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A CENTURY OF INGENUITY. A FUTURE OF POSSIBILITY . OCTOBER 22, 2026 THIRD QUARTER 2026 EARNINGS CALL
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SAFE HARBOR Today’s presentation includes forward-looking statements that reflect management’s current expectations about the Company’s future business and financial performance. These statements are subject to certain risks and uncertainties that could cause actual results to differ from anticipated results. Factors that could cause actual results to differ from anticipated results are identified in Item 1A of the Company’s Form 10-K, and Item 1A of the most recent Quarterly Report on Form 10-Q and also the Company’s Earnings Release dated October 21, 2026. 2
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KEY HIGHLIGHTS THIRD QUARTER 2026 ¹ Third quarter organic bookings year over year and third quarter organic backlog compared to 2025 year-end. *Adjusted diluted EPS and operating margin reflect the Company’s updated non-GAAP methodology. See appendix for non-GAAP reconciliation. 3 THIRD QUARTER PERFORMANCE REVENUE $586M Up 8% YoY ADJ. DILUTED EARNINGS PER SHARE* $0.81 Up 5% YoY ADJ. OPERATING MARGIN* 27% Down 180 bps YoY REVENUE GROWTH CAPITAL ALLOCATION Revenue growth was driven by strength across all segments, including organic growth in Contractor Americas, finishing system project activity, and continued momentum in semiconductor-related end markets. Q3 BOOKINGS +7% Organic orders¹ ORGANIC BACKLOG +15% From year-end¹ Over $1 billion Deployed year to date through dividends, share repurchases and acquisitions to support growth and shareholder returns. Closed the Valco Melton acquisition.
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CAPITAL ALLOCATION FRAMEWORK 4 INVEST FOR GROWTH RETURN CAPITAL TO SHAREHOLDERS CAPITAL ALLOCATION IN ACTION Support profitable growth and long-term shareholder value through disciplined capital allocation. Organic Investment Fund innovation and business growth Strategic M&A Strengthen the core and expand into premium niches Dividends Return cash to shareholders Share Buybacks Repurchase shares opportunistically LONG-TERM OBJECTIVE INVESTMENT-GRADE BALANCE SHEET Up to $2B of capital with flexibility to invest through the cycle and return capital to shareholders Note: 17M shares remaining under share repurchase authorization. Capital Strategic M&A Dividends Share Buybacks BALANCED DISTRIBUTION YTD 2026
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M&A: A CORE LEVER FOR LONG -TERM GROWTH Seeking to generate approximately one-third of long-term revenue growth 5 WHAT WE LOOK FOR Premium niches High technical barriers and precision requirements Strategic fit Extends fluid handling, dispense and process-control know-how Aftermarket Recurring parts and service revenue Graco leverage Global distribution, manufacturing and operating model Financial return Double digit rate of return STRENGHEN CORE, EXPAND PREMIUM NICHES FOCUS AREAS Radia Paint mixing, shaking & automated material handling Color Service Automatic precision dosing systems for powders and liquids Corob Precision tinting dispense, mixing & shaking for paints and coatings Valco Melton Adhesive application & quality-assurance systems HOW WE EXECUTE Proactive Sourcing Over 100 names in active pipeline Financial Valuation Return higher than cost of capital Integration Structured plans; Graco operating model Value Capture Growth, synergies & shareholder returns M&A has contributed approximately one-third of our current revenue base and, historically, has grown at a faster rate Bolt-on growth and new platforms in high- barrier, precision niches Sealants & Adhesives Semiconductor & Data Center Food, Bev & Pharma Water & Wastewater ✓ ✓ ✓ ✓ ✓
