PPG's New Flyer on Duranar Coatings

Zacks Equity Research

Coatings giant PPG Industries Inc. (PPG) has released a new flyer which exhibits the specialty finishes and environmentally advanced formulations for five of its Duranar coatings.

The new flyer is a colorful one-page document titled ‘Duranar Coating Innovations’. The leaflet contains information about Duranar VARI-COOL coatings, which combine polychromatic pigments with proprietary ULTRA-COOL infrared (IR)-reflective coating technology by PPG.

The specialty of Duranar VARI-COOL coatings lies in their aesthetic and energy-saving dimension that these gives to the metal roofs and wall panels by shifting color when ambient light conditions and viewing angles change. These coatings are also preferred as it helps buildings use less air conditioning by deflecting solar heat.

Apart from information about Duranar VARI-COOL coatings, the flyer also includes information about Duranar pearl, Duranar textured powder and Duranar liquid patterned-effect coatings. The uniqueness of the Duranar pearl coats is that it leaves the metal surfaces with a 3-D look by mixing shimmering effect pigments into the clear coat layer instead of the white, ivory or beige-colored base layer.

On the other hand, Duranar textured powder coatings gives a distinctive salt-and-pepper appearance in a range of colors while providing the hardness and solvent-free, low emissions of powder coatings. Duranar liquid patterned-effect coatings are designed to reflect the look of exotic metal finishes without the high cost associated with those products.

The flyer readers can also get information regarding the “green” and performance advancements associated with next-generation Duranar coatings made with lead-free pigments. The flyer also captures panel photos in bright oranges and yellows that exhibit the vibrancy and colorfastness after five years of South Florida exposure testing for heat, humidity and sunlight.

PPG Industries released its fourth-quarter 2013 results on Jan 16. The company reported adjusted earnings from continuing operations (excluding acquisition-related expenses of $4 million or 3 cents per share) of $1.81 a share for fourth-quarter 2013, up 45% year over year from $1.25 per share reported in the year-ago quarter. The results exceeded the Zacks Consensus Estimate of $1.73 per share.

Profit from continued operation (as reported) was $254 million or $1.78 per share in the fourth quarter, surging roughly 33% from $191 million or $1.23 per share posted in the prior-year quarter. Healthy results in the fourth quarter were also backed by continuing operating and cost discipline coupled with a higher level of organic sales growth.
 
Revenues rose 14% year over year to $3,702 million in the quarter from $3,243 million in the year-ago quarter and were also ahead of the Zacks Consensus Estimate of $3,698 million. The year-over-year rise is attributable to higher industry demand in aerospace and automotive OEM coatings. The results were also aided by stabilizing regional demand in Europe.

PPG Industries is a Zacks Rank #2 (Buy) stock.

Other companies in the chemical industry worth considering include Methanex Corp. (MEOH), Northern Technologies International Corp. (NTIC) and The Dow Chemical Co. (DOW). While both Methanex and Northern Technologies carry a Zacks Rank #1 (Strong Buy), Dow Chemical holds a Zacks Rank #2 (Buy).

Read the Full Research Report on PPG
Read the Full Research Report on NTIC
Read the Full Research Report on DOW
Read the Full Research Report on MEOH


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