Protective Coatings Drive Jotun’s Q2 Underlying Growth
Courtesy of Jotun.
Need to Know
- Jotun’s second-quarter operating revenue increased 3.9%, while underlying revenue rose 11% after excluding negative currency-translation effects.
- Protective Coatings and South East Asia & Pacific were identified as areas of particularly strong underlying sales growth.
- The company said higher raw-material prices have not yet fully affected margins and warned that continued supply and logistics pressure could weigh on coming quarters.
Jotun reported double-digit underlying revenue and earnings growth in the second quarter of 2026, with Protective Coatings among the strongest contributors to sales growth.
Operating revenue increased 3.9% compared with the second quarter of 2025. Excluding negative currency-translation effects from a stronger Norwegian krone, underlying revenue increased 11%. Jotun said all business segments and regions contributed to the underlying increase, with particularly strong growth in Protective Coatings and South East Asia & Pacific.
Operating profit increased 13% year over year, while underlying operating profit increased 21%. The company attributed the underlying earnings growth to higher sales volumes and improved gross margin, with increased premium-product sales, pricing measures and cost controls helping offset higher raw-material costs.
For the first six months of 2026, Jotun reported operating revenue of NOK 17.554 billion, up 2.0% from the prior-year period. Operating profit increased 8.9% to NOK 4.035 billion. Underlying revenue increased 10%, while underlying earnings rose 19%.
Jotun said its outlook remains uncertain because of the ongoing conflict in the Middle East. Production and sales have continued in affected markets, but supply-chain constraints are affecting raw-material availability, lead times and logistics. Raw-material prices have increased significantly, although less than the company initially anticipated. Jotun said the full margin impact has not yet appeared in its results because of the time lag between raw-material price increases and their effect on profitability.
The company said continued pressure on raw-material supply and logistics could increasingly affect margins if the conflict persists, while maintaining its long-term growth strategy.
For more developments affecting protective coatings markets and technology, explore PCI’s industrial and protective coatings coverage.
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