Organic sales increased by 3%, driven by strong growth in aerospace coatings and automotive OEM coatings businesses. This indicates successful strategic alignment with growing end-use markets.

The company divested its European and Australian traffic solutions businesses and is reviewing strategic alternatives for its silicas products business. This indicates a focus on optimizing the business portfolio and allocating capital to higher-growth areas.

The company approved new business restructuring actions and made progress on existing programs, expecting $35 million in savings in 2024. This demonstrates a commitment to operational efficiency and margin improvement.

The company successfully implemented selling price increases across all business segments to offset inflationary pressures, showcasing effective pricing strategies and market management.

Despite moderating raw material costs, the company continues to monitor and manage its cost structure, including wage inflation, to ensure alignment with the demand environment.

Supply chain and pandemic-related disruptions have eased, resulting in ample supply of commodity-related raw materials in all regions. This indicates effective management of supply chain risks and improved operational stability.

The 10-K highlights the high level of uncertainty surrounding future global economic conditions due to factors like higher interest rates, geopolitical instability, and trade tensions, which could negatively impact demand for PPG's products and services.

PPG is exposed to foreign currency exchange rate risk with respect to its sales, expenses, profits, assets, and liabilities denominated in currencies other than the U.S. dollar, which could adversely or positively affect its financial condition and results of operations.

The company acknowledges the ongoing risk of cybersecurity attacks and the potential for material cybersecurity events to negatively impact its operations, despite increased investments in cybersecurity safeguards.

The 10-K acknowledges that an increase in competition may cause PPG to lose market share or customers, adversely impacting sales volumes, or compel it to reduce prices to remain competitive, which could result in reduced margins for its products.

The company acknowledges that it competes with other companies for talented personnel in a highly competitive labor market, and may face challenges attracting or retaining qualified employees.

The company acknowledges that its ability to understand customer preferences and requirements, and to innovate, develop, produce and market products that meet customer demand is critical to its business results.

Raw material costs moderated compared to 2022, resulting in a decrease to operating costs of more than $500 million. However, raw material costs remained high compared to historic levels.

While raw material costs declined, the Company continues to incur wage inflation, and anticipates further wage inflation impacts in 2024.

The company expects manufacturing efficiencies to improve as the year progresses in 2024, indicating ongoing efforts to optimize production processes.

Research and development costs, including depreciation of research facilities, decreased from $470 million in 2022 to $456 million in 2023. This represents a decrease from 2.7% to 2.5% of annual net sales.

The Company seeks to optimize its investment in research and development to create new products to drive profitable growth. It aligns product development with macro trends and leverages core technology platforms.

The company's program is based on the U.S. National Institute for Standards and Technology (NIST) cybersecurity framework and other applicable industry frameworks.

The company used $86 million to repurchase shares in 2023, with approximately $1 billion remaining under the current authorization. This indicates a continued commitment to returning capital to shareholders.

Capital expenditures are expected to be approximately $600 million in 2024, supporting future organic growth opportunities. This indicates a focus on investing in the company's long-term growth.

PPG marked its 52nd consecutive year of increased annual per-share dividend payments, demonstrating a long-term commitment to returning value to shareholders.

The Sustainability and Innovation Committee of the Board of Directors oversees PPG's sustainability efforts. Day-to-day implementation of ESG initiatives is led by the Vice President, Global Sustainability.

44% of sales were from sustainably-advantaged products and processes that address multiple sustainability benefits, including lower emissions, lower toxicity, energy efficiency, use of renewable raw materials or extending durability.

PPG committed to reduce absolute emissions from its own operations (scope 1 and 2) by 50% by 2030 from a 2019 base year and to reduce absolute scope 3 GHG emissions by 30% within the same timeframe.

PPG expects softening global economic activity in 2024 that will likely be uneven by region and end use. In 2024, PPG expects an increase in volumes driven by demand growth in China, India and Mexico, industry growth in aerospace, and economic stabilization in Europe.

Raw material costs continue to moderate and are anticipated to ease further in the beginning of 2024. Some other key costs are expected to increase in 2024, including logistics, employee wage and benefit costs and energy costs.

The 2024 effective tax rate from continuing operations is expected to be in the range of 23% to 24%, varying by quarter. This range is the Company's best estimate and represents an increase compared to the 2023 adjusted effective tax rate driven by higher rates in certain countries, including the impact of recent global minimum tax standards, and the geographic mix of earnings.