Akzo Nobel N: Investor update presentation - Q4 (investor update q4 2025 akzonobel)

Investor Update

February 3, 2026

1

FUTURE

THE

PAINT

kzoNobel

Q4 and FY 2025 Highlights

A year of strong execution in soft market conditions

Q4 2025 YoY

• Organic sales -1%; volumes -2%, price/mix +1%

• Adj. EBITDA €309m

  €343m excluding FX & scope (+7%)

• Adj. EBITDA margin 13.0%, +70bps

• Adj. leverage ratio 2.0x

• India sale closed

  FY 2025 YoY

• Organic sales flat; volumes -2%, price/mix +2%

• Net OPEX savings of €98m, €28m above target

• Adj. EBITDA €1,444m (14.2%, +40bps),

  within 1% of initial guidance

• Strong FCF €606m, +€239m

• AkzoNobel and Axalta to combine in all-stock merger of equals

Volume development

Q4 impacted by pullback in North America; market stabilization expected in H2'26

Organic volumes YoY

Delivering on strategic commitments

India successfully divested; efficiency programs overdelivering

• Transaction multiple 25x

  EV / '25 EBITDA(1)

• Closed on December 10, 2025

• Total proceeds: ~€900m

• -€6m impact on 2025 EBITDA

• Future royalty stream

• Powder retained, now 100% owned

• Strategic review continuing

Q4'25

Q2'25

Q4'24

Q2'24

2,900 reduction

(net of 200 insourcing)

Post India sale: 31,500

32,800

# employees

34,600

33,700

35,700

• Overall headcount -12%

• Total benefit of €200m,

€80m above initial announcement

• 2025 saving: €70m

• 12 sites closed since program start

• No disruption to business:

  OTIF maintained at 90%+

• 2026 saving: €90m

• 6+ closures planned

• All actions completed by end of '26

• Cumulative savings of €300m(2) by end of '27

Efficiency programs overview

2026: net benefit €90m, SG&A offsets inflation, all actions completed year end

Industrial (€m)

Benefit

Restructuring cost Restructuring cash out

CAPEX

2024

30

30

15

50

2025

70

100

50

50

2026

90

90

90

50

2027

110

30

TOTAL

300

220

185

150

130-150

250

SG&A (€m)

Benefit Restructuring cost

Restructuring cash out

2024

15

80

20

2025

130

70

90

2026

40

TOTAL

~200

~150

~150

100-130

120-150

2022-25 performance improvement

Pricing and efficiency programs delivering clear value

Q4 business performance

Material FX headwinds; self-help lifts Deco profits; NAM volumes weigh on Coatings

Q4 business performance

Working capital improvement and strong cash generation

Q4'25

Q4'24

14.7%

15.7%

FY 25

FY 24

13.5%

13.3%

2026 outlook

€100m EBITDA step-up in 2026 through efficiency programs

Adj. EBITDA: ≥€1.47bn

≥€1.47bn

€1.44bn

(€40m)

(€35m) €100m

2025 scope(1) FX(2) step-up 2026

• Volumes: Flat

• Net industrial program benefit: €90m

  (SG&A reduction to offset inflation)

• Identified items cash out: €170m

• CAPEX: €350m

• Leverage: ~2x

• Stable dividend

Subject to ongoing market uncertainties and at exchange rates as of the end of 2025.

Outlook is on a standalone basis and excludes any effects from the proposed merger with Axalta.

Investor update | Q4 2025

10

1. India divested in December 2025

2. Full year FX translation impact at Dec'25 rates, majority of impact in Q1'26

AkzoNobel + Axalta: a compelling value creation opportunity

Creating a premier global Coatings company; closing expected late '26 - early '27

Pro-forma '24 Revenue

Proven track record in cost efficiency and margin expansion

Pro-forma '24 EBITDA

Cost synergies

Revenue synergies +100-200bps of growth

Adj. FCF

(PF2024 including cost synergies)

Supports peer comparability, adds liquidity, potential inclusion in S&P500

Publication of annual report 2025

February 24

T +31 (0)88 - 969 7833

Contact: Joost Ruempol [email protected]

T +31 (0)88 - 969 1411

Contact: Jan Willem Enhus [email protected]

Alternative performance measures (APM)

AkzoNobel uses APM adjustments to the IFRS measures to provide supplementary information on the reporting of the underlying developments of the business. A reconciliation of the alternative performance measures to the most directly comparable IFRS measures can be found in the appendix to this presentation. This Investor Update covers the highlights for the quarter. We recommend to read the Investor Update in combination with the AkzoNobel Q4 2025 Report. The Q4 2025 Report provides additional information, including the IAS34 condensed consolidated financial statements.