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GRACO – THIRD QUARTER 2026 Sales • Reported sales of $586 million, an increase of 8% compared to third quarter 2025. – Organic sales increased 4% driven by finishing system sales and strong out the door revenue from the North America professional paint channel and continued momentum in semiconductor. – Acquisitions contributed 4%. Adjusted Operating Earnings • Adjusted operating earnings of $161 million, an increase of 1% compared to third quarter 2025. – Negatively impacted by unfavorable product and channel mix within the Industrial segment and the dilutive impact of acquired operations. Previously implemented pricing actions fully offset commodity inflation. 6 *Adjusted operating earnings, adjusted net earnings and adjusted diluted net earnings per common share reflect the Company's updated non-GAAP methodology. See appendix for non-GAAP reconciliation. Statement of Earnings Third Quarter $ in millions except per share amounts 2026 2025 Change Net Sales 586$ 543$ 8 % Operating Earnings 148$ 165$ (10)% Net Earnings 122$ 138$ (12)% Diluted Net Earnings Per Share 0.75$ 0.82$ (9)% Operating Earnings, Adjusted* 161$ 159$ 1 % Net Earnings, Adjusted* 131$ 129$ 2 % Diluted Net Earnings Per Share, Adjusted* 0.81$ 0.77$ 5 % ($1M) $543M $24M $20M $586M Q3 2025 Organic Acquired Businesses Currency Translation Q3 2026 Q3 2026 Sales Walk
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CONTRACTOR SEGMENT – THIRD QUARTER 2026 Sales • Sales of $276 million, a 5% increase compared to third quarter 2025. – Organic sales increased by 2% with growth in the Americas driven primarily by sales in the professional paint channel. – Acquisitions contributed 3%. Operating Earnings • Operating earnings of $71 million, an increase of 5% compared to third quarter 2025. – Increase in operating earnings primarily due to higher sales volume. – Operating margin declined versus the second quarter of 2026 due to unfavorable expense leverage on lower revenue, tariff refunds that did not recur in the third quarter, and unfavorable channel and product mix. – Acquired businesses contributed $1 million. 7 $ in millions Third Quarter Net Sales 2026 2025 Change Americas 196$ 186$ 5 % EMEA 55 52 4 Asia Pacific 25 24 6 Total 276$ 262$ 5 % $68M $91M $71M Q3 2025 Q2 2026 Q3 2026 Operating Earnings and Operating Margin 26% 30% 26%
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INDUSTRIAL SEGMENT – THIRD QUARTER 2026 Sales • Sales of $264 million, an 11% increase compared to third quarter 2025. – 6% organic sales increase driven by finishing system sales and completion of other project-related activity. – Acquisitions contributed 5% due primarily to Valco Melton. Operating Earnings • Operating earnings of $74 million were reduced by $7 million of Valco Melton and related acquisition costs in the quarter. – Adjusted to exclude Valco Melton and related costs, operating margin as a percentage of revenue was 33%, reflecting unfavorable product and channel mix specific to the quarter. 8 $ in millions Third Quarter Net Sales 2026 2025 Change Americas 140$ 130$ 8% EMEA 68 59 17 Asia Pacific 56 50 11 Total 264$ 239$ 11% $81M $84M $74M Q3 2025 Q2 2026 Q2 2026 Operating Earnings and Operating Margin 34% 34% 28%
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EXPANSION MARKETS SEGMENT – THIRD QUARTER 2026 Sales • Sales of $46 million, an 8% increase compared to third quarter 2025. – Increase driven primarily by strong semiconductor activity. Operating Earnings • Operating earnings of $11 million, an increase of 5% from third quarter 2025. – Operating margin declined 1 percentage point during the quarter, primarily due to upfront license fee revenue recognized in the electric motor product application in the prior year that did not recur. 9 $ in millions Third Quarter Net Sales 2026 2025 Change Americas 25$ 25$ (4)% EMEA 6 7 (9) Asia Pacific 15 10 50 Total 46$ 42$ 8% $10 $9 $11 Q3 2025 Q2 2026 Q3 2026 Operating Earnings and Margin 25% 23% 24%
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BACKLOG AND BOOKINGS • Backlog, excluding acquisitions, increased $51 million, or 18%, from December year-end 2025 through October 16, 2026. 10 Through October 16, 2026 Excluding acquisitions Q2 2026 Bookings Q3 2026 Bookings YTD Bookings Increase in Backlog From Year End From Q2 2025 From Q3 2025 Year over Year $M Contractor Segment 4 % 7 % 2 % 3$ Industrial Segment (2)% (0)% 1 % 16 Expansion Markets Segment 58 % 62 % 44 % 32 5 % 7 % 4 % 51$
