NEWS: PPG Industries' third-quarter net income declined 33 percent as the paint and coatings maker dealt with a hefty restructuring charge and a charge tied to an increase in money set aside to deal with environmental cleanups. Its adjusted profit and revenue topped Wall Street expectations.
DETAILS: Chairman and CEO Charles Bunch said in a statement that the company now expects its full-year stock repurchases to be at the higher end of its prior outlook of $500 million to $750 million.
NUMBERS: The maker of paints and coatings for autos, aircraft and other industries earned $226 million, or $1.56 per share, for the three months ended Sept. 30. That compares with $339 million, or $2.18 per share, in the prior-year period.
Excluding the restructuring charge, reserve-related charge and acquisition-related expenses, earnings from continuing operations were $2.44 per share.
Revenue rose 17 percent to $3.98 billion from $3.41 billion.
Analysts polled by FactSet forecast earnings of $2.34 per share on revenue of $3.96 billion.
FUTURE: Bunch pointed out that the fourth quarter is seasonally slower than the third quarter in many end markets, particularly architectural coatings. He expects more sequential seasonality this year because architectural coatings now makes up a bigger portion of its revenue following the April buyout of the architectural coatings business of AkzoNobel.
STOCK: The shares added $4.78, or 2.9 percent, to $171 in morning trading. Year to date, the stock is up 23 percent.