Sherwin-Williams — Oct 22, 2024 release

SUMMARY • Consolidated net sales increased 0.7% in the quarter to $6.16 billion ◦ Net sales from stores in the Paint Stores Group open more than twelve calendar months increased 2.2% in the quarter • Diluted net income per share increased 7.8% to $3.18 per share in the quarter compared to $2.95 per share in the third quarter 2023 ◦ Adjusted diluted net income per share increased 5.3% to $3.37 per share in the quarter compared to $3.20 per share in the third quarter 2023 • Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) in the quarter increased 1.2% to $1.28 billion, or 20.8% of net sales • Reaffirming full year 2024 diluted net income per share guidance in the range of $10.30 to $10.60 per share, including acquisition-related amortization expense of $0.80 per share ◦ Reaffirming full year 2024 adjusted diluted net income per share guidance in the range of $11.10 to $11.40 per share CEO REMARKS “Sherwin-Williams grew sales, expanded gross margin, and increased EBITDA and adjusted diluted net income per share despite continued choppiness in the demand environment,” said President and Chief Executive Officer, Heidi G. Petz. “Strong cash generation in the quarter enabled us to return $631 million to our shareholders through dividends and share repurchases. We also chose to invest ahead of the curve in the quarter, given the unprecedented long-term opportunities that continue to emerge from an increasingly uncertain competitive landscape. We are highly confident these current near-term investments in stores, sales and technical reps, expanded services and digital capabilities will help generate sustained and profitable above-market growth. We expect SG&A to moderate sequentially, resulting in a low to mid-single digit increase for the second half as anticipated. “In Paint Stores Group, growth was led by a high-single digit increase in protective & marine. Our prior investments in residential repaint continued to drive mid-single digit growth in a