S&P 500 (NYSE:SPY) component PPG Industries, Inc. (NYSE:PPG) reported net income above Wall Street’s expectations for the second quarter. PPG Industries Inc. makes coatings, glass and chemical products. .
PPG Industries Earnings Cheat Sheet for the Second Quarter
Results: Net income for PPG Industries, Inc. rose to $340 million ($2.12 per share) vs. $272 million ($1.63 per share) in the same quarter a year earlier. This marks a rise of 25% from the year earlier quarter.
Revenue: Rose 15.3% to $3.99 billion from the year earlier quarter.
Actual vs. Wall St. Expectations: PPG beat the mean analyst estimate of $2.01 per share. It beat the average revenue estimate of $3.8 billion.
Quoting Management: “We anticipate the global economic recovery will continue, although at its current uneven pace,” Bunch said. “The resumption of automotive OEM production and our position in high-growth businesses and regions, such as aerospace and Asia/Pacific, will supplement PPG’s growth in the remainder of the year.” He noted that although inflation has moderated somewhat, PPG intends to secure additional pricing in businesses where it has been unable to fully offset inflation despite aggressive cost management and further pricing actions this past quarter. These factors are expected to be coupled with continued positive price trends in the Commodity Chemicals segment, he said.
The company has now seen net income rise in three straight quarters. In the first quarter, net income rose more than sevenfold and in the fourth quarter of the last fiscal year, the figure rose 44.4%.
The company has now topped analyst estimates for the last four quarters. It beat the mark by 6 cents in the first quarter, by 12 cents in the fourth quarter of the last fiscal year, and by 13 cents in the third quarter of the last fiscal year.
Revenue has risen the past four quarters. Revenue increased 13% to $3.53 billion in the first quarter. The figure rose 8.4% in the fourth quarter of the last fiscal year from the year earlier and climbed 7.3% in the third quarter of the last fiscal year from the year-ago quarter.
Competitors to Watch: The Valspar Corporation (NYSE:VAL), RPM International Inc. (NYSE:RPM), Sherwin-Williams Company (NYSE:SHW), E.I. du Pont de Nemours & Co. (NYSE:DD), Olin Corporation (NYSE:OLN), Corning Incorporated (NYSE:GLW), and FMC Corporation (NYSE:FMC).
(Source: Xignite Financials)