Dutch paints and coatings maker Akzo Nobel has suspended its 2023 core profit outlook, citing macroeconomic turbulence which is negatively affecting consumer confidence.
“This resulted in destocking across several distribution channels in decorative paints in Europe and performance coatings, while the market in China was impacted by the continued zero COVID-19 policy,” chief executive Thierry Vanlancker said in a press release on Thursday.
The Amsterdam-based group, which makes the Dulux and Flexa paints and supplies to sectors starting from aerospace to yachts, said several markets are expected to experience disruptions.
Akzo Nobel, which had previously forecast to achieve earnings before interest, taxes, depreciation and amortisation (EBITDA) of two billion euros ($1.96 billion) in 2023, said it would offer further guidance when it publicizes full-year results.
The corporate posted a third-quarter adjusted operating income excluding the retrospective impact of hyperinflation accounting at 201 million euros, inside the 195-215 million euros range it had guided for in September. Analysts in a Vara Research poll had on average estimated it to are available in at 195.8 million euros.