PPG: Growth in North America counter balances decline in Europe

摘要

Sales at PPG Industries were virtually flat in the second quarter, with strong organic growth in North America and expanded business in emerging regions counter balanced by a further, fairly broad step-down in European demand. April to June sales hit $3.95 billion compared to $3.98 billion in the same period a year ago, while net profit edged ahead 6% to $362 million, partly due to strong cost discipline. Aerospace and automotive manufacturing remain the company's strongest end-use markets, "delivering excellent growth," said PPG chief executive Charles Bunch, while recent acquisitions also aided sales and earnings results. However, Bunch warned that Europe remains challenging, and said PPG will continue to aggressively implement previously announced restructuring programs focused primarily on Europe. He is targeting savings of between $40 million and $50 million in the second half of the year.