Sherwin-Williams Company
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.98%.
Did SHW Beat Earnings? Q4 2025 Results
Sherwin-Williams closed out fiscal 2025 on a solid note, posting Q4 adjusted diluted EPS of $2.23 against a consensus estimate of $2.16, a beat of 3.24%, while revenue of $5.60 billion topped the $5.55 billion estimate and grew 5.6% year-over-year. The single biggest driver behind the quarter's top-line strength was the first full period of contributions from the Suvinil acquisition, which alone added $164.50 million, or 3.1 percentage points of that revenue gain. Paint Stores Group complemented the picture with segment profit margins expanding to 20.8% from 19.9%, even as residential volumes remained under modest pressure. For the full year, the company recorded record net sales of $23.57 billion and record adjusted EPS of $11.43, while returning $2.45 billion to shareholders and raising its dividend for the 47th consecutive year. Looking to 2026, management framed guidance of $11.50 to $11.90 in adjusted EPS against a backdrop it described as a "softer-for-longer" demand environment, with analysts currently maintaining a moderate buy consensus on the stock.
- Selling price increases in Paint Stores Group drove mid-single digit net sales impact
- Suvinil acquisition contributed $164.5 million (3.1%) to consolidated revenue growth
- Protective & marine end market grew at high-single digit percentage in PSG
- Residential repaint and commercial grew at low-single digit percentage in PSG
- Packaging sub-segment grew high-single digits in Performance Coatings Group
- Favorable foreign currency translation contributed 2.6% to PCG sales growth
- Effective cost control and SG&A growth held to low-single digit range
- Previously announced restructuring efforts continued to yield savings
“Sherwin-Williams delivered strong fourth quarter results driven by solid core performance amid continued demand choppiness, and inclusive of the first full quarter of the Suvinil acquisition. Consolidated Net sales were at the high end of our guidance, adjusted EBITDA improved by a low-teens percentage and adjusted diluted net income per share increased by a mid-single digit percentage.”
Sherwin Williams CEO, on the earnings call
Forward Guidance & Outlook
For Q1 2026, Sherwin-Williams expects consolidated net sales to be up a mid-single digit percentage year-over-year. For full year 2026, the company expects consolidated net sales to be up by a low to mid-single digit percentage, with diluted net income per share guidance of $10.70 to $11.10 and adjusted diluted net income per share guidance of $11.50 to $11.90 (excluding $0.80 per share of Valspar acquisition-related amortization expense). The company expects an effective tax rate in the low twenty percent range. Management notes a 'softer-for-longer' demand environment expected to persist well into the second half of 2026.
SHW YoY Financials
SHW Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.