AXALTA COATING SYSTEMS LTD., 10-Q filed on 4/30/2026
Quarterly Report
v3.26.1
Cover Page - shares
3 Months Ended
Mar. 31, 2026
Apr. 23, 2026
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2026  
Document Transition Report false  
Entity File Number 001-36733  
Entity Registrant Name AXALTA COATING SYSTEMS LTD.  
Entity Incorporation, State or Country Code D0  
Entity Tax Identification Number 98-1073028  
Entity Address, Address Line One 1050 Constitution Avenue  
Entity Address, City or Town Philadelphia  
Entity Address, State or Province PA  
Entity Address, Postal Zip Code 19112  
City Area Code 855  
Local Phone Number 547-1461  
Title of 12(b) Security Common Shares, $1.00 par value  
Trading Symbol AXTA  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   214,018,768
Entity Central Index Key 0001616862  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2026  
Document Fiscal Period Focus Q1  
Amendment Flag false  
v3.26.1
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Income Statement [Abstract]    
Net sales $ 1,254 $ 1,262
Cost of goods sold 838 829
Selling, general and administrative expenses 200 202
Other operating charges 26 14
Research and development expenses 18 17
Amortization of acquired intangibles 26 24
Income from operations 146 176
Interest expense, net 38 44
Other expense, net 3 3
Income before income taxes 105 129
Provision for income taxes 14 30
Net income 91 99
Less: Net income attributable to noncontrolling interests 1 0
Net income attributable to common shareholders $ 90 $ 99
Basic net income per share (in dollars per share) $ 0.42 $ 0.45
Diluted net income per share (in dollars per share) $ 0.42 $ 0.45
v3.26.1
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Statement of Comprehensive Income [Abstract]    
Net income $ 91 $ 99
Other comprehensive (loss) income, before tax:    
Foreign currency translation adjustments (20) 62
Unrealized gain on derivatives 1 0
Unrealized gain on pension and other benefit plan obligations 1 1
Other comprehensive (loss) income, before tax (18) 63
Income tax expense (benefit) related to items of other comprehensive income 0 (1)
Other comprehensive (loss) income, net of tax (18) 64
Comprehensive income 73 163
Less: Comprehensive (loss) income attributable to noncontrolling interests (1) 2
Comprehensive income attributable to common shareholders $ 74 $ 161
v3.26.1
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Current assets:    
Cash and cash equivalents $ 608 $ 657
Restricted cash 3 3
Accounts and notes receivable, net 1,261 1,229
Inventories 770 756
Prepaid expenses and other current assets 185 170
Total current assets 2,827 2,815
Property, plant and equipment, net 1,293 1,299
Goodwill 1,772 1,795
Identifiable intangibles, net 1,114 1,147
Other assets 552 543
Total assets 7,558 7,599
Current liabilities:    
Accounts payable 723 637
Current portion of borrowings 20 20
Other accrued liabilities 605 712
Total current liabilities 1,348 1,369
Long-term borrowings 3,127 3,179
Accrued pensions 228 238
Deferred income taxes 175 171
Other liabilities 213 249
Total liabilities 5,091 5,206
Commitments and contingent liabilities (Note 5)
Shareholders’ equity:    
Common shares, $1.00 par, 1,000.0 shares authorized, 255.7 and 255.1 shares issued at March 31, 2026 and December 31, 2025, respectively 256 255
Capital in excess of par 1,621 1,621
Retained earnings 2,145 2,055
Treasury shares, at cost, 41.7 shares at March 31, 2026 and December 31, 2025 (1,202) (1,202)
Accumulated other comprehensive loss (399) (383)
Total Axalta shareholders’ equity 2,421 2,346
Noncontrolling interests 46 47
Total shareholders’ equity 2,467 2,393
Total liabilities and shareholders’ equity $ 7,558 $ 7,599
v3.26.1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares
shares in Millions
Mar. 31, 2026
Dec. 31, 2025
Statement of Financial Position [Abstract]    
Common stock, par value (in dollars per share) $ 1.00 $ 1.00
Common shares authorized (in shares) 1,000.0 1,000.0
Common shares issued (in shares) 255.7 255.1
Treasury shares, at cost (in shares) 41.7 41.7
v3.26.1
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) - USD ($)
shares in Millions, $ in Millions
Total
Common Stock
Capital In Excess Of Par
Retained Earnings
Treasury Shares, at cost
Accumulated Other Comprehensive Loss
Non controlling Interests
Beginning balance (in shares) at Dec. 31, 2024   218.1          
Beginning balance at Dec. 31, 2024 $ 1,956 $ 255 $ 1,599 $ 1,677 $ (1,037) $ (582) $ 44
Comprehensive income:              
Net income: 99     99      
Long-term employee benefit plans, net of tax 1         1  
Foreign currency translation, net of tax benefit 63         61 2
Comprehensive income 163     99   62 2
Recognition of stock-based compensation 5   5        
Shares issued under compensation plans (in shares)   0.5          
Shares issued under compensation plans (2)   (2)        
Ending balance (in shares) at Mar. 31, 2025   218.6          
Ending balance at Mar. 31, 2025 2,122 $ 255 1,602 1,776 (1,037) (520) 46
Beginning balance (in shares) at Dec. 31, 2025   213.4          
Beginning balance at Dec. 31, 2025 2,393 $ 255 1,621 2,055 (1,202) (383) 47
Comprehensive income:              
Net income: 91     90     1
Net realized and unrealized gain on derivatives, net of tax 1         1  
Long-term employee benefit plans, net of tax 1         1  
Foreign currency translation, net of tax benefit (20)         (18) (2)
Comprehensive income 73     90   (16) (1)
Recognition of stock-based compensation 7   7        
Shares issued under compensation plans (in shares)   0.6          
Shares issued under compensation plans (6) $ 1 (7)        
Ending balance (in shares) at Mar. 31, 2026   214.0          
Ending balance at Mar. 31, 2026 $ 2,467 $ 256 $ 1,621 $ 2,145 $ (1,202) $ (399) $ 46
v3.26.1
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) (Parenthetical) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Statement of Stockholders' Equity [Abstract]    
Gain on derivatives, tax expense $ 0  
Long-term employee benefit plans, net of tax expense 0 $ 0
Foreign currency translation, tax expense (benefit) $ 0 $ (1)
v3.26.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Operating activities:    
Net income $ 91 $ 99
Adjustment to reconcile net income to cash provided by operating activities:    
Depreciation and amortization 76 70
Amortization of deferred financing costs and original issue discount 2 2
Deferred income taxes 11 8
Realized and unrealized foreign exchange (gains) losses, net (4) 8
Stock-based compensation 7 5
Interest income on swaps designated as net investment hedges (3) (3)
Other non-cash, net 2 (1)
Changes in operating assets and liabilities:    
Trade accounts and notes receivable (32) (18)
Inventories (20) (37)
Prepaid expenses and other assets (27) (59)
Accounts payable 90 66
Other accrued liabilities (96) (106)
Other liabilities (29) (8)
Cash provided by operating activities 68 26
Investing activities:    
Acquisitions, net of cash acquired (8) (6)
Purchase of property, plant and equipment (50) (43)
Interest proceeds on swaps designated as net investment hedges 3 3
Proceeds received on loans to customers 4 1
Other investing activities, net (2) 1
Cash used for investing activities (53) (44)
Financing activities:    
Payments on long-term borrowings (55) (5)
Net cash flows associated with stock-based awards (6) (2)
Other financing activities, net 0 (1)
Cash used for financing activities (61) (8)
Decrease in cash (46) (26)
Effect of exchange rate changes on cash (3) 8
Cash at beginning of period 660 596
Cash at end of period 611 578
Cash at end of period reconciliation:    
Cash and cash equivalents 608 575
Restricted cash 3 3
Cash at end of period $ 611 $ 578
v3.26.1
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The interim condensed consolidated financial statements included herein are unaudited. In the opinion of management, these statements include all adjustments, consisting only of normal, recurring adjustments, necessary for a fair statement of the financial position and shareholders' equity of Axalta Coating Systems Ltd., a Bermuda exempted company limited by shares, and its consolidated subsidiaries (“Axalta,” the “Company,” “we,” “our” and “us”) at March 31, 2026, the results of operations, comprehensive income, changes in shareholders' equity and cash flows for the three months ended March 31, 2026 and 2025. All intercompany balances and transactions have been eliminated.
These interim unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America (“GAAP”).
The interim unaudited condensed consolidated financial statements include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. Certain of our entities are accounted for on a one-month lag basis, the effect of which is not material.
The results of operations for the three months ended March 31, 2026 are not necessarily indicative of the results to be expected for the full year ended December 31, 2026 or any future period(s).
Proposed Merger with Akzo Nobel N.V.
During November 2025, we entered into a Merger Agreement (the “Merger Agreement”) with Akzo Nobel N.V., a public company with limited liability incorporated under the laws of the Netherlands (“AkzoNobel”), providing for the combination of the Company and AkzoNobel in an all-stock merger (the “Merger”). The combined company will be dual-headquartered in Amsterdam, the Netherlands and Philadelphia, Pennsylvania. The obligations of the Company and AkzoNobel to consummate the Merger are conditioned on the satisfaction or waiver of certain conditions, including regulatory and shareholder approval for both companies. The Company expects the transaction to close in late 2026 to early 2027.
