Sherwin-Williams's $668.8 Million Tax Benefit Lifts Profit -- Earnings Review

By FeaturesDow Jones Newswires

Sherwin-Williams Co. (SHW) reported its fourth-quarter results Thursday morning. Here is what you need to know:

EARNINGS: Sherwin-Williams reported a profit of $897.4 million, or $9.39 a share, up from $203 million, or $2.15 a share, for the same period in 2016. On an adjusted basis, which excludes Valspar acquisition costs and one-time items, earnings were $3.16 a share. Analysts polled by Thomson Reuters expected adjusted earnings of $3.12 for the quarter.

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TAX REFORM IMPACT: Earnings were helped by a $668.8 million benefit, largely related to revluation of deferred tax liabilities and other tax-related issues.

SALES: Net sales were $3.98 billion, up 43% from a year before. Sherwin-Williams said the increase was tied to Valspar sales and the Americas Group's paint sales. Net sales in stores in the U.S. and Canada open for more than a year increased 8.2%.

GOING FORWARD: The company expects adjusted earnings per share, excluding Valspar costs and one-time items, for 2018 to be between $18.75 and $19.35. Analysts had expected $18.47 a share.

Shares rose were little changed at $429.50 in premarket trading.

Write to Allison Prang at allison.prang@wsj.com

(END) Dow Jones Newswires

January 25, 2018 08:03 ET (13:03 GMT)

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