The Sherwin-Williams Company stock research
FY2025 Q1
The Sherwin-Williams (SHW) Gross Margin — Quarter Ended Mar 31, 2025
Revenue was nearly unchanged from the prior quarter and slightly lower than a year ago. Gross profit improved year over year, while cost of revenue declined, resulting in a higher gross margin compared with the same quarter last year.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue was nearly unchanged from the prior quarter and slightly lower than a year ago. Gross profit improved year over year, while cost of revenue declined, resulting in a higher gross margin compared with the same quarter last year.
- Gross margin strengthened year over year, driven by a lower cost of revenue relative to sales. The margin was slightly weaker than the immediately preceding quarter.
- Compared with the prior quarter, gross margin was slightly lower, while revenue and gross profit were essentially stable. Versus the same quarter one year earlier, gross margin was higher, supported by a larger gross profit on slightly lower revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
48.2%
Gross profit
$2.6B
Revenue
$5.3B
Cost of revenue
$2.7B
Quarter-over-quarter change
-0.3 pts
Year-over-year change
+1.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jun 30, 2024 | $6.3B | $3.1B | $3.2B | 48.8% |
| Sep 30, 2024 | $6.2B | $3.0B | $3.1B | 49.1% |
| Dec 31, 2024 | $5.3B | $2.6B | $2.7B | 48.6% |
| Mar 31, 2025 | $5.3B | $2.6B | $2.7B | 48.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
-0.3 pts
Year-over-year change
Mar 31, 2024
+1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin strengthened year over year, driven by a lower cost of revenue relative to sales. The margin was slightly weaker than the immediately preceding quarter.
Compared with the prior quarter, gross margin was slightly lower, while revenue and gross profit were essentially stable. Versus the same quarter one year earlier, gross margin was higher, supported by a larger gross profit on slightly lower revenue.
Monitor the trajectory of cost of revenue relative to net sales, as its decline was the primary observable factor behind the year-over-year margin improvement.