Group 1 - Axalta Coating Systems (AXTA) is currently ranked 1 (Strong Buy) in the Zacks Rank, indicating a strong earnings outlook [1] - The Zacks Consensus Estimate for AXTA's full-year earnings has increased by 6.1% in the past quarter, reflecting improved analyst sentiment [2] - Year-to-date, AXTA has gained approximately 1.2%, outperforming the Basic Materials sector, which has seen an average loss of 3.6% [2] Group 2 - Axalta Coating Systems is part of the Chemical - Specialty industry, which is currently ranked 168 in the Zacks Industry Rank, with an average loss of 19.6% year-to-date [3] - In contrast, Amerigo Resources, another outperforming stock in the Basic Materials sector, belongs to the Mining - Non Ferrous industry, which is ranked 52 and has gained 23.2% year-to-date [3] - Both Axalta Coating Systems and Amerigo Resources are expected to continue their solid performance, making them noteworthy for investors in the Basic Materials sector [3]

The chemical industry is poised to benefit from an uptick in demand in certain key markets, including consumer durables and building & construction, as the unprecedented customer inventory de-stocking that started in late 2022 and plagued the industry through the first quarter of 2024 is largely complete.In addition to the expected demand rebound, strategic measures, including operating cost reduction and price hike actions along with declining raw material costs, bode well for the industry. Stocks like DuP ...

Core Viewpoint - Axalta Coating Systems is presenting its three-year strategic plan, the 2026 A-Plan, aimed at enhancing company performance and shareholder value through various growth strategies [1][2] Group 1: Strategic Focus - The 2026 A-Plan emphasizes five growth tenets: cultural transformation, operational excellence, optimized portfolio strategy, sustainable innovation, and effective capital allocation [1] - The company targets $500 million in net sales growth and over 60% growth in Adjusted Diluted EPS compared to 2023, with adjusted EBITDA margins exceeding 21% by 2026 [1] Group 2: Company Background - Axalta is a global leader in the coatings industry, providing innovative and sustainable coating solutions across various applications, including light vehicles, commercial vehicles, and industrial uses [3] - With over 150 years of experience, Axalta serves more than 100,000 customers in over 140 countries, focusing on preventing corrosion and enhancing durability [3]

CLEVELAND, May 13, 2024 /PRNewswire/ -- Transtar Holding Company, a leader in automotive aftermarket solutions, is pleased to announce that Axalta Coating Systems (NYSE: AXTA), a prominent global coatings company, has signed a definitive agreement to acquire The CoverFlexx Group. The transaction is anticipated to close in the third quarter, pending regulatory approval and customary closing conditions. Baird served as the exclusive financial advisor to CoverFlexx on this transaction.  The CoverFlexx Group, a ...

For the quarter ended March 2024, Axalta Coating Systems (AXTA) reported revenue of $1.29 billion, up 0.8% over the same period last year. EPS came in at $0.48, compared to $0.35 in the year-ago quarter.The reported revenue represents a surprise of +0.59% over the Zacks Consensus Estimate of $1.29 billion. With the consensus EPS estimate being $0.40, the EPS surprise was +20.00%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to deter ...

Axalta Coating Systems Ltd. (NYSE:AXTA) Q1 2024 Earnings Conference Call May 1, 2024 8:00 AM ET Company Participants Chris Evans - Vice President of Investor Relations Chris Villavarayan - President & Chief Executive Officer Carl Anderson - Chief Financial Officer Conference Call Participants David Huang - Deutsche Bank Harris Fein - Wolfe Capital Aleksey Yefremov - KeyBanc Capital Markets Matthew Krueger - Baird Mike Harrison - Seaport Research Rock Hoffman - Bank of America Michael Sison - Wells Fargo Joh ...

