Highlights

  • Net sales were $4,353 million for the third quarter ended September 30, 2026, compared with $4,082 million a year earlier.
  • Earnings per diluted share from continuing operations were $2.12, and non-GAAP adjusted earnings per diluted share were $2.25.
  • Nine-month cash from operating activities was $1,158 million, and cash and short-term investments were $1.6 billion at September 30, 2026.
  • Management said on the call it expects full-year adjusted earnings per share of $7.90 to $8.10 for 2026.

PPG Industries, Inc. (NYSE:PPG) shares were trading at USD 119.29 on October 28, 2026, up 5.16%, with a relative volume at time of 5.35. The coatings company filed its quarterly report for the period ended September 30, 2026 on October 28, 2026, and management discussed fourth quarter expectations on its earnings call.

PPG Industries, Inc. is incorporated in Pennsylvania and lists its principal executive offices at One PPG Place in Pittsburgh. It reports two segments, Performance Coatings and Industrial Coatings, and sells in four regions: the United States and Canada, EMEA, Asia Pacific and Latin America. Its Performance Coatings businesses include aerospace, automotive refinish, and protective and marine coatings. Its Industrial Coatings businesses include automotive OEM, industrial and packaging coatings. The fiscal year ends December 31, and 220.9 million shares were outstanding at September 30, 2026.

Third Quarter Results

PPG reported net sales of $4,353 million for the three months ended September 30, 2026, compared with $4,082 million a year earlier. The company said net sales increased $271 million, citing higher selling prices (+3%), higher sales volumes (+2%), foreign currency translation (+1%) and acquisitions (+1%).

Income before income taxes was $631 million, compared with $556 million. Income from continuing operations was $478 million, and net income attributable to PPG was $451 million, compared with $453 million. Loss from discontinued operations, net of tax, was $(22) million, compared with income of $9 million. Earnings per diluted share from continuing operations were $2.12, compared with $1.96. Adjusted earnings per diluted share, a non-GAAP measure, were $2.25, compared with $2.13.

For the nine months, net sales were $12,778 million, compared with $11,961 million, and earnings per diluted share from continuing operations were $5.78, compared with $5.57.

Segment Results

Performance Coatings net sales were $1,554 million, compared with $1,414 million. Segment income was $332 million, compared with $272 million. Aerospace organic sales increased by a double-digit percentage, and traffic solutions organic sales decreased by a mid-single-digit percentage.

Industrial Coatings net sales were $1,744 million, compared with $1,656 million. Segment income was $200 million, compared with $233 million. The company cited cost of goods sold inflation, partially offset by higher sales volumes and selling prices. Automotive OEM coatings organic sales decreased by a low-single-digit percentage, and packaging coatings organic sales increased by a double-digit percentage.

Cash, Debt and Capital

PPG had cash and short-term investments of $1.6 billion at September 30, 2026, compared with $2.2 billion at December 31, 2025. Cash from operating activities for the nine months was $1,158 million, compared with $1,054 million. Cash used for investing activities was $653 million, and cash used for financing activities was $1,099 million. In March 2026, the company repaid its $700 million 1.2% notes using cash on hand, and in June 2026 it completed an offering of Swiss franc notes due 2030 and 2034.

In September 2026, PPG repurchased 1,399,927 shares at an average price of $107.16 under its repurchase program. Total capital spending is expected to be approximately $650 million to $700 million in 2026.

Outlook

For the fourth quarter of 2026, the 10-Q states that the company expects Performance Coatings organic sales growth in the range of a low-single-digit percentage to a mid-single-digit percentage. For Industrial Coatings, it expects organic sales in the range of a low-single-digit percentage decline to growth of a low-single-digit percentage.

On the call, management said it expects full-year adjusted earnings per share of $7.90 to $8.10 and fourth quarter cost of goods sold inflation in the high-single-digit range. The filing also states that restructuring savings are expected to be approximately $50 million in 2026, with restructuring cash outlays of approximately $60 million to $80 million.