The Sherwin-Williams Company announced mixed results Thursday for the first quarter of 2014, which saw greater top-line revenue for the company that wasn't matched by its net income performance.
Net sales for the three months ended March 31 were $2.37 billion, up 9.2% from $2.17 billion the year before. Sherwin-Williams attributed the increase primarily to higher paint sales volume in the Paint Stores Group and acquisitions, which accounted for 4.5% of the increase alone. Net sales in the Paint Stores Group increased 16.4% to $1.36 billion.
In terms of net income, the company pulled in $115.5 million, down from $116.2 million in 2013.
"The Paint Stores Group architectural volume growth was strong across all end market segments," said chairman and CEO Christopher M. Connor. "The Comex acquisition performed better than expected in the quarter. Although the impact of harsh weather on domestic sales in the quarter was modest, it did disrupt supply chain operations and service driving up costs in the Consumer Group. Our Global Finishes Group continues to improve its operating margins through improved operating efficiencies. The Latin America Coatings Group despite the continued difficult environment is minimizing the impact on its core operating margins through selling price increases and good cost control."
Connor added that the company opened 17 new locations in the Paint Stores Group, and expects to open 80 to 90 new stores this year in total.
Sherwin-Williams recently canceled its bid for Comex Mexico, but it did complete the successful acquisition of the U.S. and Canadian Comex divisions. Connor was referring to those business units in his quote.