Sherwin-Williams Co (SHW)
Gross profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 10,758,100 | 10,443,200 | 10,116,400 | 9,693,100 | 9,325,100 | 8,971,000 | 8,521,200 | 8,483,600 | 8,542,700 | 8,791,700 | 9,107,400 | 8,904,900 | 8,682,600 | 8,447,900 | 8,218,200 | 8,190,700 | 8,036,100 | 7,824,800 | 7,609,600 | 7,466,800 |
| Revenue (ttm) | US$ in thousands | 22,557,900 | 22,588,100 | 22,534,900 | 22,159,400 | 21,735,200 | 21,387,100 | 20,505,700 | 20,027,700 | 19,578,700 | 19,305,400 | 19,277,600 | 18,501,700 | 18,080,200 | 17,705,800 | 17,534,900 | 17,893,700 | 17,900,800 | 17,850,600 | 17,714,400 | 17,610,400 |
| Gross profit margin | 47.69% | 46.23% | 44.89% | 43.74% | 42.90% | 41.95% | 41.56% | 42.36% | 43.63% | 45.54% | 47.24% | 48.13% | 48.02% | 47.71% | 46.87% | 45.77% | 44.89% | 43.83% | 42.96% | 42.40% |
December 31, 2023 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $10,758,100K ÷ $22,557,900K
= 47.69%
The gross profit margin of Sherwin-Williams Co. has shown a steady increase over the past eight quarters, indicating improving profitability in the company's core operations. The trend reflects efficient cost management and potentially pricing power within its industry. The company's gross profit margin has risen from 41.82% in Q1 2022 to 46.67% in Q4 2023, showing a consistent positive trajectory.
This improvement suggests that Sherwin-Williams Co. is effectively controlling its production and inventory costs relative to its revenue. It also indicates the company's ability to generate more profit from each dollar of sales, which could be attributed to factors such as economies of scale, operational efficiencies, or effective pricing strategies.
Overall, the increasing trend in gross profit margin for Sherwin-Williams Co. is a positive indicator of the company's financial health and operational performance, highlighting its ability to generate higher profits from its core business activities over the observed period.
Peer comparison
Dec 31, 2023