Cleveland, OH, October 21--Sherwin-Williams in the third quarter reported net income that increased 10.4 percent to $132.9 million and diluted net income per share that increased 12.2 percent to $0.92 per share.
Analysts were expecting earnings per share of $0.91 in the quarter.
Net sales in the quarter increased 11.6 percent to $1.7 billion.
In the first nine months of the year, net earnings increased 19.0 percent to $310.8 million. Earnings per share for the period were $2.14 per share in the first nine months versus $1.77 per share last year.
Net sales for the nine-month period were up 11.9 percent to $4.6 billion.
The financial results include three acquisitions completed since the third quarter of last year and the operations of two larger acquisitions, Duron, and Paint Sundry Brands, beginning with the month of September 2004. The acquisitions increased consolidated net sales 4.0 percent, consolidated net income 2.1 percent.
Net sales in the Paint Stores Segment increased 13.0 percent to $1.1 billion in the third quarter and 12.1 percent to $3.0 billion in the first nine months of 2004.
Continuing strong domestic architectural paint sales to contractor and do-it-yourself (DIY) customers accounted for most of the sales improvement in both periods.
The company said it anticipate that fourth quarter net sales will increase in the low double digits versus last year's fourth quarter partially helped by the recently completed acquisitions. With increased net sales at that level, the company said it expects diluted net income per share in the fourth quarter in the range of $0.48 to $0.52 per share compared to $0.48 per share earned in last year's fourth quarter.
The company said it expect annual sales increase will be in the low double digits range and diluted net income per common share for the year 2004 to be in the range of $2.62 to $2.66 per share compared to $2.26 per share earned in 2003.
