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The Sherwin-Williams Company SHW logged fourth-quarter 2024 earnings (as reported) of $1.90 per share, up around 36.7% from $1.39 in the year-ago quarter.
Barring one-time items, adjusted earnings in the reported quarter were $2.09 per share, which surpassed the Zacks Consensus Estimate of $2.07.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Sherwin-Williams posted revenues of $5,297.2 million, up around 0.9% year over year. The figure missed the Zacks Consensus Estimate of $5,309.4 million.
Consolidated net sales rose owing to increased sales in the Paint Stores Group. The rise was partially offset by reduced sales in the Consumer Brands and Performance Coatings Groups, as well as a 1.3% negative foreign currency translation.
The Sherwin-Williams Company Price, Consensus and EPS Surprise
The Sherwin-Williams Company price-consensus-eps-surprise-chart | The Sherwin-Williams Company Quote
SHW’s Segmental Review
The Paint Stores Group (“PSG”) segment registered net sales of $3,044.9 million in the fourth quarter, up around 3.4% year over year. The figure trailed the consensus estimate of $3,047.9 million. PSG's net sales climbed due to selling price hikes and sales volume growth. Net sales climbed in residential repainting, protective coatings, maritime and new construction. PSG Segment profit grew due to higher net sales.
Net sales in the Consumer Brands Group (“CBG”) segment declined 4.3% year over year to $662.2 million, beating the Zacks Consensus Estimate of $643.3 million. CBG's net sales declined due to a 5.5% impact from adverse foreign currency translation in Latin America. This was slightly offset by modest sales volume growth and selling price hikes, which had a low-single-digit impact on net sales. CBG Segment profit increased due to non-recurring charges in the fourth quarter of 2023.
Net sales in the Performance Coatings Group decreased roughly 1.6% year over year to $1,589 million in the reported quarter, missing the Zacks Consensus Estimate of $1,611.1 million. PCG's net sales fell owing to a 1.7% impact from adverse foreign currency translation. Sales volume rise in the low single digits was offset by lower selling prices due to product mix. The PCG Segment profit grew due to the Argentine devaluation in the prior-year quarter, partly offset by reduced net sales.
SHW’s Financials
For 2024, the company generated $3.15 billion in net operating cash and distributed $2.46 billion to shareholders through dividends and stock repurchases. As of Dec. 31, 2024, the company had the authorization to buy back 34.4 million shares of its common stock through open market purchases.