AkzoNobel Reports Revenue Increase in 2010
AMSTERDAM, The Netherlands - Akzo Nobel N.V. (AkzoNobel) reported a revenue increase of 12 percent for 2010 to EUR 14.6 billion. EBITDA increased 16 percent to EUR 1,964 million, with EBITDA margins up at 13.4 percent. Total 2010 net income increased 165 percent to EUR 754 million. Revenue growth was driven by a six-percent volume increase across all three business areas as demand recovered, particularly in high-growth markets.
For the fourth quarter, volumes were up three percent, pricing improved four percent and EBITDA rose three percent to EUR 377 million. The total net income amounted to EUR 162 million.
Raw material prices increased in 2010, particularly in the second half of the year. The company expects 2011 prices to increase further. Pricing and cost reduction actions are ongoing, and AkzoNobel is confident that it will be able to compensate for these increases during 2011.
CEO Hans Wijers commented, "Our 2010 performance marks the first year of delivery of our new strategy. All business areas have reported strong revenue growth, increased profitability, improved sustainability performance and higher returns on invested capital.
"AkzoNobel's revenue in high-growth markets, currently representing around 40 percent of our total, grew more than 20 percent, outperforming the market in 2010. In our mature markets, revenue increased close to 10 percent, further evidence that our medium-term growth plans are on track.”
Looking forward, the company is aiming for more than five-percent revenue and EBITDA growth in 2011.