Net sales for PPG hit $4.4 billion in the second quarter of 2021, up nearly 45 percent from the same quarter in 2020. Sales volume was up 24 percent over the previous year thanks to a strong demand recovery across end-use markets.
The PPG sales numbers for the second quarter shattered the record-setting sales from the first quarter of 2021, which stood at $3.9 billion. PPG also reported net income of $431 million, or $1.80 per diluted share. The adjusted net income was $465 million, or $1.94 per diluted share.
“Our strong organic sales growth reflects a partial demand recovery from the pandemic, including above-market contributions across many of our businesses. We continue to proactively manage various supply chain disruptions, which we now expect will likely persist through the third quarter,” says Michael H. McGarry, PPG chairman and chief executive officer. “Overall economic demand growth remains very broad and robust and, as supply conditions normalize, we expect strong sales growth later this year and into next year aided by our technology advantaged products, our diverse geographic and end-use market participation, and continuing recovery from our aerospace business.”
Selling prices increased by 3.5 percent, and PPG says it will be implementing additional pricing actions to counteract the increases.
“In addition to the top-line impact from the supply disruptions, we experienced continual increases in raw material and transportation costs throughout the quarter,” McGarry says. “We actively implemented additional selling price increases during the quarter and our pace of price realization is well ahead of the most recent raw material inflation cycle in 2017-2018.”
