Attached files
| file | filename |
|---|---|
| 8-K - 8-K - PPG INDUSTRIES INC | form8-k2017discontinuedope.htm |
Exhibit 99.1
Adjusted Earnings Per Diluted Share Reconciliation
Regulation G Reconciliation - Results from Operations
PPG Industries, Inc. believes investors’ understanding of the company’s operating performance is enhanced by the disclosure of net income and earnings per diluted share adjusted for certain charges. PPG’s management considers this information useful in providing insight into the company’s ongoing operating performance because it excludes the impact of items that cannot reasonably be expected to recur on a quarterly basis or that are not attributable to our primary operations. Net income and earnings per diluted share adjusted for these items are not recognized financial measures determined in accordance with U.S. generally accepted accounting principles (GAAP) and should not be considered a substitute for net income or earnings per diluted share or other financial measures as computed in accordance with U.S. GAAP. In addition, adjusted net income and earnings per diluted share may not be comparable to similarly titled measures as reported by other companies. Net income (attributable to PPG) and earnings per share – assuming dilution are reconciled to adjusted net income (attributable to PPG) and adjusted earnings per share – assuming dilution on the following slides.
Adjusted Earnings Per Diluted Share Reconciliation
First Quarter Reporting Period
Amounts in millions, except EPS* | Continuing Operations | Discontinued Operations | Total PPG | |||||||||||||||||||||
Net Income | EPS* | Net Income | EPS* | Net Income | EPS* | |||||||||||||||||||
First Quarter 2017 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 328 | $ | 1.27 | $ | 6 | $ | 0.02 | $ | 334 | $ | 1.29 | ||||||||||||
Transaction-related costs | 3 | 0.01 | — | — | 3 | 0.01 | ||||||||||||||||||
Pension settlement charge | 14 | 0.05 | — | — | 14 | 0.05 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 345 | $ | 1.33 | $ | 6 | $ | 0.02 | $ | 351 | $ | 1.35 | ||||||||||||
First Quarter 2016 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 328 | $ | 1.22 | $ | 19 | $ | 0.07 | $ | 347 | $ | 1.29 | ||||||||||||
Transaction-related costs | 1 | 0.01 | — | — | 1 | 0.01 | ||||||||||||||||||
Asset write-down | — | — | 3 | 0.01 | 3 | 0.01 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 329 | $ | 1.23 | $ | 22 | $ | 0.08 | $ | 351 | $ | 1.31 | ||||||||||||
First Quarter 2015 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 300 | $ | 1.09 | $ | 22 | $ | 0.08 | $ | 322 | $ | 1.17 | ||||||||||||
Transaction-related costs | 3 | 0.01 | 3 | 0.01 | 6 | 0.02 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 303 | $ | 1.10 | $ | 25 | $ | 0.09 | $ | 328 | $ | 1.19 | ||||||||||||
First Quarter 2014 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 275 | $ | 0.97 | $ | 987 | $ | 3.51 | $ | 1,262 | $ | 4.48 | ||||||||||||
Transaction-related costs | 2 | 0.01 | — | — | 2 | 0.01 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 277 | $ | 0.98 | $ | 987 | $ | 3.51 | $ | 1,264 | $ | 4.49 | ||||||||||||
First Quarter 2013 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 189 | $ | 0.63 | $ | 2,221 | 7.52 | $ | 2,410 | $ | 8.15 | |||||||||||||
Legacy pension costs | 13 | 0.04 | — | — | 13 | 0.04 | ||||||||||||||||||
Environmental costs | 8 | 0.03 | — | — | 8 | 0.03 | ||||||||||||||||||
