30 October 1997: Third quarter earnings at PPG Industries Inc. of the United States were slightly down despite record sales.
Third-quarter net income was US$171 million, or 96 cents a share, on sales…
30 October 1997: Third quarter earnings at PPG Industries Inc. of the United States were slightly down despite record sales. Third-quarter net income was US$171 million, or 96 cents a share, on sales of US$1.81 billion. Net income in the 1996 quarter was US$191 million, or US$1.03 a share, on sales of US$1.8 billion. PPG raised its dividend to 34 cents from 33 cents a share paid previously, payable on 12 December to shareholders of record on 10 November. The dividend was also increased one cent with the March payment, the company said, noting that it has paid dividends without interruption for 99 years. “While most European economies remain stagnant, the North American economy remains generally healthy and growing,” said Chief Executive Officer Raymond LeBoeuf. “We continue to use our strong cash flow to support profitable growth in high-return businesses, such as recently-announced acquisitions benefiting our coatings segment.” PPG recently entered into an agreement for the acquisition of Italy“s Max Meyer paint and coatings operation. PPG said its coatings segment had record third-quarter sales. Operating earnings were below the 1996 record, largely because of costs associated with business expansions. Sales and operating earnings for PPG“s glass segment were lower than those of the 1996 quarter, resulting mainly from lower prices and unfavourable foreign currency translation, the company said. Positive contributors were strong fibre glass volume increases and modest volume gains for other products, as well as continued advances in operating efficiencies. The chemicals segment achieved record sales for the quarter. Sales benefited from higher volumes in PPG“s optical products business, including Transitions photochromic plastic lenses, and continued chlor-alkali volume increases that have now been sustained for more than 11 years.