million, which primarily reflect maintenance-related investments and equipment within our distribution network. We currently expect a tax rate between 26% and 26.5% for the remainder of 2026. I will now turn to our balance sheet. We continue to have a strong and liquid balance sheet. As of June 30, we had $86.7 million in cash, no debt and over $119 million of excess availability under our credit facility. The quarter end cash balance reflects approximately $15.3 million of tariff refunds received in the fiscal second quarter, while $10.9 million was received in early July and was recorded as a receivable at quarter end. In the second quarter, we repurchased approximately 160,000 shares of stock for a total price of $4.7 million. As for our dividend, our Board of Directors declared a quarterly dividend of $0.28 per share of common stock. I will now turn it back over to Anesa for closing remarks. Anesa Chaibi: Thanks, Tex. Overall, we are pleased with the first half of the year. We have been able to sustain our sales momentum and deliver profitable growth. Our strategic initiatives that we implemented are beginning to deliver volume growth and notable results. We remain focused on the external macroeconomic environment, including geopolitical conditions, transportation costs and other sources of volatility. We will continue to proactively manage those factors while remaining focused on the areas within our control. Our priorities are clear. We are deepening customer relationships, capturing greater share of wallet, strengthening our vertical expertise and deploying our resources against the opportunities with the greatest long-term potential. Now that we are in the third quarter, we also look forward to our upcoming National Trade Show in Dallas, Texas at the end of September. The event will bring together many of our largest customers and more than 175 supplier partners, creating a valuable forum to showcase our broad product offering, strengthen key relationships and generate new sales opportunities across the business. At this point, I would like to thank all of our associates again for their hard work, adaptability and commitment to serving our customers. I also would like to thank our customers, suppliers and shareholders for their continued support. We look forward to building on our progress through the balance of 2026. And now I'll ask the operator to open the call up for questions. Operator: [Operator Instructions] The first question today comes from Michael Francis with William Blair. Michael Francis: Great quarter. I wanted to start off on gross margin. The margins ex tariff increases were a miss. We had been down a little bit quarter-over-quarter. I know you talked about the higher transport costs, but would love to know sort of what the puts and takes are within that sort of bucket. Thomas Clark: Michael, I'll take that. I'll start with that one. So when we think about that, one of the things we saw, again, like you're right, we'll exclude the tariff refund portion and get back to that non-GAAP 34.7%, again, down from that previous high. I think what we're seeing is the number one impact in the period was that continued inflation within our transportation network, both LTL and UPS or parcel-related charges saw those increased fuel surcharges that we had. And while some of that was passed through to customers, other portions of that was absorbed by the company, which impacted that gross margin. I think one other thing that we saw in the period was really our mix of orders. So when we look at the different gross margin rates in different bands and the sourcing channels, the sales channels, we actually saw a fair amount of consistency. But when we looked at the total mix, we saw some increased -- decreased gross margin rate. One area specifically was larger orders where we took on more large orders. I mean, while that was provided a little bit of headwind on the gross margin line, we look at each one of those and they're profitable orders, profitable projects that are accretive to the overall business. But again, it did impact that gross margin line a bit in the quarter. So those are areas that we do expect will be continuing into the Q3 period. But again, we'll continue to mitigate that for our customers wherever we can. Michael Francis: Okay. And then broadly, Anesa, you touched on a bunch of different initiatives to start. So between all of those, I'd love to know what the most important initiatives are sort of driving results today and then what the most important you think will be going forward? Anesa Chaibi: Yes. No, thank you for the question. And Yes. I mean I touched upon a variety of things, but our specialization expansion and services strategy is working. Most important, I think it's a combo of all of the things that I mentioned, but in particular, we changed the go-to-market strategy and the approach in the way that we go to market along with building out an outside sales team and just having more interaction and getting more entrenched with our customers, Michael. So I think all of those are starting to convert. In addition, we've also looked at product assortment that I've mentioned on some prior calls, right? And in that case, not only are we focused on our brands, but also expanding and the national brands that we're providing into the marketplace. And then Tex highlighted some of the mix shift. So we're kind of settling into a little bit of a different profile as we move forward. And I think all of that is converting quite nicely for us, and we're seeing the growth and it's sustaining. So that gives us confidence to think about where we reinvest into the business to continue to scale and grow. And we're just watching everything very closely. So I think for us, it would just be prudent to make sure we've got our eye on everything that is happening around us, but just continuing to stay the course on the strategy and that execution and getting the organization aligned and prepared to just move