Sherwin-Williams Reports Record Sales and Income

By Tamara Parker • Thursday, January 30 15:46 • Permanent Link

The Sherwin-Williams Company has reported its financial results for the year and fourth quarter ended December 31, 2024. Here are the key highlights:

Consolidated net sales increased to a record $23.10 billion for the year, with net sales from stores in the paint stores group open more than twelve calendar months increasing by 1.7%.
Diluted net income per share increased by 14.1% to $10.55 per share for the year compared to $9.25 per share in the full year 2023.
Adjusted diluted net income per share increased by 9.5% to $11.33 per share in the year compared to $10.35 per share in the full year 2023.
In the fourth quarter of 2024, diluted net income per share increased by 36.7% to $1.90 per share, and adjusted diluted net income per share increased by 15.5% to $2.09 per share.

The company also highlighted its cash flow, reporting that it generated $3.15 billion in net operating cash and returned $2.46 billion to shareholders through dividends and share repurchases during the year.

Looking ahead to 2025, the company provided guidance, expecting full-year consolidated net sales to increase by a low-single digit percentage and projecting adjusted diluted net income per share in the range of $11.65 to $12.05 per share.

The CEO, Heidi G. Petz, expressed confidence in the company's strategy, emphasizing above-market growth opportunities in all of its businesses. She also mentioned that the company expects demand softness to persist in several end markets well into the second half of 2025 or even into 2026. Despite this, the company plans to aggressively pursue growth opportunities and execute initiatives within its enterprise priorities.

The Paint Stores Group (PSG) reported a 3.4% increase in net sales in the fourth quarter of 2024, primarily driven by selling price increases and sales volume growth. The Consumer Brands Group (CBG) saw a decrease in net sales primarily due to unfavorable foreign currency translation, but segment profit increased due to effective cost control. The Performance Coatings Group (PCG) reported a decrease in net sales primarily due to unfavorable foreign currency translation, but segment profit increased primarily due to the absence of certain expenses from the previous year.

As a result of these announcements, the company's shares have moved 0.5% on the market, and are now trading at a price of $362.3. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.