Sales, profits tumble at PPG

Paint and coatings manufacturer PPG reported second quarter sales dropped 25% to $3 billion compared to second quarter 2019 sales of $4 billion.

The Pittsburgh, Pa.-based company also reported that sales volumes were down 24% for the quarter compared to the same period a year ago. Lower sales volumes were due to negative economic impacts of the COVID-19 pandemic, the manufacturer said.

PPG posted a second quarter net income from continuing operations of $99 million compared to a net income from continuing operations of $275 million for the same period last year.

DIY architectural coatings sales volumes were sharply higher in all major regions, PPG reported. Organic sales in the trade and professional channel were mixed, however, including the unfavorable impact of retail store shutdowns in the U.S., Canada and Mexico, lower residential interior paint activity and decreased overall commercial painting demand.

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The bottom line: Sales fall 25% at PPG as profits plummet due to the global impacts of COVID-19.

What the CEO said:  “We delivered solid operating results in the second quarter, especially considering the significant declines in economic activity in most of the world due to the COVID-19 pandemic. The strongest performance came from our global architectural coatings businesses, which was driven by increased do-it-yourself (DIY) demand of PPG paint products in all major regions,” said Michael McGarry, PPG chairman and CEO.

Company info: The full PPG second quarter 2020 financial report can be read here.