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Akzo Nobel profits from higher prices again

20.09.2019 − 

Akzo Nobel generated sales revenue of 2.451bn € in the second quarter. As in the preceding quarter, this more or less matched the reference period of last year. Adjusted for exchange rates, sales revenue increased 1 %. Here, a negative effect (6 %) arising from the reduced total sales volume was able to be largely compensated for by price increases and a better product mix (+5 %). Acquisitions and other effects each entailed a 1 % increase in sales revenue.

In spite of higher raw material costs, the operating result rose by 60 % to 308m €. This development was also contributed to by the cost-reduction measures implemented in the course of the ongoing restructuring process. Adjusted for extraordinary factors, the operating result rose by 36 % to 305m €. The return of sales calculated on this basis increased to 12.4 %.

Whereas the pre-tax result was improved by 74 % against the reference period of last year to 295m €, net profit fell by 15 % to 231m €. Leaving aside the special-chemicals division sold on 1 October 2018, the group generated a profit of 226m €.

The “Decorative Paints” division generated practically unchanged sales revenue of 1.005bn €. The adjusted operating result rose by 11 % to 136m €. As such, a lower volume of deliveries and higher raw material costs were able to be more than compensated for by price increases and cost savings. Development was similar in the second division, “Performance Coatings”. With lower sales volumes, sales revenue of 1.445bn € more or less matched last year by means of higher average prices. The adjusted operating result was improved by 15 % to 197m €.

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