• Login
    • Join
  • FOLLOW:
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Research
    • Markets & Technologies
    • Raw Materials
    • Top Companies
    • Directories
    • Jobs
    • Events
    • Microsites
    • More
  • Magazine
  • News
  • Research
  • Markets & Technologies
  • Raw Materials
  • Top Companies
  • Directories
  • Jobs
  • Events
  • Microsites
  • Current / Back Issues
    Features
    Business Corner
    Editorial
    Digital Edition
    eNewsletter Archive
    Our Team
    Editorial Guidelines
    Subscribe Now
    Advertise Now
    World Reports
    eBook
    Top Features
    Mixing Equipment Directory

    The Wood Coatings Market

    Antimicrobial Coatings Market

    Additives Update

    Pigment Supplier Directory
    Breaking News
    Online Exclusives
    Distributor News
    Financial News
    Paint & Coatings Manufacturer News
    People In the News
    Price Increases
    Product News
    Video Bites
    Raw Materials & Equipment
    Suppliers News
    Live From Shows
    Top News
    Croda Named Most Admired Company in British Chemical Sector

    Ashland Increases 1,4-Butanediol, Derivatives Prices in Europe

    First Source Worldwide, LLC Celebrates 20th Anniversary

    Chromaflo Technologies Adds Benjamin Woeste as Territory Sales Manager

    Maroon Group Acquires Cary Company's Raw Materials, Specialty Chemicals Distribution Business
    Top Companies report
    Market Research
    White Papers / Tech Papers
    Technical Papers
    Product Spec Sheets
    World Reports
    Adhesives and Sealants
    Aerospace Coatings
    Architectural Coatings
    Automotive Coatings
    Automotive Refinish
    Business Operation
    Color Trends & Forecast
    Construction Chemicals
    Corrosion Control
    Industrial Coatings
    Laboratory Equipment
    Marine Coatings
    Market Trends & Forecast
    Powder Coatings
    Production Equipment
    Radcure Coatings
    Special Purpose Coatings
    Wood Coatings
    "Green" Coatings

    The Connection Between Color Psychology & Productivity In The Workplace

    Benjamin Moore Launches COMMAND

    Mule-Hide Products Co. Introduces Seal-Fast Liqui-Flash

    IFS Coatings Breaks Ground on 70,000-Square-Foot Expansion

    Conversation with Henning Kreis of Zeppelin Systems
    Additives
    Binders
    Pigments
    Solvents

    Ashland Increases 1,4-Butanediol, Derivatives Prices in Europe

    AOC Announces EMEA Price Increase

    OQ Chemicals Increases Carboxylic Acids, Esters Prices

    Arkema Reports Full-year 2020 Results

    New Increase in Kynar Fluoropolymer Capacities at Arkema's Chinese Site
    Buyers Guide
    Company Capabilities
    Distributor Guide
    Add New Company
    International Buyers Guide Companies
    Active Minerals

    Clariant Additives

    Keim Additec Surface USA LLC

    Pilot Chemical Company

    Siltech Corporation
    Industry Events
    Webinars
    Live From Show Event
    Top Events
    Surface Finishing Mexico 2021

    Cleveland Coatings Society Zoom Meeting

    Cleveland Coatings Society Zoom Meeting

    PCI Powder Coating Week

    Southern Society for Coatings Technology Annual Meeting and Technical Conference
    Companies
    White Papers/Tech Papers
    Product Spec Sheets
    Equipment
    Literature/Brochures
    Videos
    International Buyers Guide Companies
    Keim Additec Surface USA LLC

