Decorative Paints – Overview
- Full-year revenue down 6 percent due to divestments, adverse currency and price/mix effects
- Positive full-year volume development in Asia, while in Europe, volume development was flat
- Successful completion of new operating model in Europe
- Full-year operating income up 24 percent (excluding an incidental gain from a divestment in 2013); ROS at 6.3 percent (2013: 4.8 percent)
Full-year volume in Decorative Paints was up 1 percent. Revenue declined 6 percent compared with 2013 due to divestments, adverse currency and price/mix effects. The latter was mainly driven by the sale of the German stores. Volumes were up 1 percent for the year, with an increase in Asia being partly offset by lower volumes in Latin America, reflecting the difficult trading conditions in the region. Volumes in EMEA were flat compared with 2013. Costs were down following the implementation of restructuring programs and strict cost control.
The decline in revenue in Q4 was mainly driven by weak demand following declining growth rates in all regions and the sale of the German stores, offset by positive price/mix effects in the regions outside Europe.