Ferguson (FERG) 10-Q 6 Dec 23 2024 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Oct. 31, 2023	Nov. 30, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 31, 2023
Document Transition Report	false
Entity File Number	001-40066
Entity Registrant Name	Ferguson plc
Entity Incorporation, State or Country Code	Y9
Entity Tax Identification Number	98-1499339
Entity Address, Address Line One	1020 Eskdale Road
Entity Address, Address Line Two	Winnersh Triangle
Entity Address, City or Town	Wokingham
Entity Address, Postal Zip Code	RG41 5TS,
Entity Address, Country	GB
City Area Code	118
Local Phone Number	927 3800
Title of 12(b) Security	Ordinary Shares of 10 pence
Trading Symbol	FERG
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		203,489,651
Entity Central Index Key	0001832433
Current Fiscal Year End Date	--07-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Statemen

Condensed Consolidated Statements of Earnings (unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Income Statement [Abstract]
Net sales	$ 7,708	$ 7,931
Cost of sales	(5,377)	(5,510)
Gross profit	2,331	2,421
Selling, general and administrative expenses	(1,512)	(1,509)
Depreciation and amortization	(80)	(81)
Operating profit	739	831
Interest expense, net	(45)	(41)
Other (expense) income, net	(3)	2
Income before income taxes	691	792
Provision for income taxes	(172)	(197)
Net income	$ 519	$ 595
Earnings per share, Basic (in usd per share)	$ 2.55	$ 2.85
Earnings per share, Diluted (in usd per share)	$ 2.54	$ 2.84
Weighted average number of shares outstanding:
Basic (in shares)	203.8	208.7
Diluted (in shares)	204.6	209.8

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 519	$ 595
Other comprehensive income (loss):
Foreign currency translation adjustments	(35)	(36)
Pension adjustments, net of tax benefit of $0 and $2, respectively.	1	(1)
Total other comprehensive loss, net of tax	(34)	(37)
Comprehensive income	$ 485	$ 558

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive Income (unaudited) (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Statement of Comprehensive Income [Abstract]
Pension income (loss), tax benefit (expense)	$ 0	$ 2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (unaudited) - USD ($) $ in Millions	Oct. 31, 2023	Jul. 31, 2023
Assets
Cash and cash equivalents	$ 743	$ 601
Accounts receivable, less allowances of $47 and $27, respectively	3,600	3,597
Inventories	4,106	3,898
Prepaid and other current assets	993	953
Assets held for sale	28	28
Total current assets	9,470	9,077
Property, plant and equipment, net	1,625	1,595
Operating lease right-of-use assets	1,526	1,474
Deferred income taxes, net	299	300
Goodwill	2,242	2,241
Other intangible assets, net	760	783
Other non-current assets	496	524
Total assets	16,418	15,994
Liabilities and shareholders’ equity
Accounts payable	3,555	3,408
Short-term debt	55	55
Current portion of operating lease liabilities	373	366
Other current liabilities	1,554	1,600
Total current liabilities	5,537	5,429
Long-term debt	3,663	3,711
Long-term portion of operating lease liabilities	1,172	1,126
Other long-term liabilities	686	691
Total liabilities	11,058	10,957
Shareholders’ equity:
Ordinary shares, par value 10 pence: 500,000,000 shares authorized, 232,171,182 shares issued	30	30
Paid-in capital	828	809
Retained earnings	8,858	8,557
Treasury shares, 28,382,963 and 27,893,680 shares, respectively at cost	(3,433)	(3,425)
Employee Benefit Trusts, 20,819 and 274,031 shares, respectively at cost	(1)	(46)
Accumulated other comprehensive loss	(922)	(888)
Total shareholders' equity	5,360	5,037
Total liabilities and shareholders' equity	$ 16,418	$ 15,994

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (unaudited) (Parenthetical) $ in Millions	Oct. 31, 2023 USD ($) shares	Oct. 31, 2023 £ / shares	Jul. 31, 2023 USD ($) shares	Jul. 31, 2023 £ / shares
Statement of Financial Position [Abstract]
Allowance for credit loss | $	$ 47		$ 27
Ordinary shares, par value (in pound sterling per share) | £ / shares		£ 10		£ 10
Ordinary shares, shares authorized (in shares)	500,000,000		500,000,000
Ordinary shares, shares issued (in shares)	232,171,182		232,171,182
Treasury stock (in shares)	28,382,963		27,893,680
Employee Benefit Trust (in shares)	20,819		274,031

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Shareholders’ Equity (unaudited) - USD ($) $ in Millions	Total	Ordinary Shares	Paid-in Capital	Retained Earnings	Treasury Shares	Employee Benefit Trusts	Accumulated Other Comprehensive Loss
Beginning balance at Jul. 31, 2022	$ 4,665	$ 30	$ 760	$ 7,594	$ (2,782)	$ (107)	$ (830)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation	13		13
Net income	595			595
Other comprehensive loss	(37)						(37)
Share repurchases	(115)				(115)
Shares issued under employee share plans	0			(60)		60
Ending balance at Oct. 31, 2022	5,121	30	773	8,129	(2,897)	(47)	(867)
Beginning balance at Jul. 31, 2023	5,037	30	809	8,557	(3,425)	(46)	(888)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation	19		19
Net income	519			519
Cash dividends declared $0.75 per share	(152)			(152)
Other comprehensive loss	(34)						(34)
Share repurchases	(33)				(33)
Shares issued under employee share plans	4			(66)	25	45
Ending balance at Oct. 31, 2023	$ 5,360	$ 30	$ 828	$ 8,858	$ (3,433)	$ (1)	$ (922)

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Shareholders’ Equity (unaudited) (Parenthetical)	3 Months Ended
	Oct. 31, 2023 $ / shares
Statement of Stockholders' Equity [Abstract]
Cash dividends (in usd per share)	$ 0.75

