PPG Industries (PPG) Q3 2026 Earnings Report
MX:PPG Q3 2026 EPS Results
- Actual EPS
- MXN 42.48
- Consensus EPS
- MXN 40.09
- Beat/Miss
- Beat by +MXN 2.40
- One Year Ago EPS
- MXN 40.22
MX:PPG Q3 2026 Revenue Results
- Actual Revenue
- MXN 82.19B
- Expected Revenue
- MXN 80.90B
- Beat/Miss
- Beat by +MXN 1.29B
- YoY Revenue Growth
- +6.64%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/27/2026
- Time
- After Close
- Conference Call
- Tuesday, October 27, 2026
MX:PPG Upcoming Earnings
PPG Industries's next earnings date is estimated for January 21, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:PPG Q3 2026 Earnings Call
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Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall. PPG reported record third-quarter earnings, sustained organic growth, margin expansion in its Architectural and Performance Coatings businesses, strong aerospace and packaging momentum, robust cash generation, shareholder returns, and raised full-year EPS guidance. These strengths outweighed challenges from industrial price-cost timing, elevated raw-material inflation, lower automotive builds, European uncertainty, and demand levels that remain below pre-COVID in some markets.
Company Guidance
For the fourth quarter, PPG expects total company organic sales growth of a low-single-digit percentage and total company adjusted EBITDA margin to range from a flat to an increase of 100-basis-points year over year; global architectural coatings organic sales are expected to be in the range of flat to up a low-single-digit percentage with EBITDA margin expansion versus prior year, Performance coatings organic sales are expected to grow by a low- to mid-single-digit percentage with further EBITDA margin expansion versus prior year, and industrial coatings organic sales are expected to be in the range of down to up a low-single-digit percentage, with the pace of EBITDA margin compression to moderate sequentially. Cost of goods sold inflation is expected to be in the high-single-digit range in the fourth quarter, and full year adjusted earnings per share guidance is $7.90 to $8.10 per share; this year, aerospace sales are expected to generate more than $2 billion, while about $100 million combined between restructuring and productivity actions is expected in 2026 and 2027.
- Record Third-Quarter ResultsPPG delivered record third-quarter earnings. Net sales grew 7% year over year to $4.4 billion, adjusted earnings per share increased 6% to a third-quarter record of $2.25, and total company adjusted EBITDA margin was above 18%.
- Sustained Organic Sales GrowthOrganic sales increased 5%, including 2% volume growth, marking PPG's seventh consecutive quarter of organic sales growth. PPG outpaced the industry by 300 basis points.
- Commercial Actions Offset COGS InflationCommercial actions fully offset cost of goods sold inflation during the quarter. The company reached this milestone in six months, compared with 12 months during the 2021 inflation cycle and 18 months during the 2016 cycle. More than 90% of the commercial actions were pricing.
- Strong Cash Flow and Capital ReturnsYear-to-date operating cash flow was approximately $1.2 billion, about $100 million higher year over year. PPG repurchased approximately $150 million of shares during the quarter, bringing year-to-date repurchases to $320 million, and paid $480 million in dividends through the first nine months. Net debt was $5.2 billion, down approximately $200 million year over year, and net leverage improved to 1.8x net debt to adjusted EBITDA.
- Architectural Coatings Growth and Margin ExpansionGlobal Architectural Coatings net sales grew 4% year over year to approximately $1.1 billion, while organic sales increased 2%, driven by higher selling prices in all regions. Segment EBITDA grew 19% and EBITDA margin expanded 300 basis points to 24%, supported by productivity enhancements, footprint optimization, structural cost actions, pricing, mix, and volume growth in Mexico.
- Mexico Architectural Coatings MomentumMexico retail sales were robust, project-related sales grew at a moderate pace, and foreign direct investment sequentially recovered. Architectural Coatings Latin America and Asia Pacific organic sales increased by a mid-single-digit percentage, driven by higher selling prices and volume growth in Latin America.
- Performance Coatings OutperformancePerformance Coatings net sales grew 10% to $1.6 billion, while organic sales increased 8%, led by 5% sales volume growth. Segment EBITDA grew 21% and EBITDA margin expanded 220 basis points to 23.9%.
- Aerospace Growth and InvestmentAerospace delivered another exceptional quarter with double-digit organic sales growth, a near-$300 million order backlog, and its 22nd consecutive quarter of organic sales growth. PPG expects more than $2 billion in aerospace sales this year and is investing more than $500 million to expand capacity and improve productivity, including a recently announced $70 million expansion of aerospace transparencies operations in Huntsville, Alabama.