faster and start to move into the marketplace in that manner. So that's the goal at this point. And so far, so good. But I'm pleased with the progress, but we still have -- it's early innings, and I think we still have more to do. Michael Francis: Okay. And then last one for me. You've got more cash now than you've ever had. So I'd love to know what's driving that beyond just the tariff refund. And also if there's any sort of plans we should think about behind this, whether that be M&A, buybacks or some sort of special dividend? Thomas Clark: Yes, I'll jump in there. Yes, you're right. I mean, so when we look at that quarter end cash balance at about $86 million. And again, as we clarified that actually, there was $10 million of that tariff refund, which hit in Q3, so that was on the balance sheet as a receivable. So very good cash position. I think when we look at our overall profile, we've been, again, good conversion of cash, and that's just a reflection of the overall sales channel that we're seeing good sales, that's translating into good collections of our customers' receivables in that profile. Otherwise, I think we're continuing to focus on our capital allocation strategy, which includes investing in our business where appropriate. And then again, you saw that we did continue to buy back some shares in the period of approximately 160,000 shares in the earlier part of the third quarter at an average price just under $30. And again, continuing -- our dividend will be a continued use of our expected cash flow. But you're right, we are -- we do have a healthy balance sheet at this point. Anesa Chaibi: Yes. The only thing I'll add is that I'm also looking at M&A opportunities, and that's something that we're building out a pipeline and leaning into more so to help us execute and expand and speed up our go-to-market, if you will, Michael. Operator: The next question comes from Anthony Lebiedzinski with Sidoti & Company. Anthony Lebiedzinski: Certainly nice to see the solid second quarter results. Just wondering, as you progress through the quarter, did you see much variability from April through June in terms of your average daily sales? Or was it more or less kind of consistent throughout the quarter? Thomas Clark: Yes. Anthony, I'll jump in right there. So I think you hit the nail on the head with referencing average daily sales. We've had to actually have a shift in the calendar with July 4 falling into our second quarter this year versus third quarter. But when you look at an average daily sales basis, our growth rate was pretty consistent throughout April, May and June, which gives us something that we saw pretty consistent through the first part of the year as well. So very stable, good growth profile consistently to get us to where we are. I think as Anesa highlighted on our call just a few moments ago that, that growth rate has continued into the third quarter. Anthony Lebiedzinski: That's great to hear. And then as we think about the -- your, I guess, core SMB customers, just wondering -- I know you talked about some of the strategic accounts, and it was good to hear some data points on the GPO customers. But I guess if you could just comment on what you saw from your traditional kind of SMB customers, whether we've seen similar performance as recent quarters or not? How do we think about that? Thomas Clark: Yes, I can jump in as well, Anthony, on that. I think one area when we looked at when we talk about broad-based growth, we actually saw good growth again in our various customer verticals. And we did see especially solid growth in those largest customers. But one thing that we saw good e-sales across the business, e-commerce was up. Our new account generation was up. So I mean, we did see good solid growth across, but just where we were really leaning in was into some of those larger customers that had the most opportunity and they performed -- we performed well with them. So it truly was broad-based growth across our portfolio of customers this quarter. Anesa Chaibi: Yes. The only thing I would add, Anthony, is that the small and medium businesses are an important target customer for us. So we're very much lining up to ensure that we're supporting them and meeting their needs as well. I just think we're just going through quite a bit of change, if you will, as we go to market and just settling in and better understanding those customers and having that customer centricity to understand how do we best line up to be able to serve their needs and help them solve their day-to-day problems. Anthony Lebiedzinski: Got you. Okay. So one of the things that I know, Anesa, you've been working on is creating more of that customer-centric culture. So I guess where are you with this journey now? And how should we think about the impact on the company as you look to further expand on this initiative? Anesa Chaibi: Yes. Yes. Great question, Anthony. Thank you. Look, we're in the early innings of it. I keep saying that, and that it's quite a bit of change that's occurring at the company, and I would say it's positive change. But nevertheless, it is changed. People within the company, and I gave them kudos and thank them for all their hard work and effort. It's because they're going through this and making sure that we better understand our customers better. And by understanding our customers better, it has implications on the way that we need to line ourselves up as a company. And I think we're in the early stages of that. I hope that we could settle into a rhythm and a cadence coming out of '26 going into '27 and then building out and scaling the business to be able to meet the need and to capture more of the market share. So I think, again, we're halfway into this year. We have the benefit of what is within our control, but we're also managing the uncontrollables as best we can, right? So I can't predict those. But right now, the strategy is working. The organization is lining up to do that. The customer centricity is permeating the organization, but it doesn't just happen overnight. Anthony Lebiedzinski: Of course, right. And then lastly for me. So as far as the gross margins, I mean, so obviously, excluding the tariff refunds, it was 34.7%. So I know there's some changes with the seasonality and product mix and customer mix. But I mean, just broadly speaking, I mean, how do we think about the gross margins for the balance of the year? Thomas Clark: Yes. I think the scenario that -- yes, I'll jump right in as well. And I think the scenario that -- I mean, we've seen in the last 2 quarters, very consistent gross margins at 34.7% and 34.8% on an adjusted basis. I think as we look at that mix and then the current order mix, customer mix, sales mix right now, I think it's probably something that we can project to be in line with where we're at going forward. Last year, we were getting the benefit in Q2 and Q3 really of those pricing actions before the tariffs fully came into impact. We saw that margin rate decline a little bit into that fourth quarter last year then. So again, right now, we don't expect as many of those pricing actions. But again, it's something that we'll have to continue to monitor and observe what's happening out there with changes to trade policy, with changes to fuel. Those are all things that we're going to have to take into consideration. And then again, sales, marketing, merchandising really working together to make sure they're putting that right pricing value proposition out there for each of our customer sets. Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect. 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Track your investments for FREE with Simply Wall St, the portfolio command center trusted by over 7 million individual investors worldwide. Global Industrial (GIC) has attracted fresh attention after its second quarter 2026 update, which combined higher reported sales and earnings with continued share repurchases and a confirmed cash dividend. See our latest analysis for Global Industrial. At a share price of $39.13, Global Industrial has given investors a 19.70% 30 day share price return and a 33.00% year to date share price return. The 1 year total shareholder return of 17.02% and 3 year total shareholder return of 30.69% point to building momentum that aligns with stronger recent earnings, ongoing buybacks and fresh commentary about pursuing acquisitions. If the recent move in Global Industrial has you thinking more broadly about cyclical industrial themes, this could be a good moment to widen your search with 36 power grid technology and infrastructure stocks Global Industrial now combines growing scale, active buybacks and a steady dividend, all reflected in a sharp share price move. The business looks stronger on paper. Is the stock itself still reasonably priced after this run? The most followed narrative for Global Industrial compares a fair value of $40 to the latest close at $39.13 and sees only a small valuation gap. This puts the focus firmly on the business drivers behind that number. Read the complete narrative. Curious what sits behind that fair value for Global Industrial? The narrative leans heavily on steady revenue gains, firmer margins and a future earnings multiple that needs to hold. The full breakdown shows exactly which assumptions have to line up for $40 to make sense. Result: Fair Value of $40 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Global Industrial still faces tariff related cost pressure and a heavier tilt toward larger accounts, which could strain margins and make revenues more volatile. Find out about the key risks to this Global Industrial narrative. With Global Industrial back in focus and sentiment looking more optimistic, this is a good time to review the data yourself and stress test the story. To see what investors are finding encouraging, take a closer look at the 4 key rewards. If you stop with Global Industrial, you might miss other stocks that fit your goals. Use the Simply Wall St Screener to uncover ideas that match your approach. Spot opportunities with pricing that still looks appealing by checking companies filtered through the 51 high quality undervalued stocks. Strengthen your income stream by reviewing stocks highlighted in the 8 dividend fortresses. Prioritise resilience by focusing on companies featured in the 79 resilient stocks with low risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GIC. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Interested in Global Industrial Company? Here are five stocks we like better. Revenue growth remained strong: Second-quarter revenue rose 7.7% year over year to $386.6 million, or 9.3% on an average daily sales basis. Growth was broad-based, with Canadian revenue up 33.7% in local currency and momentum continuing into the third quarter. Adjusted profitability was pressured: Excluding a $26 million IEEPA tariff-refund benefit, gross profit was $134.3 million and adjusted gross margin was 34.7%, versus 37.1% a year earlier. Higher transportation costs, product and channel mix, and lower seasonal cooling sales weighed on margins. The company is investing for expansion while maintaining financial flexibility: GPO annualized sales are expected to reach $100 million, digital connections now exceed 1,300 customers, and Global Industrial is evaluating acquisitions. It ended the quarter with $86.7 million in cash, no debt, and more than $119 million of credit availability. Global Industrial (NYSE:GIC) reported second-quarter revenue of $386.6 million, up 7.7% from a year earlier and 9.3% on an average daily sales basis, as the company cited broad-based growth across sales channels and customer verticals. Chief Executive Officer Anesa Chaibi said the performance marked the company’s third consecutive quarter of high-single-digit average daily sales growth. She added that revenue momentum had continued into the third quarter at a similar pace. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control For the first half of 2026, average daily sales increased 8.4%. U.S. revenue rose 6.3% in the second quarter, while Canadian revenue increased 33.7% in local currency. Chaibi said Canada has now produced four consecutive quarters of double-digit growth after surpassing CAD 100 million in annual local-currency revenue last year. Senior Vice President and Chief Financial Officer Tex Clark said sales growth was led by the retail wholesale vertical, while core industrial customers posted gains approaching 10%. Accounts managed by sales representatives grew at a low-double-digit rate, led by the company’s largest strategic accounts. → 3 Drone Stocks That Should Soar After the Summer Slump Pricing contributed roughly four percentage points of second-quarter growth, with the remaining growth attributed to volume and mix, Clark said. Average order value rose about 10%, primarily because of a greater mix of larger orders rather than pricing. Management linked the stronger order profile to its effort to build more relationship-based B2B customer relationships, increase participation in projects and expand group purchasing organization, or GPO, activity. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Chaibi said Global Industrial is shifting its go-to-market strategy toward deeper customer engagement through inside and field sales resources, national-account support, vertical-market expertise and digital capabilities. The company is also expanding its product assortment, including national brands alongside its own brands. “We’re kind of settling into a little bit of a different profile as we move forward,” Chaibi said, referring to the changing mix of customers and products. She characterized the company’s progress as early-stage but said the sales momentum supports continued investment to scale the business. Global Industrial said its GPO business is on pace to reach $100 million in annualized sales this year. Chaibi described that level as a meaningful milestone for an organic initiative started several years ago. The company said GPO relationships help it reach new customers through contractual arrangements in sectors including public sector, healthcare, hospitality and private-sector manufacturing. Those relationships can also provide a route into customers’ e-procurement systems, potentially making purchasing activity more recurring and integrated. During the first half, Global Industrial implemented more than 50 new purchasing connections, bringing its total digital connections to more than 1,300 customers. Overall, digital business accounts for more than 60% of the company’s transaction volume, Chaibi said. The company is developing punch-out integrations designed to provide customized purchasing experiences within customer procurement platforms. Management said these efforts are intended to improve ease of use, customer retention and the range of products customers purchase. Clark said Global Industrial recorded approximately $26 million tied to refunds of IEEPA tariffs during the quarter. The company recognized about $21 million of the benefit in cost of sales, reduced inventory by $4 million for tariffs paid on items not yet sold and recorded $1 million of interest income. The company excluded the one-time tariff-related benefit from its non-GAAP measures, saying it did not represent underlying operating performance. On that adjusted basis, gross profit was $134.3 million and gross margin was 34.7%. Adjusted gross margin was below the 37.1% recorded in the second quarter of 2025, when results included about 150 basis points of FIFO-related timing benefits from price increases associated with tariff changes. Clark said the current quarter’s margin was affected by higher transportation costs, including increased fuel surcharges in less-than-truckload and parcel networks, as well as product and channel mix. A lower contribution from the seasonal cooling category also affected the comparison. In addition, larger orders carried lower gross-margin rates, though Clark said the orders remained profitable and accretive to the overall business. Management said adjusted gross margin has been consistent over the past two quarters, at 34.7% and 34.8%, and indicated that current customer, sales and order mix could support similar levels going forward. However, Clark said trade policy changes, fuel costs and other external factors will continue to require monitoring. Second-quarter selling, general and administrative expense was $106.1 million, improving 30 basis points as a percentage of sales from the prior year. Excluding variable performance-based compensation, SG&A produced about 70 basis points of leverage, Clark said. Non-GAAP operating income from continuing operations was $28.2 million, representing a 7.3% operating margin. Operating cash flow from continuing operations totaled $41.3 million. Cash as of June 30: $86.7 million Debt: None Excess availability under credit facility: More than $119 million Second-quarter share repurchases: Approximately 160,000 shares for $4.7 million Quarterly dividend declared: $0.28 per common share Expected 2026 capital expenditures: $3 million to $4 million Expected tax rate for the remainder of 2026: 26% to 26.5% Clark said $15.3 million of tariff refunds were received during the second quarter, while another $10.9 million was received in early July and recorded as a receivable at quarter-end. He said the company expects any future IEEPA tariff refunds to be immaterial. Chaibi said Global Industrial is also evaluating merger and acquisition opportunities and is building an M&A pipeline as a potential way to expand and accelerate its go-to-market strategy. The company plans to hold a national trade show in Dallas at the end of September, bringing together large customers and more than 175 supplier partners. Global Industrial Company (NYSE: GIC) is a leading business-to-business distributor of industrial products and equipment. Headquartered in Port Washington, New York, the company provides a comprehensive range of products to support manufacturing, warehousing, and facility maintenance operations across North America. Through a digital-first platform, Global Industrial combines e-commerce, direct sales and catalog-based ordering channels to serve a diverse commercial customer base. The company's product portfolio encompasses material handling solutions (including conveyors, pallet racks and hoists), storage and shelving systems, janitorial and sanitation supplies, packaging and shipping materials, and office furniture. