- Completed sale of Specialty Chemicals business on October 1, 2018; returning a total of €6.5 billion to shareholders
- Robust pricing initiatives and cost-saving programs successfully fueled revenue growth in constant currencies and higher profitability in the second half of the year
- Progress towards delivering our Winning together: 15 by 20 strategy, despite continued headwinds from adverse currencies and higher raw material costs
- Phase one of our transformation to create a fit-for-purpose organization fully delivered on the €110 million planned savings for 2018
- Next step taken in our transformation to deliver the next €200 million cost savings by 2020
- Strong bolt-on acquisitions including Fabryo in Romania; Xylazel in Spain; Colourland Paints in Malaysia
- Acquisition of minority interest share to obtain full ownership of the AkzoNobel Swire Paints joint venture in China at opportune moment, enabling strategic flexibility
We are delivering towards our Winning together: 15 by 20 strategy and continue creating a fit-for-purpose organization for a focused paints and coatings company, contributing to the achievement of our 2020 guidance.
Demand trends differ per region and segment in an uncertain macro-economic environment. Raw material inflation is expected to continue during the first half of 2019, although at a lower rate than 2018. Robust pricing initiatives and cost saving programs are in place to address the current challenges.
We continue executing our transformation to deliver the next €200 million cost savings by 2020, incurring one-off costs in 2019 and 2020.
We target a leverage ratio of between 1.0-2.0 times net debt/ EBITDA by the end of 2020 and commit to retain a strong investment grade credit rating.
* Excluding unallocated corporate center costs and invested capital; assumes no significant market disruption