Subject to the terms and conditions set forth in the Merger Agreement, at the effective time of the Merger, each outstanding and issued ordinary share of the Company, par value $1.00 per share (other than any shares owned by the Company as treasury shares and any shares owned by AkzoNobel or any direct or indirect wholly owned subsidiary of AkzoNobel), will be automatically converted into the right to receive 0.6539 AkzoNobel ordinary shares, par value of €0.50 per share.
In the event of a termination of the Merger Agreement by the Company, the Company may be required to pay AkzoNobel a termination fee equal to €150 million. In the event of a termination of the Merger Agreement by AkzoNobel, AkzoNobel may be required to pay the Company a termination fee equal to €150 million.
Summary of Significant Accounting Policies Updates
Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40), to improve disclosures about a public business entity’s expenses and require more detailed information about the types of expenses in commonly presented expense captions, such as cost of sales, selling general and administrative expense and research and development. The new standard is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. We are currently evaluating the impact of ASU 2024-03 on our financial statements.
In September 2025, the FASB issued ASU 2025-06, Intangibles Goodwill and Other Internal-Use Software (Subtopic 350-40), to enhance guidance for recognizing and measuring capitalizable costs associated with the development of internal-use software. The new standard is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of ASU 2025-06 on our financial statements.
v3.26.1
REVENUE
3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
Consideration for products in which control has transferred to our customers that is conditional on something other than the passage of time is recorded as a contract asset within prepaid expenses and other current assets in the condensed consolidated balance sheets. The contract asset balances at March 31, 2026 and December 31, 2025 were $43 million and $40 million, respectively.
We provide certain customers with incremental up-front consideration, subject to clawback provisions, including Business Incentive Plan assets (“BIPs”), which is capitalized as a component of other assets and amortized over the estimated life of the contractual arrangement as a reduction of net sales. We do not receive a distinct service or good in return for these BIPs, but rather receive volume commitments and/or sole supplier status from our customers over the life of the contractual arrangements, which approximates a five-year weighted average useful life. The termination clauses in these contractual arrangements generally include standard clawback provisions that are designed to enable us to collect monetary damages in the event of a customer's failure to meet its commitments under the relevant contract. At March 31, 2026 and December 31, 2025, the total carrying values of BIPs were $200 million and $191 million, respectively, and are presented within other assets in the condensed consolidated balance sheets. For the three months ended March 31, 2026 and 2025, $17 million and $15 million, respectively, was amortized net of clawbacks and reflected as reductions of net sales in the condensed consolidated statements of operations.
See Note 17 for disaggregated net sales by end-market.
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS
3 Months Ended
Mar. 31, 2026
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS
During the three months ended March 31, 2026, we completed two acquisitions in our Performance Coatings segment. These acquisitions were accounted for as business combinations with consolidated aggregate consideration of $13 million, of which $8 million was paid, net of $1 million of cash acquired, during the three months ended March 31, 2026. The overall impacts to our unaudited condensed consolidated financial statements were not considered to be material. The fair value attributable to identifiable intangible assets was $6 million, comprised of customer relationship assets, which will be amortized over a weighted average term of approximately 10 years.
Goodwill
The following table shows changes in the carrying amount of goodwill from December 31, 2025 to March 31, 2026 by reportable segment:
Performance
Coatings
Mobility
Coatings
Total
Balance at December 31, 2025$1,714 $81 $1,795 
Goodwill from acquisitions— 
Foreign currency translation(28)(1)(29)
Balance at March 31, 2026$1,692 $80 $1,772 
Identifiable Intangible Assets
The following tables summarize the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
March 31, 2026Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$153 $(106)$47 11.1
Trademarks—indefinite-lived270 — 270 Indefinite
Trademarks—definite-lived162 (88)74 14.1
Customer relationships1,370 (647)723 18.8
Total$1,955 $(841)$1,114 
December 31, 2025Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$154 $(103)$51 11.1
Trademarks—indefinite-lived275 — 275 Indefinite
Trademarks—definite-lived164 (87)77 14.1
Customer relationships1,375 (631)744 18.9
Total$1,968 $(821)$1,147 
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2026 and each of the succeeding five years is:
Remainder of 2026$77 
2027101 
202887 
202983 
203083 
203178 
v3.26.1
RESTRUCTURING
3 Months Ended
Mar. 31, 2026
Restructuring and Related Activities [Abstract]  
RESTRUCTURING RESTRUCTURING
In accordance with the applicable guidance for Accounting Standards Codification ("ASC") 712, Nonretirement Postemployment Benefits, we accounted for termination benefits and recognized liabilities when the loss was considered probable that employees were entitled to benefits and the amounts could be reasonably estimated.
During the three months ended March 31, 2026 and 2025, we incurred costs of $4 million and $11 million, respectively, for termination benefits, net of changes in estimates. The majority of our termination benefits are recorded within other operating charges in the condensed consolidated statements of operations. The remaining payments associated with these actions are expected to be substantially completed within 12 months from March 31, 2026.
The following table summarizes the activity related to the termination benefit reserves and expenses from December 31, 2025 to March 31, 2026:
2026 Activity
Balance at December 31, 2025$26 
Expenses, net of changes to estimates
Payments made(21)
Foreign currency translation— 
Balance at March 31, 2026$
v3.26.1
COMMITMENTS AND CONTINGENCIES
3 Months Ended
Mar. 31, 2026
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES
Guarantees
We guarantee certain of our customers’ obligations to third parties, whereby any default by our customers on their obligations could force us to make payments to the applicable creditors ("Customer Obligation Guarantees"). At March 31, 2026 and December 31, 2025, we had outstanding Customer Obligation Guarantees of $26 million and $24 million, respectively, excluding certain outstanding Customer Obligation Guarantees secured by letters of credit under the Revolving Credit Facility discussed further in Note 15. Excluding Customer Obligation Guarantees secured by letters of credit under the Revolving Credit Facility, substantially all of our Customer Obligation Guarantees do not have specified expiration dates. We monitor the Customer Obligation Guarantees to evaluate whether we have a liability at the balance sheet date. We did not have any liabilities related to our outstanding Customer Obligation Guarantees recorded at either March 31, 2026 or December 31, 2025.
Other
We are subject to various pending lawsuits, legal proceedings and other claims in the ordinary course of business, including civil, regulatory and environmental matters. These matters may involve third-party indemnification obligations and/or insurance covering all or part of any potential damage incurred by us. All of these matters are subject to many uncertainties and, accordingly, we cannot determine the ultimate outcome of the proceedings and other claims at this time. The potential effects, if any, on our condensed consolidated financial statements will be recorded in the period in which these matters are probable and estimable. We believe that any sum we may be required to pay in connection with proceedings or claims in excess of the amounts recorded would likely not have a material adverse effect on our results of operations, financial condition or cash flows on a consolidated annual basis but could have a material adverse impact in a particular quarterly reporting period. However, there can be no assurance that any such sum would not have a material adverse effect on our results of operations, financial condition or cash flows on a consolidated annual basis.
We are involved in environmental remediation and ongoing compliance activities at several sites. The timing and duration of remediation and ongoing compliance activities are determined on a site by site basis depending on local regulations. The liabilities recorded represent our estimable future remediation costs and other anticipated environmental liabilities. We have not recorded liabilities at sites where a liability is probable but a range of loss is not reasonably estimable. We believe that any sum we may be required to pay in connection with environmental remediation matters in excess of the amounts recorded would likely occur over a period of time and would likely not have a material adverse effect upon our results of operations, financial condition or cash flows on a consolidated annual basis but could have a material adverse impact in a particular quarterly reporting period.
v3.26.1
LONG-TERM EMPLOYEE BENEFITS
3 Months Ended
Mar. 31, 2026
Retirement Benefits [Abstract]  
LONG-TERM EMPLOYEE BENEFITS LONG-TERM EMPLOYEE BENEFITS
Components of Net Periodic Benefit Cost
The following table sets forth the pre-tax components of net periodic benefit costs for our defined benefit plans for the three months ended March 31, 2026 and 2025:
Three Months Ended
March 31,
20262025
Components of net periodic benefit cost:
Net periodic benefit cost:
Service cost$$
Interest cost
Expected return on plan assets(3)(2)
Amortization of actuarial loss, net
Net periodic benefit cost$$
All non-service components of net periodic benefit cost are recorded in other expense, net within the accompanying condensed consolidated statements of operations.
v3.26.1
STOCK-BASED COMPENSATION
3 Months Ended
Mar. 31, 2026
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
During the three months ended March 31, 2026 and 2025, we recognized $7 million and $5 million in stock-based compensation expense, respectively, which was allocated between cost of goods sold and selling, general and administrative expenses in the condensed consolidated statements of operations. We recognized tax benefits on stock-based compensation of $1 million for both of the three months ended March 31, 2026 and 2025.
2026 Activity
Restricted Stock UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20260.9 $32.91 
Granted0.9 $31.69 
Vested(0.4)$32.56 
Forfeited (1)
— $33.29 
Outstanding at March 31, 20261.4 $32.23 
(1)    Activity during the three months ended March 31, 2026 rounds to zero.
Tax benefits on the vesting of restricted stock units during the three months ended March 31, 2026 were immaterial.
At March 31, 2026, there was $35 million of unamortized expense relating to unvested restricted stock units that is expected to be amortized over a weighted average period of 1.8 years.