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Global Industrial Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Revenue: Second quarter revenue was $386.6 million, with average daily sales growing 9.3%. US Revenue: Increased 6.3% in the quarter. Canada Revenue: Improved 33.7% in local currency, marking the fourth consecutive quarter of double-digit growth. Non-GAAP Gross Profit: $134.3 million for the quarter. Non-GAAP Gross Margin: 34.7%, more in line with historical performance. SG&A Spending: $106.1 million, an improvement of 30 basis points as a percentage of sales compared to the prior year. Non-GAAP Operating Income: $28.2 million from continuing operations. Non-GAAP Operating Margin: 7.3%. Operating Cash Flow: $41.3 million from continuing operations in the quarter. Capital Expenditures: $0.9 million in the quarter, with 2026 expectations of $3 million to $4 million. Cash Position: $86.7 million in cash with no debt as of June 30. Share Repurchases: Approximately 160,000 shares repurchased for $4.7 million in the second quarter. Dividend: Quarterly dividend declared of $0.28 per share. Warning! GuruFocus has detected 5 Warning Signs with GIC. Is GIC fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Global Industrial Co (NYSE:GIC) delivered strong broad-based growth with second quarter revenue increasing 7.7% (9.3% on an average daily basis), marking the third consecutive quarter of high single-digit average daily sales growth, with momentum continuing into Q3. The GPO business reached meaningful scale, with annualized sales on pace to hit $100 million this year, providing access to new customers and more sophisticated procurement-level buyers. E-procurement capabilities expanded significantly, with over 50 new purchasing connections in the first half, bringing total digital connections to over 1,300 customers, and digital transactions now represent more than 60% of volume. The Canadian business delivered exceptional performance, with revenue increasing more than 30% in local currency, marking the fourth consecutive quarter of double-digit growth and demonstrating significant long-term potential. The company maintains a strong liquid balance sheet with $86.7 million in cash, no debt, and over $119 million in excess credit facility availability, supporting ongoing share repurchases and dividends. Sales growth was broad-based across channels and customer verticals, with accounts managed by sales representatives increasing in the low double-digits, led by strategic accounts, and average order value up approximately 10%. The company is advancing practical applications of data, automation, and AI to enhance sales productivity, customer engagement, and decision-making, with a disciplined approach to delivering measurable returns. Non-GAAP gross margin declined to 34.7% from a record 37.1% in the prior year, impacted by inflation within the transportation network, including increased fuel surcharges, and product/channel mix shifts. Transportation costs remain volatile and elevated, with fuel surcharges continuing to pressure margins, and the company expects these headwinds to persist into Q3. The product and channel mix included a lower contribution from the seasonal cooling category compared with the prior year, negatively affecting margin performance. The company recorded a one-time tariff refund benefit of approximately $26 million, which is not representative of underlying operating performance and was excluded from non-GAAP results, indicating potential volatility in reported figures. SG&A spending increased due to higher variable compensation, specifically sales commissions, reflecting strong sales performance but adding to cost pressures. The company is still in the early stages of its go-to-market transformation, with significant work ahead in scaling sales capabilities, expanding e-procurement adoption, and strengthening vertical expertise, which may limit near-term growth acceleration. The company faces ongoing macroeconomic uncertainties, including geopolitical conditions and trade policy changes, which could impact future pricing, margins, and demand. Q: What were the key drivers behind the gross margin decline, excluding the one-time tariff refund benefit, and how should we think about margins for the balance of the year? A: Tex Clark (CFO) explained that the non-GAAP gross margin of 34.7% was impacted by continued inflation within the transportation network, specifically increased fuel surcharges from LTL and parcel carriers, a portion of which was absorbed by the company. Additionally, the mix of orders shifted toward larger orders and projects, which, while accretive to overall profitability, carried slightly lower gross margin rates. He noted that these headwinds are expected to continue into Q3, but the company will work to mitigate them. Looking forward, he projected that margins are likely to remain in line with the recent levels of 34.7% to 34.8%, barring any major changes in trade policy or fuel costs. Q: Which of the strategic initiatives are driving results today, and which will be most important going forward? A: Aneesa Chaibi (CEO) stated that the combination of initiatives is working, but the most critical is the change in go-to-market strategy, which includes building out an outside sales team and becoming more entrenched with customers. She highlighted that the expansion of product assortment, including national brands, is also