All figures in this presentation and in the AkzoNobel Q4 2025 Report are unaudited. The interim condensed consolidated financial statements were discussed and approved by the Board of Management and the Supervisory Board.

Important information regarding the proposed Axalta transaction

General restrictions

This communication is not for release, publication, or distribution, in whole or in part, in or into, directly or indirectly, any jurisdiction in which such release, publication, or distribution would be unlawful.

This communication is not a prospectus and the information in this communication is not intended to be complete. This communication is for informational purposes only and is not intended to be and shall not constitute a solicitation of any vote or approval, or an offer to buy or sell, or the solicitation of an offer to buy or sell, any securities, or an invitation or recommendation to subscribe for, acquire or buy securities of AkzoNobel or Axalta or any other financial products or securities, in any place or jurisdiction, nor shall there be any offer, solicitation or sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended (the "Securities Act").

Any decision to purchase, subscribe for, otherwise acquire, sell or otherwise dispose of any securities must be made only on the basis of the information contained in and incorporated by reference into the prospectus with respect to the shares to be allotted by AkzoNobel in the proposed transaction once published. A prospectus in relation to the proposed transaction described in this communication is expected to be published in due course.

The distribution of this communication may, in some countries, be restricted by law or regulation. Accordingly, persons who come into possession of this document should inform themselves of and observe these restrictions. To the fullest extent permitted by applicable law, AkzoNobel and Axalta disclaim any responsibility or liability for the violation of any such restrictions by any person. Neither AkzoNobel, nor Axalta, nor any of their advisors assume any responsibility for any violation by any person of any of these restrictions. Shareholders of AkzoNobel and Axalta, respectively, with any doubt as to their position should consult an appropriate professional advisor without delay.

Additional information and where to find it

In connection with the proposed transaction between AkzoNobel and Axalta, AkzoNobel will file with the U.S. Securities and Exchange Commission (the "SEC") a registration statement on Form F-4, which will include a proxy statement of Axalta that also constitutes a prospectus with respect to the shares to be offered by AkzoNobel in the proposed transaction. The definitive proxy statement/prospectus will be sent to the shareholders of Axalta. Each of AkzoNobel and Axalta will also file other relevant documents in connection with the proposed transaction. This communication is not a substitute for any registration statement, proxy statement/prospectus or other documents AkzoNobel and/or Axalta may file with the SEC or any other competent regulator in connection with the proposed transaction. This communication does not contain all the information that should be considered concerning the proposed transaction and is not intended to form the basis of any investment decision or any other decision in respect of the proposed transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISIONS, INVESTORS, STOCKHOLDERS AND SHAREHOLDERS OF AKZONOBEL AND AXALTA ARE URGED TO READ CAREFULLY AND IN THEIR ENTIRETY THE PROXY STATEMENT/PROSPECTUS, AS APPLICABLE, AND ANY OTHER RELEVANT DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, IN CONNECTION WITH THE PROPOSED TRANSACTION WHEN THEY BECOME AVAILABLE, AS THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT AKZONOBEL, AXALTA, THE PROPOSED TRANSACTION AND RELATED MATTERS. The registration statement and proxy

statement/prospectus and other relevant documents filed by AkzoNobel and Axalta with the SEC, when filed, will be available free of charge at the SEC's website at www.sec.gov. In addition, investors and shareholders will be able to obtain free copies of the proxy statement/prospectus and other documents filed with the SEC from Axalta's investor relations webpage at https://ir.axalta.com/sec-filings/all-sec-filings or from AkzoNobel's investor relations webpage at https://www.akzonobel.com/en/investors.

The contents of this communication should not be construed as financial, legal, business, investment, tax or other professional advice. Each recipient should consult with its own professional advisors for any such matter and advice.

Planning assumptions

Subject to ongoing market uncertainties and assuming constant currencies, on a standalone basis and excludes any effects from the proposed merger with Axalta.

14

Mid-term ambitions

Expanding profitability underpinned by growth and operational efficiencies

Adj. EBITDA margin

>16%

Adj. EBITDA growth

CAGR: >6%

ROI

16-19%

Industrial transformation benefit

€300m by 2027

Volume growth

CAGR: +LSD%

Leverage

~2x, investment grade

Subject to ongoing market uncertainties and assuming constant currencies, on a standalone basis and excludes any effects from the proposed merger with Axalta. CAGR on 2023 baseline.

