Sherwin-Williams Co (SHW)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 3,451,800 | 3,109,900 | 2,573,100 | 2,248,600 | 2,519,200 |
| Revenue | US$ in thousands | 23,098,500 | 23,051,900 | 22,148,900 | 19,944,600 | 18,361,700 |
| Pretax margin | 14.94% | 13.49% | 11.62% | 11.27% | 13.72% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $3,451,800K ÷ $23,098,500K
= 14.94%
Based on the data provided, Sherwin-Williams Co's pretax margin has fluctuated over the years. The pretax margin was 13.72% as of December 31, 2020, which decreased to 11.27% by December 31, 2021. However, there was a slight improvement to 11.62% by December 31, 2022.
The pretax margin showed a more significant improvement in the following years, reaching 13.49% by December 31, 2023, and then further increasing to 14.94% by December 31, 2024. This indicates that the company's profitability before taxes has been on an upward trend in recent years, with a notable improvement in 2024.
Overall, the positive trend in Sherwin-Williams Co's pretax margin indicates that the company has been able to effectively manage its operating expenses and generate higher profits relative to its revenue over the specified period. It suggests that the company's financial performance has strengthened, which may be a result of improved operational efficiency, cost management, or revenue growth strategies.
Peer comparison
Dec 31, 2024