PPG Industries Inc (NYSE:PPG) shares are rising in extended trading Wednesday after the company announced global price increases and reported preliminary first-quarter results.
- PPG Industries stock is under selling pressure. Why are PPG shares declining?
PPG Anticipates Strong Q1 Earnings
After the market close on Wednesday, PPG announced that it started raising prices across all of its product lines by up to 20% amid continued global volatility and supply constraints.
“This pricing action allows us to ensure availability of supply as we navigate unexpected and increased cost pressures,” said Tim Knavish, chairman and CEO of PPG Industries.
PPG also reported preliminary results for the first quarter. The company said it expects first-quarter adjusted earnings to come in at $1.83 per share versus estimates of $1.71 per share, according to Benzinga Pro.
“Strong performance in our differentiated architectural coatings Latin America and aerospace businesses coupled with the execution of our self-help actions drove segment EBITDA margin above our original expectations,” Knavish said.
In addition, PPG expects second-quarter organic sales and adjusted earnings growth to be in the flat to low single-digit percentage range.
PPG is scheduled to report full first-quarter financial results after the market close on April 28.
PPG Shares Jump After The Close
PPG Price Action: PPG shares were up 3.97% in after-hours on Wednesday, trading at $112 at the time of publication, per Benzinga Pro.
Image: Shutterstock.com
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