Condensed Consolidated Statem_6

Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Millions	3 Months Ended		26 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Oct. 31, 2023
Cash flows from operating activities:
Net income	$ 519	$ 595
Depreciation and amortization	80	81
Share-based compensation	13	13
Change in deferred income taxes	(3)	(20)
(Increase) decrease in inventories	(217)	94
Increase in receivables and other assets	(29)	(56)
Increase (decrease) in accounts payable and other liabilities	27	(395)
Increase in income taxes payable	166	187
Other operating activities	1	2
Net cash provided by operating activities of continuing operations	557	501
Net cash used in operating activities of discontinued operations	0	(3)
Net cash provided by operating activities	557	498
Cash flows from investing activities:
Purchase of businesses acquired, net of cash acquired	(12)	(5)
Capital expenditures	(91)	(95)
Other investing activities	7	(4)
Net cash used in investing activities	(96)	(104)
Cash flows from financing activities:
Purchase of treasury shares	(108)	(366)	$ (2,600)
Repayments of debt	(550)	(1,505)
Proceeds from debt	500	1,350
Change in bank overdrafts	11	7
Cash dividends	(152)	0
Other financing activities	(14)	(5)
Net cash used in financing activities	(313)	(519)
Change in cash, cash equivalents and restricted cash	148	(125)
Effects of exchange rate changes	(9)	(8)
Cash, cash equivalents and restricted cash, beginning of period	669	785
Cash, cash equivalents and restricted cash, end of period	808	652	808
Supplemental Disclosures:
Cash paid for income taxes	9	29
Cash paid for interest	70	57
Accrued capital expenditures	8	11
Accrued dividends	$ 152	$ 0	$ 152

Summary of significant accounti

Summary of significant accounting policies	3 Months Ended
	Oct. 31, 2023
Accounting Policies [Abstract]
Summary of significant accounting policies	Summary of significant accounting policies Background Ferguson plc (the “Company”) (NYSE: FERG; LSE: FERG) is a public company limited by shares incorporated in Jersey under the Companies (Jersey) Law 1991 (as amended). The Company is a value-added distributor in North America providing expertise, solutions and products from infrastructure, plumbing and appliances to HVAC, fire, fabrication and more. We exist to make our customers’ complex projects simple, successful and sustainable. Ferguson is headquartered in the United Kingdom (“U.K.”), with its operations and associates solely focused on North America and managed from Newport News, Virginia. The Company’s registered office is 13 Castle Street, St Helier, Jersey, JE1 1ES, Channel Islands. Basis of presentation The accompanying unaudited condensed consolidated financial statements and notes to the condensed consolidated financial statements are presented in accordance with the rules and regulations of the SEC and accounting principles generally accepted in the United States of America (“U.S. GAAP”), but do not include all disclosures normally required in annual consolidated financial statements. In the opinion of management, the unaudited condensed consolidated financial statements contain all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented. The July 31, 2023 condensed consolidated balance sheet was derived from the audited financial statements. For the three months ended October 31, 2022 and to conform to current period presentation, the Company has disaggregated the total change in income taxes within the cash flows from operating activities to reflect the changes in deferred income taxes separately from the changes in income taxes payable. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report. The financial results for the interim periods may not be indicative of the financial results for the entire fiscal year. Use of estimates The preparation of the Company's interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions affecting certain reported amounts. Actual results may differ from those estimates. Cash, cash equivalents and restricted cash Cash and cash equivalents include cash on hand, deposits with banks with original maturities of three months or less and overdrafts to the extent there is a legal right of offset and practice of net settlement with cash balances. Restricted cash primarily consists of deferred consideration for business combinations, subject to various settlement agreements, and is recorded in prepaid and other current assets in the Company’s condensed consolidated balance sheets. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets compared with amounts shown in the condensed consolidated statements of cash flows. As of (In millions) October 31, 2023 July 31, 2023 Cash and cash equivalents $743 $601 Restricted cash 65 68 Total cash, cash equivalents and restricted cash $808 $669 Recently issued accounting pronouncements In September 2022, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2022-04, “Liabilities—Supplier Finance Programs (Topic 405-50) - Disclosure of Supplier Finance Program Obligations.” The standard aims to enhance transparency of supplier finance programs used in connection with the purchase of goods and services. The standard requires entities to disclose the key terms, including a description of payment terms, the confirmed amount outstanding under such programs, a description of where those obligations are presented on the balance sheet, and an annual rollforward, including the amount of obligations confirmed and the amount paid during the period. The guidance does not affect the recognition, measurement, or financial statement presentation of obligations covered by supplier finance programs. ASU No. 2022-04 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the required rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company adopted ASU No. 2022-04 as of August 1, 2023 and as of October 31, 2023, activity under the Company’s supplier finance agreements was not material. In November 2023, the FASB issued ASU No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” This ASU expands required public entities’ segment disclosures, including disclosure of significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss, an amount and description of its composition for other segment items and interim disclosures of a reportable segment’s profit or loss and assets. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. Recent accounting pronouncements pending adoption that are not discussed above are either not applicable, or will not have, or are not expected to have, a material impact on our consolidated financial condition, results of operations, cash flows or related disclosures.

