PPG Revenue Rises on Better Volume -- Earnings Review

By Austen Hufford Features Dow Jones Newswires

PPG Industries Inc. (PPG) reported quarterly earnings for its fourth quarter and 2017 fiscal year Thursday. Here's what you need to know:

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PROFIT: PPG reported net income of $184 million, or 72 cents a share, down from $344 million, or $1.30 a share, a year prior. The company had adjusted earnings of $1.19 a share. Analysts polled by Thomson Reuters had expected $1.18 a share in earnings.

REVENUE: Revenue rose 7.8% to $3.68 billion, above the $3.60 billion analysts had expected.

VOLUMES RISE: PPG said sales volume increased 3%. Favorable foreign-currency rates improved sales by more than 3%, or about $115 million. Acquisitions-related sales added less than 1% to revenue.

TAX HIT: A one-time charge of about $97 million related to the recent tax law hurt earnings per share by 38 cents.

STOCK MOVES: Shares fell 1.2% to $113.10 in premarket trading. Shares have risen 18% in the last 12 months through Wednesday's close.

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BALANCED GROWTH: PPG said it saw sales growth in each of its major regions and at least 2% sales volume growth in its two units.

RISING PRICES AND COSTS: Selling prices rose for the third consecutive quarter as the company worked to boost margins, despite higher-than-expected raw material costs in the quarter. The company also said it was impacted by ongoing supply-related issues, including production curtailments due to environmental enforcement in China.

Write to Austen Hufford at Austen.Hufford@wsj.com

(END) Dow Jones Newswires

January 18, 2018 08:40 ET (13:40 GMT)