Filed under: Investing
PPG Reports First Quarter Results
- First quarter 2013 sales from continuing operations of $3.3 billion
- First quarter adjusted earnings per diluted share from continuing operations of $1.58
- Reported earnings per diluted share of $16.31, including large nonrecurring gain from commodity chemicals business separation
- Aggregate coatings segment earnings increased 13 percent with growth in each region
- Incremental restructuring savings of nearly $30 million realized in quarter
- Cash deployed for share repurchases during quarter totaled $140 million
- Increased synergy target following completion of AkzoNobel North American architectural coatings acquisition
PITTSBURGH–(BUSINESS WIRE)– PPG Industries (NYS: PPG) today reported first quarter 2013 net sales from continuing operations of $3.3 billion, equal with the prior year. Reported net income and earnings per diluted share for the current and prior year include several nonrecurring items, which are detailed in a reconciliation below. First quarter 2013 adjusted net income and earnings per diluted share from continuing operations, excluding nonrecurring charges, were $235 million and $1.58 respectively. First quarter 2012 adjusted net income and earnings per diluted share from continuing operations, excluding nonrecurring charges, were $216 million and $1.41 respectively.
“During the quarter, we delivered strong performance in our coatings portfolio, as we grew aggregate coatings segment earnings by 13 percent versus last year’s record level,” said Charles E. Bunch, PPG chairman and CEO. “We continued to experience notable demand divergence among the major regional economies, with activity generally strong in North America, broad growth improvement in Asia and persistent weakness in Europe.
“Despite these regional differences, our coatings earnings grew in each major region aided principally by our proactive cost-management actions coupled with the continued strength of several end-use markets, including automotive OEM, aerospace and U.S. construction,” Bunch said.
Bunch commented that sales and earnings fell in the Optical and Specialty Materials segment based on weaker consumer demand in the United States, which was partly offset by volume growth from a strong new product introduction in Europe in February. Glass segment earnings declined versus the prior year on weaker fiber glass results, Bunch said.
“Strategically, we completed the acquisition of the AkzoNobel North American architectural coatings business April 1. The