converting nicely. The company is seeing sustained growth from these efforts, which gives confidence to reinvest in scaling the business. She emphasized that while the strategy is working, the company is still in the early stages and has more work to do to move faster and capture more market share. Q: With the strong cash position, what are the company's plans for capital allocation, including M&A, buybacks, or special dividends? A: Tex Clark (CFO) noted the quarter-end cash balance of $86.7 million, which includes a receivable for $10.9 million in tariff refunds received in early July. He reiterated the capital allocation strategy includes investing in the business, continuing the quarterly dividend, and repurchasing shares, as evidenced by the 160,000 shares bought back in the quarter. Aneesa Chaibi (CEO) added that the company is actively building a pipeline of M&A opportunities to help accelerate its go-to-market strategy and expand its capabilities. Q: Did the company see variability in average daily sales growth throughout the second quarter, and has the momentum continued into Q3? A: Tex Clark (CFO) confirmed that on an average daily sales basis, the growth rate was very consistent across April, May, and June, which was also consistent with the first part of the year. He reiterated Aneesa Chaibi's earlier comment that this similar growth rate has continued into the third quarter, indicating a stable and sustainable growth profile. Q: How is the performance of the traditional SMB customer base compared to the larger strategic accounts? A: Tex Clark (CFO) stated that the growth was truly broad-based across the customer portfolio. While the largest strategic accounts performed particularly well, the company also saw solid growth in e-commerce sales and new account generation. Aneesa Chaibi (CEO) added that SMBs remain an important target customer, and the company is aligning its go-to-market approach to better serve their needs as part of the ongoing customer-centric transformation. Q: Where is the company in its journey toward a more customer-centric culture, and what impact will this have going forward? A: Aneesa Chaibi (CEO) described the company as being in the "early innings" of this significant positive change. She acknowledged the hard work of the team in adapting to a new way of operating that focuses on better understanding customers. She hopes to settle into a rhythm and cadence going into 2027, allowing the company to scale the business and capture more market share. While the strategy is working, she noted that such a cultural shift does not happen overnight and requires continued focus. Q: Can you provide more detail on the puts and takes within the gross margin, specifically regarding the impact of larger orders and transportation costs? A: Tex Clark (CFO) elaborated that the primary impact was the continued inflation in the transportation network, with increased fuel surcharges from LTL and parcel carriers. While some of these costs were passed through to customers, a portion was absorbed, impacting gross margin. He also noted that while the gross margin rates within different sales channels were consistent, the overall mix shifted toward larger orders and projects. These larger orders, while accretive to the overall business, carried a slightly lower gross margin rate, creating a headwind in the quarter. Q: What is the current status and scale of the GPO business and e-procurement initiatives? A: Aneesa Chaibi (CEO) highlighted that the GPO business has reached meaningful scale, with annualized sales on pace to hit $100 million this year, a significant milestone for an organic initiative. She also noted that e-procurement is a key 2026 priority, with the company implementing more than 50 new purchasing connections in the first half of the year, bringing total digital connections to over 1,300 customers. The overall digital business now represents more than 60% of transaction volume, and these integrations are embedding the company into customer purchasing workflows, improving retention and share of wallet. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Transitioned toward a deeper relationship-led B2B model to become a preferred supplier by integrating directly into customer procurement systems. Achieved the third consecutive quarter of high single-digit average daily sales growth, driven by broad-based demand across retail, wholesale, and core industrial verticals. Scaled the Group Purchasing Organization (GPO) initiative to a $100 million annualized sales pace, providing a pathway for recurring revenue through sophisticated procurement channels. Expanded digital capabilities with over 50 new purchasing connections in the first half of 2026, bringing total digital connections to more than 1,300 customers. Realigned sales, marketing, and merchandising teams around specific customer verticals to provide a 360-degree understanding of operating environments and solve broader problems. Leveraged a multichannel sales approach combining inside and field-based resources with vertical expertise to capture larger, more strategic project orders. Continued exceptional performance in the Canadian market, which delivered The Canadian team delivered revenue growth of more than 30% in local currency this quarter, marking its fourth consecutive quarter of double-digit growth. Management expects the current revenue momentum to continue into the third quarter at a similar growth rate to the 9.3% seen in Q2. Strategic focus remains on scaling sales capabilities and increasing e-procurement adoption to support sustainable organic growth and market share gains. Capital expenditure for 2026 is projected between $3 million and $4 million, primarily allocated to maintenance and equipment within the distribution network. The company is actively building an M&A pipeline to identify opportunities that could accelerate go-to-market speed and expand service capabilities. Management anticipates a tax rate between 26% and 26.5% for the remainder of the 2026 fiscal year. Recorded a $26 million benefit related to IEEPA tariff refunds, though management noted future refunds associated with this matter are expected to be immaterial. Gross margin performance was impacted by inflation within the transportation network, specifically elevated fuel surcharges for LTL and parcel shipments. A shift in order mix toward larger projects and GPO contracts provided a slight headwind to gross margin rates despite being accretive to overall profit. The company repurchased approximately 160,000 shares for $4.7 million during the second quarter as part of its capital allocation strategy. