Axalta misses third-quarter profit and sales forecasts and guides to flat fourth-quarter sales
The coatings maker expects full-year Adjusted EBITDA of $1.10 billion to $1.11 billion and says it remains confident in its proposed combination with AkzoNobel.
Chart: AXTA, one-minute prices, three sessions
Axalta earned $0.63 a share in the third quarter, $0.08 less than analysts expected, and sold $1.31 billion of goods against $1.36 billion forecast. The company's outlook gives the sales line little lift.
For the fourth quarter, Axalta expects net sales roughly flat from a year earlier, Adjusted EBITDA of $254 million to $264 million and Adjusted Diluted EPS of about $0.55. For 2026 as a whole, it expects net sales to grow in the low single digits, Adjusted EBITDA of $1.10 billion to $1.11 billion, Adjusted Diluted EPS of about $2.45 and free cash flow of about $450 million.
Chief Executive Chris Villavarayan said the company remains confident in the value creation opportunity from its proposed combination with AkzoNobel. The guidance is built around that deal.
With sales soft, the test is whether Axalta can still deliver the $450 million of free cash flow it has guided to while the AkzoNobel transaction moves forward.
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