Revenue and segment information

Revenue and segment information	3 Months Ended
	Oct. 31, 2023
Segment Reporting [Abstract]
Revenue and segment information	Revenue and segment information The Company reports its financial results of operations on a geographical basis in the following two reportable segments: United States and Canada. Each segment generally derives its revenues in the same manner. The Company uses adjusted operating profit as its measure of segment profit. Adjusted operating profit is defined as profit before tax, excluding central and other costs, restructuring costs, impairments and other charges, amortization of acquired intangible assets, net interest expense, as well as other items typically recorded in net other (expense) income such as (loss)/gain on disposal of businesses, pension plan changes/closure costs and amounts recorded in connection with the Company’s interests in investees. Certain income and expenses are not allocated to the Company’s segments and, thus, the information that management uses to make operating decisions and assess performance does not reflect such amounts. Segment details were as follows: Three months ended October 31, (In millions) 2023 2022 Net sales: United States $7,329 $7,532 Canada 379 399 Total net sales $7,708 $7,931 Adjusted operating profit: United States $766 $845 Canada 23 33 Central and other costs (16) (14) Amortization of acquired intangible assets (34) (33) Interest expense, net (45) (41) Other (expense) income, net (3) 2 Income before income taxes $691 $792 Our products are delivered through a common network of distribution centers, branches, specialist sales associates, counter service, showroom consultants and e-commerce. The Company recognizes revenue when a sales arrangement with a customer exists, the transaction price is fixed or determinable, collection of consideration is probable and the Company has satisfied its performance obligation per the sales arrangement. The majority of the Company’s revenue originates from sales arrangements with a single performance obligation to deliver products, whereby the performance obligations are satisfied when control of the product is transferred to the customer which is the point the product is delivered to, or collected by, the customer. The Company determined that disaggregating net sales by end market at the segment level achieves the disclosure objective to depict how the nature, amount, timing, and uncertainty of revenue and cash flows may be impacted by economic factors. The disaggregated net sales by end market are as follows: Three months ended October 31, (In millions) 2023 2022 United States: Residential $3,740 $4,002 Non-residential: Commercial 2,470 2,419 Civil/Infrastructure 633 638 Industrial 486 473 Total Non-residential 3,589 3,530 Total United States 7,329 7,532 Canada 379 399 Total net sales $7,708 $7,931 No sales to an individual customer accounted for more than 10% of net sales during any of the periods presented. The Company is a value-added distributor in North America of products from infrastructure, plumbing and appliances to HVAC, fire, fabrication and more. We offer a broad line of products, and items are regularly added to and removed from the Company's inventory. Accordingly, it would be impractical to provide sales information by product category due to the way the business is managed, and the dynamic nature of the inventory offered.

Weighted average shares

Weighted average shares	3 Months Ended
	Oct. 31, 2023
Earnings Per Share [Abstract]
Weighted average shares	Weighted average shares The following table presents the reconciliation of our basic to diluted weighted average number of shares outstanding: Three months ended October 31, (In millions) 2023 2022 Basic weighted average shares 203.8 208.7 Effect of dilutive shares (1) 0.8 1.1 Diluted weighted average shares 204.6 209.8 Excluded anti-dilutive shares 0.1 — (1) Represents the potential dilutive impact of share-based awards.

Income tax

Income tax	3 Months Ended
	Oct. 31, 2023
Income Tax Disclosure [Abstract]
Income tax	Income tax Ferguson manages its affairs so that it is centrally managed and controlled in the U.K. and therefore has its tax residency in the U.K. The provision for income taxes consists of provisions for the U.K. plus non-U.K. tax rate differentials with respect to other locations in which Ferguson’s operations are based. Accordingly, the consolidated income tax rate is a composite rate reflecting earnings in various locations and the applicable rates. The Company’s tax provision for each period presented was calculated using an estimated annual tax rate, adjusted for discrete items occurring during the applicable period to arrive at an effective tax rate. The effective income tax rates for the relevant periods were as follows: Three months ended October 31, 2023 2022 Effective tax rate, continuing operations 24.9 % 24.9 % During the three months ended October 31, 2023, there have been no material changes to the Company’s unrecognized tax benefits when compared to those items disclosed in the Annual Report.

Debt

Debt	3 Months Ended
	Oct. 31, 2023
Debt Disclosure [Abstract]
Debt	Debt The Company’s debt obligations consisted of the following: As of (In millions) October 31, 2023 July 31, 2023 Variable-rate debt: Receivables Facility $— $50 Term Loan 500 500 Fixed-rate debt: Private placement notes 905 905 Unsecured senior notes 2,350 2,350 Subtotal $3,755 $3,805 Less: current maturities of debt (55) (55) Unamortized discounts and debt issuance costs (21) (22) Interest rate swap - fair value adjustment (16) (17) Total long-term debt $3,663 $3,711 Variable rate debt The Company maintains a Receivables Securitization Facility (the “Receivables Facility”) that consists of funding for up to $1.1 billion, including a swingline for up to $100 million in same day funding. As of October 31, 2023, no borrowings were outstanding under the Receivables Facility. There was no significant change in interest rates from those disclosed in the Annual Report. The Company’s Credit Agreement, dated October 7, 2022 (the “Term Loan Agreement”), provides for term loans (“Term Loan”) in an aggregate principal amount of $500 million. There was no significant change in interest rates from those disclosed in the Annual Report. The Company maintains a revolving credit facility (the “Revolving Facility”) that has aggregate total available credit commitments of $1.35 billion. As of October 31, 2023, no borrowings were outstanding under the Revolving Facility. Other The Company was in compliance with all debt covenants that were in effect as of October 31, 2023. Subsequent to October 31, 2023, the Company repaid $55 million related to the 3.30% private placement notes that matured in November 2023.

Assets and liabilities at fair

Assets and liabilities at fair value	3 Months Ended
	Oct. 31, 2023
Fair Value Disclosures [Abstract]
Assets and liabilities at fair value	Assets and liabilities at fair value The Company has not changed its valuation techniques for measuring fair value of any financial assets or liabilities during the periods presented. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and other debt instruments, such as the receivables securitization facility and term loans, approximated their fair values as of October 31, 2023 and July 31, 2023. The Company’s derivatives (interest rate swaps which are considered fair value hedges) and investments in equity instruments are carried at fair value on the condensed consolidated balance sheets (Level 2 and Level 3 fair value inputs, respectively) and are not material. The notional amount of the Company’s outstanding fair value hedges as of October 31, 2023 and July 31, 2023 was $355 million. Carrying amounts and the related estimated fair value (Level 2) of the Company’s long-term debt were as follows: October 31, 2023 July 31, 2023 (In millions) Carrying Amount Fair Value Carrying Amount Fair Value Unsecured senior notes $2,331 $2,100 $2,330 $2,195 Private placement notes 904 868 904 871

Commitments and contingencies

Commitments and contingencies	3 Months Ended
	Oct. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingencies	Commitments and contingencies The Company is, from time to time, involved in various legal proceedings considered to be normal course of business in relation to, among other things, the products that we supply, contractual and commercial disputes and disputes with employees. Provision is made if, on the basis of current information and professional advice, liabilities are considered probable. In the case of unfavorable outcomes, the Company may benefit from applicable insurance protection. The Company does not expect any of its pending legal proceedings to have a material adverse effect on its results of operations, financial position or cash flows.