Performance Share UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20261.0 $37.94 
Granted (1)
0.1 $29.51 
Vested(0.4)$33.74 
Forfeited(0.1)$41.24 
Outstanding at March 31, 20260.6 $39.13 
(1)    Activity during the three months ended March 31, 2026 represents portions of performance share units that vested above 100% performance threshold.
Our performance share units allow for participants to vest in zero to 200% of the target number of shares granted. At March 31, 2026, there was $10 million of unamortized expense relating to unvested performance share units that is expected to be amortized over a weighted average period of 1.6 years. Tax benefits on the vesting of performance share units during the three months ended March 31, 2026 were immaterial.
Stock Options
The Black-Scholes option pricing model was used to estimate the fair values for options as of their grant date. There have been no options granted since 2019. There are currently 0.1 million options outstanding, all of which are vested and exercisable, with an average exercise price of $28.52, a weighted average contractual life of 2.1 years and an immaterial aggregate intrinsic value.
Cash received by the Company upon exercise of options during the three months ended March 31, 2026 was $1 million. There were immaterial tax expenses on these exercises.
v3.26.1
OTHER EXPENSE, NET
3 Months Ended
Mar. 31, 2026
Other Income and Expenses [Abstract]  
OTHER EXPENSE, NET OTHER EXPENSE, NET
Three Months Ended
March 31,
20262025
Foreign exchange losses, net$$
Other miscellaneous expense, net— 
Total$$
v3.26.1
INCOME TAXES
3 Months Ended
Mar. 31, 2026
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
Our effective income tax rates for the three months ended March 31, 2026 and 2025 are as follows:
Three Months Ended
March 31,
20262025
Effective Tax Rate13.7 %23.0 %
The lower effective tax rate for the three months ended March 31, 2026 was primarily due to the release of unrecognized tax benefits resulting from ongoing discussions with tax authorities in jurisdictions where we have open audits.
The effective tax rate for the three months ended March 31, 2026 differs from the Bermuda statutory rate due to various items that impacted the effective rate both favorably and unfavorably, including net favorable adjustments for decreases in unrecognized tax benefits. These adjustments were primarily offset by unfavorable impacts for earnings in jurisdictions where the statutory rate is higher than the Bermuda statutory rate, changes in the valuation allowance, and non-deductible expenses and interest.
v3.26.1
NET INCOME PER COMMON SHARE
3 Months Ended
Mar. 31, 2026
Earnings Per Share [Abstract]  
NET INCOME PER COMMON SHARE NET INCOME PER COMMON SHARE
Basic net income per common share excludes the dilutive impact of potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted net income per common share includes the effect of potential dilution from the hypothetical exercise of outstanding stock options and vesting of restricted stock units and performance share units. A reconciliation of our basic and diluted net income per common share is as follows:
Three Months Ended
March 31,
(In millions, except per share data)20262025
Net income to common shareholders$90 $99 
Basic weighted average shares outstanding213.6 218.3 
Diluted weighted average shares outstanding214.6 219.4 
Net income per common share (1):
Basic net income per share$0.42 $0.45 
Diluted net income per share$0.42 $0.45 
(1)    Basic earnings per share and diluted earnings per share are calculated based on full precision. Figures in the table may not recalculate due to rounding.
The number of anti-dilutive shares that have been excluded in the computation of diluted net income per share for the three months ended March 31, 2026 were immaterial and for the three months ended March 31, 2025 were 0.1 million.
v3.26.1
ACCOUNTS AND NOTES RECEIVABLE, NET
3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
ACCOUNTS AND NOTES RECEIVABLE, NET ACCOUNTS AND NOTES RECEIVABLE, NET
Trade accounts receivable are stated at the amount we expect to collect. We maintain allowances for doubtful accounts for estimated losses by applying historical loss percentages, combined with reasonable and supportable forecasts of future losses, to respective aging categories. Management considers the following factors in developing its current estimate of expected credit losses: customer credit-worthiness, past transaction history with the customer, current economic industry trends, changes in market or regulatory matters, changes in geopolitical matters, changes in customer payment terms, and other macroeconomic factors.
March 31, 2026December 31, 2025
Accounts receivable - trade, net (1)
$981 $1,014 
Notes receivable83 32 
Other197 183 
Total$1,261 $1,229 
(1)    Allowance for doubtful accounts was $30 million and $29 million at March 31, 2026 and December 31, 2025, respectively.
Bad debt expense of $1 million and $3 million was included within selling, general and administrative expenses for the three months ended March 31, 2026 and 2025, respectively.
v3.26.1
INVENTORIES
3 Months Ended
Mar. 31, 2026
Inventory Disclosure [Abstract]  
INVENTORIES INVENTORIES
March 31, 2026December 31, 2025
Finished products$431 $431 
Semi-finished products125 122 
Raw materials179 168 
Stores and supplies35 35 
Total$770 $756 
Inventory reserves were $24 million and $22 million at March 31, 2026 and December 31, 2025, respectively.
v3.26.1
PROPERTY, PLANT AND EQUIPMENT, NET
3 Months Ended
Mar. 31, 2026
Property, Plant and Equipment [Abstract]  
PROPERTY, PLANT AND EQUIPMENT, NET PROPERTY, PLANT AND EQUIPMENT, NET
March 31, 2026December 31, 2025
Property, plant and equipment$2,734 $2,731 
Accumulated depreciation(1,441)(1,432)
Property, plant and equipment, net$1,293 $1,299 
Depreciation expense amounted to $33 million and $31 million for the three months ended March 31, 2026 and 2025, respectively.
v3.26.1
SUPPLIER FINANCE PROGRAMS
3 Months Ended
Mar. 31, 2026
Payables and Accruals [Abstract]  
SUPPLIER FINANCE PROGRAMS SUPPLIER FINANCE PROGRAMS
We maintain a voluntary supply chain financing (“SCF”) program with a global financial institution, which allows a select group of suppliers to sell their receivables to the participating financial institution at the discretion of both parties on terms that are negotiated between the supplier and the financial institution. The supplier invoices that have been confirmed as valid under the program are paid by us to the financial institution according to the terms we have with the supplier. Amounts outstanding under the SCF program were $31 million and $23 million at March 31, 2026 and December 31, 2025, respectively.
We also participate in a virtual card program with a global financial institution, in which we pay supplier invoices on the due date using a Virtual Card Account (“VCA”) and subsequently pay the balance in full 25 days after the billing statement date of the VCA. The program allows for suppliers to receive an accelerated payment for a fee at each supplier's discretion. Fees paid by our suppliers are negotiated directly with the financial institution without our involvement. Amounts outstanding under the VCA program were $7 million and $6 million at March 31, 2026 and December 31, 2025, respectively.
The payment terms we have with our suppliers who participate in the SCF and VCA programs are consistent with the typical terms we have with our suppliers who do not participate. These financing arrangements are included in accounts payable within the condensed consolidated balance sheets and the associated payments are included in operating activities within the condensed consolidated statements of cash flows.
v3.26.1
BORROWINGS
3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
BORROWINGS BORROWINGS
Borrowings are summarized as follows:
March 31, 2026December 31, 2025
2029 Dollar Term Loans$1,421 $1,475 
2027 Dollar Senior Notes500 500 
2029 Dollar Senior Notes700 700 
2031 Dollar Senior Notes500 500 
Short-term and other borrowings50 50 
Unamortized original issue discount(8)(9)
Unamortized deferred financing costs(16)(17)
Total borrowings, net3,147 3,199 
Less:
Short-term borrowings
Current portion of long-term borrowings17 17 
Long-term debt$3,127 $3,179 
Our senior secured credit facilities (the “Senior Secured Credit Facilities”) consist of a term loan due in 2029 (the “2029 Dollar Term Loans”) and a revolving credit facility that matures in 2029 (the “Revolving Credit Facility”) that are governed by a credit agreement (as amended, the “Credit Agreement”).
The Merger, if consummated, will constitute a “Change of Control” under the Credit Agreement. Pursuant to the Merger Agreement, AkzoNobel agreed to, in consultation with Axalta, use reasonable best efforts to obtain funds to, among other things, refinance the 2029 Dollar Term Loans prior to consummation of the Merger.
Revolving Credit Facility
At both March 31, 2026 and December 31, 2025, letters of credit issued under the Revolving Credit Facility totaled $30 million which reduced the availability under the Revolving Credit Facility as of such dates. Availability under the Revolving Credit Facility was $770 million at both March 31, 2026 and December 31, 2025. The letters of credit issued under the Revolving Credit Facility include $14 million that secures Customer Obligation Guarantees at both March 31, 2026 and December 31, 2025.
Other Activity
During the three months ended March 31, 2026, we prepaid $50 million of the outstanding principal amount of the 2029 Dollar Term Loans. As a result of these prepayments, we recorded an immaterial loss on extinguishment of debt for the three months ended March 31, 2026, which comprised the proportionate write-off of unamortized deferred financing costs and original issue discounts.
Future repayments
Below is a schedule of required future repayments of all borrowings outstanding at March 31, 2026.
Remainder of 2026$15 
2027521 
202821 
20292,079 
2030
Thereafter530 
Total borrowings3,171 
Unamortized original issue discount(8)
Unamortized deferred financing costs(16)
Total borrowings, net$3,147 
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS
3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS
Fair value of financial instruments
Equity securities with readily determinable fair values - Balances of equity securities are recorded within other assets, with any changes in fair value recorded within other expense, net. The fair values of equity securities are based upon quoted market prices, which are considered Level 1 inputs.
