Sherwin-Williams Co (SHW)
Interest coverage
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 3,761,900 | 3,692,700 | 2,976,100 | 2,593,600 | 2,870,000 |
| Interest expense | US$ in thousands | 415,700 | 417,500 | 390,800 | 334,700 | 336,800 |
| Interest coverage | 9.05 | 8.84 | 7.62 | 7.75 | 8.52 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $3,761,900K ÷ $415,700K
= 9.05
The interest coverage ratio of Sherwin-Williams Co has been relatively stable over the past five years. It was 8.52 in December 31, 2020, and decreased slightly to 7.75 in December 31, 2021. Subsequently, the ratio continued to decline to 7.62 in December 31, 2022. However, there was an improvement in the company's interest coverage in the following years, with the ratio increasing to 8.84 in December 31, 2023, and further rising to 9.05 in December 31, 2024. Overall, the company's ability to cover interest expenses has shown fluctuations but has demonstrated a positive trend in recent years.
Peer comparison
Dec 31, 2024