PPG recently released financial data for the full 2024 year and Q4 of 2024, as well as a hopeful outlook for 2025.
Q4 2024
Net sales from continuing operations reached $3.7 billion in 2024 in Q4, compared to $3.9 billion in 2023, down 5% year over year. Q4 earnings per diluted share from continuing operations (EPS) were reported at $0.01 and adjusted EPS of $1.61, an increase of 3% year over year.
Net sales for the Global Architectural Coatings segment were $881 million in Q4, down from 2023’s $943, a 7% decrease year over year. The Performance Coatings segment reached $1,262 million in Q4 and the Industrial Coatings segment hit $1,586 million in Q4 of 2024, down 9% from Q4 2023.
Full-Year 2024
For the full year, net sales were $15.8 billion, with operating cash flow of $1.4 billion. PPG reported EPS of $5.72 and adjusted EPS of $7.87 for 2024, an increase of 6% year over year
“Throughout 2024, we demonstrated resilience in a challenging macro environment by growing our adjusted EPS by 6%, improving aggregate segment margins and generating $1.4 billion in operating cash flow which we returned to shareholders,” says Tim Knavish, PPG chairman and chief executive officer. “During the quarter, we repurchased approximately $250 million of stock, and about $750 million for the full year, which represented approximately 3% of our outstanding shares. Combined with our dividend, we have returned $1.4 billion to our shareholders throughout the year.”
2025 Outlook
PPG anticipates adjusted EPS for 2025 will range from $7.75 to $8.05, reaching a growth rate of 7%. Estimates for this range are based on foreign exchange rates, ongoing soft global industrial production, current global activity and mixed demand across the regions where PPG operates.
Over $100 million share gains in the Industrial Coatings segment are also expected in 2025, beginning in the second half of the year.
“Looking ahead, I am excited about 2025 and beyond. We anticipate a slow start to 2025 as demand in Europe and in global industrial end-use markets remains challenged,” Knavish says. “Despite the macroeconomic environment, we expect to deliver organic sales growth of a low single-digit percentage for the year, with first quarter organic growth flat to slightly down and stronger results in the second half of the year driven by share gains.”
