AkzoNobel Q1 Profit Down - Quick Facts

(RTTNews) - AkzoNobel N.V., (AKZOY.PK), a Dutch paints and performance coating maker, reported that its first quarter net income attributable to shareholders declined to 154 million euros or 0.87 euros per share from last year's 217 million euros or 1.15 euros per share.

Adjusted earnings per share from continuing operations were 0.86 euros down from 1.18 euros in the previous year.

Operating income for the quarter decreased to 232 million euros from the prior year's 303 million euros, with pricing initiatives more than offsetting the continued significant impact from raw material and freight costs inflation. Lower volumes in both Decorative Paints and Performance Coatings, were mainly due to DIY normalization in Decorative Paints EMEA and continued supply constraints for all Performance Coatings businesses, especially in North America.

Revenue was 2.53 billion euros compared to 2.26 billion euros in the prior year. Quarterly revenue was 12% higher, and 10% higher in constant currencies. Volumes were 7% lower, mainly as a result of continued supply constraints, as well as normalization of DIY volumes in Decorative Paints EMEA. Furthermore, volumes were negatively impacted by COVID-19 restrictions in China. Mix was 1% lower due to geographic mix impact, especially in Decorative Paints EMEA. Acquisitions added 1%.

A final 2021 dividend of 1.54 euros per common share is proposed for approval at the AGM on April 22, 2022, which results in a total 2021 dividend of 1.98 euros per share compared to 1.95 euros per share in 2020.

AkzoNobel aims to deliver the 2 billion euros adjusted EBITDA target for 2023, and an average annual 50 basis points increase in return on sales over the period 2021-2023.