AkzoNobel has reported its first quarter 2024 figures that showed organic sales up by 2%, driven by volume growth in both Paints and Coatings; but revenue was down 1%.

Operating income improved to €261 million (2023: €182 million), while adjusted EBITDA €363 million (2023: €305 million), adjusted EBITDA margin 13.8% (2023: 11.5%).

Net cash from operating activities negative €170 million (2023: negative €50 million).

AkzoNobel CEO, Greg Poux-Guillaume, said: “Our performance for the first quarter combined volume growth in both Paints and Coatings with margin expansion, as it did in the previous quarter. 

“After growing volumes 2% in Q1, we’re preparing for further growth in areas where we see market opportunities such as in Powder, where we’re adding new production lines. 

“Our momentum and the progress of our efficiency measures bode well for a strong 2024 performance in markets which remain mixed.”

Recent highlights include:

Capacity expansion completed at Vietnam multi-site

A major investment project has been completed at its production plant in Bac Ninh province near Hanoi in Vietnam. 

It will help to strengthen the company’s position in Asia and sharpen its focus on more sustainable manufacturing. 

Five new powder coating lines have been added at the multi-site, along with a line for producing water-based products for the consumer electronics market. 

Renewable electricity landmark achieved in Latin America

All its manufacturing locations in Latin America are now operating on 100% renewable electricity, further boosting the company’s ambition to reduce carbon emissions across the full value chain by 50% by 2030 (baseline 2018). 

The milestone follows on from similar achievements in North America (early 2023) and Europe (early 2022).

Growth targeted in Pakistan as new site takes root

It has opened a new €26 million manufacturing plant in Faisalabad – the company’s largest investment in Pakistan to date. The 25-acre site, which has facilities for making decorative paint, wood finishes, automotive and specialty coatings, coil coatings and protective coatings, will help to meet increasing customer demand across a variety of markets.