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management attributed the decline to 34.7% primarily to transportation fuel surcharges and a mix shift toward larger, project-based orders. While large orders carry lower margin rates, they are profitable and reflect deeper strategic relationships with major accounts. The combination of a new go-to-market strategy, an expanded outside sales team, and a broader product assortment including national brands is driving current growth. Management emphasized that the company is still in the 'early innings' of its customer-centric transformation, with more scaling expected in 2027. Strong cash conversion is driven by efficient collections and sales growth, leading to a healthy $86.7 million cash balance. Priorities include reinvesting in the business, maintaining the dividend, and pursuing M&A to speed up strategic execution. Growth was broad-based, but largest strategic accounts saw low double-digit growth, outperforming the general average. Management is working to ensure the new customer-centric culture also meets the specific day-to-day needs of small and medium business (SMB) targets.

Sales Increased 7.7% to $386.6 Million and 9.3% on an Average Daily Sales BasisBoard Declared $0.28 Dividend PORT WASHINGTON, N.Y., August 04, 2026--(BUSINESS WIRE)--Global Industrial Company (NYSE: GIC), a value-added distributor and source for industrial equipment and supplies today announced financial results for the second quarter ended June 30, 2026. Second Quarter 2026 Financial Summary: Consolidated sales increased 7.7% to $386.6 million compared to $358.9 million last year and average daily sales increased 9.3% compared to prior year. Consolidated gross margin increased to 40.2% compared to 37.1% last year. Excluding refunds from tariffs, consolidated gross margin would have been 34.7%, in line with historical performance. Consolidated operating income from continuing operations increased 47.2% to $49.3 million compared to $33.5 million last year. Excluding refunds from tariffs, consolidated operating income would have been $28.2 million. Net income per diluted share from continuing operations increased 47.7% to $0.96 compared to $0.65 last year. Excluding refunds from tariffs, net income per diluted share would have been $0.54. Year to Date Q2 2026 Financial Summary: Consolidated sales increased 8.4% to $737.0 million compared to $679.9 million last year and average daily sales increased 8.4% compared to prior year. Consolidated gross margin increased to 37.6% compared to 36.0% last year. Excluding refunds from tariffs, consolidated gross margin would have been 34.8%. Consolidated operating income from continuing operations increased 35.2% to $69.9 million compared to $51.7 million last year. Excluding refunds from tariffs, consolidated operating income would have been $48.8 million. Net income per diluted share from continuing operations increased 36.4% to $1.35 compared to $0.99 last year. Excluding refunds from tariffs, net income per diluted share would have been $0.93. Anesa Chaibi, Chief Executive Officer, said, "We delivered another quarter of strong, broad-based growth, with second quarter revenue increasing 7.7%, and 9.3% on an average daily sales basis. This marks our third consecutive quarter of high single-digit average daily sales growth as we benefited from gains in both volume and price." "We are pleased with the momentum in the business and the progress we are making in advancing our go-to-market approach. We continue to deepen customer relationships, expand e-procurement adoption, strengthen vertical specialization, and enhance coordination across our sales, marketing, merchandising and digital teams. These initiatives are designed to drive sustainable organic growth, increase share of wallet, support continued market-share gains and enhance our long-term performance." At June 30, 2026, the Company had total working capital of $249.0 million, cash and cash equivalents of $86.7 million, and excess availability under its credit facility of approximately $119.8 million. Operating cash flow provided by continuing operations in the quarter was $41.3 million. During the second quarter ended June 30, 2026, the Company recorded a benefit of approximately $26.2 million associated with refunds of IEEPA tariffs, comprising $21.1 million related to cost of sales, $4.0 million reduction to inventory not yet sold and $1.1 million of interest income. The Company does not expect any future refunds of IEEPA tariffs assessed to date to be material. Quarter end cash balances reflect approximately $15.3 million of tariff refunds received in the fiscal second quarter, with an additional $10.9 million received in early July recorded as a receivable at quarter end. The Company also repurchased approximately 160,000 shares of its common stock at an aggregate purchase price of $4.7 million during the second quarter ended June 30, 2026. The Company’s Board of Directors has declared a cash dividend of $0.28 per share to common stock shareholders of record at the close of business on August 17, 2026, payable on August 24, 2026. Earnings Conference Call Details Global Industrial Company will host a conference call and question and answer session on its second quarter 2026 results today, August 4, 2026 at 5:00 p.m. Eastern Time. A live webcast