    Eagle Specialty Products

    Shepherd Color Company, The

    Siltech Corporation

    Active Minerals
    • Magazine
      • Current / Back Issues
      • Features
      • Editorial
      • Business Corner
      • Digital Edition
      • eNewsletter Archive
      • Editorial Guidelines
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Directories
      • Buyers Guide
      • Distributor Guide
      • Corporate Capabilities
      • Trade Associations
      • Add Your Company
    • Markets & Technologies
      • Adhesives and Sealants
      • Aerospace Coatings
      • Architectural Coatings
      • Automotive Coatings
      • Automotive Refinish
      • Business Operation
      • Color Trends & Forecast
      • Construction Chemicals
      • Corrosion Control
      • Industrial Coatings
      • Laboratory Equipment
      • Marine Coatings
      • Market Trends & Forecast
      • Powder Coatings
      • Production Equipment
      • Radcure Coatings
      • Special Purpose Coatings
      • Wood Coatings
      • "Green" Coatings
    • Raw Materials
      • Additives
      • Binders
      • Pigments
      • Solvents
    • World Reports
      • Africa Report
      • China Report
      • India/Asia Pacific Report
      • Europe Report
      • Latin America Report
      • Market Research
      • Russian Report
    • Top Companies
    • Online Exclusives
    • Slideshows
    • Experts Opinions
    • Blog
    • eBook
    • Infographics
    • Videos
    • Podcasts
    • Whitepapers
    • Jobs
    • Microsites
      • Companies
      • White Papers/Tech Papers
      • Product Spec Sheets
      • Equipment
      • Literature/Brochures
      • Videos
    • Events
      • Industry Events
      • Live From Show Event
      • Webinars
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Breaking News

    Axalta Releases Second Quarter 2018 Results

    ...

    Axalta Releases Second Quarter 2018 Results
    Related CONTENT
    • PPG Reports Q4, Full-year 2020 Financial Results
    • RPM Reports Fiscal 2021 2Q Results
    • Axalta Releases 3Q 2020 Results
    • PPG Reports Record 3Q 2020 Financial Results
    • RPM Reports Fiscal 2021 1Q Results
    07.27.18
    Second quarter net sales of $1,206.5 million increased 10.8 percent year-over-year, driven by volume growth of 6.5 percent primarily from acquisition contribution, 1.9 percent higher average selling prices and a 2.4 percent foreign currency benefit. Second quarter net sales growth was positive in all regions and average prices increased in all regions except Asia Pacific, which was largely impacted by lower average price in Light Vehicle in China.  

    Net income attributable to Axalta was $74.9 million for the second quarter compared with a net loss attributable to Axalta of $20.8 million in Q2 2017. The increase was primarily driven by the absence of the Venezuela deconsolidation and lower refinancing charges in 2018 versus 2017. Second quarter adjusted net income attributable to Axalta of $87.1 million increased 15.5 percent versus $75.4 million in Q2 2017.

    Adjusted EBITDA of $247.6 million for the second quarter increased 9.0 percent versus $227.2 million in Q2 2017. This result was driven by contribution from positive price and product mix, acquisitions, modest benefit from foreign currency translation, and slightly lower net operating costs. These factors were partially offset by higher raw material costs against a challenging prior year comparison that was still fairly inflation neutral.

    "Second quarter results demonstrated performance meeting Axalta's expectations, which came despite several one-time impacts including Light Vehicle production interruptions caused by non-paint supplier issues, a general strike in Brazil and costs associated with Axalta's footprint realignment in Europe," Chairman and CEO Charles W. Shaver said. "Importantly, results also provided evidence of continued price recapture in key areas of the business. The second quarter benefited from fundamental global demand stability underlying our end-markets. Still, moderating GDP forecasts and modest reductions in Light Vehicle build expectations in several regions could be more significant factors in the second half of 2018. Also, the ongoing impact of cost inflation persisted in the second quarter, and we are working actively to adjust for this with structural cost reduction, as well as working with our customers to enable price pass through, which is required to support ongoing customer service and innovation."

    Performance Coatings Results
    Performance Coatings second quarter net sales were $784.5 million, an increase of 18.3 percent year-over-year driven by 6.2 percent organic sales growth, acquisition contribution of 9.2 percent and a 2.9 percent foreign currency benefit. Refinish end-market net sales increased 6.1 percent to $447.1 million in Q2 2018 (increased 3.4 percent excluding foreign currency) with significantly positive pricing offset by slightly lower volume, while Industrial end-market net sales increased 39.6 percent to $337.4 million (increased 36.3 percent excluding foreign currency) including acquisition contribution, positive pricing, and double-digit organic volume growth.

    The Performance Coatings segment generated Adjusted EBITDA of $176.5 million in the second quarter, a year-over-year increase of 20.2 percent. Positive price and product mix, the contribution from acquisitions, and modest foreign currency benefits were offset partly by higher raw material costs and slightly higher expenses to support sales growth in Refinish. Second quarter segment Adjusted EBITDA margin of 22.5 percent was slightly higher than 22.1 percent in the prior year.

    Transportation Coatings Results
    Transportation Coatings net sales were $422.0 million in Q2 2018, a decrease of 0.8 percent year-over-year including a 1.6 percent foreign currency benefit and flat volume, offset by 2.6 percent lower price and product mix.