Transaction-related costs | 5 | 0.01 | — | — | 5 | 0.01 | ||||||||||||||||||
U.S. tax law change enacted in 2013 | (10 | ) | (0.03 | ) | — | — | (10 | ) | (0.03 | ) | ||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 205 | $ | 0.68 | $ | 2,221 | $ | 7.52 | $ | 2,426 | $ | 8.20 | ||||||||||||
*Earnings per diluted share
Adjusted Earnings Per Diluted Share Reconciliation
Second Quarter Reporting Period
Amounts in millions, except EPS* | Continuing Operations | Discontinued Operations | Total PPG | |||||||||||||||||||||
Net Income | EPS* | Net Income | EPS* | Net Income | EPS* | |||||||||||||||||||
Second Quarter 2016 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 339 | $ | 1.25 | $ | 31 | $ | 0.12 | $ | 370 | $ | 1.37 | ||||||||||||
Transaction-related costs | 4 | 0.02 | 1 | — | 5 | 0.02 | ||||||||||||||||||
Asset write-down | 8 | 0.03 | — | — | 8 | 0.03 | ||||||||||||||||||
Gain on sale of equity affiliate | (13 | ) | (0.05 | ) | — | — | (13 | ) | (0.05 | ) | ||||||||||||||
Net tax effect of asbestos settlement funding | 128 | 0.48 | — | — | 128 | 0.48 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 466 | $ | 1.73 | $ | 32 | $ | 0.12 | $ | 498 | $ | 1.85 | ||||||||||||
Second Quarter 2015 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 311 | $ | 1.14 | $ | 26 | $ | 0.09 | $ | 337 | $ | 1.23 | ||||||||||||
Transaction-related costs | 15 | 0.05 | — | — | 15 | 0.05 | ||||||||||||||||||
Business restructuring charge | 105 | 0.39 | 1 | — | 106 | 0.39 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 431 | $ | 1.58 | $ | 27 | $ | 0.09 | $ | 458 | $ | 1.67 | ||||||||||||
Second Quarter 2014 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 386 | $ | 1.38 | $ | — | $ | — | $ | 386 | $ | 1.38 | ||||||||||||
Transaction-related costs | 2 | 0.01 | — | — | 2 | 0.01 | ||||||||||||||||||
Pension settlement charge | 3 | 0.01 | — | — | 3 | 0.01 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 391 | $ | 1.40 | $ | — | $ | — | $ | 391 | $ | 1.40 | ||||||||||||
Second Quarter 2013 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 315 | $ | 1.08 | $ | 26 | $ | 0.09 | $ | 341 | $ | 1.17 | ||||||||||||
Transaction-related costs | 13 | 0.05 | 2 | 0.01 | 15 | 0.06 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 328 | $ | 1.13 | $ | 28 | $ | 0.10 | $ | 356 | $ | 1.23 | ||||||||||||
*Earnings per diluted share
Adjusted Earnings Per Diluted Share Reconciliation
Third Quarter Reporting Period
Amounts in millions, except EPS* | Continuing Operations | Discontinued Operations | Total PPG | |||||||||||||||||||||
Net Income | EPS* | Net Income | EPS* | Net Income | EPS* | |||||||||||||||||||
Third Quarter 2016 | ||||||||||||||||||||||||
Net (Loss)/Income Attributable to PPG as Reported | $ | (211 | ) | $ | (0.79 | ) | $ | 27 | $ | 0.10 | $ | (184 | ) | $ | (0.69 | ) | ||||||||
Pension settlement charges | 616 | 2.31 | — | — | 616 | 2.31 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 405 | $ | 1.52 | $ | 27 | $ | 0.10 | $ | 432 | $ | 1.62 | ||||||||||||
Third Quarter 2015 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 410 | $ | 1.51 | $ | 23 | $ | 0.08 | $ | 433 | $ | 1.59 | ||||||||||||
Transaction-related costs | 1 | — | — | — | 1 | — | ||||||||||||||||||
Pension settlement charge | 5 | 0.02 | — | — | 5 | 0.02 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 416 | $ | 1.53 | $ | 23 | $ | 0.08 | $ | 439 | $ | 1.61 | ||||||||||||
Third Quarter 2014 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 340 | $ | 1.22 | $ | 31 | $ | 0.11 | $ | 371 | $ | 1.33 | ||||||||||||
