PPG Reports Record Q3 2026 EPS and Raises Midpoint of Full-Year Outlook

PPG Industries, Inc. Q3 2026 Financial Results Summary

Consolidated Results

• Net Sales: Reached $4,353 million, up 7% compared to $4,082 million in Q3 2025. Organic sales increased 5% year over year, marking the seventh consecutive quarter of organic growth.
• Reported Net Income & EPS: Net income from continuing operations was $473 million ($2.12 per diluted share), an 8% increase compared to $444 million ($1.96 per diluted share) in Q3 2025.
• Adjusted Net Income & EPS: Adjusted net income totaled $502 million ($2.25 adjusted EPS), rising 6% from $481 million ($2.13 adjusted EPS) in the prior-year period.
• Cash Flow & Capital Return: Year-to-date operating cash flow reached ~$1.2 billion, up $100 million year over year. Share repurchases were approximately $150 million during Q3 and $320 million year to date.
• Balance Sheet: Cash and short-term investments stood at $1.6 billion, with net debt decreasing by roughly $200 million year over year to $5.2 billion.

Segment Highlights

• Global Architectural Coatings: Net sales rose 4% to $1,055 million (organic sales +2%), driven by +4% selling prices offset by a (2)% volume drop. Segment EBITDA climbed 19% to $253 million, with EBITDA margin expanding 300 bps to 24.0%.
• Performance Coatings: Net sales expanded 10% to $1,554 million (organic sales +8%), supported by a 5% volume gain, 3% higher prices, and 2% from acquisitions. Segment EBITDA grew 21% to $372 million, expanding EBITDA margin by 220 bps to 23.9% on double-digit aerospace growth and resilient refinish demand.
• Industrial Coatings: Net sales grew 5% to $1,744 million (organic sales +4%), with volumes up 2% and prices up 2%. Segment EBITDA fell 11% to $251 million due to elevated cost-of-goods-sold inflation ahead of index pricing adjustments.

Outlook

• Q4 2026: Organic sales growth expected in the low single-digit percentage range, with adjusted EBITDA margin flat to up 100 bps year over year.
• Full-Year 2026 Guidance: Midpoint raised with narrowed adjusted EPS guidance between $7.90 and $8.10, reflecting commercial momentum, price realization, and ongoing productivity improvements.