International. The Sherwin-Williams Company announced its financial results for the second quarter ended June 30, 2025.
Consolidated net sales increased 0.7% to $6.314 billion, while sales of Paint Stores Group stores open for more than twelve months grew 0.8% in the period. Diluted net income per share decreased 14.3% to $3.00 compared to $3.50 in the same quarter of 2024. Meanwhile, adjusted net income per share was $3.38, down 8.6% year-over-year.
Regarding the annual projection, the company adjusted its diluted net income per share guidance for all of 2025 in a range of $10.11 to $10.41, and the adjusted one in a range of $11.20 to $11.50.
Heidi G. Petz, president, CEO and chairman, Sherwin-Williams, said, "Sherwin-Williams continued to execute on our consistent and disciplined strategy in a demand environment that remained volatile, as we anticipated. Consolidated sales were within our guidance range, and we achieved gross margin expansion for the twelfth consecutive quarter."
The executive added that, "given the weakness in demand in the quarter, which we expect to continue or even deteriorate in the second half of the year, we aggressively accelerated and increased our restructuring actions, resulting in pre-tax expenses of $59 million."
It also explained that the progress of new building projects implied pre-tax transition costs of approximately $40 million in the quarter, which were initially planned for the second half of the year. "Excluding restructuring costs, building costs and amortization on acquisitions, selling, general and administrative expenses increased 3.8% in the quarter. This increase was driven primarily by deliberate and disciplined investments within the Paint Stores Group, where we have identified multiple growing competitive opportunities," said Petz.
During the quarter, the company generated $1.05 billion in operating cash and returned $1.27 billion to shareholders through dividends and repurchases of 2.5 million shares.
Looking ahead, Petz anticipated: "Demand was weaker than anticipated until June, and we don't see catalysts changing that trajectory at this time, which led us to adjust our annual guidance downwards. We continue to respond to this softer environment aggressively, including doubling down on our previously announced restructuring initiatives. We are increasingly confident that we are at a competitive inflection point in our industry."