of the call will be available on the Company’s website at https://investors.globalindustrial.com in the events section. The webcast will also be archived on the website for approximately 90 days. About Global Industrial Company Global Industrial Company (NYSE: GIC), is a leading distributor of high-quality, industrial-strength equipment and supplies, serving organizations of all sizes across a wide range of industries. With more than 75 years of experience, customers rely on Global Industrial for its broad portfolio of national and private brands, trusted service and focus on value. We help customers keep their operations running by delivering the right products when they need them, because We Can Supply That®. Visit Globalindustrial.com, and follow us on Facebook, Instagram, and LinkedIn. Forward-Looking Statements This press release contains forward-looking statements within the meaning of that term in the Private Securities Litigation Reform Act of 1995 (Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934). Additional written or oral forward-looking statements may be made by the Company from time to time in filings with the Securities and Exchange Commission or otherwise. Any such statements that are not historical facts are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are based on management's estimates, assumptions and projections and are not guarantees of future performance. When used in this release, the words "anticipates," "believes," "estimates," "expects," "intends," and "plans" and variations thereof and similar expressions are intended to identify forward-looking statements. Forward-looking statements in this report are based on the Company’s beliefs and expectations as of the date of this report and are subject to risks and uncertainties which may have a significant impact on the Company’s business, operating results or financial condition. Investors are cautioned that these forward-looking statements are inherently uncertain and undue reliance should not be placed on them. Important risk factors that may affect our future results of operations and financial condition are detailed from time to time in our Securities and Exchange Commission filings. We undertake no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unexpected events, except as may be required by applicable law. View source version on businesswire.com: https://www.businesswire.com/news/home/20260804645520/en/ Contacts Investor/Media Contacts:Mike Smargiassi / Collin DreizenThe Plunkett [email protected] / [email protected]

Global Industrial (GIC) came out with quarterly earnings of $0.54 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.65 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this technology products marketer would post earnings of $0.41 per share when it actually produced earnings of $0.39, delivering a surprise of -4.88%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Global Industrial, which belongs to the Zacks Industrial Services industry, posted revenues of $386.6 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.44%. This compares to year-ago revenues of $358.9 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Global Industrial shares have added about 24.7% since the beginning of the year versus the S&P 500's gain of 11%. While Global Industrial has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Global Industrial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.55 on $380.53 million in revenues for the coming quarter and $1.92 on $1.46 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Industrial Services is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. LegalZoom (LZ), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This online platform for legal services is expected to post quarterly earnings of $0.15 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 5.4% higher over the last 30 days to the current level. LegalZoom's revenues are expected to be $205.98 million, up 7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Global Industrial Company (GIC) : Free Stock Analysis Report LegalZoom.com, Inc. (LZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Industrial and commercial distributor Global Industrial (NYSE:GIC) will be reporting earnings this Tuesday after market hours. Here’s what to expect. Global Industrial beat analysts’ revenue expectations last quarter, reporting revenues of $350.4 million, up 9.2% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EPS estimates. Is Global Industrial a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members. This quarter, the market is expecting Global Industrial’s revenue to grow 5.2% year on year, improving from the 3.2% increase it recorded in the same quarter last year. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Global Industrial has missed Wall Street’s revenue estimates multiple times over the last two years. Looking at Global Industrial’s peers in the maintenance and repair distributors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. WESCO delivered year-on-year revenue growth of 13%, beating analysts’ expectations by 3.7%, and MSC Industrial reported revenues up 7.8%, topping estimates by 1.3%. WESCO traded up 11% following the results while MSC Industrial was also up 3.2%. Read our full analysis of WESCO’s results here and MSC Industrial’s results here. In the last year or so, investors have shifted their focus from one macro dynamic to the next (AI disintermediation and AI investment to geopolitical conflict, interest rates, and the health of the wider economy). While some of the maintenance and repair distributors stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 5% on average over the last month. Global Industrial is up 9% during the same time and is heading into earnings with an average analyst price target of $40 (compared to the current share price of $35.27). WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it. This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.