Long-term borrowings - The estimated fair values of these borrowings are based on recent trades, as reported by a third-party pricing service. Due to the infrequency of trades, these inputs are considered to be Level 2 inputs.
Derivative instruments - The Company’s interest rate swaps, cross-currency swaps and foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are included in the Level 2 hierarchy.
Fair value of contingent consideration
Contingent consideration is valued using a probability-weighted expected payment method that considers the timing of expected future cash flows and the probability of whether key elements of the contingent event are completed. The fair value of contingent consideration is valued at each balance sheet date, until amounts become payable, with adjustments recorded within other operating charges in the condensed consolidated statements of operations. Due to the significant unobservable inputs used in the valuations, these liabilities are categorized within Level 3 of the fair value hierarchy.
The table below presents the fair values of our financial instruments measured on a recurring basis by level within the fair value hierarchy at March 31, 2026 and December 31, 2025.
March 31, 2026December 31, 2025
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets:
Prepaid expenses and other current assets:
Interest rate swaps (1)
$— $$— $$— $— $— $— 
Cross-currency swaps (2)
— — — — 
Other assets:
Investments in equity securities
— — — — 
Liabilities:
Other accrued liabilities:
Cross-currency swaps (2)
— 36 — 36 — 51 — 51 
Contingent consideration— — — — 
Other liabilities:
Cross-currency swaps (2)
— 35 — 35 — 50 — 50 
Long-term borrowings:
2029 Dollar Term Loans— 1,424 — 1,424 — 1,481 — 1,481 
2027 Dollar Senior Notes— 497 — 497 — 501 — 501 
2029 Dollar Senior Notes— 664 — 664 — 674 — 674 
2031 Dollar Senior Notes— 524 — 524 — 527 — 527 
(1)    Cash flow hedge
(2)    Net investment hedge
The table below presents a roll forward of activity for the Level 3 liabilities for the three months ended March 31, 2026.
Fair Value Using Significant Unobservable Inputs
(Level 3)
Beginning balance at December 31, 2025
$
Contingent consideration from business acquisitions
Ending balance at March 31, 2026
$
Derivative Financial Instruments
We selectively use derivative instruments to reduce market risk associated with changes in foreign currency exchange rates and interest rates. The use of derivatives is intended for hedging purposes only, and we do not enter into derivative instruments for speculative purposes.
Derivative Instruments Qualifying and Designated as Cash Flow and Net Investment Hedges
The following table sets forth the locations and amounts recognized during the three months ended March 31, 2026 and 2025 for the Company's cash flow and net investment hedges.
Three Months Ended
March 31,
20262025
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of Gain Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $— $— 
Cross-currency swaps
Interest expense, net(34)(4)20 (5)
Over the next 12 months, we expect a gain of $1 million pertaining to cash flow hedges to be reclassified from AOCI into earnings, related to our interest rate swaps.
Derivative Instruments Not Designated as Cash Flow or Net Investment Hedges
We periodically enter into foreign currency forward and option contracts to reduce market risk and hedge our balance sheet exposures and cash flows for subsidiaries with exposures denominated in currencies different from the functional currency of the relevant subsidiary. These contracts have not been designated as hedges and all gains and losses are marked to market through other expense, net in the condensed consolidated statements of operations.
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that have not been designated for hedge accounting treatment are recorded in earnings as follows:
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of Loss (Gain) Recognized in Income on DerivativesThree Months Ended
March 31,
20262025
Foreign currency forward contractsOther expense, net$$(5)
v3.26.1
SEGMENTS
3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information.
We have two operating segments, which are also our reportable segments: Performance Coatings and Mobility Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines.
Through our Performance Coatings segment, we provide high-quality liquid and powder coatings solutions to both large regional and global customers and to a fragmented and local customer base. These customers comprise independent or multi-shop operator body shops as well as a wide variety of industrial manufacturers. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets and reporting units within this segment are refinish and industrial.
Through our Mobility Coatings segment, we provide coatings technologies for light vehicle and commercial vehicle original equipment manufacturers (“OEMs”). These global customers are faced with evolving megatrends in electrification, sustainability, personalization and autonomous driving that require a high level of technical expertise. The OEMs require efficient, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. The end-markets and reporting units within this segment are light vehicle and commercial vehicle.
Segment Adjusted EBITDA is the primary measure used by our CODM to evaluate financial performance of the operating segments and allocate resources and is therefore our measure of segment profitability in accordance with GAAP under ASC 280, Segment Reporting. Asset information is not reviewed or included with our internal management reporting. Therefore, we have not disclosed asset information for each reportable segment. The following tables present relevant information of our reportable segments.
Three Months Ended
March 31,
20262025
Net sales (1):
Refinish$498 $511 
Industrial304 311 
Total Net sales Performance Coatings802 822 
Light Vehicle349 340 
Commercial Vehicle103 100 
Total Net sales Mobility Coatings452 440 
Total Net sales$1,254 $1,262 
Segment Adjusted EBITDA:
Performance Coatings180 197 
Mobility Coatings79 73 
Total$259 $270 
March 31, 2026December 31, 2025
Investment in unconsolidated affiliates:
Performance Coatings$$
Mobility Coatings10 10 
Total$12 $12 
(1)The Company has no intercompany sales between segments.
The following tables reconcile net sales to Segment Adjusted EBITDA for the periods presented:
Three Months Ended
March 31, 2026
Performance CoatingsMobility CoatingsTotal
Net sales
$802 $452 $1,254 
Segment cost of goods sold (1)
445 290 735 
Other segment items (2)
177 83 260 
Segment Adjusted EBITDA$180 $79 $259 
Three Months Ended
March 31, 2025
Performance CoatingsMobility CoatingsTotal
Net sales
$822 $440 $1,262 
Segment cost of goods sold (1)
440 288 728 
Other segment items (2)
185 79 264 
Segment Adjusted EBITDA$197 $73 $270 
(1)Certain amounts included in cost of goods sold on the consolidated statements of operations are excluded from Segment cost of goods sold regularly provided to the CODM.
(2)Other segment items for both segments include certain cost of goods sold not regularly provided to the CODM, selling, general and administrative expenses, other operating charges, research and development expenses, and other expense, net. Certain amounts included in Segment cost of goods sold, including depreciation, are excluded from Segment Adjusted EBITDA and are adjusted for in other segment items.
The following table reconciles Segment Adjusted EBITDA to income before income taxes for the periods presented:
Three Months Ended
March 31,
20262025
Segment Adjusted EBITDA (1):
Performance Coatings$180 $197 
Mobility Coatings79 73 
Total259 270 
Interest expense, net38 44 
Depreciation and amortization76 70 
Termination benefits and other employee-related costs (a)
11 
Merger and acquisition-related costs (b)
22 
Site closure costs (c)
— 
Foreign exchange remeasurement losses (d)
Long-term employee benefit plan adjustments (e)
Stock-based compensation (f)
Other adjustments (g)
— 
Income before income taxes$105 $129 
(1)The primary measure of segment operating performance is Segment Adjusted EBITDA, which is defined as net income before interest, taxes, depreciation, amortization and select other items impacting operating results. These other items impacting operating results are items that management has concluded are (i) non-cash items included within net income, (ii) items the Company does not believe are indicative of ongoing operating performance or (iii) non-recurring, unusual or infrequent items that have not occurred within the last two years or the Company believes are not reasonably likely to recur within the next two years. Segment Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts and prior year financial results, providing a measure that management believes reflects the Company's core operating performance, which represents Segment EBITDA adjusted for the select items referred to above.
(a)Represents expenses and associated changes to estimates related to employee termination benefits, consulting, legal and other employee-related costs associated with restructuring programs and other employee-related costs. We do not consider these amounts indicative of our ongoing operating performance.
(b)Represents merger and acquisition-related expenses, including costs related to financial, tax and legal advisory services, associated with both consummated and unconsummated transactions, all of which we do not consider indicative of our ongoing operating performance.
(c)Represents costs related to the closure of certain manufacturing sites, which we do not consider indicative of our ongoing operating performance.
(d)Represents foreign exchange losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, net of the impacts of our foreign currency instruments used to hedge our balance sheet exposures.
(e)Represents the non-cash, non-service cost components of long-term employee benefit costs.
(f)Represents non-cash impacts associated with stock-based compensation.
(g)Represents costs for certain non-operational or non-cash losses, net, unrelated to our core business and which we do not consider indicative of our ongoing operating performance.
Geographic Area Information:
The following tables provide disaggregated information related to our net sales and long-lived assets.
Net sales by region were as follows:
Three Months Ended
March 31,
20262025
North America$400 $458 
EMEA488 446 
Asia Pacific212 215 
Latin America (1)
154 143 
Total (2)
$1,254 $1,262 
Net long-lived assets by region were as follows:
March 31, 2026December 31, 2025
North America$556 $561 
EMEA416 420 
Asia Pacific185 185 
Latin America (1)
136 133 
Total (3)
$1,293 $1,299 
(1)Includes Mexico.