Accumulated other comprehensive

Accumulated other comprehensive loss	3 Months Ended
	Oct. 31, 2023
Equity [Abstract]
Accumulated other comprehensive loss	Accumulated other comprehensive loss The change in accumulated other comprehensive loss was as follows: (In millions, net of tax) Foreign currency translation Pensions Total Balance at July 31, 2023 ($429) ($459) ($888) Other comprehensive loss before reclassifications (35) (2) (37) Amounts reclassified from accumulated other comprehensive loss — 3 3 Other comprehensive (loss) income (35) 1 (34) Balance at October 31, 2023 ($464) ($458) ($922) (In millions, net of tax) Foreign currency translation Pensions Total Balance at July 31, 2022 ($420) ($410) ($830) Other comprehensive loss before reclassifications (36) (3) (39) Amounts reclassified from accumulated other comprehensive loss — 2 2 Other comprehensive loss (36) (1) (37) Balance at October 31, 2022 ($456) ($411) ($867) Amounts reclassified from accumulated other comprehensive income related to pension and other post-retirement items include the related income tax impacts. Such amounts consisted of the following: Three months ended October 31, (In millions) 2023 2022 Amortization of actuarial losses $4 $3 Tax benefit (1) (1) Amounts reclassified from accumulated other comprehensive loss $3 $2

Retirement benefit obligations

Retirement benefit obligations	3 Months Ended
	Oct. 31, 2023
Retirement Benefits [Abstract]
Retirement benefit obligations	Retirement benefit obligations The Company maintains pension plans in the U.K. and Canada. The components of net periodic pension cost, which are included in Other (expense) income, net in the condensed consolidated statements of earnings, were as follows: Three months ended October 31, (In millions) 2023 2022 Interest cost ($15) ($12) Expected return on plan assets 15 12 Amortization of net actuarial losses (3) (3) Net periodic cost ($3) ($3) The impact of exchange rate fluctuations is included on the amortization line above.

Shareholders_ equity

Shareholders’ equity	3 Months Ended
	Oct. 31, 2023
Equity [Abstract]
Shareholders’ equity	Shareholders’ equity The following table presents a summary of the Company’s share activity: Three months ended October 31, 2023 2022 Ordinary shares: Balance at beginning of period 232,171,182 232,171,182 Change in shares issued — — Balance at end of period 232,171,182 232,171,182 Treasury shares: Balance at beginning of period (27,893,680) (21,078,577) Repurchases of ordinary shares (697,398) (2,991,097) Treasury shares used to settle share-based compensation awards 208,115 — Balance at end of period (28,382,963) (24,069,674) Employee Benefit Trusts: Balance at beginning of period (274,031) (846,491) New shares purchased — — Employee Benefit Trust shares used to settle share-based compensation awards 253,212 561,929 Balance at end of period (20,819) (284,562) Total shares outstanding at end of period 203,767,400 207,816,946 Two Employee Benefit Trusts were established in connection with the Company’s discretionary share award plans and long-term incentive plans. Dividends due on shares held by the Employee Benefit Trusts are waived in accordance with the provisions of the trust deeds. As of October 31, 2023, the largest of these two trusts has been terminated with all shares disbursed in connection with the vesting of share awards. The second trust is expected to terminate in the second quarter of fiscal 2024. At October 31, 2023 and July 31, 2023, the shares held in trust had market values of $3 million and $44 million, respectively. Share Repurchases Share repurchases are being made under an authorization that allows up to $3.0 billion in share repurchases. As of October 31, 2023, the Company has completed $2.6 billion of the total announced authorized program. The Company is currently purchasing shares under a revocable purchase arrangement with repurchases recorded directly to treasury shares as incurred.

Share-based compensation

Share-based compensation	3 Months Ended
	Oct. 31, 2023
Share-Based Payment Arrangement [Abstract]
Share-based compensation	Share-based compensation Awards granted under the Ferguson Group Ordinary Share Plan 2019 vest over a period of time (“time vested”), typically three years. Dividends do not accrue during the vesting period. The fair value of the award is based on the closing share price on the date of grant. Awards granted under the Ferguson Group Performance Ordinary Share Plan 2019 vest at the end of a three-year performance cycle (“performance vested”). The number of ordinary shares issued upon vesting varies based upon the Company’s performance against an adjusted operating profit measure. Dividends do not accrue during the vesting period. The fair value of the award is based on the closing share price on the date of grant. Awards granted under the the Ferguson Group Long Term Incentive Plan 2019 (“LTIP”) vest at the end of a three-year performance period. For grants awarded prior to fiscal 2023, the number of ordinary shares to be issued upon vesting will vary based on Company measures of inflation-indexed earnings per share (“EPS”), cash flow and total shareholder return (“TSR”) compared to a peer company set. Based on the performance conditions of these awards granted prior to fiscal 2023, these LTIP grants are treated as liability-settled awards. As such, the fair value of these awards is initially determined at the date of grant, and is remeasured at each balance sheet date until the liability is settled. Dividends accrue during the vesting period. As of October 31, 2023 and July 31, 2023, the total liability recorded in connection with these grants was $7 million and $13 million, respectively. In the first quarters of fiscal 2024 and 2023, the Company granted awards under the LTIP in which the ordinary shares to be issued upon vesting vary based on fixed measures of Company defined EPS and return on capital employed (“ROCE”), as well as TSR compared to a peer company set. Dividend equivalents accrue during the vesting period. Based on the performance conditions of these awards, such grants are treated as equity-settled awards (“LTIP, equity-settled”) with the fair value determined on the date of grant. Specifically, the fair value of such awards that vest based on achievement of the EPS and ROCE measures are equal to the closing share price on the date of grant. The fair value of the awards that vest based on TSR are determined using a Monte-Carlo simulation, which estimate the fair value based on the Company's share price activity relative to the peer comparative set over the expected term of the award, risk-free interest rate, expected dividends, and the expected volatility of the shares of the Company and that of the peer company set. The following table summarizes the share-based incentive awards activity for the three months ended October 31, 2023: Number of Shares Weighted average grant date fair value Outstanding at July 31, 2023 1,158,673 $111.57 Time vested grants 97,550 158.10 Performance vested grants 209,280 158.10 LTIP, equity-settled grants 28,216 148.55 Share adjustments based on performance 2,784 108.98 Vested (455,200) 98.66 Forfeited (9,422) 116.19 Outstanding at October 31, 2023 1,031,881 $132.07 The following table relates to time vested, performance vested and long-term incentive awards activity: Three months ended October 31, (In millions, except per share amounts) 2023 Fair value of awards vested $75 Weighted average grant date fair value per share granted $157.30 The following table relates to all share-based compensation awards: Three months ended October 31, (In millions) 2023 2022 Share-based compensation expense (within SG&A) $13 $13 Income tax benefit 3 3 The total u nrecog nized sh are-based compensation expense at October 31, 2023 was $80 million and is expected to be recognized over a weighted average period of 2.3 years.