    Light Vehicle net sales decreased 1.5 percent to $329.4 million year-over-year (decreased 3.1 percent excluding foreign currency), driven by lower average prices due to concessions made with select customers largely in 2017 and adverse product mix changes on flat volume. Commercial Vehicle net sales increased 1.4 percent to $92.6 million versus last year (increased 0.2 percent excluding foreign currency), driven by continued strong overall volumes in all regions except Europe and largely flat average price and product mix.

    Transportation Coatings generated Adjusted EBITDA of $71.1 million in Q2 2018, a decrease of 11.6 percent versus Q2 2017, driven by impacts of higher raw material cost as well as lower average price and product mix, offset partly by lower operating costs. Segment Adjusted EBITDA margin of 16.8 percent in Q2 2018 compared with 18.9 percent in Q2 2017.

    Balance Sheet and Cash Flow Highlights
    Axalta ended the quarter with cash and cash equivalents of $551.1 million. Our debt, net of cash, was $3.3 billion as of June 30, 2018, compared to $3.4 billion at March 31, 2018. Axalta repurchased 3.3 million shares of its common stock in the second quarter of 2018 for total consideration of $100.5 million.

    Second quarter operating cash flow totaled $142.0 million versus $98.8 million in the corresponding quarter of 2017, reflecting stronger operating results. Free cash flow, calculated as operating cash flow less capital expenditures, totaled $106.9 million after capital expenditures of $35.1 million compared to $73.7 million after capital expenditures of $25.1 million in the second quarter of 2017.
    "Axalta's second quarter results were strong, witnessed in double-digit growth in net sales and high single-digit growth in Adjusted EBITDA year-over-year," said Robert W. Bryant, Axalta's Executive Vice President and Chief Financial Officer. "That said, we remain highly focused on a combination of passing through price increases as needed to offset substantial cost inflation across our businesses, while also executing ongoing productivity savings in order to enhance near-term corporate margin stability. Our initiatives thus far in 2018 are bearing fruit, but we are doubling down on certain cost measures needed to offset increased cost inflation pressures including raw materials, transportation, logistics, and packaging. Our updated guidance reflects somewhat reduced tailwinds from foreign exchange. Additionally, we note the potential impact within our existing guidance range from possibly higher overall cost inflation and modestly lower Light Vehicle build rates, as well as uncertain price recapture assumptions, in Transportation Coatings. We have also incorporated the effect of greater share repurchases undertaken versus prior periods."

    2018 Guidance Update
    Axalta is updating its previous outlook for the full year 2018 as follows:
    • Net sales growth of 8-9 percent as-reported; 6-7 percent ex-FX, including acquisition contribution of three percent;
    • Adjusted EBITDA range of $950-980 million;
    • Interest expense of ~$165 million;
    • Income tax rate, as adjusted, of 19-21 percent;
    • Free cash flow range of $420-460 million;
    • Capital expenditures of ~$160 million;
    • Depreciation and amortization of ~$370 million;
    • Diluted shares outstanding of ~244 million
     
    Related Searches
    • refinish
    • industrial
    • paint
    • innovation
    Suggested For You
    PPG Reports Q4, Full-year 2020 Financial Results PPG Reports Q4, Full-year 2020 Financial Results
    RPM Reports Fiscal 2021 2Q Results RPM Reports Fiscal 2021 2Q Results
    Axalta Releases 3Q 2020 Results Axalta Releases 3Q 2020 Results
    PPG Reports Record 3Q 2020 Financial Results PPG Reports Record 3Q 2020 Financial Results
    RPM Reports Fiscal 2021 1Q Results RPM Reports Fiscal 2021 1Q Results
    Axalta – Analyst Sees Potential for Consolidating Deals After Investor Day Axalta – Analyst Sees Potential for Consolidating Deals After Investor Day
    Axalta Chief Technology Officer Explains How Coatings Axalta Chief Technology Officer Explains How Coatings 'Will Enable an Autonomous Future'
    Axalta Publishes Sustainability Report Axalta Publishes Sustainability Report
    Axalta Coating Systems Rolls Out Simplified Ordering System Axalta Coating Systems Rolls Out Simplified Ordering System
    Axalta Expands Industrial Wood Manufacturing Capability Axalta Expands Industrial Wood Manufacturing Capability
    Axalta Coating Systems Receives EcoVadis Gold Star Award Axalta Coating Systems Receives EcoVadis Gold Star Award
    Belgian Axalta Employees Bike 1,000 km for Cancer Charity Awareness Belgian Axalta Employees Bike 1,000 km for Cancer Charity Awareness
    Axalta Releases First Quarter 2018 Results Axalta Releases First Quarter 2018 Results
    Axalta Presents Fourth Edition of Mobile Refinish Training Program in Mexico Axalta Presents Fourth Edition of Mobile Refinish Training Program in Mexico
    Eastman, Axalta, Olin Corp. – Insight Into EMN Innovation Day; Results from AXTA, OLN Eastman, Axalta, Olin Corp. – Insight Into EMN Innovation Day; Results from AXTA, OLN