(2)Net sales are attributed to countries based on the customer's location. Net sales to customers in China represented approximately 11% and 12% of the total net sales for the three months ended March 31, 2026 and 2025, respectively. Germany represented approximately 8% and 7% of the total for the three months ended March 31, 2026 and 2025, respectively. Mexico represented approximately 6% of the total for the three months ended March 31, 2026 and 2025. Brazil represented approximately 5% and 4% of the total net sales for the three months ended March 31, 2026 and 2025, respectively. Canada, which is included in the North America region, represented approximately 3% and 4% of the total for the three months ended March 31, 2026 and 2025, respectively.
(3)Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $229 million and $230 million at March 31, 2026 and December 31, 2025, respectively. China long-lived assets amounted to approximately $157 million and $156 million at March 31, 2026 and December 31, 2025, respectively. Mexico long-lived assets amounted to approximately $94 million and $92 million at March 31, 2026 and December 31, 2025, respectively. Canada long-lived assets, which are included in the North America region, amounted to approximately $6 million at both March 31, 2026 and December 31, 2025.
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE LOSS
3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE LOSS ACCUMULATED OTHER COMPREHENSIVE LOSS
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
(Loss) Gain on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2025
$(312)$(71)$— $(383)
Current year deferrals to AOCI(14)— (13)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(18)(16)
Balance, March 31, 2026
$(330)$(70)$$(399)
The cumulative income tax expense related to the adjustments for foreign exchange at March 31, 2026 was $1 million. The cumulative income tax benefit related to the adjustments for pension benefits at March 31, 2026 was $29 million. The cumulative income tax expense related to the adjustments for the unrealized gain on derivatives at March 31, 2026 was immaterial. See Note 16 for classification within the condensed consolidated statements of operations of the gains and losses on derivatives reclassified from AOCI.
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
Loss on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2024
$(517)$(64)$(1)$(582)
Current year deferrals to AOCI66 — — 66 
Reclassifications from AOCI to Net income(5)— (4)
Net Change61 — 62 
Balance, March 31, 2025
$(456)$(63)$(1)$(520)
The cumulative income tax expense related to the adjustments for foreign exchange at March 31, 2025 was immaterial. The cumulative income tax benefit related to the adjustments for pension benefits at March 31, 2025 was $27 million. The cumulative income tax expense related to the adjustments for the unrealized loss on derivatives at March 31, 2025 was immaterial. See Note 16 for classification within the condensed consolidated statements of operations of the gains and losses on derivatives reclassified from AOCI.
v3.26.1
Insider Trading Arrangements
3 Months Ended
Mar. 31, 2026
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.26.1
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
Accounting Guidance and Disclosure Rules Issued But Not Yet Adopted
In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40), to improve disclosures about a public business entity’s expenses and require more detailed information about the types of expenses in commonly presented expense captions, such as cost of sales, selling general and administrative expense and research and development. The new standard is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. We are currently evaluating the impact of ASU 2024-03 on our financial statements.
In September 2025, the FASB issued ASU 2025-06, Intangibles Goodwill and Other Internal-Use Software (Subtopic 350-40), to enhance guidance for recognizing and measuring capitalizable costs associated with the development of internal-use software. The new standard is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of ASU 2025-06 on our financial statements.
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Tables)
3 Months Ended
Mar. 31, 2026
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The following table shows changes in the carrying amount of goodwill from December 31, 2025 to March 31, 2026 by reportable segment:
Performance
Coatings
Mobility
Coatings
Total
Balance at December 31, 2025$1,714 $81 $1,795 
Goodwill from acquisitions— 
Foreign currency translation(28)(1)(29)
Balance at March 31, 2026$1,692 $80 $1,772 
Schedule of Finite-lived and Indefinite-lived Intangible Assets by Major Class
The following tables summarize the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
March 31, 2026Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$153 $(106)$47 11.1
Trademarks—indefinite-lived270 — 270 Indefinite
Trademarks—definite-lived162 (88)74 14.1
Customer relationships1,370 (647)723 18.8
Total$1,955 $(841)$1,114 
December 31, 2025Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology$154 $(103)$51 11.1
Trademarks—indefinite-lived275 — 275 Indefinite
Trademarks—definite-lived164 (87)77 14.1
Customer relationships1,375 (631)744 18.9
Total$1,968 $(821)$1,147 
Schedule of Finite-lived Intangible Assets, Future Amortization Expense
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2026 and each of the succeeding five years is:
Remainder of 2026$77 
2027101 
202887 
202983 
203083 
203178 
v3.26.1
RESTRUCTURING (Tables)
3 Months Ended
Mar. 31, 2026
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring and Related Costs
The following table summarizes the activity related to the termination benefit reserves and expenses from December 31, 2025 to March 31, 2026:
2026 Activity
Balance at December 31, 2025$26 
Expenses, net of changes to estimates
Payments made(21)
Foreign currency translation— 
Balance at March 31, 2026$
v3.26.1
LONG-TERM EMPLOYEE BENEFITS (Tables)
3 Months Ended
Mar. 31, 2026
Retirement Benefits [Abstract]  
Schedule of Net Benefit Costs
The following table sets forth the pre-tax components of net periodic benefit costs for our defined benefit plans for the three months ended March 31, 2026 and 2025:
Three Months Ended
March 31,
20262025
Components of net periodic benefit cost:
Net periodic benefit cost:
Service cost$$
Interest cost
Expected return on plan assets(3)(2)
Amortization of actuarial loss, net
Net periodic benefit cost$$
v3.26.1
STOCK-BASED COMPENSATION (Tables)
3 Months Ended
Mar. 31, 2026
Share-Based Payment Arrangement [Abstract]  
Schedule of Restricted Stock Units and Restricted Stock Awards Roll Forward
Restricted Stock UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20260.9 $32.91 
Granted0.9 $31.69 
Vested(0.4)$32.56 
Forfeited (1)
— $33.29 
Outstanding at March 31, 20261.4 $32.23 
(1)    Activity during the three months ended March 31, 2026 rounds to zero.
Schedule of Performance Stock Roll Forward
Performance Share UnitsUnits
(in millions)
Weighted Average
Fair Value
Outstanding at January 1, 20261.0 $37.94 
Granted (1)
0.1 $29.51 
Vested(0.4)$33.74 
Forfeited(0.1)$41.24 
Outstanding at March 31, 20260.6 $39.13 
(1)    Activity during the three months ended March 31, 2026 represents portions of performance share units that vested above 100% performance threshold.
v3.26.1
OTHER EXPENSE, NET (Tables)
3 Months Ended
Mar. 31, 2026
Other Income and Expenses [Abstract]  
Schedule of Other Expense, Net
Three Months Ended
March 31,
20262025
Foreign exchange losses, net$$
Other miscellaneous expense, net— 
Total$$
v3.26.1
INCOME TAXES (Tables)
3 Months Ended
Mar. 31, 2026
Income Tax Disclosure [Abstract]  
Schedule of Effective Income Tax Rate Reconciliation
Our effective income tax rates for the three months ended March 31, 2026 and 2025 are as follows:
Three Months Ended
March 31,
20262025
Effective Tax Rate13.7 %23.0 %
v3.26.1
NET INCOME PER COMMON SHARE (Tables)
3 Months Ended
Mar. 31, 2026
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Net Income Per Common Share A reconciliation of our basic and diluted net income per common share is as follows:
Three Months Ended
March 31,
(In millions, except per share data)20262025
Net income to common shareholders$90 $99 
Basic weighted average shares outstanding213.6 218.3 
Diluted weighted average shares outstanding214.6 219.4 
Net income per common share (1):
Basic net income per share$0.42 $0.45 
Diluted net income per share$0.42 $0.45 
(1)    Basic earnings per share and diluted earnings per share are calculated based on full precision. Figures in the table may not recalculate due to rounding.
v3.26.1
ACCOUNTS AND NOTES RECEIVABLE, NET (Tables)
3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable
March 31, 2026December 31, 2025
Accounts receivable - trade, net (1)
$981 $1,014 
Notes receivable83 32 
Other197 183 
Total$1,261 $1,229 
(1)    Allowance for doubtful accounts was $30 million and $29 million at March 31, 2026 and December 31, 2025, respectively.
v3.26.1
INVENTORIES (Tables)
3 Months Ended
Mar. 31, 2026
Inventory Disclosure [Abstract]  
Schedule of Inventory
March 31, 2026December 31, 2025
Finished products$431 $431 
Semi-finished products125 122 
Raw materials179 168 
Stores and supplies35 35 
Total$770 $756 
v3.26.1
PROPERTY, PLANT AND EQUIPMENT, NET (Tables)
3 Months Ended
Mar. 31, 2026
Property, Plant and Equipment [Abstract]  
Schedule of Property, Plant and Equipment
March 31, 2026December 31, 2025
Property, plant and equipment$2,734 $2,731 
Accumulated depreciation(1,441)(1,432)
Property, plant and equipment, net$1,293 $1,299 
v3.26.1
BORROWINGS (Tables)
3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
Schedule of Debt
Borrowings are summarized as follows:
March 31, 2026December 31, 2025
2029 Dollar Term Loans$1,421 $1,475 
2027 Dollar Senior Notes500 500 
2029 Dollar Senior Notes700 700 
2031 Dollar Senior Notes500 500 
Short-term and other borrowings50 50 
Unamortized original issue discount(8)(9)
Unamortized deferred financing costs(16)(17)
Total borrowings, net3,147 3,199 
Less:
Short-term borrowings
Current portion of long-term borrowings17 17 
Long-term debt$3,127 $3,179 
Schedule of Maturities of Long-term Debt
Below is a schedule of required future repayments of all borrowings outstanding at March 31, 2026.