Related party transactions

Related party transactions	3 Months Ended
	Oct. 31, 2023
Related Party Transactions [Abstract]
Related party transactions	Related party transactions For the three months ended October 31, 2023 and 2022, the Company purchased $6 million and $7 million, respectively, of delivery, installation and related administrative services from companies that are, or are indirect wholly-owned subsidiaries of companies that are, controlled or significantly influenced by a Ferguson Non-Employee Director. No material amounts are due to such companies. The services were purchased on an arm’s-length basis.

Summary of significant accoun_2

Summary of significant accounting policies (Policies)	3 Months Ended
	Oct. 31, 2023
Accounting Policies [Abstract]
Basis of presentation	Basis of presentation The accompanying unaudited condensed consolidated financial statements and notes to the condensed consolidated financial statements are presented in accordance with the rules and regulations of the SEC and accounting principles generally accepted in the United States of America (“U.S. GAAP”), but do not include all disclosures normally required in annual consolidated financial statements. In the opinion of management, the unaudited condensed consolidated financial statements contain all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented. The July 31, 2023 condensed consolidated balance sheet was derived from the audited financial statements. For the three months ended October 31, 2022 and to conform to current period presentation, the Company has disaggregated the total change in income taxes within the cash flows from operating activities to reflect the changes in deferred income taxes separately from the changes in income taxes payable. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report. The financial results for the interim periods may not be indicative of the financial results for the entire fiscal year.
Use of estimates	Use of estimates The preparation of the Company's interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions affecting certain reported amounts. Actual results may differ from those estimates.
Cash, cash equivalents and restricted cash	Cash, cash equivalents and restricted cash Cash and cash equivalents include cash on hand, deposits with banks with original maturities of three months or less and overdrafts to the extent there is a legal right of offset and practice of net settlement with cash balances. Restricted cash primarily consists of deferred consideration for business combinations, subject to various settlement agreements, and is recorded in prepaid and other current assets in the Company’s condensed consolidated balance sheets.
Recently issued accounting pronouncements	Recently issued accounting pronouncements In September 2022, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2022-04, “Liabilities—Supplier Finance Programs (Topic 405-50) - Disclosure of Supplier Finance Program Obligations.” The standard aims to enhance transparency of supplier finance programs used in connection with the purchase of goods and services. The standard requires entities to disclose the key terms, including a description of payment terms, the confirmed amount outstanding under such programs, a description of where those obligations are presented on the balance sheet, and an annual rollforward, including the amount of obligations confirmed and the amount paid during the period. The guidance does not affect the recognition, measurement, or financial statement presentation of obligations covered by supplier finance programs. ASU No. 2022-04 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the required rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company adopted ASU No. 2022-04 as of August 1, 2023 and as of October 31, 2023, activity under the Company’s supplier finance agreements was not material. In November 2023, the FASB issued ASU No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” This ASU expands required public entities’ segment disclosures, including disclosure of significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss, an amount and description of its composition for other segment items and interim disclosures of a reportable segment’s profit or loss and assets. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. Recent accounting pronouncements pending adoption that are not discussed above are either not applicable, or will not have, or are not expected to have, a material impact on our consolidated financial condition, results of operations, cash flows or related disclosures.
Legal matters	The Company is, from time to time, involved in various legal proceedings considered to be normal course of business in relation to, among other things, the products that we supply, contractual and commercial disputes and disputes with employees. Provision is made if, on the basis of current information and professional advice, liabilities are considered probable. In the case of unfavorable outcomes, the Company may benefit from applicable insurance protection. The Company does not expect any of its pending legal proceedings to have a material adverse effect on its results of operations, financial position or cash flows.

Summary of significant accoun_3

Summary of significant accounting policies (Tables)	3 Months Ended
	Oct. 31, 2023
Accounting Policies [Abstract]
Schedule of Cash and Cash Equivalents	The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets compared with amounts shown in the condensed consolidated statements of cash flows. As of (In millions) October 31, 2023 July 31, 2023 Cash and cash equivalents $743 $601 Restricted cash 65 68 Total cash, cash equivalents and restricted cash $808 $669

Revenue and segment informati_2

Revenue and segment information (Tables)	3 Months Ended
	Oct. 31, 2023
Segment Reporting [Abstract]
Schedule of Segment Reporting	Segment details were as follows: Three months ended October 31, (In millions) 2023 2022 Net sales: United States $7,329 $7,532 Canada 379 399 Total net sales $7,708 $7,931 Adjusted operating profit: United States $766 $845 Canada 23 33 Central and other costs (16) (14) Amortization of acquired intangible assets (34) (33) Interest expense, net (45) (41) Other (expense) income, net (3) 2 Income before income taxes $691 $792 The Company determined that disaggregating net sales by end market at the segment level achieves the disclosure objective to depict how the nature, amount, timing, and uncertainty of revenue and cash flows may be impacted by economic factors. The disaggregated net sales by end market are as follows: Three months ended October 31, (In millions) 2023 2022 United States: Residential $3,740 $4,002 Non-residential: Commercial 2,470 2,419 Civil/Infrastructure 633 638 Industrial 486 473 Total Non-residential 3,589 3,530 Total United States 7,329 7,532 Canada 379 399 Total net sales $7,708 $7,931

Weighted average shares (Tables

Weighted average shares (Tables)	3 Months Ended
	Oct. 31, 2023
Earnings Per Share [Abstract]
Schedule of Weighted Average Shares, Basic and Diluted	The following table presents the reconciliation of our basic to diluted weighted average number of shares outstanding: Three months ended October 31, (In millions) 2023 2022 Basic weighted average shares 203.8 208.7 Effect of dilutive shares (1) 0.8 1.1 Diluted weighted average shares 204.6 209.8 Excluded anti-dilutive shares 0.1 — (1) Represents the potential dilutive impact of share-based awards.

