Amsterdam, the Netherlands – AkzoNobel has reported a solid second quarter for 2025, demonstrating resilience in the face of adverse currency impacts and ongoing restructuring efforts. The Dutch paints and coatings giant posted an adjusted EBITDA of €393 million, slightly down from €400 million in Q2 2024, but with a notable margin improvement to 15.0%, up from 14.4% a year earlier.
Revenue declined 6% year-over-year to €2.63 billion, primarily due to unfavorable currency effects. Operating income fell to €214 million from €270 million in Q2 2024, impacted by restructuring costs. However, net cash from operating activities surged to €234 million, up from €151 million in the same period last year, and free cash flow more than doubled to €162 million. Adjusted earnings per share from continuing operations rose to €1.13, compared to €1.07 in Q2 2024.
Despite flat organic sales, AkzoNobel managed to offset lower volumes with a 2% increase in pricing and continued cost-saving initiatives. The company reported €35 million in net operating expense savings and confirmed the closure of five sites as part of its ongoing efficiency program.
In a strategic move, AkzoNobel also announced a binding agreement to sell its India business to the JSW Group, expected to close in Q4 2025. The deal, valued at 25 times the unit’s 2025 EBITDA, reflects the company’s focus on portfolio optimization.
Looking ahead, AkzoNobel reaffirmed its full-year guidance, expecting adjusted EBITDA to exceed €1.48 billion, assuming constant currencies. The company remains committed to achieving a mid-term EBITDA margin above 16% and a return on investment between 16% and 19%.
CEO Greg Poux-Guillaume emphasized the company’s progress, stating that their margin expansion and strong cash generation reflect the impact of efficiency actions and disciplined execution, even as they navigate currency volatility and restructuring.
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