Mural pays tribute to traditional artform
The Abasto neighborhood in Buenos Aires, Argentina received a makeover recently using products supplied by the Alba brand. Five vibrant wall paintings and a 600-meter long floor mural were created to bring color to the local area. The designs pay tribute to a traditional pictorial artform known as “filete porteño” – which has received official UNESCO recognition.
Supply agreement with Porsche China
The company received approval to supply the full water-based Sikkens range of refinish products to Porsche China. Our products will play an important role in helping Porsche China to meet the country’s strict VOC regulation.
New product marks turning point for packaging industry
The packaging business continued to drive innovation with the launch of Accelshield 700, an internal coating for beverage can-tops that does not use BPA or bisphenol-based epoxies as part of its manufacturing process. This new product will help customers to meet the surge in demand for safer and more sustainable coatings, supporting our leading market position.
AkzoNobel expects the ongoing macro-economic uncertainties to continue and weigh on organic volume growth. The company will focus on margin management, cost reduction, working capital normalization and de-leveraging.
Cost reduction programs are expected to partly mitigate higher than expected inflationary pressure on operating expenses for 2023. AkzoNobel expects declining raw material costs to have a favorable impact on profitability.
Based on current market conditions, AkzoNobel targets to deliver €1.40 to €1.55 billion adjusted EBITDA.
The company aims to lower its leverage ratio to less than 3.4 times net debt/EBITDA, including the impact of the Kansai Paint Africa acquisition, by the end of 2023 and return to around 2 times post-2023.
*Outlook is based on organic volumes and constant currencies, and assumes no significant market disruptions.
The report for the second quarter can be viewed and downloaded: https://akzo.no/Q2-2023-results
1 Constant currencies calculations exclude the impact of changes in foreign exchange rates by retranslating the prior year local currency amounts into euro at the current year’s foreign exchange rates
2 Adjusted operating income = operating income excluding identified items
3 Return on sales (ROS) is adjusted operating income as percentage of revenue
This media release covers the highlights for the quarter. We recommend reading the media release in combination with the full quarterly report. The quarterly report provides additional information, including the IAS34 condensed consolidated financial statements. ROS, adjusted OPI, adjusted EPS, EBITDA and Adjusted EBITDA are Alternative Performance Measures (APM’s). AkzoNobel uses APM adjustments to the IFRS measures to provide supplementary information on the reporting of the underlying developments of the business. A reconciliation of the alternative performance measures to the most directly comparable IFRS measures can be found in the AkzoNobel quarterly report.
All figures in the media release and in the AkzoNobel quarterly report are unaudited. The interim condensed consolidated financial statements were discussed and approved by the Board of Management and the Supervisory Board. These condensed financial statements have been authorized for issue.
This is a public announcement by Akzo Nobel N.V. pursuant to section 17 paragraph 1 of the European Market Abuse Regulation (596/2014).
We supply the sustainable and innovative paints and coatings that our customers, communities – and the environment – are increasingly relying on. Our world class portfolio of brands – including Dulux, International, Sikkens and Interpon – is trusted by customers around the globe. We’re active in more than 150 countries and have set our sights on becoming the global industry leader. It’s what you’d expect from a pioneering paints company that’s committed to science-based targets and is taking genuine action to address globally relevant challenges and protect future generations.