Financial Performance - Net sales for the three months ended March 31, 2024, increased by 0.8% to $1,294 million compared to $1,284 million for the same period in 2023, with a 0.7% benefit from foreign currency translation [104]. - Performance Coatings segment net sales increased by 0.2% to $848 million, driven by a 1.1% increase in average selling price and product mix, offset by a 1.6% decrease in sales volumes [105]. - Mobility Coatings segment net sales increased by 2.0% to $446 million, supported by a 2.3% increase in sales volumes, despite a 1.0% decline in average selling price and product mix [105]. - Cash provided by operating activities was $34 million, compared to a cash used of $52 million in the prior year [130]. - Net cash provided by operating activities for Q1 2024 was $34 million, down from $52 million in Q1 2023, with net income before non-cash items generating $132 million [131]. - Net cash used for investing activities in Q1 2024 was $19 million, primarily for property, plant, and equipment purchases of $22 million, compared to $6 million in Q1 2023 [132][135]. - Net cash used for financing activities in Q1 2024 was $82 million, slightly lower than $88 million in Q1 2023, with significant prepayments of $75 million on the 2029 Dollar Term Loans [134][135]. Cost Management - Cost of sales decreased by 4.1% to $865 million, representing 66.8% of net sales, down from 70.2% in the prior year, due to lower variable input costs and higher average selling prices [110]. - Selling, general and administrative expenses remained stable at $207 million, with a slight increase of 0.5% compared to the previous year [111]. - Research and development expenses decreased by 5.3% to $18 million, remaining generally consistent with the prior year [112]. - Other operating charges surged by 771.4% to $61 million, primarily due to $55 million in termination benefits related to the 2024 Transformation Initiative [112]. Transformation Initiatives - The company announced the 2024 Transformation Initiative aimed at simplifying its organizational structure and improving financial performance, expected to be completed by 2026 [106]. - The company announced a global transformation initiative with expected future cash expenditures of approximately $95-135 million, aiming for annualized savings of $75 million [129]. Debt and Financing - The company prepaid $75 million of the outstanding principal amount of the 2029 Dollar Term Loans during the three months ended March 31, 2024 [107]. - The interest rate spread on the 2029 Dollar Term Loans was lowered from 2.50% to 2.00% as part of the Fourteenth Amendment to the Credit Agreement [107]. - Interest expense, net increased by $6 million, or 12.5%, primarily due to the unfavorable impact of $9 million from the 2031 Dollar Senior Notes issued in November 2023 [115]. - Other expense, net increased by $7 million, or 700.0%, primarily due to foreign exchange losses of $3 million and increased debt extinguishment costs of $1 million [117]. - Total borrowings net as of March 31, 2024, were $3.427 billion, a decrease from $3.504 billion at December 31, 2023 [139]. - The company anticipates that net cash provided by operating activities and available cash will be adequate to meet liquidity needs for the next twelve months [137]. - The company may need to refinance its indebtedness if it cannot generate sufficient cash from operations, which is subject to various external factors [137]. Taxation - Provision for income taxes increased to $20 million, with an effective tax rate of 33.9%, up from 20.2% in the prior year [118]. Cash Position - Cash and cash equivalents at March 31, 2024, were $624 million, down from $700 million at December 31, 2023, with $481 million held in non-U.S. jurisdictions [137]. - The company experienced a net decrease in cash of $76 million for the three months ended March 31, 2024 [130]. - The company recorded unfavorable currency exchange impacts on cash of $9 million in Q1 2024, compared to favorable impacts of $6 million in Q1 2023 [134][136]. - Availability under the Revolving Credit Facility was $528 million as of March 31, 2024 [127]. - The company has $528 million available under its Revolving Credit Facility as of March 31, 2024, unchanged from December 31, 2023 [138]. - The interest rate spread on the 2029 Dollar Term Loans was lowered from 2.50% to 2.00% in March 2024, resulting in a $2 million loss on financing-related costs [138].

Axalta Coating Systems (AXTA) came out with quarterly earnings of $0.48 per share, beating the Zacks Consensus Estimate of $0.40 per share. This compares to earnings of $0.35 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 20%. A quarter ago, it was expected that this high-performance coating system maker would post earnings of $0.43 per share when it actually produced earnings of $0.43, delivering no surprise.Over the last fo ...

