PPG Fourth-Quarter Profit Beats Forecast, Net Income Reaches $363 Million

On January 18, industrial coatings manufacturer PPG announced fourth-quarter profits.

Benefiting from growth in auto sales and strong performance in the aerospace business, PPG's actual fourth-quarter profit exceeded Wall Street expectations.
PPG's adjusted profit per share for the fourth quarter ended Dec. 31, 2023, was $1.53, compared with analysts' average estimate of $1.50, according to LSEG.
PPG also forecast adjusted profit per share in 2024 to be between $8.34 and $8.59, up from $7.67 in 2023.

After emerging from strikes at the end of 2023, the U.S. auto industry set its best record since the epidemic, with sales rising from 13.9 million vehicles in 2022 to 15 million vehicles.

PPG Industrial Coatings segment net sales rose to $1.74 billion from $1.74 billion in the year-earlier period, driven by higher prices and volumes in the automotive original equipment manufacturer (OEM) segment and strong market demand in Asia Pacific and Mexico.

PPG's adjusted net income increased 27% to $363 million from $286 million in the fourth quarter of 2022.

PPG CEO Tim Knavish said in a statement: "The company's fourth-quarter profit growth was mainly driven by steady sales growth in China, stable demand in Europe, and continued growth in several key end markets including aerospace, automotive OEMs and protective coatings. "