Income tax (Tables)

Income tax (Tables)	3 Months Ended
	Oct. 31, 2023
Income Tax Disclosure [Abstract]
Schedule of Reconciliation of Income Tax Expense	Three months ended October 31, 2023 2022 Effective tax rate, continuing operations 24.9 % 24.9 %

Debt (Tables)

Debt (Tables)	3 Months Ended
	Oct. 31, 2023
Debt Disclosure [Abstract]
Schedule of Debt	The Company’s debt obligations consisted of the following: As of (In millions) October 31, 2023 July 31, 2023 Variable-rate debt: Receivables Facility $— $50 Term Loan 500 500 Fixed-rate debt: Private placement notes 905 905 Unsecured senior notes 2,350 2,350 Subtotal $3,755 $3,805 Less: current maturities of debt (55) (55) Unamortized discounts and debt issuance costs (21) (22) Interest rate swap - fair value adjustment (16) (17) Total long-term debt $3,663 $3,711

Assets and liabilities at fai_2

Assets and liabilities at fair value (Tables)	3 Months Ended
	Oct. 31, 2023
Fair Value Disclosures [Abstract]
Schedule of Assets and Liabilities Recorded at Fair Value	Carrying amounts and the related estimated fair value (Level 2) of the Company’s long-term debt were as follows: October 31, 2023 July 31, 2023 (In millions) Carrying Amount Fair Value Carrying Amount Fair Value Unsecured senior notes $2,331 $2,100 $2,330 $2,195 Private placement notes 904 868 904 871

Accumulated other comprehensi_2

Accumulated other comprehensive loss (Tables)	3 Months Ended
	Oct. 31, 2023
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The change in accumulated other comprehensive loss was as follows: (In millions, net of tax) Foreign currency translation Pensions Total Balance at July 31, 2023 ($429) ($459) ($888) Other comprehensive loss before reclassifications (35) (2) (37) Amounts reclassified from accumulated other comprehensive loss — 3 3 Other comprehensive (loss) income (35) 1 (34) Balance at October 31, 2023 ($464) ($458) ($922) (In millions, net of tax) Foreign currency translation Pensions Total Balance at July 31, 2022 ($420) ($410) ($830) Other comprehensive loss before reclassifications (36) (3) (39) Amounts reclassified from accumulated other comprehensive loss — 2 2 Other comprehensive loss (36) (1) (37) Balance at October 31, 2022 ($456) ($411) ($867)
Schedule of Reclassification Out of Accumulated Other Comprehensive Income	Amounts reclassified from accumulated other comprehensive income related to pension and other post-retirement items include the related income tax impacts. Such amounts consisted of the following: Three months ended October 31, (In millions) 2023 2022 Amortization of actuarial losses $4 $3 Tax benefit (1) (1) Amounts reclassified from accumulated other comprehensive loss $3 $2

Retirement benefit obligations

Retirement benefit obligations (Tables)	3 Months Ended
	Oct. 31, 2023
Retirement Benefits [Abstract]
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets	The components of net periodic pension cost, which are included in Other (expense) income, net in the condensed consolidated statements of earnings, were as follows: Three months ended October 31, (In millions) 2023 2022 Interest cost ($15) ($12) Expected return on plan assets 15 12 Amortization of net actuarial losses (3) (3) Net periodic cost ($3) ($3)

Shareholders_ equity (Tables)

Shareholders’ equity (Tables)	3 Months Ended
	Oct. 31, 2023
Equity [Abstract]
Summary of Share Activity	The following table presents a summary of the Company’s share activity: Three months ended October 31, 2023 2022 Ordinary shares: Balance at beginning of period 232,171,182 232,171,182 Change in shares issued — — Balance at end of period 232,171,182 232,171,182 Treasury shares: Balance at beginning of period (27,893,680) (21,078,577) Repurchases of ordinary shares (697,398) (2,991,097) Treasury shares used to settle share-based compensation awards 208,115 — Balance at end of period (28,382,963) (24,069,674) Employee Benefit Trusts: Balance at beginning of period (274,031) (846,491) New shares purchased — — Employee Benefit Trust shares used to settle share-based compensation awards 253,212 561,929 Balance at end of period (20,819) (284,562) Total shares outstanding at end of period 203,767,400 207,816,946

Share-based compensation (Table

Share-based compensation (Tables)	3 Months Ended
	Oct. 31, 2023
Share-Based Payment Arrangement [Abstract]
Schedule of Award Activity	The following table summarizes the share-based incentive awards activity for the three months ended October 31, 2023: Number of Shares Weighted average grant date fair value Outstanding at July 31, 2023 1,158,673 $111.57 Time vested grants 97,550 158.10 Performance vested grants 209,280 158.10 LTIP, equity-settled grants 28,216 148.55 Share adjustments based on performance 2,784 108.98 Vested (455,200) 98.66 Forfeited (9,422) 116.19 Outstanding at October 31, 2023 1,031,881 $132.07 The following table relates to time vested, performance vested and long-term incentive awards activity: Three months ended October 31, (In millions, except per share amounts) 2023 Fair value of awards vested $75 Weighted average grant date fair value per share granted $157.30
Schedule of Share-Based Compensation Awards	The following table relates to all share-based compensation awards: Three months ended October 31, (In millions) 2023 2022 Share-based compensation expense (within SG&A) $13 $13 Income tax benefit 3 3

