AkzoNobel

From Bedrijven
Jump to navigation Jump to search
AkzoNobel
Bedrijf Logo
Quick Facts
TypePublic
sectorChemicals
HeadquartersAmsterdam, Netherlands
Year of Origin1994
Emissions (All Scopes)12.8 Megatons of CO2 (2020)
Total RevenueXXX
Stock ExchangeBijv. Amsterdam
Key PeopleThierry Vanlancker (CEO) Nils Smedegaard Andersen (Chairman)
Number of Employees32,000
Subsidiaries
  • Dulux
  • Sikkens
  • Interpon
  • International

AkzoNobel N.V., stylized as AkzoNobel, is a Dutch multinational company manufacturing paint and performance coating. The company has a long history of merges and divestments and was founded in 1994 when Akzo (a Dutch chemicals company) and Nobel (a Swedish chemicals and weapons manufacturer famous for being majority owned by Alfred Nobel) merged. AkzoNobel is headquartered in Amsterdam, the Netherlands and has activities in over 150 countries, employing about 32,000 people.[1] It is the fifth largest paint and coating company worldwide.[2]

Company Structure

AkzoNobel's company management is organized under Dutch law in a two-tier system, comprised of a board of management and a supervisory board.

Board of Management
Name[3] Function Remuneration x1000 EUR[4]
Thierry Vanlancker CEO 6,271 EUR
Maarten de Vries CFO 2,583 EUR
Supervisory Board[5]
Name Function Remuneration x1000 EUR[6]
Nils Smedegaard Andersen Chairman Supervisory Board 172.5
Bryon Grote Deputy Chairman Supervisory Board 120.5
Dick Sluimers Chairman Remuneration Committee 100.0
Jolanda Poots-Bijl Member Supervisory Board 100.0
Dr. Pamela Kirby Member Supervisory Board 95.0
Patrick Thomas Member Supervisory Board 102.5

Accountant

AkzoNobel has PricewaterhouseCoopers Accountants N.V. as an external accountant.

Main Activities

The main activities of AkzoNobel are the production and selling of decorative paints, industrial coatings, automotive and specialty coatings, marine and protective coatings and powdered coatings. Their activities are distributed under a large number of brands and subsidiaries active all over the world.[7] Some big names include Dulux, International, Sikkens and Interpon.

AkzoNobel has its common shares listed on Euronext Amsterdam and is listed in the AEX index. The majority of its shareholders are from the UK and US.[8]

Government

To what extent can the government influence company policy? (shareholder, licensing authority, client etc.) Has company received NOW support or royal status?

Paris Agreement untill Today

What has company done or refused to do since the Climate Accord of Paris? Per company, where applicable refer to research on the benefits of fossil companies in the form of subisidies etc.

Financial Results since 2015

This tabel is meant to indicate that the companies have plenty of money to make their company more sustainable. Clearly distinguish between Dutch data and international data.

Financial situation
Year Revenue Profit Dividend
2015[9] 14.859 billion EUR 1.066 billion EUR 0.281 billion EUR
2016[10] 9.434 billion EUR 1.052 billion EUR 1.184 billion EUR
2017[10] 9.612 billion EUR 0.904 billion EUR 0.636 billion EUR
2018[11] 9.256 billion EUR 6.729 billion EUR 1.446 billion EUR
2019[11] 9.276 billion EUR 0.577 billion EUR 0.385 billion EUR
2020[12] 8.530 billion EUR 0.671 billion EUR 0.391 billion EUR
2021[12] 9.587 billion EUR 0.865 billion EUR XXX billion EUR

In 2018, the Specialty Chemicals Division was sold to the Carlyle Group and GIC. The divestment resulted in an extra profit of 6.274 billion EUR so the profit from continuing operations in 2018 amounted to 0.455 billion EUR.[11]

Scandals and controversies

Any dirt on the companies can be added here.