Remainder of 2026$15 
2027521 
202821 
20292,079 
2030
Thereafter530 
Total borrowings3,171 
Unamortized original issue discount(8)
Unamortized deferred financing costs(16)
Total borrowings, net$3,147 
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS (Tables)
3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The table below presents the fair values of our financial instruments measured on a recurring basis by level within the fair value hierarchy at March 31, 2026 and December 31, 2025.
March 31, 2026December 31, 2025
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets:
Prepaid expenses and other current assets:
Interest rate swaps (1)
$— $$— $$— $— $— $— 
Cross-currency swaps (2)
— — — — 
Other assets:
Investments in equity securities
— — — — 
Liabilities:
Other accrued liabilities:
Cross-currency swaps (2)
— 36 — 36 — 51 — 51 
Contingent consideration— — — — 
Other liabilities:
Cross-currency swaps (2)
— 35 — 35 — 50 — 50 
Long-term borrowings:
2029 Dollar Term Loans— 1,424 — 1,424 — 1,481 — 1,481 
2027 Dollar Senior Notes— 497 — 497 — 501 — 501 
2029 Dollar Senior Notes— 664 — 664 — 674 — 674 
2031 Dollar Senior Notes— 524 — 524 — 527 — 527 
(1)    Cash flow hedge
(2)    Net investment hedge
Schedule of Fair Value, Liability Activity
The table below presents a roll forward of activity for the Level 3 liabilities for the three months ended March 31, 2026.
Fair Value Using Significant Unobservable Inputs
(Level 3)
Beginning balance at December 31, 2025
$
Contingent consideration from business acquisitions
Ending balance at March 31, 2026
$
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following table sets forth the locations and amounts recognized during the three months ended March 31, 2026 and 2025 for the Company's cash flow and net investment hedges.
Three Months Ended
March 31,
20262025
Derivatives in Cash Flow and Net Investment HedgesLocation of (Gain) Loss Recognized in Income on DerivativesNet Amount of Gain Recognized in OCI on DerivativesAmount of Gain Recognized in IncomeNet Amount of Loss Recognized in OCI on DerivativesAmount of Gain Recognized in Income
Interest rate swapsInterest expense, net$(1)$— $— $— 
Cross-currency swaps
Interest expense, net(34)(4)20 (5)
Schedule of Derivatives Not Designated as Hedging Instruments
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that have not been designated for hedge accounting treatment are recorded in earnings as follows:
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of Loss (Gain) Recognized in Income on DerivativesThree Months Ended
March 31,
20262025
Foreign currency forward contractsOther expense, net$$(5)
v3.26.1
SEGMENTS (Tables)
3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment The following tables present relevant information of our reportable segments.
Three Months Ended
March 31,
20262025
Net sales (1):
Refinish$498 $511 
Industrial304 311 
Total Net sales Performance Coatings802 822 
Light Vehicle349 340 
Commercial Vehicle103 100 
Total Net sales Mobility Coatings452 440 
Total Net sales$1,254 $1,262 
Segment Adjusted EBITDA:
Performance Coatings180 197 
Mobility Coatings79 73 
Total$259 $270 
March 31, 2026December 31, 2025
Investment in unconsolidated affiliates:
Performance Coatings$$
Mobility Coatings10 10 
Total$12 $12 
(1)The Company has no intercompany sales between segments.
The following tables reconcile net sales to Segment Adjusted EBITDA for the periods presented:
Three Months Ended
March 31, 2026
Performance CoatingsMobility CoatingsTotal
Net sales
$802 $452 $1,254 
Segment cost of goods sold (1)
445 290 735 
Other segment items (2)
177 83 260 
Segment Adjusted EBITDA$180 $79 $259 
Three Months Ended
March 31, 2025
Performance CoatingsMobility CoatingsTotal
Net sales
$822 $440 $1,262 
Segment cost of goods sold (1)
440 288 728 
Other segment items (2)
185 79 264 
Segment Adjusted EBITDA$197 $73 $270 
(1)Certain amounts included in cost of goods sold on the consolidated statements of operations are excluded from Segment cost of goods sold regularly provided to the CODM.
(2)Other segment items for both segments include certain cost of goods sold not regularly provided to the CODM, selling, general and administrative expenses, other operating charges, research and development expenses, and other expense, net. Certain amounts included in Segment cost of goods sold, including depreciation, are excluded from Segment Adjusted EBITDA and are adjusted for in other segment items.
Schedule of Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The following table reconciles Segment Adjusted EBITDA to income before income taxes for the periods presented:
Three Months Ended
March 31,
20262025
Segment Adjusted EBITDA (1):
Performance Coatings$180 $197 
Mobility Coatings79 73 
Total259 270 
Interest expense, net38 44 
Depreciation and amortization76 70 
Termination benefits and other employee-related costs (a)
11 
Merger and acquisition-related costs (b)
22 
Site closure costs (c)
— 
Foreign exchange remeasurement losses (d)
Long-term employee benefit plan adjustments (e)
Stock-based compensation (f)
Other adjustments (g)
— 
Income before income taxes$105 $129 
(1)The primary measure of segment operating performance is Segment Adjusted EBITDA, which is defined as net income before interest, taxes, depreciation, amortization and select other items impacting operating results. These other items impacting operating results are items that management has concluded are (i) non-cash items included within net income, (ii) items the Company does not believe are indicative of ongoing operating performance or (iii) non-recurring, unusual or infrequent items that have not occurred within the last two years or the Company believes are not reasonably likely to recur within the next two years. Segment Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts and prior year financial results, providing a measure that management believes reflects the Company's core operating performance, which represents Segment EBITDA adjusted for the select items referred to above.
(a)Represents expenses and associated changes to estimates related to employee termination benefits, consulting, legal and other employee-related costs associated with restructuring programs and other employee-related costs. We do not consider these amounts indicative of our ongoing operating performance.
(b)Represents merger and acquisition-related expenses, including costs related to financial, tax and legal advisory services, associated with both consummated and unconsummated transactions, all of which we do not consider indicative of our ongoing operating performance.
(c)Represents costs related to the closure of certain manufacturing sites, which we do not consider indicative of our ongoing operating performance.
(d)Represents foreign exchange losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, net of the impacts of our foreign currency instruments used to hedge our balance sheet exposures.
(e)Represents the non-cash, non-service cost components of long-term employee benefit costs.
(f)Represents non-cash impacts associated with stock-based compensation.
(g)Represents costs for certain non-operational or non-cash losses, net, unrelated to our core business and which we do not consider indicative of our ongoing operating performance.
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas
The following tables provide disaggregated information related to our net sales and long-lived assets.
Net sales by region were as follows:
Three Months Ended
March 31,
20262025
North America$400 $458 
EMEA488 446 
Asia Pacific212 215 
Latin America (1)
154 143 
Total (2)
$1,254 $1,262 
Net long-lived assets by region were as follows:
March 31, 2026December 31, 2025
North America$556 $561 
EMEA416 420 
Asia Pacific185 185 
Latin America (1)
136 133 
Total (3)
$1,293 $1,299 
(1)Includes Mexico.
(2)Net sales are attributed to countries based on the customer's location. Net sales to customers in China represented approximately 11% and 12% of the total net sales for the three months ended March 31, 2026 and 2025, respectively. Germany represented approximately 8% and 7% of the total for the three months ended March 31, 2026 and 2025, respectively. Mexico represented approximately 6% of the total for the three months ended March 31, 2026 and 2025. Brazil represented approximately 5% and 4% of the total net sales for the three months ended March 31, 2026 and 2025, respectively. Canada, which is included in the North America region, represented approximately 3% and 4% of the total for the three months ended March 31, 2026 and 2025, respectively.
(3)Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $229 million and $230 million at March 31, 2026 and December 31, 2025, respectively. China long-lived assets amounted to approximately $157 million and $156 million at March 31, 2026 and December 31, 2025, respectively. Mexico long-lived assets amounted to approximately $94 million and $92 million at March 31, 2026 and December 31, 2025, respectively. Canada long-lived assets, which are included in the North America region, amounted to approximately $6 million at both March 31, 2026 and December 31, 2025.
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)
3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Loss
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
(Loss) Gain on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2025
$(312)$(71)$— $(383)
Current year deferrals to AOCI(14)— (13)
Reclassifications from AOCI to Net income(4)— (3)
Net Change(18)(16)
Balance, March 31, 2026
$(330)$(70)$$(399)
Unrealized
Currency
Translation
Adjustments
Pension Plan
Adjustments
Unrealized
Loss on
Derivatives
Accumulated
Other
Comprehensive
 Loss
Balance, December 31, 2024
$(517)$(64)$(1)$(582)
Current year deferrals to AOCI66 — — 66 
Reclassifications from AOCI to Net income(5)— (4)
Net Change61 — 62 
Balance, March 31, 2025
$(456)$(63)$(1)$(520)
v3.26.1
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)
€ / shares in Units, € in Millions
1 Months Ended
Nov. 30, 2025
EUR (€)
Mar. 31, 2026
$ / shares
Dec. 31, 2025
$ / shares
Nov. 30, 2025
$ / shares
Nov. 30, 2025
€ / shares
New Accounting Pronouncements or Change in Accounting Principle [Line Items]          
Common stock, par value (in dollars per share) | $ / shares   $ 1.00 $ 1.00    
Merger Agreement          
New Accounting Pronouncements or Change in Accounting Principle [Line Items]          
Common stock, par value (in dollars per share) | $ / shares       $ 1.00  
Conversion ratio       0.6539 0.6539
Akzo Nobel N.V          
New Accounting Pronouncements or Change in Accounting Principle [Line Items]          
Merger termination fee | € € 150        
Akzo Nobel N.V | Merger Agreement          
New Accounting Pronouncements or Change in Accounting Principle [Line Items]          
Common stock, par value (in dollars per share) | € / shares         € 0.50
Axalta Coating Systems Ltd.          
