PPG Industries Inc., the US maker of glass, coatings and chemicals, said first-quarter net income dropped 60% due to higher energy costs and a hefty restructuring charge. Even so, the Pittsburgh compa…
PPG Industries Inc., the US maker of glass, coatings and chemicals, said first-quarter net income dropped 60% due to higher energy costs and a hefty restructuring charge. Even so, the Pittsburgh company beat analysts“ expectations. Net income totalled US$ 56 million, or 33 cents per diluted share, compared with US$ 139 million, or 79 cents a share, a year earlier. Results for the recent quarter include an after-tax charge of US$ 71 million, or 42 cents a share, related to facility closings and 1,500 lay-offs, or 4% of PPG“s global work force of 35,600. Sales fell 2.3% to US$ 2.1 billion from US$ 2.15 billion. Excluding the charge, income would have been US$ 127 million, or 75 cents a share. Analysts had been expecting 64 cents a share, according to a survey conducted by Thomson Financial/First Call. PPG said its results were affected by a sharp decline in demand for nearly all its products. Sales of coatings, fibreglass and windshields also suffered due to lower production in the car and truck industries.