CLEVELAND - The Sherwin-Williams Co., Cleveland, announced its financial results for the third quarter and nine months ended September 30, 2012. Compared to the same periods in 2011, consolidated net sales increased $118.3 million, or 4.8 percent, to $2.60 billion in the quarter and increased $617.3 million, or 9.2 percent, to $7.31 billion in nine months. The increase was due primarily to higher paint sales volume in the company’s Paint Stores Group and selling price increases.

Diluted net income per common share in the quarter increased to $2.24 per share from $1.71 per share in 2011 and increased in nine months to $5.37 per share from $3.98 per share last year. The third-quarter and nine-month increases in diluted net income per common share were due primarily to strong sales volumes and operating results driven primarily by Paint Stores Group.

Net sales in the Paint Stores Group increased 9.6 percent to $1.55 billion in the quarter and increased 14.2 percent to $4.16 billion in nine months due primarily to higher paint sales volume across all end-market segments as well as higher year-over-year selling prices. Net sales from stores open for more than 12 calendar months increased 8.9 percent in the quarter and increased 13.6 percent in nine months over last year's comparable periods. Paint Stores Group segment profit increased $63.7 million to $300.6 million in the quarter from $236.9 million last year and increased to $680.3 million in nine months from $512.4 million last year. Segment profit as a percent to net sales increased in the quarter to 19.3 percent from 16.7 percent last year and increased in nine months to 16.3 percent from 14.1 percent in 2011.

Net sales of the Consumer Group decreased 1.0 percent to $348.0 million in the quarter due primarily to lower volume sales to most of the Group's retail customers mostly offset by acquisitions and selling price increases. Net sales increased 4.3 percent to $1.07 billion in nine months due primarily to selling price increases and acquisitions.

The Global Finishes Group's net sales stated in U.S. dollars decreased 1.0 percent to $491.8 million in the quarter due primarily to unfavorable currency translation rate changes and lower paint sales volume partially offset by selling price increases. Net sales increased 4.1 percent to $1.47 billion in nine months due primarily to selling price increases, acquisitions and higher paint sales volume partially offset by unfavorable currency translation rate changes.

The Latin America Coatings Group's net sales stated in U.S. dollars decreased 4.0 percent to $208.7 million in the quarter and decreased 0.6 percent to $604.6 million in nine months due primarily to unfavorable currency translation rate changes partially offset by selling price increases and higher paint sales volume.

Looking forward, Christopher M. Connor, Chairman and Chief Executive Officer, said, “For the fourth quarter, we anticipate our consolidated net sales will increase in the mid-single digits compared to the fourth quarter of 2011. At that anticipated sales level, we estimate diluted net income per common share in the fourth quarter to be in the range of $.98 to $1.18 per share compared to $.14 per share earned in the fourth quarter of 2011. For the full year 2012, we expect consolidated net sales to increase above 2011 levels by a high-single-digit percentage. With annual sales at that level, we have raised our expectation for diluted net income per common share for 2012 to be in the range of $6.35 to $6.55 per share compared to $4.14 per share earned in 2011.”