    Related Breaking News

    • Breaking News
      Croda Named Most Admired Company in British Chemical Sector

      Croda Named Most Admired Company in British Chemical Sector

      The fourth year Croda has received this honor.
      Anthony Locicero, Associate editor 03.05.21

    • Additives | Breaking News | Price Increases
      Ashland Increases 1,4-Butanediol, Derivatives Prices in Europe

      Ashland Increases 1,4-Butanediol, Derivatives Prices in Europe

      The increases apply to Europe and are effective April 1, 2021, or as agreements allow.
      Anthony Locicero, Associate editor 03.05.21

    • Breaking News
      First Source Worldwide, LLC Celebrates 20th Anniversary

      First Source Worldwide, LLC Celebrates 20th Anniversary

      Dale and Caroline Clark would like to thank everyone that has been a part of the FSW family in the last 20 years.
      Anthony Locicero, Associate editor 03.05.21


    • Breaking News | People in the News
      Chromaflo Technologies Adds Benjamin Woeste as Territory Sales Manager

      Chromaflo Technologies Adds Benjamin Woeste as Territory Sales Manager

      Woeste will be responsible for the overall management of coating and thermoset products sold in the Southwest region.
      Anthony Locicero, Associate editor 03.05.21

    • Breaking News | Distributor News
      Maroon Group Acquires Cary Company

      Maroon Group Acquires Cary Company's Raw Materials, Specialty Chemicals Distribution Business

      The management team, led by Brian Ehlert, will continue to actively manage the business on a day-to-day basis and will remain located in Chicago.
      Anthony Locicero, Associate editor 03.04.21

    • Breaking News | People in the News
      Matt Fogel Named Mule-Hide

      Matt Fogel Named Mule-Hide's Territory Manager – Southern Virginia

      Fogel will be the company’s lead contact with area contractors.
      Anthony Locicero, Associate editor 03.04.21


    • Breaking News | Product news | Special Purpose Coatings
      Benjamin Moore Launches COMMAND

      Benjamin Moore Launches COMMAND

      Newest addition to the Corotech line of high-performance coatings for commercial and industrial spaces.
      Anthony Locicero, Associate editor 03.03.21

    • Breaking News | Industry News
      Nouryon Agrees to Divest Salt Specialties Business to Salins Group

      Nouryon Agrees to Divest Salt Specialties Business to Salins Group

      The acquisition includes three locations for the packing and distribution of specialty salt.
      Anthony Locicero, Associate editor 03.03.21

    • Breaking News | Paint & Coatings Manufacturer News | Powder Coatings
      IFS Coatings Breaks Ground on 70,000-Square-Foot Expansion

      IFS Coatings Breaks Ground on 70,000-Square-Foot Expansion

      Located next to the company's current headquarters and an IFS manufacturing plant in Gainesville, Texas.
      Anthony Locicero, Associate editor 03.03.21


    • Adhesives and Sealants | Breaking News | Product news
      Mule-Hide Products Co. Introduces Seal-Fast Liqui-Flash

      Mule-Hide Products Co. Introduces Seal-Fast Liqui-Flash

      Polyurethane roofing sealant designed for challenging applications, the company said.
      Anthony Locicero, Associate editor 03.03.21

    • Additives | Breaking News | Price Increases
      AOC Announces EMEA Price Increase

      AOC Announces EMEA Price Increase

      The price increase will take immediate effect for all new orders or as soon as contracts allow, according to AOC.
      Anthony Locicero, Associate editor 03.03.21

    • Breaking News | People in the News
      PPG Appoints John Stephenson as Director, Acquisition Integration

      PPG Appoints John Stephenson as Director, Acquisition Integration

      Stephenson is responsible for the overall integration of PPG acquisitions.
      Anthony Locicero, Associate editor 03.02.21