[First Quarter 2024 Financial Results](index=1&type=section&id=First%20Quarter%202024%20Financial%20Results) [Consolidated Financial Performance](index=1&type=section&id=Consolidated%20Financial%20Performance) Axalta achieved record first-quarter **Adjusted EBITDA of $259 million**, with a **20.0% margin**, despite a **$22 million GAAP Net Income decline** due to restructuring charges Q1 2024 Key Financial Metrics (YoY) | Metric | Q1 2024 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Net Sales | $1.3 billion | $1.28 billion | +0.8% | | Net Income | $39 million | $61 million | -36.1% | | Adjusted EBITDA | $259 million | $213 million | +21.6% | | Adjusted EBITDA Margin | 20.0% | 16.6% | +340 bps | | Diluted EPS | $0.18 | $0.27 | -33.3% | | Adjusted Diluted EPS | $0.48 | $0.35 | +37.1% | - The decline in net income was primarily driven by **$55 million in pre-tax restructuring charges** related to the 2024 Transformation Initiative[2](index=2&type=chunk)[3](index=3&type=chunk) - The company announced a '2024 Transformation Initiative' which is expected to generate approximately **$75 million in annual run-rate savings by 2026**[2](index=2&type=chunk) - **Adjusted Net Income improved by $27 million** year-over-year, driven by variable cost deflation that offset higher fixed operating expenses[3](index=3&type=chunk) [Segment Performance](index=1&type=section&id=Segment%20Performance) Both segments drove earnings growth, with Performance Coatings achieving **record Adjusted EBITDA of $196 million** and Mobility Coatings' **Adjusted EBITDA surging 43%** [Performance Coatings](index=1&type=section&id=Performance%20Coatings) Performance Coatings maintained **flat net sales at $848 million** but achieved **record Adjusted EBITDA of $196 million**, with margins expanding to **23.1%** Performance Coatings Q1 2024 Results (YoY) | Metric | Q1 2024 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Net Sales | $848 million | $848 million | 0% | | Adjusted EBITDA | $196 million | $169 million | +16.0% | | Adjusted EBITDA Margin | 23.1% | 20.0% | +310 bps | - Refinish net sales grew **4% year-over-year**, driven by positive price-mix and the André Koch acquisition[4](index=4&type=chunk) - Industrial net sales decreased due to softer market activity and strategic prioritization of higher-margin business[4](index=4&type=chunk) [Mobility Coatings](index=2&type=section&id=Mobility%20Coatings) Mobility Coatings' net sales increased **2% to $446 million**, with **Light Vehicle sales up 4%**, driving a **43% surge in Adjusted EBITDA to $63 million** Mobility Coatings Q1 2024 Results (YoY) | Metric | Q1 2024 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Net Sales | $446 million | $437 million | +2.1% | | Adjusted EBITDA | $63 million | $44 million | +43.2% | | Adjusted EBITDA Margin | 14.2% | 10.1% | +410 bps | - Light Vehicle net sales improved by **4% year-over-year**, driven by strong volume growth in China[5](index=5&type=chunk) - Commercial Vehicle net sales decreased by **4% year-over-year**, impacted by a **12% decline in Class 8 production** in North and Latin America[5](index=5&type=chunk) [Financial Position and Capital Management](index=1&type=section&id=Financial%20Position%20and%20Capital%20Management) Axalta strengthened its balance sheet, reducing net leverage to **2.8x** and approving a new **$700 million share repurchase program** - The total net leverage ratio improved to **2.8x** at quarter-end, down from **3.7x** as of March 31, 2023[3](index=3&type=chunk) - The company paid down an additional **$75 million of term loan principal** during the quarter[3](index=3&type=chunk) - In April 2024, the Board of Directors approved a new **$700 million share repurchase program**[2](index=2&type=chunk)[3](index=3&type=chunk) Cash Flow Summary (YoY) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Cash from Operating Activities | $34 million | ($52 million) | | Free Cash Flow | $15 million | ($88 million) | [Financial Outlook](index=2&type=section&id=Financial%20Outlook) [Second Quarter And Full Year 2024 Outlook](index=2&type=section&id=Second%20Quarter%20And%20Full%20Year%202024%20Outlook) Axalta raised its full-year 2024 guidance, projecting **Adjusted EBITDA of $1,050 - $1,080 million** and **Adjusted Diluted EPS of $1.90 - $2.00** - The company increased its full-year 2024 outlook for Adjusted EBITDA, Adjusted EPS, and Free Cash Flow[2](index=2&type=chunk)[5](index=5&type=chunk) Q2 and Full Year 2024 Guidance | Item | Q2 2024 Projection | FY 2024 Projection | | :--- | :--- | :--- | | Net Sales YoY% | 3% - 5% | +LSD (low single digit) | | Adjusted EBITDA | ~$275 million | $1,050 - $1,080 million | | Adjusted Diluted EPS | ~$0.50 | $1.90 - $2.00 | | Free Cash Flow | - | $425 - $475 million | [Financial Statements](index=5&type=section&id=Financial%20Statements) [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) Axalta reported **net sales of $1,294 million** but a decline in **net income to $41 million** due to increased 