Current Emissions

Total emissions XXX Megatonnes of CO2 (2020)
Scope 1 Scope 2 Scope 3
0.051 Megatonnes of CO2 (2020) 0.168 Megatonnes of CO2 (2020) 12.6 Megatonnes of CO2 (2020)

The reported CO2 emissions of their scope 1 operations are 51.16 Kton (2020). Their reported scope 2 emissions are 168.2 Kton (2020). The emissions from their total value chain are a lot higher. For 2020 AkzoNobel reported that their craddle to grave carbon footprint (scope 1, 2 and 3) is 12.8 Mton. 5.9 Mton of this is attributed to purchased goods and services (scope 3 upstream) and 6.7 Mton to the processing, use and end-of-life treatment of sold products and VOC (scope 3 downstream).[13]

Climate Policy and Plans

AkzoNobel has set as their target to reduce carbon emissions from their own operations and total value chain by 50% by 2030 (baseline 2018) and claims to align their sustainability ambitions with the Paris agreement. By 2030 it aims to run their operations on 100% renewable energy.[14] By 2050 the target is to reduce their carbon emissions with 100%.[15] Whether their 2050 ambition includes their scope 3 emissions is not clear.

Since 2018 the emissions of their own operations (scope 1 and 2) have decreased by 22%, their scope 3 emissions by about 10.5%.

AkzoNobel has listed a couple of strategies to reduce their carbon footprint of their own operations. First of all the company is investing in solar panels to be able to run their operations with renewable energy. So far it has installed over 10,000 solar panels at 17 different sites.[16] However, as the company admits, solar generated electricity will not be sufficient on itself cover its total electricity consumption needs. The second strategy is to lower energy consumption, aiming for a 30% reduction by 2030 (baseline 2018).[17] For their scope 3 emissions, which account for about 98% of their total emissions, AkzoNobel has not put forward any strategies to lower their carbon emissions.

Due Diligence

Keep the broader context in mind. Is the company integer when it comes to deforestation, palm oil, biodiversity, human rights etc etc? Be critical in the sources used here.

Conclusion

Although the 2030 ambitions of AkzoNobel meet the standards of the Paris Agreement its 2050 ambitions are not specific enough to do so since it does not specify whether the 100% reduction of emissions also includes their scope 3 emissions. Furthermore AkzoNobel does not show enough concrete plans to convincingly indicate that they will reach their targets. Although several policies are in place to reduce emissions from their own operations, with limited results, AkzoNobel has not disclosed any concrete plans to tackle their scope 3 emissions. Since their scope 3 emissions are by far the largest share of the total emissions (about 98%) it must be concluded that AkzoNobel does not have sufficient plans and strategies in place to meet their own ambitions and the targets set by the Paris Agreement. In order to commit itself to stay below the 1.5 degrees AkzoNobel needs to develop a concrete strategy to reduce their scope 3 emissions.

References

  1. https://report.akzonobel.com/2020/ar/servicepages/downloads/files/akzonobel-ar20-entire.pdf p. 2
  2. https://companiesmarketcap.com/paint-and-coating/largest-paint-and-coating-companies-by-market-cap/
  3. https://www.akzonobel.com/en/about-us/governance-/board-of-management-and-executive-committee
  4. https://report.akzonobel.com/2021/ar/servicepages/downloads/files/entire-akzonobel-ar21.pdf p. 82
  5. https://www.akzonobel.com/en/about-us/governance-/supervisory-board#tabId=c23_text_block
  6. https://report.akzonobel.com/2021/ar/servicepages/downloads/files/entire-akzonobel-ar21.pdf p. 87
  7. https://www.akzonobel.com/content/dam/akzonobel-corporate/global/en/corporate-governance/policies---procedures/legal-entities-/List-with-AkzoNobel-Group-Companies.pdf the full list of companies belonging to AkzoNobel
  8. https://report.akzonobel.com/2020/ar/servicepages/downloads/files/akzonobel-ar20-entire.pdf p. 85
  9. https://report.akzonobel.com/2015/ar/financials/statement-of-income.html
  10. 10.0 10.1 https://report.akzonobel.com/2017/ar/financials/statement-of-income.html
  11. 11.0 11.1 11.2 https://report.akzonobel.com/2019/ar/financials/consolidated-statement-of-income.html
  12. 12.0 12.1 https://report.akzonobel.com/2021/ar/financials/consolidated-statement-of-income.html
  13. https://report.akzonobel.com/2020/ar/sustainability/sustainability-performance-summary/environmental.html
  14. https://report.akzonobel.com/2020/ar/servicepages/downloads/files/akzonobel-ar20-entire.pdf p.30
  15. https://www.akzonobel.com/en/about-us/sustainability-/energy-use-and-renewable-electricity
  16. https://report.akzonobel.com/2020/ar/servicepages/downloads/files/akzonobel-ar20-entire.pdf p. 40
  17. https://report.akzonobel.com/2020/ar/servicepages/downloads/files/akzonobel-ar20-entire.pdf p.41