The intense consumer focus on home improvement through the COVID-19 pandemic is lifting Sherwin-Williams' (NYSE:SHW) business. The global paint giant said on Monday that it is raising its short-term sales outlook to account for a broad-based acceleration in its business.
Revenue is still expected to fall in its core U.S. market, which was impacted by widespread store closures during social distancing efforts in recent weeks. But Sherwin-Williams said curbside pickup and e-commerce sales helped moderate those losses.
Management now sees revenue declining in the high single digits in North America, compared to losses in the high-single-digit to low-double-digit range that they contemplated in their late April guidance. "We are encouraged by sequential improvement in all three of our business segments during the second quarter," CEO John Morikis said in a press release.
Sherwin-Williams noted "unprecedented" demand in its consumer segment from shoppers seeking supplies for home improvement projects during stay-at-home time. Its commercial and automotive divisions, in contrast, are still under pressure from the pandemic.
The company will post its detailed second-quarter results on July 28, and management has promised to issue an updated outlook for the full fiscal year 2020 at that time.