PPG Industries Reports $3.684 Billion in Q1 2025 Sales, 4.3% Decrease Year-Over-Year

PPG Industries, Inc. reported a net sales figure of $3.684 billion for the first quarter of 2025, reflecting a 4.3% decrease from $3.849 billion in the same period of 2024. The decline in revenue was attributed to unfavorable foreign currency translation, the divestiture of its global silicas business, and the sale of its remaining operations in Russia. Despite these challenges, the company noted an increase in sales volumes that partially offset the overall decline. Income before income taxes for the quarter was $502 million, down from $542 million a year earlier, primarily due to foreign currency impacts and inflationary pressures on material and labor costs.

In terms of operational performance, PPG's three reportable business segments—Global Architectural Coatings, Performance Coatings, and Industrial Coatings—showed varied results. The Global Architectural Coatings segment experienced a significant drop in net sales to $857 million, down 11.3% from the previous year, while the Performance Coatings segment saw a 6.8% increase in sales to $1.265 billion. The Industrial Coatings segment reported a decrease of 8.1%, with net sales of $1.562 billion. The overall segment income for the company was $607 million, down from $666 million in the prior year.

PPG's strategic developments included the completion of the sale of its remaining Russian business and the architectural coatings business in the U.S. and Canada, which were classified as discontinued operations. The company also reported a gain from the sale of its remaining Russian operations and received insurance reimbursements related to damages from a winter storm in 2021. These actions are part of PPG's ongoing efforts to streamline operations and focus on core business areas.

The company’s balance sheet showed total assets of $21.14 billion as of March 31, 2025, an increase from $19.43 billion at the end of 2024. Cash and cash equivalents rose to $1.83 billion, up from $1.27 billion, while total liabilities increased to $14.05 billion from $12.47 billion. PPG's employee headcount remained stable, and the company continues to manage its working capital effectively, with operating working capital as a percentage of sales at 19.3%, up from 15.6% at the end of 2024.

Looking ahead, PPG anticipates continued challenges from foreign currency fluctuations and inflation but expects to benefit from higher selling prices and improved sales volumes in certain segments. The company is focused on cost control measures and strategic investments to drive growth, with capital expenditures projected to be between $725 million and $775 million for 2025. PPG remains committed to enhancing its operational efficiency and market position in the coming quarters.