PPG Earnings Prediction
The chart below shows how PPG performed 10 days before and after its earnings report, based on data from the past quarters. Typically, PPG sees a +0.43% change in stock price 10 days leading up to the earnings, and a -2.60% change 10 days following the report. On the earnings day itself, the stock moves by -0.70%. This data can give you a slight idea of what to expect for the next quarter's release.
PPG Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.17B
-7.72%
-52.68%
Gross Margin
30.81%
-6.86%
-20.94%
Operating Margin
17.27%
11.92%
28.02%
Net Margin
-1.99%
-183.26%
-119.21%
EPS
-1.21
-418.42%
-160.50%
No Data Available
PPG Earnings Analysis
PPG Industries Inc Corporation (PPG.N) Earnings Conference Call
Positive
Adjusted EPS Growth: Adjusted EPS for 2024 was $7.87, reflecting a 6% year-over-year growth, excluding $0.27 of EPS reclassified to discontinued operations.
Strong Segment EBITDA Margins: Segment EBITDA margins for Global Architectural Coatings and Performance Coatings both reached or exceeded 20%, demonstrating strong brand positions and technology advantages.
Cumulative Margin Improvement: Cumulative margin improvement of approximately 400 basis points achieved since 2022, marking the 9th consecutive quarter of aggregate segment margin improvement.
Record Sales Growth: In Q4, Aerospace Coatings achieved record sales with double-digit percentage organic sales growth, indicating strong demand for technology-advantaged products.
Shareholder Returns Strategy: $1.4 billion returned to shareholders in 2024 through share repurchases and dividends, with an additional $400 million planned for share repurchases in Q1 2025.
Negative
Organic Sales Decline: Organic sales declined a low single digit percentage year over year, primarily due to weak macroeconomic conditions, despite some growth in specific regions.
Industrial Coatings Demand Decline: In the Industrial Coatings segment, demand was constrained by soft global industrial production and weak automotive OEM industry production, leading to lower year-over-year sales volumes in key markets.
Currency Impact on Sales: The Global Architectural Coatings segment experienced significant impacts from unfavorable foreign currency translation, particularly from the Mexican peso, which affected net sales in Q4.
Q1 2025 EPS Outlook: Adjusted EPS for Q1 of 2025 is expected to be flat to slightly down, indicating a challenging start to the year amid ongoing macroeconomic pressures.
EBITDA Margin Decline: The Industrial Coatings segment's EBITDA margin reduced by 160 basis points in Q4, reflecting the impact of lower sales volumes and a weak global industrial environment.
PPG FAQs
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PPG Earning Call Sentiment
Earnings call transcript: PPG Industries Q4 2024 misses forecasts, stock dips
PPG.N
-1.18%Positive
The earnings call reveals strong financial performance with double-digit organic growth in aerospace coatings, significant share repurchases, and a solid cash position. Despite some volume declines, especially in industrial coatings, the company is offsetting this with strategic wins and cost control. The Q&A section highlights management's proactive approach to pricing and risk management, though some responses were unclear. Overall, the positive guidance, strategic partnerships, and shareholder returns suggest a positive stock price reaction, especially given the strong demand and operational improvements.
