Loading...
•
Sep 30, 2021
Sherwin-Williams Q3 2021 Earnings Report
Sherwin-Williams' financial performance was impacted by raw material supply chain challenges, despite strong demand in pro architectural and industrial end markets.
Key Takeaways
Sherwin-Williams reported a 0.5% increase in consolidated net sales to $5.15 billion. Diluted net income per share decreased to $1.88, and adjusted diluted net income per share decreased to $2.09. The company's results were significantly affected by raw material availability issues, which negatively impacted sales by an estimated high single-digit percentage.
Consolidated net sales increased 0.5% to $5.15 billion.
Same-store sales in the U.S. and Canada decreased 2.8%.
Diluted net income per share decreased to $1.88.
Adjusted diluted net income per share decreased to $2.09.
Revenue by Segment
Forward Guidance
The company's full-year adjusted diluted net income per share guidance remains unchanged at $8.35 - $8.55. Net sales are expected to be up by mid-to-high single digit for Q4 and high-single digit for the full year.
Positive Outlook
- Demand remains strong across pro architectural and industrial end markets.
- Teams are highly engaged with customers.
- The company continues to invest in solutions that will drive long-term growth.
- Focused on offsetting higher costs with incremental price increases.
- Prepared to implement additional increases should they be necessary to offset higher raw material costs.
Challenges Ahead
- The pace of recovery in raw material availability remains highly fluid.
- Impacts of Hurricane Ida are more severe and longer lasting than initially thought.
- No moderation in raw material inflation is expected any sooner than next year.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...