AkzoNobel reports paints profits up in Q2

THE HAGUE: The world's top paint maker AkzoNobel on Wednesday posted net profit up 11 percent in the second quarter of 2014, despite a sales drop blamed on unfavourable exchange rates.

The Dutch-Swedish group made 205 million euros ($276 million) in net profit, "mainly due to higher operating income," a statement said.

Turnover was nevertheless down 4.0 percent year-on-year at 3.71 billion euros, "mainly due to five percent adverse currency effects," including a strong euro.

Paint is used throughout industry, as well as being a household purchase, and so is regarded as a broad barometer of underlying economic activity.

Formed in 1994 in a merger between Akzo and Nobel, the group employs 50,000 people worldwide and counts Dulux and Trimetal among its brands.