Outlook mid-term
For the mid-term, AkzoNobel aims to expand profitability to deliver an adjusted EBITDA margin of above 16% and a return on investment between 16% and 19%, underpinned by organic growth and industrial excellence. The company aims to lower its leverage to around 2 times in the mid-term, while remaining committed to retaining a strong investment grade credit rating.
Recent highlights
Pioneering low-energy powder coating launched
AkzoNobel introduced an industry-first architectural powder coating which can be cured at temperatures as low as 150°C – while still being Qualicoat class one certified. Curing at temperatures 30°C lower than traditional powder coatings means that Interpon D1036 Low-E can help customers cut energy consumption by as much as 20%. It can also cure up to 25% faster than conventional powders.
First bio-based interior coating for KIA Motors created with rapeseed and pine rosin
KIA Motors is using bio-based paint supplied by AkzoNobel for the inside of its new EV9 electric SUV. It’s the first time the vehicle manufacturer has specified an interior bio-based coating. Two kinds of biorosin were used to create the product, one extracted from rapeseed, the other from pine rosin.
Major investment in coatings technology to support beverage can industry transition
AkzoNobel launched next generation coatings technology which will help the beverage can industry move to products free from materials of concern. Our Packaging Coatings business launched the first two products in its new AccelstyleTM range which are BPx-NI (free of intentionally added bisphenols). Designed for the exterior of conventional two-piece aluminum beverage cans, both are free from (intentionally added) bisphenols. AkzoNobel is also building a new production plant in Spain at our Vilafranca site, which will produce BPx-NI coatings for the metal packaging industry in Europe, Middle East and Africa.
About this media release
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. 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. All figures in this media release and in the AkzoNobel quarterly report are unaudited.
Forward looking statements are based on organic volumes and constant currencies, and assume no significant market disruptions. Please read the Safe Harbor statement in the full quarterly report.
The report for the fourth quarter and full-year can be viewed and downloaded here: https://akzo.no/Q4-2023-results
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.
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.
Adjusted operating income = operating income excluding identified items.
Return on sales (ROS) is adjusted operating income as percentage of revenue.
This is a public announcement by Akzo Nobel N.V. pursuant to section 17 paragraph 1 of the European Market Abuse Regulation (596/2014).
About AkzoNobel
Since 1792, we’ve been supplying the innovative paints and coatings that help to color people’s lives and protect what matters most. 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 use our expertise to sustain and enhance the fabric of everyday life. Because we believe every surface is an opportunity. It’s what you’d expect from a pioneering and long-established paints company that’s dedicated to providing sustainable solutions and preserving the best of what we have today – while creating an even better tomorrow. Let’s paint the future together.