Growth in focus

segments and markets

Sustainability-driven innovation

Industrial excellence

and simplified execution model

Active portfolio management

Strategic priorities Targets

Price/mix and volumes

price/mix (% YoY)

1616 13 13

7 5

3

2 0 1 0 1 2 1 1 1

12 11 11 11

5 5 3

2 2 0 1 2 2 1 1 -

0 2 0 1 2 2 1 1

19 19

14 14 8

4 3 2

2022

2023

2024

2025

2022

2023

2024

2025

2022

2023

2024

2025

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

organic volumes (% YoY)

-5

-7 -9

-3 -1

-9

0 3 2 1 1 0

-2 -1 -1 -2

0 3 1 0

0 1

-7 -9

-4 -4 -1

-9

0 3 2 2 2 1

-1 -2 -2 -3

-1 -1

-1

-2 -3

-1

-7 -8 -6 -9

2022

2023

2024

2025

2022

2023

2024

2025

2022

2023

2024

2025

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Performance measures

Definitions of alternative performance measures

• Adjusted earnings per share are the basic earnings per share from continuing operations, excluding Identified items and taxes thereon

• Adjusted EBITDA is operating income excluding depreciation, amortization and identified items

• Adjusted EBITDA margin is adjusted EBITDA as percentage of revenue

• Capital expenditures is the total of investments in property, plant and equipment and investments in intangible assets

• Constant currencies (CC) calculations exclude the impact of changes in foreign exchange rates by re-translating the prior year local currency amounts

  into euros at the current year's foreign exchange rates

• Free cash flow is net cash generated from/(used for) operating activities minus capital expenditures

• Identified items are special charges and benefits, results on acquisitions and divestments, major restructuring and impairment charges, and charges and benefits related to major legal, environmental and tax cases

• Invested capital is total assets (excluding cash and cash equivalents, short-term investments, investments in associates, pension assets, assets held for sale) less current tax liabilities, deferred tax liabilities and trade and other payables. Average invested capital is the average of the quarter end invested capital balances for the last four quarters

• Leverage ratio is calculated as net debt divided by adjusted EBITDA for the last 12 months

• Trade working capital is defined as the sum of inventories, trade receivables and trade payables. When expressed as a ratio, operating working capital is measured against four times last quarter revenue

• Operating expenses (OPEX) includes SG&A costs and fixed manufacturing costs within cost of sales

• Organic sales excludes the impact of changes in consolidation, the impact of changes in foreign exchange rates and the impact of hyperinflation

  accounting. Refer to constant currencies for details on the calculation of the foreign exchange rate impact

• Return on investment (ROI) is adjusted operating income of the last 12 months as percentage of average invested capital

Additional financial information

Consolidated statement of free cash flows Operating income to net income

398

462

Net cash generated from/(used for) operating activities

673

915

(114) (100) Capital expenditures (306) (309)

0.12 3.50 Total operations 3.17 3.71

0.56 0.56 Continuing operations 3.88 3.63

Alternative performance measures

41 74 80% Decorative Paints 405 401 -1%

36 606 Profit from continuing operations 592 672

Operating income 917 1,164

127 787 520% Total 917 1,164 27%

(33) (14) Decorative Paints (80) (102)

(34)

(33)

(28) Performance Coatings

612 Other activities

(56)

(60)

(365)

550

(100) 570 Total (196) 83

1,026 936 Gross profit 4,337 4,049

(29) (29) Identified items (73) (155)

(23) 70 Identified items reported in income tax (54) 48

(15) (8) Non-controlling interests (50) (36)

95

96

Adjusted net income from continuing operations

663

621

170.8

171.1 Weighted average number of shares (in

millions)

170.7

171.0

0.56

0.56

Adjusted earnings per share from continuing operations

3.88

3.63

Performance Coatings

Other activities

3,773

656

3,595

896

-5%

Total 8,350 8,016 -4%

Decorative Paints 3,921 3,525 -10%

Depreciation and amortization*

365

363

Identified items

196

(83)

Adjusted EBITDA 1,478 1,444

*Excluding identified items

Short-term investments (165) (302)

Cash and cash equivalents

Long-term borrowings Short-term borrowings

(1,302)

3,671

1,697

(1,618)

3,670

1,192

Total 3,901 2,942

Leverage ratios

January 2024 - December 2024/January 2025 - December 2025

Net debt/Adjusted EBITDA 2.6 2.0

Identified items)

Other activities1

Total 13.3 13.5

1 ROI for Other activities is not shown, as this is not meaningful.

11.1 13.5 Decorative Paints 14.8 15.8

14.4

13.1 Performance Coatings

14.2

13.9

12.3 13.0 Total 13.8 14.2

202