PPG Industries Sees Q3 Profit Above View

(RTTNews) - PPG Industries Inc. (PPG) said it expects adjusted earnings per share for the third quarter 2020 to be between $1.90 and $1.94, compared to $1.67 per share in the third quarter of 2019. Analysts polled by Thomson Reuters expect the company to report earnings of $1.44 per share for the third-quarter. Analysts' estimates typically exclude special items.

The better than expected quarterly financial results were driven by improving demand in several end-use markets resulting in higher sales volumes, coupled with continued, aggressive cost management actions.

"Led by improving demand trends and our ability to outperform in several end-use markets, we anticipate delivering record third quarter operating results," said Michael McGarry, PPG chairman and chief executive officer.

The company expects to achieve high-teen percentage operating margins in both reporting segments for the quarter, reflecting improving sales volumes and continued execution of its cost management initiatives.

In addition, the company now anticipates that sales volumes versus the third quarter 2019 will be down about 5%, which is below the lower-end of the previously communicated guidance range of down 6% to 11%.

The company is scheduled to release third quarter 2020 financial results on October 19, 2020.