AkzoNobel in 2017

Creating two focused, high performing businesses

  • Separation of Specialty Chemicals on track for April 2018; Specialty Chemicals business now reported as discontinued operations
  • Revenue, including discontinued operations, up 3% (up 4% excluding currency impact) at €14,575 million
  • EBIT, including discontinued operations, up 2% to a record €1,525 million
  • Operating income, including discontinued operations, at €1,396 million includes identified items of €129 million, mainly related to the transformation of AkzoNobel, including the separation of Specialty Chemicals
  • 2020 financial guidance* reconfirmed: Paints and Coatings 15% ROS, ROI >25%; Specialty Chemicals 16% ROS, ROI >20%
  • Net income attributable to shareholders at €832 million (2016: €970 million)
  • Total dividend proposed for 2017 up 52% to €2.50 per share (2016: €1.65)
  • Special cash dividend of €4.00 per share paid in December 2017 as advance proceeds related to the separation of Specialty Chemicals
  • Net cash inflow from operating activities at €969 million (2016: €1,291 million)

* Excluding unallocated corporate center costs and invested capital; assumes no significant market disruption.

Revenue in € millions
Revenue in € millions (bar chart)
EBIT in € millions
EBIT in € millions (bar chart)

Continuing operations     Discontinued operations

ROS in %
ROS in % (bar chart)
ROI in %
ROI in % (bar chart)

Continuing operations     Discontinued operations     Total operations

Discontinued operations and held for sale

As from December 22, 2017, the Specialty Chemicals business is classified as held for sale and discontinued operations, therefore the consolidated statement of income for 2017, and for 2016, have been represented to show the results of the Specialty Chemicals business as discontinued.
The Specialty Chemicals business consists of the Specialty Chemicals Business Area and certain other assets and liabilities and income and expenses, which are directly attributed to the Specialty Chemicals business from the Other activities.

In the rest of this Report 2017, all financial numbers refer to Paints and Coatings (unless otherwise stated).

Paints and Coatings

Revenue by destination

At a glance – Key regions by revenue (worldmap)

Decorative Paints

€3.9 billion

revenue

9.0%

ROS

€351 million

EBIT

12.5%

ROI

Decorative Paints value creation

Performance Coatings

€5.8 billion

revenue

11.6%

ROS

€669 million

EBIT

23.4%

ROI

Performance Coatings value creation

Specialty Chemicals

€5.0 billion

revenue

€689 million

EBIT

13.8%

ROS

19.1%

ROI

Specialty Chemicals value creation