Sherwin-Williams reports Q2 sales increase
Cleveland-based Sherwin-Williams has reported second-quarter net income of $179.1 million, down 1.4% from $181.7 million in the same quarter of 2010. Net sales for the second quarter ended June 30 totaled $2.36 billion, up 10% from $2.14 billion in the year-ago period.
Net income for the first six months of 2011 was $247.4 million, up 15% from $214.3 million in the same period of 2010. Net sales for this six-month period totaled $4.21 billion, up 13% from $3.71 billion in the year-ago period.
Net sales in the Paint Stores Group increased 4.3% to $1.30 billion in the quarter and 6.3% to $2.23 billion in the first six months of 2011. The company cited selling price increases and improving domestic architectural paint sales to DIY and residential repaint customers for the increase.
Net sales of the Consumer Group decreased 8.4% to $375.6 million in the quarter and decreased 4.5% to $670.6 million in the six months.
Net sales in the Global Finishes Group increased 39.5% to $678.9 million in the quarter and increased 44.2% to $1.31 billion in the six-month period.
“Earnings in the quarter were at the low end of our guidance range due to high raw material costs versus the timing of our price increases,” said Christopher Connor, chairman and CEO. “Although domestic demand remains soft, we continue to invest in selling, general and administrative expenses to maintain customer service and are encouraged by the improvement in domestic DIY and protective and marine sales in the Paint Stores Group.
“For the third quarter, we anticipate our consolidated net sales will increase 10% to 15% compared with last year’s third quarter,” Connor added. “For the full year 2011, we expect consolidated net sales to increase above 2010 levels by a high single digit to low teen percentage.”