PPG Industries Q2 2024 Update

Ticker: PPG · Form: 10-Q · Filed: 2024-07-19T00:00:00.000Z

Sentiment: neutral

Topics: 10-Q, financials, debt

TL;DR

PPG Q2 2024: Financials out, debt due 2025-2029. Check full report for details.

AI Summary

PPG Industries Inc. reported its financial results for the period ending June 30, 2024. The company's filing indicates ongoing operations and financial commitments, including various notes due in 2025, 2027, and 2029. Specific financial figures for revenue, net income, and cash flow are detailed within the full report.

Why It Matters

This filing provides investors with an update on PPG's financial health and operational performance for the second quarter of 2024, influencing investment decisions.

Risk Assessment

Risk Level: medium — The filing details significant debt obligations and financial commitments, which can pose risks depending on market conditions and company performance.

Key Numbers

Key Players & Entities

FAQ

What is PPG Industries' primary business as indicated by its SIC code?

PPG Industries' primary business is in PAINTS, VARNISHES, LACQUERS, ENAMELS & ALLIED PRODUCTS, with a Standard Industrial Classification code of [2851].

When is the reporting period for this 10-Q filing?

The reporting period for this 10-Q filing is for the quarter ended June 30, 2024.

What are some of the debt instruments mentioned in the filing and their maturity dates?

The filing mentions debt instruments including '0.875 Notes Due 2025', '1.875 Notes Due 2025', '1.400 Notes Due 2027', and '2.750 Notes Due 2029'.

Where is PPG Industries headquartered?

PPG Industries is headquartered in Pittsburgh, PA, with its business and mailing address at ONE PPG PL 40 EAST, PITTSBURGH, PA 15272.

What is the Central Index Key (CIK) for PPG Industries Inc.?

The Central Index Key for PPG INDUSTRIES INC is 0000079879.

Filing Stats: 4,898 words · 20 min read · ~16 pages · Grade level 15.8 · Accepted 2024-07-19 14:08:38

Key Financial Figures

Filing Documents

Financial Information

Part I. Financial Information

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited): Condensed Consolidated Statement of Income 2 Condensed Consolidated Statement of Comprehensive Income 3 Condensed Consolidated Balance Sheet 4 Condensed Consolidated Statement of Shareholders' Equity 5 Condensed Consolidated Statement of Cash Flows 7 Notes to Condensed Consolidated Financial Statements 8

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

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 23

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 33

Controls and Procedures

Item 4. Controls and Procedures 33

Other Information

Part II. Other Information

Legal Proceedings

Item 1. Legal Proceedings 34

Risk Factors

Item 1A. Risk Factors 35

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 35

Other Information

Item 5. Other Information 36

Exhibits

Item 6. Exhibits 36

Signatures

Signatures 38 1 Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements PPG INDUSTRIES, INC. AND SUBSIDIARIES Condensed Consolidated Statement of Income (Unaudited) Three Months Ended June 30 Six Months Ended June 30 ($ in millions, except per share amounts) 2024 2023 2024 2023 Net sales $ 4,794 $ 4,872 $ 9,105 $ 9,252 Cost of sales, exclusive of depreciation and amortization 2,734 2,866 5,179 5,462 Selling, general and administrative 1,077 1,069 2,141 2,061 Depreciation 98 93 201 185 Amortization 36 40 74 81 Research and development, net 111 110 220 214 Interest expense 62 67 117 126 Interest income ( 45 ) ( 32 ) ( 87 ) ( 57 ) Pension settlement charge — — — 190 Other charges/(income), net 28 13 29 ( 9 ) Income before income taxes $ 693 $ 646 $ 1,231 $ 999 Income tax expense 156 149 285 229 Net income attributable to controlling and noncontrolling interests $ 537 $ 497 $ 946 $ 770 Net income attributable to noncontrolling interests ( 9 ) ( 7 ) ( 18 ) ( 16 ) Net income (attributable to PPG) $ 528 $ 490 $ 928 $ 754 Earnings per common share (attributable to PPG) $ 2.25 $ 2.08 $ 3.95 $ 3.20 Earnings per common share (attributable to PPG) - assuming dilution $ 2.24 $ 2.06 $ 3.93 $ 3.18 The accompanying notes to the condensed consolidated financial statements are an integral part of this condensed consolidated statement. 2 Table of Contents PPG INDUSTRIES, INC. AND SUBSIDIARIES Condensed Consolidated Statement of Comprehensive Income (Unaudited) Three Months Ended June 30 Six Months Ended June 30 ($ in millions) 2024 2023 2024 2023 Net income attributable to controlling and noncontrolling interests $ 537 $ 497 $ 946 $ 770 Other comprehensive (loss)/income, net of tax: Defined benefit pension and other postretirement benefits 20 — 20 139 Unrealized foreign currency translation adjustments ( 434 ) 109 ( 448 ) 373 Other comprehensive (loss)/income, net of tax ($ 414 ) $ 109 ($ 428 ) $ 512 Total comprehensive income $ 123 $ 606 $ 518 $ 1,282 Less: amounts attributabl

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