PPG Full-Year Report 2023

• Fourth quarter highlights include:
  • Record fourth quarter net sales of $4.4 billion
  • Net sales up 4% year over year (YOY), including organic sales growth of 1%
  • Quarterly earnings per diluted share (EPS) of $0.38 and adjusted EPS of $1.53
  • Further progress on margin recovery; segment margin up 260 basis points YOY
  • Share repurchases of $100 million
• Full-year 2023 highlights include:
  • Record sales of $18.2 billion; aided by 3% organic sales growth
  • EPS of $5.35 and record adjusted EPS of $7.67
  • Record operating cash flow of over $2.4 billion; up more than $1.4 billion YOY

• Performance Coatings net sales increased 5%, led by higher selling prices and favorable foreign currency translation.
• Segment income increased by 19% versus the prior year primarily due to higher selling prices and moderating input costs. Segment operating margins improved by 150 basis points year over year.

Record full-year 2023 net sales were approximately $18.2 billion, up about 3% versus the prior year. Organic sales were higher by 3% driven by higher selling prices. Adjusted EPS was also a record, increasing 27% due to higher selling prices, moderating input costs, structural cost savings and favorable foreign-currency translation, partially offset by lower sales volumes. Ending the year, input costs and inventory levels remain above historical levels.