Sherwin-Williams sees drop in 2009 sales, profit

Sherwin-Williams forecasts declines in full-year 2009 sales, profit

• On 1:12 pm EDT, Tuesday October 20, 2009

CLEVELAND (AP) -- Paint maker Sherwin-Williams Co. on Tuesday said it expects 2009 sales to drop as much as 12.5 percent from 2008, reflecting a year scarred by economic troubles that crippled demand across all customer segments.

The company forecast full-year earnings between $3.52 per share and $3.72 per share, down from $4 per share earned in 2008. Analysts polled by Thomson Reuters predicted a full-year profit of $3.64 per share, on average.

"We have seen limited improvements in DIY and other end-user areas of our business but not to an extent that indicates any significant recovery or sustainable growth from the depressed markets of the past year," CEO Christopher Connor said in a statement.

While sales to residential, commercial, consumer and global customers have suffered, the company said stricter cost controls have helped to soften the blow, especially in the third quarter.

Third-quarter earnings fell 1 percent to $175.2 million, or $1.51 per share, exceeding analyst expectations of $1.35 per share. Revenue tumbled 12 percent to $2 billion. Analysts expected $2.01 billion in revenue.

Shares of the company fell $3.18, or 5 percent, to $59.89 in afternoon trading. The stock has ranged from $42.19 to $64.13 over the past year.