Financial Data and Key Metrics Changes - Q4 net sales increased by 5% year-over-year to $1.3 billion, with adjusted EBITDA rising by 21% to $251 million, and adjusted EBITDA margins improved by 250 basis points to 19.3% [5][14][6] - Full year net sales reached $5.2 billion, a 6% increase compared to 2022, with adjusted EBITDA at a record $951 million, up 17% year-over-year [7][19][10] - Adjusted diluted EPS for 2023 was $1.57, a 6% improvement year-over-year, despite higher interest expenses [12][20] Business Line Data and Key Metrics Changes - Mobility Coatings saw a 9% growth in volumes, contributing to a 10.6% increase in full-year volumes, while Performance Coatings experienced volume weakness due to soft construction activity [5][7][8] - Q4 Performance Coatings net sales improved by 4% to $849 million, with Refinish organic net sales showing mid-single digit growth [15][16] - Mobility Coatings adjusted EBITDA improved by 50% year-over-year to $59 million, with adjusted EBITDA margins increasing by 380 basis points to 13.2% [18][19] Market Data and Key Metrics Changes - Mobility Coatings growth was particularly strong in China, with expectations for stable global light vehicle production in 2024 [17][24] - The industrial segment faced challenges, particularly in North America, with expectations for muted demand in early 2024 [16][25] - Refinish market conditions are expected to remain stable, with slight growth anticipated due to new business wins [55][56] Company Strategy and Development Direction - The company is focused on profitable growth initiatives and improving efficiency across the enterprise, with a commitment to restoring margins to historical levels [10][12] - Investments in technology and strategic acquisitions, such as the purchase of André Koch, are aimed at enhancing market position and driving growth [9][10] - The company plans to introduce a three-year strategy in May, outlining further growth and margin improvement targets [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the trajectory of core markets and the potential for record earnings in 2024, despite facing pressures from higher labor costs [12][24] - The company anticipates a stable pricing environment in 2024, with expectations for mid-single digit pricing growth in Refinish [29][30] - Management highlighted the importance of maintaining a disciplined cost structure while navigating market uncertainties [15][42] Other Important Information - Free cash flow for 2023 was $447 million, a 174% increase compared to the prior year, contributing to a significantly improved balance sheet [20][21] - The company ended the year with a total liquidity of $1.2 billion and a net leverage ratio of 2.9 times, the best year-end leverage ratio in its history [21][22] Q&A Session Summary Question: Expectations for pricing in Refinish for 2024 - Management expects mid-single digit pricing growth in Refinish for 2024 [28][29] Question: Pricing pressure in the portfolio - Management noted some pricing pressure in the industrial segment in Europe but emphasized overall pricing discipline across the portfolio [30][31] Question: Efficiency improvements and their continuation into 2024 - Management highlighted purchasing initiatives that have improved material performance and indicated a focus on structuring agreements for resilience [33][34] Question: Impact of exiting certain industrial business - Management estimated a low to mid-single digit impact on sales from exiting certain industrial customers [37][38] Question: Variable cost deflation outlook - Management expects mid-single digit deflation in variable costs for 2024, with benefits front-weighted [41][43] Question: Capital allocation strategy - Management indicated that share repurchases and M&A will be part of the capital allocation strategy, given the improved balance sheet [45][46] Question: Visibility into distributor inventory levels - Management noted that distributor inventories are low, indicating potential upside as the market recovers [51][52] Question: Market conditions for auto refinish across regions - Management expects flat to slight growth in auto refinish, driven by new wins and market conditions in North America and Europe [54][55] Question: EV market impact - Management stated that Axalta is EV-agnostic and is experiencing growth in China, particularly in the EV segment [57][58] Question: Contribution from André Koch acquisition - The acquisition contributed approximately $14 million in revenue during Q4 [82]

Axalta Coating Systems (AXTA) reported $1.3 billion in revenue for the quarter ended December 2023, representing a year-over-year increase of 4.9%. EPS of $0.43 for the same period compares to $0.38 a year ago.The reported revenue represents a surprise of +1.16% over the Zacks Consensus Estimate of $1.28 billion. With the consensus EPS estimate being $0.43, the company has not delivered EPS surprise.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street ...

