PPG FY 2025 continuing-ops EPS rises 21% to USD 6.92

Reuters
Feb 20
PPG FY 2025 continuing-ops EPS rises 21% to USD 6.92

PPG reported FY 2025 net sales of USD 15.88 billion (up 0.2%), with higher selling prices (+1%), higher sales volumes (+1%) and favorable foreign currency translation (+1%) partly offset by divestitures (-3%). Income before income taxes was USD 2.05 billion (up 10.4%), while net income (attributable to PPG) from continuing operations was USD 1.57 billion and earnings per diluted share from continuing operations were USD 6.92 (up 21.0%). FY 2025 income tax expense was USD 458.00 million and the effective tax rate was 22.4%. Cash from operating activities (continuing operations) was USD 1.94 billion (up 39.2%), and PPG ended 2025 with USD 2.22 billion in cash and cash equivalents and short-term investments. By segment in FY 2025, Performance Coatings net sales were USD 5.51 billion (up 5.3%), supported by higher selling prices (+3%) and higher sales volumes (+2%), with aerospace coatings and protective and marine coatings posting double-digit percentage organic sales growth and aerospace customer order backlogs rising to about USD 315.00 million. Global Architectural Coatings net sales were USD 3.84 billion (down 2.1%), driven by divestitures (-3%) and lower sales volumes (-2%), partly offset by higher selling prices (+2%) and favorable currency translation (+1%). Industrial Coatings net sales were USD 6.52 billion (down 2.4%), reflecting divestitures (-4%) and lower selling prices (-1%), partly offset by higher sales volumes (+2%) and favorable currency translation (+1%). PPG said it generated USD 1.9 billion in operating cash flow in 2025, recorded USD 6.00 million in business restructuring, net (down 97.4%), and recognized USD 24.00 million of impairment and other related charges, net (down 83.6%). The company also highlighted progress on a cost reduction program approved in October 2024 targeting about USD 175.00 million in annualized pre-tax savings once fully implemented, with about USD 75.00 million of restructuring savings realized in 2025 and an expected USD 50.00 million of incremental savings in 2026. PPG repurchased 6.9 million shares for USD 790.00 million and paid USD 628.00 million in dividends in FY 2025, and raised its quarterly dividend by about 5% to USD 0.71 per share in July 2025.

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