Summary of significant accoun_4

Summary of significant accounting policies - Cash and Cash Equivalents (Details) - USD ($) $ in Millions	Oct. 31, 2023	Jul. 31, 2023
Accounting Policies [Abstract]
Cash and cash equivalents	$ 743	$ 601
Restricted cash	65	68
Total cash, cash equivalents and restricted cash	$ 808	$ 669

Revenue and segment informati_3

Revenue and segment information - Narrative (Details)	3 Months Ended
	Oct. 31, 2023 segment
Segment Reporting [Abstract]
Number of reportable segments	2

Revenue and segment informati_4

Revenue and segment information - Items not Allocated (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Net sales:
Total net sales	$ 7,708	$ 7,931
Adjusted operating profit:
Central and other costs	(16)	(14)
Amortization of acquired intangible assets	(34)	(33)
Interest expense, net	(45)	(41)
Other (expense) income, net	(3)	2
Income before income taxes	691	792
United States
Net sales:
Total net sales	7,329	7,532
Adjusted operating profit:
Adjusted segment operating profit	766	845
Canada
Net sales:
Total net sales	379	399
Adjusted operating profit:
Adjusted segment operating profit	$ 23	$ 33

Revenue and segment informati_5

Revenue and segment information - Disaggregation of Net Sales (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Segment Reporting Information [Line Items]
Total net sales	$ 7,708	$ 7,931
United States
Segment Reporting Information [Line Items]
Total net sales	7,329	7,532
Canada
Segment Reporting Information [Line Items]
Total net sales	379	399
Residential | United States
Segment Reporting Information [Line Items]
Total net sales	3,740	4,002
Non-residential: | United States
Segment Reporting Information [Line Items]
Total net sales	3,589	3,530
Commercial | United States
Segment Reporting Information [Line Items]
Total net sales	2,470	2,419
Civil/Infrastructure | United States
Segment Reporting Information [Line Items]
Total net sales	633	638
Industrial | United States
Segment Reporting Information [Line Items]
Total net sales	$ 486	$ 473

Weighted average shares (Detail

Weighted average shares (Details) - shares shares in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Earnings Per Share [Abstract]
Basic weighted-average shares (in shares)	203.8	208.7
Effect of dilutive shares (in shares)	0.8	1.1
Diluted weighted-average shares (in shares)	204.6	209.8
Excluded anti-dilutive shares (in shares)	0.1	0

Income tax - Schedule of Effect

Income tax - Schedule of Effective Income Tax Rate (Details)	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Income Tax Disclosure [Abstract]
Effective tax rate, continuing operations	24.90%	24.90%

Debt - Schedule of Debt (Detail

Debt - Schedule of Debt (Details) - USD ($) $ in Millions	Oct. 31, 2023	Jul. 31, 2023	Oct. 07, 2022
Debt Instrument [Line Items]
Subtotal	$ 3,755	$ 3,805
Less: current maturities of debt	(55)	(55)
Unamortized discounts and debt issuance costs	(21)	(22)
Interest rate swap - fair value adjustment	(16)	(17)
Long-term debt	3,663	3,711
Receivables Facility | Receivables Facility
Debt Instrument [Line Items]
Subtotal	0	50
Term Loan | Term Loan
Debt Instrument [Line Items]
Subtotal	500	500	$ 500
Secured Debt | Private placement notes
Debt Instrument [Line Items]
Subtotal	905	905
Unsecured senior notes | Unsecured senior notes
Debt Instrument [Line Items]
Subtotal	$ 2,350	$ 2,350

Debt - Narrative (Details)

Debt - Narrative (Details) - USD ($)	1 Months Ended	3 Months Ended
	Dec. 06, 2023	Oct. 31, 2023	Oct. 31, 2022	Jul. 31, 2023	Oct. 07, 2022
Schedule Of Long-Term And Short-Term Debt [Line Items]
Subtotal		$ 3,755,000,000		$ 3,805,000,000
Repayments of debt		550,000,000	$ 1,505,000,000
Line of Credit | Revolving Credit Facility
Schedule Of Long-Term And Short-Term Debt [Line Items]
Line of credit facility		1,350,000,000
Borrowings outstanding		0
Receivables Facility | Receivables Facility
Schedule Of Long-Term And Short-Term Debt [Line Items]
Debt instrument, face amount		1,100,000,000
Swingline adjustment		100,000,000
Private placement notes | Secured Debt | Subsequent Event
Schedule Of Long-Term And Short-Term Debt [Line Items]
Repayments of debt	$ 55,000,000
Interest rate (in percent)	3.30%
Term Loan | Term Loan
Schedule Of Long-Term And Short-Term Debt [Line Items]
Subtotal		$ 500,000,000		$ 500,000,000	$ 500,000,000

Assets and liabilities at fai_3

Assets and liabilities at fair value - Narrative (Details) - USD ($) $ in Millions	Oct. 31, 2023	Jul. 31, 2023
Fair Value Disclosures [Abstract]
Hedged liability, fair value hedge	$ 355	$ 355

Assets and liabilities at fai_4

Assets and liabilities at fair value -Debt Measured at Fair Value (Details) - Level 2 - USD ($) $ in Millions	Oct. 31, 2023	Jul. 31, 2023
Unsecured senior notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Amount	$ 2,331	$ 2,330
Fair Value	2,100	2,195
Private placement notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Carrying Amount	904	904
Fair Value	$ 868	$ 871

Accumulated other comprehensi_3

Accumulated other comprehensive loss - Change in AOCI (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 5,037	$ 4,665
Other comprehensive loss before reclassifications	(37)	(39)
Amounts reclassified from accumulated other comprehensive loss	3	2
Total other comprehensive loss, net of tax	(34)	(37)
Ending balance	5,360	5,121
AOCI Attributable to Parent
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(888)	(830)
Total other comprehensive loss, net of tax	(34)	(37)
Ending balance	(922)	(867)
Foreign currency translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(429)	(420)
Other comprehensive loss before reclassifications	(35)	(36)
Amounts reclassified from accumulated other comprehensive loss	0	0
Total other comprehensive loss, net of tax	(35)	(36)
Ending balance	(464)	(456)
Pensions
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(459)	(410)
Other comprehensive loss before reclassifications	(2)	(3)
Amounts reclassified from accumulated other comprehensive loss	3	2
Total other comprehensive loss, net of tax	1	(1)
Ending balance	$ (458)	$ (411)