- Automotive Refinish StabilizationAutomotive Refinish organic sales increased by a mid-single-digit percentage, driven by higher selling prices and higher sales volumes. U.S. collision claims improved sequentially from down 6% in the second quarter to down 4% in the third quarter. The company said destocking was behind it, purchase orders were normalizing, and PPG continued to win a couple hundred net body shops per month.
- Protective and Marine Coatings GrowthProtective and marine coatings organic sales increased by a high-single-digit percentage, extending the business's streak to 14 consecutive quarters of sales volume growth. Marine volumes in Asia Pacific grew above market, driven by innovative technologies, with marine new build and marine dry dock identified as the strongest subsegments.
- Industrial Coatings Organic GrowthIndustrial Coatings net sales grew 5% to approximately $1.7 billion, and organic sales increased 4%, with equal contributions from higher selling prices and sales volumes. The industrial subsegment achieved high-single-digit organic growth in the third quarter, following low-single-digit declines in the first quarter and mid-single-digit growth in the second quarter. The improvement was almost exactly half volume and half price, with growth across all regions.
- Industrial Business Wins and Data-Center ExposureIndustrial coatings benefited from new business wins and successful launches, including strength in powder coatings, heavy-duty equipment, transportation, and electrical infrastructure for data centers. Management said the industrial business has a pipeline of approximately $25 million per quarter of new industrial segment wins.
- Packaging Coatings Share GainsPackaging coatings delivered outstanding double-digit organic sales growth, with sales volumes up more than 20% on a two-year stack basis. PPG attributed the gains to share increases supported by its BPA non-intent technologies, global manufacturing footprint, and technical partnerships with customers.
- Outside-the-Can Solutions ExpansionPPG said its outside-the-can productivity solutions are growing three times faster than the average growth rate of its portfolio. These solutions now represent a solid double-digit percentage of total sales and carry a higher margin profile.
- Productivity and Restructuring ProgramsPPG expects approximately $100 million combined from restructuring and productivity actions across 2026 and 2027. More than 50% of the company's productivity initiatives and restructuring actions are occurring in the architectural business. Four plant closures in Architectural Coatings EMEA are expected to provide a significant portion of the restructuring benefit in the first half of 2027.
- Raised Full-Year EPS OutlookPPG raised the midpoint of its full-year adjusted earnings per share outlook and narrowed the guidance range to $7.90 to $8.10 per share.
- Fourth-Quarter Margin and Sales OutlookFor the fourth quarter, PPG expects total company organic sales growth in the low-single-digit percentage range and adjusted EBITDA margin from flat to an increase of 100 basis points year over year. The company expects Architectural Coatings organic sales from flat to up a low-single-digit percentage, Performance Coatings growth in the low- to mid-single-digit percentage range, and Industrial Coatings organic sales from down to up a low-single-digit percentage.
- AI-Enabled Formulation and InnovationPPG is using AI to optimize raw-material combinations without sacrificing customer performance. The company said it has applied the capability to more than 150 formulas and that the work provides offsets to inflationary pressures.
- Long-Term Growth and Margin PrioritiesManagement expects organic growth momentum and margin expansion to continue, supported by commercial actions, richer mix, productivity and restructuring initiatives, aerospace backlog, packaging growth, Mexico opportunities, and the company's technology pipeline.
MX:PPG Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Jan 21, 2027 | 2026 (Q4) | 31.85- | 28.51 | ― | ― |
| Oct 27, 2026 | 2026 (Q3) | 40.0942.48 | 40.22 | 5.63% (+2.27) | |
| Jul 28, 2026 | 2026 (Q2) | 42.5442.11 | 41.92 | 0.45% (+0.19) | |
| Apr 28, 2026 | 2026 (Q1) | 33.5934.55 | 32.48 | 6.40% (+2.08) | |
| Jan 27, 2026 | 2025 (Q4) | 29.8328.51 | 30.4 | -6.21% (-1.89) | |
| Oct 28, 2025 | 2025 (Q3) | 39.6140.22 | 40.22 | 0.00% (+0.00) | |
| Jul 29, 2025 | 2025 (Q2) | 42.1341.92 | 47.21 | -11.20% (-5.29) | |
| Apr 29, 2025 | 2025 (Q1) | 30.5532.48 | 35.12 | -7.53% (-2.64) | |
| Jan 30, 2025 | 2024 (Q4) | 31.0430.40 | 28.89 | 5.23% (+1.51) | |
| Oct 16, 2024 | 2024 (Q3) | 40.5440.22 | 39.09 | 2.90% (+1.13) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed