MOSCOW (MRC) -- Paints and coatings maker Akzo Nobel NV reported that its net income attributable to shareholders for the third-quarter 2015 rose 39 percent to 285 million euros from 205 million euros in the prior year, said the producer on its site.
The company said it is on track to deliver its 2015 targets. Adjusted earnings per share were up 35 percent at 1.24 euros, compared to 0.92 euros last year.
Third quarter operating income increased 30 percent to 436 million euros, reflecting the positive effects of process optimization, lower costs, reduced restructuring expenses and favorable currency developments.
Revenue of 3.760 billion euros was up 2 percent compared with the same period last year, due to favorable currency effects, offset by divestments and slightly lower volumes.
Decorative Paints operating income improved by 7 percent due to the new operating model, lower costs and currency developments. Revenue was flat, with favorable currency effects being offset by adverse price/mix.
Performance Coatings operating income was up 56 percent, driven by cost reductions from performance improvement initiatives, lower costs, favorable product mix, lower restructuring charges and favorable currency developments.
Specialty Chemicals operating income was up 4 percent, supported by the benefits from further increased production at its new Frankfurt plant, lower costs and operational efficiencies throughout the business.
The market outlook is unchanged with positive trends in North America and no improvement for Europe overall as well as a challenging environment in some countries, including Russia, Brazil and China. Based on current rates, the positive impact of foreign currencies is expected to moderate in the fourth quarter. The company said it is on track to deliver its 2015 targets.
As MRC informed earlier, AkzoNobel’s Specialty Chemicals business recently broke ground on a new alkoxylation facility in Ningbo, China, bringing the company’s total investment in the strategic multi-site to more than EUR400 million.
AkzoNobel Surface Chemistry is a global leader in the manufacturing and supply of specialty surfactants, synthetic and bio-polymer additives and specialty polymers. AkzoNobel currently employs more than 7,400 people in China. Revenues in China totaled EUR1.7 billion in 2014.