Sherwin-Williams Co.

Solid First Quarter Results: Sherwin-Williams reported a solid first quarter with adjusted earnings per share growing 3.7% year-over-year to $2.25. Consolidated sales remained within guided ranges, with growth in the Paint Stores Group partially offset by declines in the Consumer Brands and Performance Coatings Groups.

Segment Performance Variance: Paint Stores Group sales grew in the low single-digits with a price-mix increase of mid-single-digits, while volume saw low single-digit declines. The Consumer Brands Group experienced a sales decrease primarily due to unfavorable FX and soft DIY demand, although adjusted segment margin expanded to 21.3%. The Performance Coatings Group's sales fell below expectations due to decreases in FX, price mix, and volume, but some bright spots emerged in packaging growth.

Gross Margin Expansion: Gross margin and EBITDA margin improved, supported by selling price increases from previous years and supply chain efficiencies. Adjusted segment margins expanded in several divisions, indicating effective cost management even amid overall volume challenges.