Amsterdam‑based paint maker AkzoNobel posted a stronger first‑quarter earnings profile despite a backdrop of geopolitical tension and soft demand. Revenue slipped 1% year‑on‑year to €2.39 billion, while the firm kept its full‑year guidance intact. CEO Pieter‑Jan van Hulst said the war in the Persian Gulf was inflating supply costs but did not derail the outlook. The paint sector has been grappling with slower construction activity in Europe and rising freight costs.

Adjusted EBITDA rose 7% on a comparable basis, reaching €345 million and delivering a 14.5% margin, the highest since 2022. The improvement stemmed from tighter cost controls in the Decorative Paints division and modest price hikes in the Performance Coatings segment. In North America, the Interpon brand contributed a 3% volume uptick, partially offsetting weaker demand in Asia. Analysts view the margin expansion as a buffer against volatile raw‑material prices.

With revenue pressure easing and profitability holding up, investors gave the stock a modest lift, nudging the share price up 5% in early trading. Quarterly cash flow improved to €420 million, supporting a planned €200 million share‑repurchase programme later this year. The results reinforce confidence that AkzoNobel can meet its 2026 earnings target of €1.6 billion despite ongoing supply‑chain headwinds. The company now faces the task of sustaining growth while navigating energy‑cost volatility.