'Other operating charges' Q1 2024 Statement of Operations Highlights (in millions) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net sales | $1,294 | $1,284 | | Cost of goods sold | $865 | $902 | | Other operating charges | $61 | $7 | | Income from operations | $121 | $125 | | Net income attributable to common shareholders | $41 | $61 | | Diluted net income per share | $0.18 | $0.27 | [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2024, Axalta reported **total assets of $7,089 million**, with **long-term debt at $3,407 million** and **shareholders' equity at $1,775 million** Balance Sheet Highlights (in millions) | Account | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $624 | $700 | | Total assets | $7,089 | $7,272 | | Long-term debt | $3,407 | $3,478 | | Total liabilities | $5,314 | $5,499 | | Total shareholders' equity | $1,775 | $1,773 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) The company generated **$34 million in cash from operating activities** and **$15 million in positive free cash flow**, a significant improvement year-over-year Q1 Cash Flow Summary (in millions) | Cash Flow Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Cash provided by (used for) operating activities | $34 | ($52) | | Cash used for investing activities | ($19) | ($6) | | Cash used for financing activities | ($82) | ($88) | | Decrease in cash | ($67) | ($146) | | Cash at end of period | $627 | $515 | [Reconciliation of Non-GAAP Financial Measures](index=8&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures) [Reconciliation of Net Income to EBITDA and Adjusted EBITDA](index=8&type=section&id=Reconciliation%20of%20Net%20Income%20to%20EBITDA%20and%20Adjusted%20EBITDA) Net Income of **$39 million** was reconciled to **Adjusted EBITDA of $259 million** in Q1 2024, with a significant margin expansion to **20.0%** Q1 2024 Reconciliation of Net Income to Adjusted EBITDA (in millions) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net income | $39 | $61 | | Interest, Taxes, D&A | +$142 | +$133 | | EBITDA | $181 | $194 | | Termination benefits & other employee costs | +$55 | $0 | | Other Adjustments | +$23 | +$19 | | **Adjusted EBITDA** | **$259** | **$213** | [Reconciliation of Net Income to Adjusted Net Income](index=9&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20Net%20Income) Adjusted Net Income for Q1 2024 reached **$106 million**, leading to an **Adjusted Diluted EPS of $0.48**, up from **$0.35** in the prior year Q1 2024 Reconciliation to Adjusted Net Income (in millions) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net income attributable to common shareholders | $41 | $61 | | Termination benefits & other employee costs | $55 | $0 | | Step-up depreciation and amortization | $12 | $16 | | Total adjustments | $77 | $25 | | Income tax provision impacts | $12 | $7 | | **Adjusted net income** | **$106** | **$79** | | **Adjusted diluted net income per share** | **$0.48** | **$0.35** | [Reconciliation of Cash Flow to Free Cash Flow](index=10&type=section&id=Reconciliation%20of%20Cash%20Flow%20to%20Free%20Cash%20Flow) Axalta generated **$15 million in Free Cash Flow** in Q1 2024, a **$103 million year-over-year improvement** from negative free cash flow Q1 2024 Free Cash Flow Reconciliation (in millions) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Cash provided by (used for) operating activities | $34 | ($52) | | Purchase of property, plant and equipment | ($22) | ($42) | | Interest proceeds on swaps | $3 | $6 | | **Free cash flow** | **$15** | **($88)** | [Reconciliation of Income from Operations to Adjusted EBIT](index=11&type=section&id=Reconciliation%20of%20Income%20from%20Operations%20to%20Adjusted%20EBIT) Income from Operations of **$121 million** was reconciled to **Adjusted EBIT of $190 million**, with the company transitioning to Adjusted EBITDA as its primary segment metric Q1 2024 Reconciliation to Adjusted EBIT (in millions) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Income from operations | $121 | $125 | | Other expense, net | $8 | $1 | | Termination benefits & other employee costs | $55 | $0 | | Step-up depreciation and amortization | $12 | $16 | | **Adjusted EBIT** | **$190** | **$149** | - Axalta is transitioning to using Adjusted EBITDA as the primary measure to evaluate financial performance of its operating segments, but will continue to publish segment Adjusted EBIT through 2024 for historical trend analysis[14](index=14&type=chunk)[31](index=31&type=chunk)

Automotive and aerospace industry executive with deep expertise inadvanced manufacturing systems, scaling manufacturing, and technology DANBURY, Conn., April 29, 2024 (GLOBE NEWSWIRE) -- FuelCell Energy, Inc. (NASDAQ:FCEL), FuelCell Energy, Inc., announced that Tyrone Michael ("TJ") Jordan has joined its board of directors. Jordan's extensive experience in operations, advanced manufacturing, commercialization, and global leadership will be a significant asset to the company's board at a key time during the ...