Despite flat organic sales and a six per cent revenue drop due to adverse currency movements, AkzoNobel has delivered solid Q2 results. The Dutch coatings giant expanded its adjusted EBITDA margin to 15 per cent, up from 14.4 per cent in Q2 2024.
The company posted an adjusted EBITDA of €393 million ($AUD 703 million), down slightly from €400 million a year earlier, though this included a €24 million hit from currency exchange rates. Net cash from operating activities surged to €234 million, significantly higher than the €151 million recorded in the same period last year.
AkzoNobel CEO Greg Poux-Guillaume attributed the performance to disciplined pricing and gains from streamlining selling, general and administrative (SG&A) costs and industrial operations.
“Our profitability increased in Q2, driven by pricing discipline and the structural benefits from our SG&A and industrial efficiency programs,” he said.
“This was achieved against a backdrop of significant currency headwinds and generally tepid markets, highlighting the strength of our businesses.”
Over the first half of 2025, adjusted EBITDA reached €750 million, with efficiency actions running ahead of schedule. Currency headwinds again impacted results, trimming €31 million from earnings. Nevertheless, the company maintained flat organic sales and achieved an improved operating cash flow of €122 million – reversing a €19 million outflow in the same period last year.
As part of its ongoing strategic review, AkzoNobel also announced an agreement to sell its Indian operations to the JSW Group.
“We’ll continue to unlock value and position the company for stronger and more focused growth,” Poux-Guillaume said.