Sherwin-Williams reports strong third quarter

Sherwin-Williams posted third quarter net income of $179.88 million, up 2.6% from $175.26 million in the year-ago period. Net sales for the quarter ended Sept. 30 totaled $2.48 billion, up 14.3% from $2.17 billion in the third quarter of 2010.

Net income for the nine months ended Sept. 30 totaled $427.31 million, up 9.7% from $389.57 million. Net sales for the period were $6.7 billion, up 13.9% from $5.88 billion.

Net sales in the Paint Stores Group increased 10.2% to $1.42 billion in the quarter and 7.8% to $3.65 billion in nine months. The increase was due primarily to selling price increases and improving domestic architectural paint sales volume across most segments.

Net sales of the Consumer Group increased 3.3% to $351.6 million in the quarter. Net sales decreased 2% to $1.02 billion in nine months.

The Global Finishes Group’s net sales increased 31.2% to $714.4 million in the quarter and increased 39.3% to $2.02 billion in nine months.

“We are encouraged by our improving sales results across most domestic architectural segments generated by our Paint Stores Group in the quarter,” said Christopher Connor, chairman and CEO. “We are pleased with the continued sales development in the Global Finishes Group and the corresponding improvement in core operating results. Our operating segments continue to control costs and implement price increases in an effort to keep pace with rising raw material costs.

“We continue to invest in our business. In the first nine months, Paint Stores Group opened 31 net new locations. In July, we completed the acquisition of Leighs Paints, a leading UK protective and marine and fire protection coatings innovator.

“For the fourth quarter, we anticipate our consolidated net sales will increase 6% tp 10% compared with last year’s fourth quarter. For the full year 2011, we expect consolidated net sales to increase above 2010 levels by a low teen percentage,” Connor added.