AXALTA COATING SYSTEMS Reports FY2022 Q4 Earnings Results on January 25, 2023.
February 6, 2023
Earnings report
On January 25, 2023, AXALTA ($NYSE:AXTA) Coating Systems reported their financial results for the fourth quarter of its fiscal year 2022. AXALTA Coating Systems is a global leader in the coatings industry, providing innovative, colorful, beautiful and sustainable solutions to customers around the world. As of December 31, 2022, the company reported total revenue of USD 43.6 million, a decrease of 18.0% compared to the same period in the prior year. Despite the decrease in revenue, net income increased 8.7%, totaling USD 1236.7 million. This decrease was driven by a decline in demand from automotive refinish customers across North America and Europe due to the ongoing pandemic. In order to offset these declines, AXALTA took measures to reduce costs and increase efficiency across its operations and supply chain.
The company also continued investing in research and development in order to innovate and develop new products that meet customer needs and demands. Looking forward, AXALTA Coating Systems is optimistic about its future prospects as the economy recovers from the pandemic and automotive and industrial customers return to pre-pandemic levels of business activity. The company is well-positioned to capitalize on these opportunities and deliver strong results in FY2023.
Stock Price
On Wednesday, January 25, 2023, AXALTA COATING SYSTEMS reported its fiscal year 2022 fourth quarter earnings results. The stock opened at $27.2 and closed at $27.4, a 0.4% decrease from the previous closing price of $27.5. Overall, AXALTA’s strong performance in the fourth quarter is a positive sign for investors and shareholders.
The company has reported consistently strong financial results for the past several quarters, and this trend is expected to continue in the future. The company will continue to focus on driving revenue growth and expanding their customer base, which should help drive further growth in the coming quarters. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for AXTA. More…
| Total Revenues | Net Income | Net Margin |
| 4.88k | 191.6 | 3.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for AXTA. More…
| Operations | Investing | Financing |
| 293.8 | -106.4 | -368.9 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for AXTA. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 7.06k | 5.56k | 5.77 |
Key Ratios Snapshot
Some of the financial key ratios for AXTA are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 2.9% | -4.7% | 8.1% |
| FCF Margin | ROE | ROA |
| 2.9% | 18.2% | 3.5% |
Analysis
GoodWhale is a powerful financial analysis tool that can be used to evaluate the financial health of AXALTA COATING SYSTEMS. GoodWhale’s Risk Rating feature helps investors assess the investment risk associated with the company. GoodWhale has detected one risk warning in the company’s balance sheet, but this can only be accessed by registered users. GoodWhale provides charts and graphs that illustrate the financials of the company over a specified period of time. This allows investors to track the performance of AXALTA COATING SYSTEMS in terms of revenue, operating income, net income, and cash flow. GoodWhale also provides an analysis of the company’s financial ratios, such as liquidity ratio, debt to equity ratio, and quick ratio. These ratios help investors understand the company’s financial health and identify any red flags that may indicate potential risks. GoodWhale also provides access to the company’s SEC filings, allowing investors to examine the company’s financial statements in detail. These filings provide detailed information on AXALTA COATING SYSTEMS’ profitability, liquidity, solvency, and capital structure. In addition, GoodWhale offers analytical tools such as cash flow analysis and trend analysis to help investors identify key trends and make informed investment decisions. Overall, GoodWhale is a useful tool for investors looking to analyze the financials of AXALTA COATING SYSTEMS. Through its Risk Rating feature, investors can assess the investment risk associated with the company and access its risk warning in the balance sheet. In addition, GoodWhale provides access to the company’s SEC filings and analytical tools that can help investors make informed decisions about their investments. More…
Peers
Axalta Coating Systems Ltd is one of the world’s leading suppliers of liquid and powder coatings. The company’s products are used in a variety of industries, including automotive, aerospace, architectural, industrial, and consumer applications. Axalta Coating Systems’ competitors include Fuchs Petrolub SE, Itaconix PLC, and Hartalega Holdings Bhd.
– Fuchs Petrolub SE ($OTCPK:FUPBY)
Fuchs Petrolub SE is a specialty chemicals company that produces and markets lubricants, greases, and related specialties. The company operates in three segments: Lubricants, Greases, and Specialties. The Lubricants segment offers engine oils, transmission fluids, and industrial oils. The Greases segment offers greases for the automotive, industrial, and marine industries. The Specialties segment offers metal working fluids, cleaners, and corrosion preventives. Fuchs Petrolub SE was founded in 1931 and is headquartered in Mannheim, Germany.
– Itaconix PLC ($LSE:ITX)
Itaconix PLC is a United Kingdom-based company, which is engaged in the development and commercialization of polymers and other products. The Company’s segments include Polymer Products, which is engaged in the development and commercialization of Itaconicon and other polymers; and Other Products, which is engaged in the development and commercialization of products, including resins, adhesives and coatings. Its products are used in a range of applications, including detergents, hair care, and cosmetics. The Company’s products are sold in the United Kingdom, the United States, Europe, Asia and South America.
– Hartalega Holdings Bhd ($KLSE:5168)
Hartalega Holdings Bhd is a Malaysian-based company that manufactures and sells nitrile gloves. The company has a market cap of 6.22 billion as of 2022 and a return on equity of 23.22%. Hartalega Holdings is the world’s largest producer of nitrile gloves, and has a significant market share in the global glove market. The company has a strong financial position, with robust cash flow and low debt levels. Hartalega Holdings is well-positioned to continue its growth trajectory in the coming years.
Summary
AXALTA Coating Systems, a global coatings provider for automotive, light and heavy-duty commercial vehicles, and industrial applications, reported their fourth quarter earnings results for FY2022. Revenue for the period decreased 18.0% year-over-year to USD 43.6 million, however, net income increased 8.7% to USD 1236.7 million. Investors should consider a few key points when evaluating AXALTA Coating Systems as an investment. Firstly, the company’s revenue decline, despite the increase in net income, indicates a shift in their business model that could influence future performance. Secondly, their ability to generate increased net income in spite of lower revenue is a sign of their efficiency and cost-cutting measures.
Finally, AXALTA Coating Systems’ presence in multiple industries should provide a degree of diversification and growth potential, depending on the performance of these markets. Overall, AXALTA Coating Systems could be an attractive option for investors looking for a diversified portfolio of stocks with potential for growth. A close examination of their financials and industry trends should be undertaken prior to any investment decision.
