Axalta Coating Systems Ltd. - AXTA STOCK NEWS

Axalta Coating Systems (NYSE:AXTA) reported its Q3 2021 financial results, showing a 6.0% increase in net sales year-over-year, totaling $1,088.6 million. Performance Coatings led the growth with 14.1% sales rise, but the Light Vehicle segment faced a 14.8% decline due to supply chain issues. Income from operations fell to $124.7 million from $141.7 million in Q3 2020, with diluted EPS down to $0.30. The company completed $90.1 million in share repurchases and closed the acquisition of U-POL, which is expected to support future growth.

Axalta, a global leader in coatings, launched Wood Vibes: Blossom, its 2022 color trends campaign for industrial wood coatings. Inspired by nature, the collection features soft, neutral palettes designed to create comfort and harmony. It emphasizes balancing emotions influenced by the pandemic, aligning with consumer desires for healing environments. Key colors include White Magnolia, Thistle Beige, Heather Brown, and Black Rose. Axalta's expertise in color forecasting aims to deliver the latest design trends to the wood and building products market.

Axalta has launched a new paint scheme for the No. 24 Chevrolet Camaro ZL1 1LE, featuring its recently acquired U-POL brand and RAPTOR® products. The design will be showcased by William Byron at the upcoming NASCAR Cup Series races on Oct. 24 and Nov. 7. The acquisition of U-POL in September strengthens Axalta's portfolio in automotive refinishing, enhancing its competitive position in the market. Axalta has a long-standing partnership with Hendrick Motorsports, extending its motorsport presence across various series globally.

Axalta (NYSE: AXTA) will announce its third quarter 2021 financial results after market close on October 25, 2021. A conference call with CEO Robert W. Bryant and CFO Sean Lannon is scheduled for October 26, 2021, at 8 a.m. ET, to discuss the financial performance. Investors can access the live webcast at www.axalta.com/investorcall. The call will be available for replay until November 2, 2021.

Axalta, a leader in coatings, launched the Imron Industrial high-performance urethane (HPU) DTM primer on Oct. 7, 2021. This innovative primer targets the agriculture, construction, and earthmoving equipment (ACE) sectors, enhancing spraying efficiency and providing superior corrosion protection. The primer allows for wet-on-wet topcoat application in as little as five minutes and uses one common activator for both primer and topcoat, streamlining the coating process. Dave Heflin, Vice President at Axalta, emphasized the primer's productivity and efficiency improvements.

Axalta (NYSE: AXTA) has awarded its inaugural Bright Futures Scholarships to 19 students excelling in academics and community involvement. The program focuses on supporting students from underrepresented communities studying in fields such as chemical engineering and autobody painting. In addition, Axalta will fund 16 more scholarships for students at Lord Fairfax Community College, reinforcing its commitment to local education. CEO Robert Bryant expressed excitement about nurturing the next generation of innovators in the coatings industry.

Axalta Coating Systems (NYSE:AXTA) updated its third quarter and full-year 2021 financial guidance, signaling challenges from ongoing supply chain issues, raw material inflation, and logistics constraints. The company anticipates a decrease of approximately $40 million in Q3 Net Sales, with Adjusted EBIT expected between $130-$140 million, benefitting from pricing and cost actions. Axalta withdraws its full-year guidance due to uncertainties, noting a shift in light vehicle production impacts from 7 million to 11 million units due to supply shortages. Despite these issues, underlying demand in Performance Coatings remains strong.

Axalta (NYSE: AXTA) has inaugurated the construction of a new 46,000-square-meter coatings facility in Jilin City, North China, aimed at producing mobility coatings. This facility is part of Axalta's strategy to meet the rising demand for coatings in China's automotive market, which is one of the largest globally. The plant will open in 2023, focusing on eco-friendly technologies that reduce VOC emissions. This investment reinforces Axalta's commitment to the Asian market, following other expansions in China in 2021, including a waterborne coatings plant and a Refinish Training Center.

Axalta Coating Systems (NYSE: AXTA) has successfully completed the acquisition of U-POL Holdings Limited, a leading supplier of automotive aftermarket coatings. This acquisition enhances Axalta's position in the global refinish market and aligns with its growth strategy. The integration of U-POL's products, which include fillers, coatings, and adhesives, will allow Axalta to expand its addressable market into the mainstream economy refinish segments. Axalta plans to leverage its existing sales channels to boost U-POL's product distribution.