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CASH FLOW AND LIQUIDITY 11 • Net cash from operations through September 2026 was $463 million vs. $487 million through September 2025. • Capital expenditures of $48 million. • During the third quarter, closed on the previously announced acquisition of Valco Melton. • 2025 proceeds from the sale of a manufacturing and distribution facility in Switzerland of $11 million. $122 $109 $124 $128 $138 $132 $118 $145 $122 $178 $185 $125 $183 $179 $197 $120 $178 $165 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Q2 26 Q3 26 Net Earnings Cash from Operating Activites Net Earnings, and Cash from Operating Activities $ in millions Year to Date 2026 2025 Acquisitions, Net of Cash Acquired (436)$ (70)$ Share Repurchases, Net of Shares Issued (418) (329) Dividends (145) (138) Capital Expenditures (48) (34) Net Borrowing on Debt 106 6 Sale of Building - 11 Other Significant (Uses) Sources of Cash ($M)
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GUIDANCE Revenue • We expect fourth quarter total company revenue to be in the range of $610 million to $640 million. Cap Ex • Capital expenditure expectations of approximately $70 - $80 million in 2026 including approximately $40 million in facility projects. Expenses • Unallocated corporate expenses in 2026 are expected to be approximately $38 - $41 million. Shares • We repurchased 5.9 million shares of stock through September 2026. We may make opportunistic share repurchases via open market transactions. Currency • At current exchange rates, assuming the same volumes, mix of products and mix of business by currency as in 2025, the movement in foreign currencies would have a favorable impact of 1 percentage point on net sales and on net earnings for the full year 2026. Taxes • We anticipate the effective tax rate in for the fourth quarter and the full year 2026 to be between 20 - 21%, excluding any impact from excess tax benefits related to stock option exercises and other one-time items. Actual results and mix of earnings may materially impact the expected tax rate. Fiscal Year 2027 • There will be 53 weeks in fiscal year 2027, with 14 weeks in the fourth quarter. 12
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APPENDIX
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CHANGE IN NON -GAAP METHODOLOGY 14 • Beginning in the second quarter, the Company updated its non-GAAP adjusted measurements to exclude acquisition costs and amortization of acquired intangible assets. • While we have a history of acquisition activity, our acquisitions do not occur on a predictable cycle, and transactions vary in complexity, timing, size and nature. • We exclude acquisition costs and amortization of intangible assets to provide a consistent comparison of operating results across reporting periods. • These excluded items provide supplemental information useful in evaluating the Company’s underlying operating performance. • Prior-period amounts have been recast to conform to the current presentation. • See a calculation of the non-GAAP adjusted measurements on page 15. Change in Non-GAAP Methodology Reconciliation Third Quarter 2026 2025 Change Diluted EPS - As Reported 0.75$ 0.82$ (9)% Previous non-GAAP adjustments (0.09) Adjusted Diluted EPS - Historical Presentation 0.75$ 0.73$ 3 % Additional non-GAAP adjustements 0.06 0.04 Adjusted Diluted EPS - Current Presentation 0.81$ 0.77$ 5 %
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ADJUSTED FINANCIAL RESULTS 15 Financial results have been adjusted for comparability. Certain items have caused fluctuation in the Company’s financial results. Excluding the impact of these items presents a more consistent basis for comparison of financial results. Non-GAAP Reconciliation Third Quarter $ in millions except per share amounts 2026 2025 Change Operating earnings, as reported 148.1$ 164.7$ (10)% Acquisition costs 5.8 1.0 Amortization of acquired intangible assets 7.0 7.1 Contingent Consideration - (14.1) Operating earnings, adjusted 160.9$ 158.7$ 1 % Income taxes, as reported 30.8$ 30.8$ (0)% Tax impact of acquisition costs 1.3 0.2 Tax impact of amortization of acquired intangible assets 1.7 1.6 Excess tax benefit from option exercises 0.1 0.7 Income taxes, adjusted 33.9$ 33.3$ 2 % Effective income tax rate As reported 20.2% 18.3% Adjusted 20.5% 20.6% Net earnings, as reported 121.6$ 137.6$ (12)% Acquisition costs 4.5 0.8 Amortization of acquired intangible assets 5.3 5.5 Excess tax benefit from option exercises (0.1) (0.7) Contingent Consideration (14.1) Net earnings, adjusted 131.3$ 129.1$ 2 % Weighted average diluted shares 163.0 168.6 Diluted earnings per share As reported 0.75$ 0.82$ (9)% Adjusted 0.81$ 0.77$ 5 %