Transaction-related costs | 2 | 0.01 | — | — | 2 | 0.01 | ||||||||||||||||||
Pension settlement charge | 2 | 0.01 | — | — | 2 | 0.01 | ||||||||||||||||||
Legacy environmental reserves | 86 | 0.30 | — | — | 86 | 0.30 | ||||||||||||||||||
Gain on asset sales | (59 | ) | (0.21 | ) | (14 | ) | (0.05 | ) | (73 | ) | (0.26 | ) | ||||||||||||
Adjusted Net Income Attributable to PPG | $ | 371 | $ | 1.33 | $ | 17 | $ | 0.06 | $ | 388 | $ | 1.39 | ||||||||||||
Third Quarter 2013 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 188 | $ | 0.65 | $ | 38 | $ | 0.13 | $ | 226 | $ | 0.78 | ||||||||||||
Transaction-related costs | 3 | 0.01 | 1 | — | 4 | 0.01 | ||||||||||||||||||
Legacy environmental reserves | 56 | 0.19 | — | — | 56 | 0.19 | ||||||||||||||||||
Business restructuring charge | 70 | 0.24 | 3 | 0.01 | 73 | 0.25 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 317 | $ | 1.09 | $ | 42 | $ | 0.14 | $ | 359 | $ | 1.23 | ||||||||||||
*Earnings per diluted share
Adjusted Earnings Per Diluted Share Reconciliation
Fourth Quarter Reporting Period
Amounts in millions, except EPS* | Continuing Operations | Discontinued Operations | Total PPG | |||||||||||||||||||||
Net Income | EPS* | Net Income | EPS* | Net Income | EPS* | |||||||||||||||||||
Fourth Quarter 2016 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 91 | $ | 0.34 | $ | 253 | $ | 0.96 | $ | 344 | $ | 1.30 | ||||||||||||
Business restructuring charge | 144 | 0.55 | 2 | — | 146 | 0.55 | ||||||||||||||||||
Environmental remediation charge | 51 | 0.20 | — | — | 51 | 0.20 | ||||||||||||||||||
Loss on divestiture of European fiber glass business | — | — | 44 | 0.17 | 44 | 0.17 | ||||||||||||||||||
Net gain on disposals of ownership interests | (8 | ) | (0.04 | ) | (25 | ) | (0.09 | ) | (33 | ) | (0.13 | ) | ||||||||||||
Premium on early retirement of debt | 5 | 0.02 | — | — | 5 | 0.02 | ||||||||||||||||||
Net tax effect of asbestos settlement funding | 23 | 0.09 | — | — | 23 | 0.09 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 306 | $ | 1.16 | $ | 274 | $ | 1.04 | $ | 580 | $ | 2.20 | ||||||||||||
Fourth Quarter 2015 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 290 | $ | 1.07 | $ | 24 | $ | 0.09 | $ | 314 | $ | 1.16 | ||||||||||||
Transaction-related costs | 11 | 0.04 | — | — | 11 | 0.04 | ||||||||||||||||||
Equity affiliate debt refinancing charge | 7 | 0.03 | — | — | 7 | 0.03 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 308 | $ | 1.14 | $ | 24 | $ | 0.09 | $ | 332 | $ | 1.23 | ||||||||||||
Fourth Quarter 2014 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 66 | $ | 0.24 | $ | 17 | $ | 0.06 | $ | 83 | $ | 0.30 | ||||||||||||
Transaction-related costs | 30 | 0.10 | 6 | 0.03 | 36 | 0.13 | ||||||||||||||||||
Debt refinancing charge | 200 | 0.72 | — | — | 200 | 0.72 | ||||||||||||||||||
Favorable foreign tax ruling | (29 | ) | (0.11 | ) | — | — | (29 | ) | (0.11 | ) | ||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 267 | $ | 0.95 | $ | 23 | $ | 0.09 | $ | 290 | $ | 1.04 | ||||||||||||
Fourth Quarter 2013 | ||||||||||||||||||||||||
Net Income Attributable to PPG as Reported | $ | 225 | $ | 0.78 | $ | 29 | $ | 0.10 | $ | 254 | $ | 0.88 | ||||||||||||
Transaction-related costs | 3 | 0.01 | 1 | 0.01 | 4 | 0.02 | ||||||||||||||||||
Adjusted Net Income Attributable to PPG | $ | 228 | $ | 0.79 | $ | 30 | $ | 0.11 | $ | 258 | $ | 0.90 | ||||||||||||
*Earnings per diluted share