Axalta Coating Systems (AXTA) came out with quarterly earnings of $0.43 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.38 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this high-performance coating system maker would post earnings of $0.38 per share when it actually produced earnings of $0.45, delivering a surprise of 18.42%.Over the last four quarters, the company has surpassed consensus EPS estimates two ...

Analysts on Wall Street project that Axalta Coating Systems (AXTA) will announce quarterly earnings of $0.43 per share in its forthcoming report, representing an increase of 13.2% year over year. Revenues are projected to reach $1.28 billion, increasing 3.5% from the same quarter last year.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 1.5% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections duri ...

Dynamic black shade evokes depths of our universe and space exploration Latest edition marks decade since Axalta launched its first Automotive Color of the Year GLEN MILLS, Pa., Jan. 29, 2024 (GLOBE NEWSWIRE) -- Axalta Coating Systems (NYSE:AXTA), a leading global coatings company, today announced its 2024 Global Automotive Color of the Year – Starry Night. The latest edition marks the 10th year Axalta has introduced its automotive color of the year and the first time it has featured a black shade. Starry N ...

The Zacks Chemicals Specialty industry is facing challenges from demand softness, largely due to a slowdown in Europe and a slow economic recovery in China. Margins of companies in this space also remain under pressure due to the still-elevated input, supply chain and logistics costs.Industry players like Celanese Corporation (CE) , Axalta Coating Systems Ltd. (AXTA) and Element Solutions Inc (ESI) are banking on strategic measures, including operating cost reductions, to tide over a persistently challengin ...

Voltatex® 7345 A ECO Wire Enamel enables efficient electric motors, powertrains and energy storage devices, advances electrification, and reduces CO2 emissions Sustainable Raptor® Flameproof Coating extends the useful life of automotive parts especially at extremely high temperatures GLEN MILLS, Pa., Jan. 10, 2024 (GLOBE NEWSWIRE) -- Axalta Coating Systems (NYSE:AXTA), a leading global coatings company, today announced that both its Voltatex® 7345 A ECO Wire Enamel and its Raptor® Flameproof Coating have ea ...

Core Viewpoint - Axalta Coating Systems is set to release its fourth-quarter and full-year 2023 financial results on February 8, 2024, at 6 a.m. ET, followed by a conference call at 8 a.m. ET to discuss the financial performance [1]. Group 1: Financial Results Announcement - The financial results will be available on Axalta's Investor Relations site [1]. - A conference call will be hosted by the CEO and CFO to review the financial performance [1]. - A live webcast of the conference call will be accessible, with a replay available until February 8, 2025 [1]. Group 2: Conference Call Details - The dial-in phone number for the conference call is 201-689-8560 [2]. - A replay of the call will be available until February 15, 2024, with a specific replay dial-in number and passcode provided [2]. Group 3: Company Overview - Axalta is a global leader in the coatings industry, offering innovative and sustainable coating solutions across various applications [3]. - The company has over 150 years of experience and serves more than 100,000 customers in over 130 countries [3]. - Axalta focuses on preventing corrosion, increasing productivity, and enhancing durability through its products [3].

GLEN MILLS, Pa., Jan. 09, 2024 (GLOBE NEWSWIRE) -- Axalta Coating Systems (NYSE: AXTA), a leading global coatings company, will release its fourth-quarter and full-year 2023 financial results at 6 a.m. ET on Thursday, February 8. The release and supporting materials will be posted to Axalta’s Investor Relations site. In addition, the company will host a conference call at 8 a.m. ET on February 8. Chris Villavarayan, Chief Executive Officer and President, and Carl Anderson, Senior Vice President and Chief Fi ...

Axalta Coating Systems Q3 2023 Financial Results Legal Notices Forward-Looking Statements This presentation and the oral remarks made in connection herewith may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding Axalta and its subsidiaries including, but not limited to, our outlook/commentary and/or guidance, which includes net sales growth, Adjusted EBIT, Adjusted EBITDA, depreciation and amortization, step-up depreciation an ...