    • Breaking News | Financial News
      Hempel Reports 2020 Annual Results

      Hempel Reports 2020 Annual Results

      The company grew its revenue to €1,542 million in 2020.
      Anthony Locicero, Associate editor 03.02.21

    • Breaking News | Paint & Coatings Manufacturer News
      AkzoNobel Completes Titan Paints Acquisition

      AkzoNobel Completes Titan Paints Acquisition

      Includes three production facilities and seven logistics and service centers for decorative paint.
      Anthony Locicero, Associate editor 03.02.21

    • Breaking News | Distributor News
      Terra Firma, Wanhua Announce New Distribution Partnership

      Terra Firma, Wanhua Announce New Distribution Partnership

      Terra Firma will be representing Wanhua's line of aliphatic isocyanates technologies in the former's Southeastern geography.
      Anthony Locicero, Associate editor 03.02.21

    Trending
    • AkzoNobel Completes Titan Paints Acquisition
    • Nouryon Agrees To Divest Salt Specialties Business To Salins Group
    • Raw Material Price Increases Pile Pressure On Paint Manufacturers
    • AkzoNobel Kicks Off Paint The Future Startup Challenge In China
    • Benjamin Moore Launches COMMAND
    Breaking News
    • Croda Named Most Admired Company in British Chemical Sector
    • Ashland Increases 1,4-Butanediol, Derivatives Prices in Europe
    • First Source Worldwide, LLC Celebrates 20th Anniversary
    • Chromaflo Technologies Adds Benjamin Woeste as Territory Sales Manager
    • Maroon Group Acquires Cary Company's Raw Materials, Specialty Chemicals Distribution Business
    View Breaking News >
    CURRENT ISSUE

    February 2021

    • Mixing Equipment Directory
    • The Wood Coatings Market
    • Antimicrobial Coatings Market
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    Thymoquinone Inhibits Viral Infection in In Vitro Settings, New Study Finds
    IFT Transitions 2021 Annual Event to Digital Experience
    NY Federal Judge Enters Permanent Injunction Against Dietary Supplement Manufacturer
    Coatings World

    Latest Breaking News From Coatings World

    Sherwin-Williams Announces Resignation of President and COO
    Ashland Completes Expansion and Relocation of Viatel Bioresorbable Polymers Manufacturing Facility
    Evonik Receives Sustainability Award from EcVadis
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    Cretex CFO Announces Retirement
    New AI-Based Tool Developed for Coronary Artery Analysis, Intervention Planning
    First Reported Use of Pulse Biosciences' CellFX System
    Contract Pharma

    Latest Breaking News From Contract Pharma

    AGC Biologics Expands Cell and Gene Facility in Italy
    Celonic to Boost Cell & Gene Therapy Production
    Pharmaron Acquires Biomanufacturing Site in the UK from AbbVie
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Elizabeth Arden Taps Sui He as Global Brand Ambassador
    Natura &Co Outperforms the Global Market in Q4 2020
    Global Hair Color Market Forecasted to Grow
    Happi

    Latest Breaking News From Happi

    Dr. Sheffield’s Adds New Toothpaste Flavors
    First Two Hand Sanitizers Are Certified by Green Seal
    Elizabeth Arden Taps Supermodel and Actress Sui He
    Ink World

    Latest Breaking News From Ink World

    Massilly North America Adds Koenig & Bauer MetalStar 3 Metal Decorating Press
    Hydrocarbon Solvents Market to Surpass $8.1 Billion by 2030
    Access Direct Mail Doubles Revenue with SCREEN's Truepress Jet520HD
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    Arjobex America welcomes Maggie Naberezny to sales team
    Henkel publishes 30th Sustainability Report
    Avery Dennison Smartrac launches new Circus Pro inlays
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    FPInnovations Develops Biodegradable Mask
    Sani Professional Sanitizing and Disinfecting Products Approved by EPA
    Autefa Solutions Offers Fully Automated Line for Protective Mask Production
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    Stryker Corp.'s 2020 Sales Slip 3.6 Percent
    Bioventus Appoints Managing Director, China and Asia Pacific
    Full-Year Sales Down 12 Percent at Zimmer Biomet
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    Comercial Kywi Improves Customer Service, Front-Store Operations with Zebra Mobile Solution
    Global Printed Circuit Board Market Projected to Reach $69.32 Billion by 2027
    Global Smart Glass Market to Register 6.8% CAGR Between 2021-28: Grand View Research

    Copyright © 2021 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login