Sherwin-Williams Company announced its financial results for the third quarter and the nine month period ended Sept. 30. Consolidated net sales increased 4.4% in the quarter to $1.43 billion, and 2.4% in the first nine months to $4.03 billion. The company attributed the gains to strong domestic architectural paint sales, an increasingly favorable DIY market and aggressive promotion of new color palettes. Net income for the third quarter increased 23.3% to $111.3 million, up from $90.3 million in the same quarter one year ago. For the first nine months of 2002, net income increased 16.5% to $253.6 million, up from $217.7 million over the same period a year ago.
Net sales in the paint stores segment increased 5.9% in the quarter to $938.3 million, and 3.8% for the first nine months to $2.55 billion. These increases were attributed to higher volume sales to contractors and DIY customers which offset weak sales in the industrial maintenance and product finishes categories, according to the company.
Net sales in the consumer segment rose 4.9% to $314.3 million in the third quarter and 3.1% to $944 million for the nine-month period compared to last year. The company reported sales have increasingly benefitted from the improving DIY market and from promotion of new and existing paint, aerosol and wood care products.
The automotive finishes segment’s net sales increased 1.3% for the quarter to $113.8 million and 1.9% in the first nine months to $349 million. Improved vehicle refinish sales were not enough to offset unfavorable currency exchange rates and price competition, according to the company.
Net sales in the international coatings segment declined 9.1% to $58.3 million for the third quarter, and 8.5% for the nine months period to $185.1 million compared to a year ago. This was due primarily to unfavorable exchange rates, according to the company