Accumulated other comprehensi_4

Accumulated other comprehensive loss - Reclassification Out of AOCI (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Tax benefit	$ 172	$ 197
Net income	(519)	(595)
Reclassification out of Accumulated Other Comprehensive Income | Employee Benefit Trusts
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amortization of actuarial losses	4	3
Tax benefit	(1)	(1)
Net income	$ 3	$ 2

Retirement benefit obligation_2

Retirement benefit obligations - Net Periodic Cost (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Retirement Benefits [Abstract]
Interest cost	$ (15)	$ (12)
Expected return on plan assets	15	12
Amortization of net actuarial losses	(3)	(3)
Net periodic cost	$ (3)	$ (3)

Shareholders_ equity - Summary

Shareholders’ equity - Summary of Share Activity (Details) - shares	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022	Jul. 31, 2023	Jul. 31, 2022
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at beginning of period (in shares)	232,171,182
Balance at end of period (in shares)	232,171,182
Treasury stock, beginning balance (in shares)	(28,382,963)		(27,893,680)
Treasury stock, ending balance (in shares)	(28,382,963)
Total shares outstanding at end of period (in shares)	203,767,400	207,816,946
Ordinary Shares
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at beginning of period (in shares)	232,171,182	232,171,182
Change in shares issued (in shares)	0	0
Balance at end of period (in shares)	232,171,182	232,171,182
Treasury Shares
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Treasury stock, beginning balance (in shares)	(28,382,963)	(24,069,674)	(27,893,680)	(21,078,577)
Repurchases of ordinary shares (in shares)	(697,398)	(2,991,097)
Treasury shares used to settle share-based compensation awards (in shares)	208,115	0
Treasury stock, ending balance (in shares)	(28,382,963)	(24,069,674)
Employee Benefit Trusts
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at beginning of period (in shares)	274,031	846,491
New shares purchased (in shares)	0	0
Employee Benefit Trust shares used to settle share-based compensation awards (in shares)	253,212	561,929
Balance at end of period (in shares)	20,819	284,562

Shareholders_ equity - Narrativ

Shareholders’ equity - Narrative (Details) $ in Millions	3 Months Ended		26 Months Ended
	Oct. 31, 2023 USD ($) trust	Oct. 31, 2022 USD ($)	Oct. 31, 2023 USD ($)	Jul. 31, 2023 USD ($)
Equity [Abstract]
Number of employee benefit trusts | trust	2
Market value of shares held in trusts	$ 3		$ 3	$ 44
Authorized stock to repurchased	3,000		3,000
Purchase of treasury shares	$ 108	$ 366	$ 2,600

Share-based compensation - Narr

Share-based compensation - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Jul. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share based payment, cost not yet recognized	$ 80
Share based payment, cost not yet recognized, period for recognition (in years)	2 years 3 months 18 days
Employee Stock | Ferguson Group Ordinary Share Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share based compensation, award vesting period (in years)	3 years
Employee Stock | Ferguson Group Performance Share Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share based compensation, award vesting period (in years)	3 years
Employee Stock | Ferguson Group Long-Term Incentive Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share based compensation, award vesting period (in years)	3 years
Liability in connection with grants	$ 7	$ 13

Share-based compensation - Summ

Share-based compensation - Summary of Awards (Details)	3 Months Ended
	Oct. 31, 2023 $ / shares shares
Number of Shares
Beginning Balance Outstanding (in shares) | shares	1,158,673
Vested (in shares) | shares	(455,200)
Forfeited (in shares) | shares	(9,422)
Ending Balance Outstanding (in shares) | shares	1,031,881
Weighted average grant date fair value
Outstanding, Weighted average grant date fair value, Beginning Balance (in usd per share) | $ / shares	$ 111.57
Vested, Weighted average grant date fair value (in usd per share) | $ / shares	98.66
Forfeited, Weighted average grant date fair value (in usd per share) | $ / shares	116.19
Outstanding, Weighted average grant date fair value, Ending Balance (in usd per share) | $ / shares	$ 132.07
Time vested grants
Number of Shares
Grants (in shares) | shares	97,550
Weighted average grant date fair value
Granted, Weighted average grant date fair value (in usd per share) | $ / shares	$ 158.10
Performance vested grants
Number of Shares
Grants (in shares) | shares	209,280
Weighted average grant date fair value
Granted, Weighted average grant date fair value (in usd per share) | $ / shares	$ 158.10
LTIP, equity-settled grants
Number of Shares
Grants (in shares) | shares	28,216
Weighted average grant date fair value
Granted, Weighted average grant date fair value (in usd per share) | $ / shares	$ 148.55
Share adjustments based on performance
Number of Shares
Share adjustments based on performance (in shares) | shares	2,784
Weighted average grant date fair value
Share adjustments based on performance, Weighted average grant date fair value (in usd per share) | $ / shares	$ 108.98

Share-based compensation - Su_2

Share-based compensation - Summary of Time Vested, Performance Vested and Long-Term Incentive Awards (Details) $ / shares in Units, $ in Millions	3 Months Ended
	Oct. 31, 2023 USD ($) $ / shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Fair value of awards vested | $	$ 75
Time Vested, Performance Vested, and Long Term Incentive Awards
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Weighted-average grant date fair value per share granted (in usd per share) | $ / shares	$ 157.30

Share-based compensation - Sche

Share-based compensation - Schedule of Expense (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Share-Based Payment Arrangement [Abstract]
Share-based compensation expense (within SG&A)	$ 13	$ 13
Income tax benefit	$ 3	$ 3

Related party transactions (Det

Related party transactions (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2023	Oct. 31, 2022
Non-Executive Directors
Related Party Transaction [Line Items]
Purchases from related party	$ 6	$ 7