New Accounting Pronouncements or Change in Accounting Principle [Line Items]          
Merger termination fee | € € 150        
v3.26.1
REVENUE (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]      
Contract with customer, asset $ 43   $ 40
Contractual arrangements, useful life (in years) 5 years    
Capitalized contract cost, net $ 200   $ 191
Capitalized contract cost, amortization $ 17 $ 15  
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Additional Information (Details)
$ in Millions
3 Months Ended 12 Months Ended
Mar. 31, 2026
USD ($)
business
Mar. 31, 2025
USD ($)
Dec. 31, 2025
Goodwill [Line Items]      
Payment to acquire business $ 8 $ 6  
Customer Relationships      
Goodwill [Line Items]      
Weighted average amortization periods (in years) 18 years 9 months 18 days   18 years 10 months 24 days
Performance Coatings Segment Acquisition      
Goodwill [Line Items]      
Number of businesses acquired | business 2    
Consideration transferred $ 13    
Payment to acquire business 8    
Cash acquired $ 1    
Weighted average amortization periods (in years) 10 years    
Performance Coatings Segment Acquisition | Customer Relationships      
Goodwill [Line Items]      
Identifiable intangible assets $ 6    
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Goodwill (Details)
$ in Millions
3 Months Ended
Mar. 31, 2026
USD ($)
Goodwill [Roll Forward]  
Goodwill, beginning balance $ 1,795
Goodwill from acquisitions 6
Foreign currency translation (29)
Goodwill, ending balance 1,772
Performance Coatings  
Goodwill [Roll Forward]  
Goodwill, beginning balance 1,714
Goodwill from acquisitions 6
Foreign currency translation (28)
Goodwill, ending balance 1,692
Mobility Coatings  
Goodwill [Roll Forward]  
Goodwill, beginning balance 81
Goodwill from acquisitions 0
Foreign currency translation (1)
Goodwill, ending balance $ 80
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Finite-lived and Indefinite-lived Intangible Assets by Major Class (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 1,955 $ 1,968
Accumulated Amortization (841) (821)
Net Book Value, definite-lived 1,114 1,147
Trademarks    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Trademarks—indefinite-lived 270 275
Technology    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount 153 154
Accumulated Amortization (106) (103)
Net Book Value, definite-lived $ 47 $ 51
Weighted average amortization periods (years) 11 years 1 month 6 days 11 years 1 month 6 days
Trademarks    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 162 $ 164
Accumulated Amortization (88) (87)
Net Book Value, definite-lived $ 74 $ 77
Weighted average amortization periods (years) 14 years 1 month 6 days 14 years 1 month 6 days
Customer relationships    
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]    
Gross Carrying Amount $ 1,370 $ 1,375
Accumulated Amortization (647) (631)
Net Book Value, definite-lived $ 723 $ 744
Weighted average amortization periods (years) 18 years 9 months 18 days 18 years 10 months 24 days
v3.26.1
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Schedule of Finite-lived Intangible Assets, Future Amortization Expense (Details)
$ in Millions
Mar. 31, 2026
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
Remainder of 2026 $ 77
2027 101
2028 87
2029 83
2030 83
2031 $ 78
v3.26.1
RESTRUCTURING - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Restructuring and Related Activities [Abstract]    
Restructuring charges $ 4 $ 11
Payment term (in months) 12 months  
v3.26.1
RESTRUCTURING - Schedule of Restructuring and Related Costs (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Restructuring Reserve [Roll Forward]    
Beginning balance $ 26  
Expenses, net of changes to estimates 4 $ 11
Payments made (21)  
Foreign currency translation 0  
Ending balance $ 9  
v3.26.1
COMMITMENTS AND CONTINGENCIES (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]    
Maximum exposure $ 26 $ 24
Current carrying value $ 0 $ 0
v3.26.1
LONG-TERM EMPLOYEE BENEFITS (Details) - Pension Plan - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Net periodic benefit cost:    
Service cost $ 2 $ 1
Interest cost 6 4
Expected return on plan assets (3) (2)
Amortization of actuarial loss, net 1 1
Net periodic benefit cost $ 6 $ 4
v3.26.1
STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Stock-based compensation expense $ 7 $ 5
Stock based compensation tax benefit $ 1 $ 1
Granted (in shares) 0  
Exercisable, awards (in shares) 100,000  
Average exercise price (in dollars per share) $ 28.52  
Weighted average remaining contractual term 2 years 1 month 6 days  
Vested and expected to vest, aggregate intrinsic value $ 0  
Proceeds from stock options exercised 1  
Tax benefits on exercises 0  
Restricted Stock Units (RSUs)    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Tax benefit realized on the vesting of restricted stock 0  
Compensation not yet recognized, share-based awards other than options $ 35  
Period for recognition of compensation not yet recognized 1 year 9 months 18 days  
Performance Shares    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Tax benefit realized on the vesting of restricted stock $ 0  
Compensation not yet recognized, share-based awards other than options $ 10  
Period for recognition of compensation not yet recognized 1 year 7 months 6 days  
Performance Shares | Minimum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Percent of vested shares granted 0.00%  
Performance Shares | Maximum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Percent of vested shares granted 200.00%  
v3.26.1
STOCK-BASED COMPENSATION - Schedule of Restricted Stock Units (Details) - Restricted Stock Units (RSUs)
shares in Millions
3 Months Ended
Mar. 31, 2026
$ / shares
shares
Units (in millions)  
Beginning balance (in shares) | shares 0.9
Granted (in shares) | shares 0.9
Vested (in shares) | shares (0.4)
Forfeited (in shares) | shares 0.0
Ending balance (in shares) | shares 1.4
Weighted Average Fair Value  
Beginning balance (in dollars per share) | $ / shares $ 32.91
Granted (in dollars per share) | $ / shares 31.69
Vested (in dollars per share) | $ / shares 32.56
Forfeited (in dollars per share) | $ / shares 33.29
Ending balance (in dollars per share) | $ / shares $ 32.23
Vesting performance threshold 100.00%
v3.26.1
STOCK-BASED COMPENSATION - Schedule of Performance Shares Award Outstanding Activity (Details) - Performance Shares
shares in Millions
3 Months Ended
Mar. 31, 2026
$ / shares
shares
Units (in millions)  
Beginning balance (in shares) | shares 1.0
Granted (in shares) | shares 0.1
Vested (in shares) | shares (0.4)
Forfeited (in shares) | shares (0.1)
Ending balance (in shares) | shares 0.6
Weighted Average Fair Value  
Beginning balance (in dollars per share) | $ / shares $ 37.94
Granted (in dollars per share) | $ / shares 29.51
Vested (in dollars per share) | $ / shares 33.74
Forfeited (in dollars per share) | $ / shares 41.24
Ending balance (in dollars per share) | $ / shares $ 39.13
v3.26.1
OTHER EXPENSE, NET (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Other Income and Expenses [Abstract]    
Foreign exchange losses, net $ 2 $ 3
Other miscellaneous expense, net 1 0
Total $ 3 $ 3
v3.26.1
INCOME TAXES (Details)
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Income Tax Disclosure [Abstract]    
Effective Tax Rate 13.70% 23.00%
v3.26.1
NET INCOME PER COMMON SHARE - Schedule of Basic and Diluted Net Income Per Common Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Earnings Per Share [Abstract]    
Net income to common shareholders $ 90 $ 99
Basic weighted average shares outstanding (in shares) 213.6 218.3
Diluted weighted average shares outstanding (in shares) 214.6 219.4
Net income per common share    
Basic net income per share (in dollars per share) $ 0.42 $ 0.45
Diluted net income per share (in dollars per share) $ 0.42 $ 0.45
v3.26.1
NET INCOME PER COMMON SHARE - Additional Information (Details) - shares
shares in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Earnings Per Share [Abstract]    
Antidilutive securities excluded from computation of earnings per share (in shares) 0.0 0.1
v3.26.1
ACCOUNTS AND NOTES RECEIVABLE, NET - Schedule of Accounts, Notes, Loans, and Financing Receivable (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Receivables [Abstract]    
Accounts receivable - trade, net $ 981 $ 1,014
Notes receivable 83 32
Other 197 183
Total 1,261 1,229
Allowance for doubtful accounts $ 30 $ 29
v3.26.1
ACCOUNTS AND NOTES RECEIVABLE, NET - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Receivables [Abstract]    
Bad debt expense (benefit) net of recoveries $ 1 $ 3
v3.26.1
INVENTORIES - Schedule of Inventory (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Inventory Disclosure [Abstract]    
Finished products $ 431 $ 431
Semi-finished products 125 122
Raw materials 179 168
Stores and supplies 35 35
Total $ 770 $ 756
v3.26.1
INVENTORIES - Additional Information (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Inventory Disclosure [Abstract]    
Inventory reserves $ 24 $ 22
v3.26.1
PROPERTY, PLANT AND EQUIPMENT, NET - Schedule of Property, Plant and Equipment (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Property, Plant and Equipment [Abstract]    
Property, plant and equipment $ 2,734 $ 2,731
Accumulated depreciation (1,441) (1,432)
Property, plant and equipment, net $ 1,293 $ 1,299
v3.26.1
PROPERTY, PLANT AND EQUIPMENT, NET - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Property, Plant and Equipment [Abstract]    
Depreciation expense $ 33 $ 31
v3.26.1
SUPPLIER FINANCE PROGRAMS (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
SCF Program    
Supplier Finance Program [Line Items]    
Supplier finance program, obligation $ 31 $ 23
VCA Program    
Supplier Finance Program [Line Items]    
Supplier finance program, obligation $ 7 $ 6
Supplier financing program obligation, payment term (in days) 25 days  
v3.26.1
BORROWINGS - Schedule of Debt (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Short-term and other borrowings $ 50 $ 50
Unamortized original issue discount (8) (9)
Unamortized deferred financing costs (16) (17)
Total borrowings, net 3,147 3,199
Short-term borrowings 3 3
Current portion of long-term borrowings 17 17
Long-term debt 3,127 3,179
2029 Dollar Term Loans    
Debt Instrument [Line Items]    
Term loan 1,421 1,475
2027 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes 500 500
