Highlights Q2 2020
ROS, excluding unallocated costs1, increased to 14.0% (2019: 13.7%) due to strong margin management and cost savings
Headwinds related to COVID-19 eased during the quarter, with revenue almost 30% lower in April and nearly 5% lower in June
Total cost savings delivered
Net cash from operating activities improved to
Q2 2020 (compared to Q2 2019)
Revenue 19% lower and 17% lower in constant currencies, with positive price/mix of 2% and 18% lower volumes, mainly due to the impact of COVID-19
Adjusted operating income2 at
Operating income at
Net income attributable to shareholders at
Adjusted EPS from continuing operations at
'Despite lower end market demand, our business return on sales increased 30 basis points to 14% for the second quarter as a result of continued focus on margin management and cost-saving measures.
'I'm extremely proud of our teams around the world, who have continued to focus on serving our customers and delivered this resilient performance while also helping many communities affected by the pandemic.
'Our rigorous cash management and strong balance sheet put us in a sound position to deal with the ongoing uncertainty from COVID-19 as we strive to deliver powerful performance as a frontrunner in our industry.'
Recent highlights
Partnership with
Our global partnership with
Rising to the challenge
The outbreak of COVID-19 has not only seen us continue to supply our products to critical industries around the world. Our businesses and employees have also made every effort to support local projects and community initiatives in an effort to help as many people as possible.
Dulux gets tough on walls
The battle to keep interior walls stain-free has escalated following the launch of Dulux EasyCare+. Reinforced with Scuff Resist technology, the paint forms a durable matt coating, providing extraordinary mechanical strength. So it prevents those familiar battle scars you often get when plastic, rubber or wood is knocked against a wall.
Interpon puts the emphasis on hygiene
Our Interpon powder coatings continue to make an important contribution to critical industries around the world. We recently expanded our antimicrobial offering (which already includes products for hygiene sensitive environments such as hospitals) by enhancing the functionality of our Interpon D1000 and 2000 range of architectural powder coatings. The inclusion of BioCote antimicrobial technology means that building interiors can now be given increased protection against microbes such as bacteria and mold - which can cause issues such as bad odors, staining or material degradation.
*BioCote technology does not protect users or others against disease-causing bacteria, germs, viruses or other harmful organisms. This technology is not a substitute for good hygiene and/or cleaning practices.
Innovation out of adversity
We received nearly 200 entries for our internal Paint the Future innovation challenge. It aimed to capture some of the creative thinking which emerged over the last few months following the COVID-19 outbreak, as employees improvised and learned to adapt to new and challenging situations. A group of 500 employees from across the company was invited to rate the ideas and drew up the shortlist which was used to determine the winners.
Beaming with pride
Our CEO,
Outlook:
The report
1 ROS excluding unallocated cost is adjusted operating income as percentage of revenue for Decorative Paints and Performance Coatings; it excludes unallocated corporate center costs; 2 Adjusted operating income = operating income excluding identified items; 3 Constant Currencies calculations exclude the impact of changes in foreign exchange rates
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