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Akzo Nobel posts fifth consecutive quarter of margin growth
Akzo Nobel has published its results for the second quarter of 2026, reporting increases in operating income, adjusted EBITDA margin, and organic sales.
Akzo Nobel has reported its financial results for the second quarter of 2026, with organic sales growth of 2%, driven by pricing, while reported revenue declined 1% to EUR 2,589 million (Q2 2025: EUR 2,626 million). Operating income rose to EUR 251 million, up from EUR 214 million in Q2 2025, representing a reported increase of 17%. Adjusted EBITDA reached EUR 398 million, with the adjusted EBITDA margin improving to 15.4% compared with 15.0% in the prior-year quarter. Net cash from operating activities was positive at EUR 170 million (Q2 2025: EUR 234 million).
For the first half of 2026, organic sales growth was flat, while reported revenue declined 5%, attributed to adverse currency effects. Operating income for the half-year period increased to EUR 428 million (H1 2025: EUR 406 million), and the adjusted EBITDA margin rose to 14.9% from 14.3% in the same period of the previous year. Organic adjusted EBITDA growth for the half-year amounted to EUR 39 million, driven by pricing.
Pricing and cost efficiency underpin performance
CEO Greg Poux-Guillaume commented on the results: “We had another strong quarter, with organic sales, operating income and adjusted EBITDA all increasing. Adjusted EBITDA margin was up by 40 base points, which marks the fifth consecutive quarter of increase. This demonstrates that our plan is delivering value regardless of market conditions. Robust pricing and a relentless focus on cost efficiency continue to support our performance.”
Poux-Guillaume also noted progress on sustainability and corporate development: “We’re delivering today while laying the foundations for a brighter tomorrow. We achieved our ambition of reducing carbon emissions from our operations by 50%, four years ahead of our 2030 target. Our merger with Axalta is progressing as planned, with the shareholder vote on 5 August and an expected closing at the end of 2026 or early 2027. And we remain on track to achieve our full-year targets.”
Full-year outlook and mid-term targets
Based on current market visibility, the coatings manufacturer expects to deliver EUR 100 million of adjusted EBITDA improvement in constant currencies, resulting in a full-year 2026 adjusted EBITDA at or above EUR 1.47 billion. This outlook is based on year-end 2025 exchange rates and is adjusted for the divestment of its liquid coatings businesses in India. The company also noted that the outlook is on a standalone basis and excludes any effects from the proposed merger with Axalta.
For the mid-term, the company aims to expand profitability to an adjusted EBITDA margin of above 16 % and a return on investment of between 16 % and 19 %, underpinned by organic growth and industrial excellence. Leverage is expected to be around two times net debt to adjusted EBITDA by the end of 2026, with a commitment to maintaining an investment grade credit rating.
