AkzoNobel earnings rise on higher prices, volumes
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AkzoNobel earnings rise on higher prices, volumes

Company's revenue in Q4 (£2,403) was up 9% and 7% higher in constant currencies

  • By ICN Bureau | February 09, 2022
Akzo Nobel N.V. today published its results for fourth quarter and full-year 2021. Company's revenue in Q4 (£2,403) was up 9% and 7% higher in constant currencies. Compared with Q4 2019, revenue was up 12% in constant currencies. 
 
Operating income at €205 million (2020: €243 million) and Adjusted operating income at €209 million (2020: €294 million) despite raw material and other variable costs increases of €325 million. Final dividend proposed of €1,54 per share (2020: €1,52 per share)
 
For the full-year 2021, the pricing went up by 7%. Revenue up 12% and 14% higher in constant currencies and reached £9,587. Compared with 2019, revenue up 9% in constant currencies. Operating income up 16% at €1,118 million (2020: €963 million) and Adjusted operating income at €1,092 million (2020: €1,099 million) despite raw material and other variable costs increases of €769 million.
 
AkzoNobel CEO, Thierry Vanlancker, commented, “With our full-year 2021 results we delivered a sixth consecutive quarter of revenue growth. Our teams were quick to act with strong pricing in response to around 770 million euros of raw material inflation. This extraordinary achievement allowed us to deliver a 2021 profit in line with prior year. As we continue to drive forward, we are on track to offset this headwind by Q1 2022.
 
I’m proud of the resilience of our people and the energy we’re putting into delivering on our Grow & Deliver strategy. AkzoNobel being named a Top Employer in eight countries this year is a great example of how our organization is well placed to deal with the challenging business environment. At the same time, we’re continuing with our widely recognized People. Planet. Paint. approach and are setting the standard by being the first paints and coatings company to have sustainability targets officially validated by the Science Based Targets initiative.”
 
AkzoNobel targets to grow at or above its relevant markets, in line with its Grow & Deliver strategy. Trends differ per region and segment, while raw material cost inflation and supply constraints are expected to gradually ease by mid-2022. Plans are in place to deliver the €2 billion adjusted EBITDA target for 2023, and an average annual 50 basis points increase in return on sales over the period 2021-2023. AkzoNobel targets a leverage ratio of 1-2 times net debt/EBITDA and commits to retain a strong investment grade credit rating.

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