Sherwin-Williams Co (SHW)

Net profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	2,681,400	2,388,800	2,020,100	1,864,400	2,030,400
Revenue	US$ in thousands	23,098,500	23,051,900	22,148,900	19,944,600	18,361,700
Net profit margin		11.61%	10.36%	9.12%	9.35%	11.06%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $2,681,400K ÷ $23,098,500K
= 11.61%

Sherwin-Williams Co's net profit margin has shown some fluctuations over the past five years. In December 2020, the net profit margin was at 11.06%, indicating that for every dollar of sales, the company generated a net profit of $0.1106. However, by December 2021, this margin had decreased to 9.35%, suggesting a decline in profitability. The trend continued into December 2022, with the net profit margin further decreasing to 9.12%.

There was a positive turn in December 2023, as the net profit margin improved to 10.36%, showing a recovery in profitability. This positive trend continued into December 2024, with the net profit margin reaching 11.61%, indicating an increase in profitability to its highest level in the past five years.

Overall, while there were fluctuations in the net profit margin, Sherwin-Williams Co managed to improve profitability in the latter years, achieving a higher net profit margin by December 2024 compared to December 2020. This indicates the company's ability to adapt and enhance its profitability over time.