Axalta Q1 Sales $1.25B, Adjusted EBITDA $259M, Record Cash Flow
Axalta’s Q1 net sales reached $1.25 billion, adjusted EBITDA was $259 million (20.6% margin) and adjusted EPS hit $0.56, all above guidance. Operating cash flow rose to a record $68 million and free cash flow to $21 million, while management forecasts flat Q2 sales and $1.14–1.17 billion full-year EBITDA.
1. First Quarter Financial Results
Axalta reported Q1 ended March 31 net sales of $1.25 billion, down $8 million year over year, with net income of $91 million (7.3% margin). Adjusted EBITDA was $259 million (20.6% margin) and adjusted EPS $0.56, both exceeding guidance.
2. Segment Performance and Cash Flow
Operating cash flow reached a record $68 million, up $42 million year over year, while free cash flow rose to $21 million, up $35 million. Performance Coatings net sales were $802 million with a 22.4% adjusted EBITDA margin; Mobility Coatings delivered $452 million in sales and a 17.5% margin.
3. Merger Progress and Outlook
Management confirmed Q2 net sales to be flat year over year, with adjusted EBITDA projected at $280–290 million and full-year adjusted EBITDA of $1.14–1.17 billion. The company is advancing workstreams for its proposed merger with AkzoNobel, aiming to adhere to the integration timeline.