Axalta Coating Systems Ltd. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Axalta Coating Systems Ltd. has filed its Q1 2024 10-Q report.</b>

AI Summary

Axalta Coating Systems Ltd. (AXTA) filed a Quarterly Report (10-Q) with the SEC on May 1, 2024. Axalta Coating Systems Ltd. filed a 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on December 31st. Axalta's business address is 1050 Constitution Avenue, Philadelphia, PA 19112. The filing number for this report is 24902537.

Why It Matters

For investors and stakeholders tracking Axalta Coating Systems Ltd., this filing contains several important signals. This 10-Q filing provides an update on Axalta's financial performance and position for the first quarter of 2024, which is crucial for investors to assess recent business trends and operational health. Understanding the details within this report allows stakeholders to evaluate the company's progress against its strategic goals and market conditions in the paints and coatings industry.

Risk Assessment

Risk Level: low — Axalta Coating Systems Ltd. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain any immediately apparent unusual or high-risk disclosures.

Analyst Insight

Review the detailed financial statements and segment performance within the 10-Q to understand Axalta's Q1 2024 results and identify any emerging trends.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Conformed period of report)
• 2024-05-01 — Filing Date (Filed as of date)
• 2024-01-01 — Quarter Start Date (First day of the reporting period)
• 2023-01-01 — Prior Year Quarter Start Date (First day of the prior year period)

Key Players & Entities

• Axalta Coating Systems Ltd. (company) — Filer name
• 2024-03-31 (date) — Conformed period of report
• 2024-05-01 (date) — Filed as of date
• 1050 Constitution Avenue (address) — Business address
• Philadelphia (location) — Business address city
• PA (location) — Business address state
• 19112 (postal_code) — Business address zip
• 24902537 (filing_id) — Film number

FAQ

Industry Context

Axalta operates in the paints, varnishes, lacquers, enamels & allied products industry, a sector that is sensitive to economic cycles and demand from automotive, industrial, and architectural end markets.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit regular financial disclosures to the SEC.

What Investors Should Do

1. Analyze the financial statements for revenue, net income, and cash flow for Q1 2024.
2. Examine segment performance, particularly for Performance Coatings and Mobility Coatings.
3. Review any disclosures related to risks, legal proceedings, or significant accounting policies.

Key Dates

• 2024-03-31: Quarter End Date — End of the reporting period for the 10-Q filing.
• 2024-05-01: Filing Date — Date the 10-Q report was officially filed with the SEC.

Year-Over-Year Comparison

This is the initial 10-Q filing for the fiscal year 2024, providing the first quarterly update after the year-end 10-K filing.

Key Financial Figures

• $1.00 — tion 12(b) of the Act: Common Shares, $1.00 par value AXTA New York Stock Exchange

Filing Documents

• axta-20240331.htm (10-Q) — 1265KB
• exhibit102_performanceshar.htm (EX-10.2) — 13KB
• exhibit103_psuexhibitadjus.htm (EX-10.3) — 156KB
• exhibit104_psuexhibittsr.htm (EX-10.4) — 163KB
• exhibit105_rsuforexhibit.htm (EX-10.5) — 110KB
• exhibit311q1202410-q3312024.htm (EX-31.1) — 10KB
• exhibit312q1202410-q3312024.htm (EX-31.2) — 10KB
• exhibit321q1202410-q3312024.htm (EX-32.1) — 6KB
• exhibit322q1202410-q3312024.htm (EX-32.2) — 6KB
• 0001616862-24-000035.txt (&nbsp;) — 7903KB
• axta-20240331.xsd (EX-101.SCH) — 54KB
• axta-20240331_cal.xml (EX-101.CAL) — 87KB
• axta-20240331_def.xml (EX-101.DEF) — 203KB
• axta-20240331_lab.xml (EX-101.LAB) — 657KB
• axta-20240331_pre.xml (EX-101.PRE) — 464KB
• axta-20240331_htm.xml (XML) — 1081KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 3 Condensed Consolidated Statements of Operations 3 Condensed Consolidated Statements of Comprehensive (Loss) Income 4 Condensed Consolidated Balance Sheets 5 Condensed Consolidated Statements of Changes in Shareholders' Equity 6 Condensed Consolidated Statements of Cash Flows 7 Notes to Condensed Consolidated Financial Statements 8 ITEM 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 23 ITEM 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 35 ITEM 4.

Controls and Procedures

Controls and Procedures 35 PART II Other Information ITEM 1.

Legal Proceedings

Legal Proceedings 36 ITEM 1A.

Risk Factors

Risk Factors 36 ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds 36 ITEM 3. Defaults Upon Senior Securities 36 ITEM 4. Mine Safety Disclosures 36 ITEM 5. Other Information 36 ITEM 6. Exhibits 37

Signatures

Signatures 38 2 Table of Contents

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION

FINANCIAL STATEMENTS (UNAUDITED)

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED) AXALTA COATING SYSTEMS LTD. Condensed Consolidated Statements of Operations (Unaudited) (In millions, except per share data) Three Months Ended March 31, 2024 2023 Net sales $ 1,294 $ 1,284 Cost of goods sold 865 902 Selling, general and administrative expenses 207 206 Other operating charges 61 7 Research and development expenses 18 19 Amortization of acquired intangibles 22 25 Income from operations 121 125 Interest expense, net 54 48 Other expense, net 8 1 Income before income taxes 59 76 Provision for income taxes 20 15 Net income 39 61 Less: Net loss attributable to noncontrolling interests ( 2 ) — Net income attributable to common shareholders $ 41 $ 61 Basic net income per share $ 0.18 $ 0.27 Diluted net income per share $ 0.18 $ 0.27 The accompanying notes are an integral part of these condensed consolidated financial statements. 3 Table of Contents AXALTA COATING SYSTEMS LTD. Condensed Consolidated Statements of Comprehensive (Loss) Income (Unaudited) (In millions) Three Months Ended March 31, 2024 2023 Net income $ 39 $ 61 Other comprehensive (loss) income, before tax: Foreign currency translation adjustments ( 44 ) 45 Unrealized loss on derivatives — ( 2 ) Unrealized gain on pension and other benefit plan obligations 1 — Other comprehensive (loss) income, before tax ( 43 ) 43 Income tax provision related to items of other comprehensive (loss) income 1 — Other comprehensive (loss) income, net of tax ( 44 ) 43 Comprehensive (loss) income ( 5 ) 104 Less: Comprehensive loss attributable to noncontrolling interests ( 2 ) ( 1 ) Comprehensive (loss) income attributable to common shareholders $ ( 3 ) $ 105 The accompanying notes are an integral part of these condensed consolidated financial statements. 4 Table of Contents AXALTA COATING SYSTEMS LTD. Condensed Consolidated Balance Sheets (Unaudited) (In millions, except per share data) March 31, 2024 December 31, 2