2029 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes 700 700
2031 Dollar Senior Notes    
Debt Instrument [Line Items]    
Senior notes $ 500 $ 500
v3.26.1
BORROWINGS - Additional Information (Details) - USD ($)
3 Months Ended
Mar. 31, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Loss on extinguishment of debt $ 0  
2029 Dollar Term Loans    
Debt Instrument [Line Items]    
Outstanding principal amount prepaid 50,000,000  
Revolving Credit Facility    
Debt Instrument [Line Items]    
Letters of credit outstanding, amount 30,000,000 $ 30,000,000
Line of credit facility, remaining borrowing capacity 770,000,000 770,000,000
Revolving Credit Facility | Customer Obligation Guarantees    
Debt Instrument [Line Items]    
Letters of credit outstanding, amount $ 14,000,000 $ 14,000,000
v3.26.1
BORROWINGS - Schedule of Maturities of Long-term Debt (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
Debt Disclosure [Abstract]    
Remainder of 2026 $ 15  
2027 521  
2028 21  
2029 2,079  
2030 5  
Thereafter 530  
Total borrowings 3,171  
Unamortized original issue discount (8) $ (9)
Unamortized deferred financing costs (16) (17)
Total borrowings, net $ 3,147 $ 3,199
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Fair Value of Financial Instruments (Details) - Fair Value, Recurring - USD ($)
$ in Millions
Mar. 31, 2026
Dec. 31, 2025
2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable $ 1,424 $ 1,481
2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 497 501
2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 664 674
2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 524 527
Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 1 1
Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 8 6
Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 1 0
Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 6 5
Cross-currency swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 36 51
Cross-currency swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 35 50
Level 1 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 0 0
Level 1 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 1 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 1 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 1 | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 1 1
Level 1 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0 0
Level 1 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0 0
Level 1 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0 0
Level 1 | Cross-currency swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0 0
Level 1 | Cross-currency swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0 0
Level 2 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 1,424 1,481
Level 2 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 497 501
Level 2 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 664 674
Level 2 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 524 527
Level 2 | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 0 0
Level 2 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 0 0
Level 2 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 1 0
Level 2 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 6 5
Level 2 | Cross-currency swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 36 51
Level 2 | Cross-currency swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 35 50
Level 3 | 2029 Dollar Term Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Loans payable 0 0
Level 3 | 2027 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 3 | 2029 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 3 | 2031 Dollar Senior Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notes payable 0 0
Level 3 | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Investments in equity securities 0 0
Level 3 | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Contingent consideration 8 6
Level 3 | Interest rate swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0 0
Level 3 | Cross-currency swaps | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative asset 0 0
Level 3 | Cross-currency swaps | Other accrued liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability 0 0
Level 3 | Cross-currency swaps | Other liabilities | Designated as Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative liability $ 0 $ 0
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Liability Activity (Details)
$ in Millions
3 Months Ended
Mar. 31, 2026
USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]  
Beginning balance $ 6
Contingent consideration from business acquisitions 2
Ending balance $ 8
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Derivative Locations and Amounts Recognized (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net Amount of Gain Recognized in OCI on Derivatives $ (1) $ 0
Interest rate swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net Amount of Gain Recognized in OCI on Derivatives (1) 0
Cross-currency swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net Amount of Gain Recognized in OCI on Derivatives (34) 20
Interest expense, net | Interest rate swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Amount of Gain Recognized in Income 0 0
Interest expense, net | Cross-currency swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Amount of Gain Recognized in Income $ (4) $ (5)
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Additional Information (Details)
$ in Millions
3 Months Ended
Mar. 31, 2026
USD ($)
Fair Value Disclosures [Abstract]  
Cash flow hedge gain (loss) $ 1
v3.26.1
FINANCIAL INSTRUMENTS, HEDGING ACTIVITIES AND FAIR VALUE MEASUREMENTS - Schedule of Instruments Not Designated as Hedge (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Foreign currency forward contracts | Interest expense, net    
Derivative [Line Items]    
Derivatives not designated as hedging $ 6 $ (5)
v3.26.1
SEGMENTS - Additional Information (Details)
3 Months Ended
Mar. 31, 2026
segment
Segment Reporting [Abstract]  
Number of operating segments 2
Number of reportable segments 2
v3.26.1
SEGMENTS - Schedule of Segment Reporting Information, by Segment (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Segment Reporting Information [Line Items]      
Net sales $ 1,254 $ 1,262  
Segment Adjusted EBITDA 259 270  
Investment in unconsolidated affiliates 12   $ 12
Intercompany sales between segments 0 0  
Performance Coatings      
Segment Reporting Information [Line Items]      
Net sales 802 822  
Segment Adjusted EBITDA 180 197  
Investment in unconsolidated affiliates 2   2
Mobility Coatings      
Segment Reporting Information [Line Items]      
Net sales 452 440  
Segment Adjusted EBITDA 79 73  
Investment in unconsolidated affiliates 10   $ 10
Refinish | Performance Coatings      
Segment Reporting Information [Line Items]      
Net sales 498 511  
Industrial | Performance Coatings      
Segment Reporting Information [Line Items]      
Net sales 304 311  
Light Vehicle | Mobility Coatings      
Segment Reporting Information [Line Items]      
Net sales 349 340  
Commercial Vehicle | Mobility Coatings      
Segment Reporting Information [Line Items]      
Net sales $ 103 $ 100  
v3.26.1
SEGMENTS - Net Sales to Segment Adjusted EBITDA (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales $ 1,254 $ 1,262
Segment cost of goods sold 838 829
Segment Adjusted EBITDA 259 270
Operating Segments    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales 1,254 1,262
Segment cost of goods sold 735 728
Other segment items 260 264
Segment Adjusted EBITDA 259 270
Performance Coatings    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales 802 822
Segment Adjusted EBITDA 180 197
Performance Coatings | Operating Segments    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales 802 822
Segment cost of goods sold 445 440
Other segment items 177 185
Segment Adjusted EBITDA 180 197
Mobility Coatings    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales 452 440
Segment Adjusted EBITDA 79 73
Mobility Coatings | Operating Segments    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Net sales 452 440
Segment cost of goods sold 290 288
Other segment items 83 79
Segment Adjusted EBITDA $ 79 $ 73
v3.26.1
SEGMENTS - Schedule of Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Segment Adjusted EBITDA $ 259 $ 270
Interest expense, net 38 44
Depreciation and amortization 76 70
Termination benefits and other employee-related costs 4 11
Acquisition related costs 22 2
Site closure costs 0 3
Foreign exchange remeasurement losses 2 3
Long-term employee benefit plan adjustments 4 3
Stock-based compensation 7 5
Other adjustments 1 0
Income before income taxes 105 129
Performance Coatings    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Segment Adjusted EBITDA 180 197
Mobility Coatings    
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]    
Segment Adjusted EBITDA $ 79 $ 73
v3.26.1
SEGMENTS - Schedule of Revenue from External Customers and Long-lived Assets, by Geographical Areas (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Dec. 31, 2025
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales $ 1,254 $ 1,262  
Long-lived assets 1,293 1,299  
North America      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 400 458  
Long-lived assets 556 561  
EMEA      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 488 446  
Long-lived assets 416 420  
Asia Pacific      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 212 215  
Long-lived assets 185 185  
Latin America      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 154 143  
Long-lived assets 136 $ 133  
China      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Long-lived assets $ 157   $ 156
China | Sales Revenue, Net | Geographic Concentration Risk      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Concentration risk, percentage 11.00% 12.00%  
Germany      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Long-lived assets $ 229   230
Germany | Sales Revenue, Net | Geographic Concentration Risk      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Concentration risk, percentage 8.00% 7.00%  
Mexico      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Long-lived assets $ 94   92
Mexico | Sales Revenue, Net | Geographic Concentration Risk      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Concentration risk, percentage 6.00% 6.00%  
Brazil | Sales Revenue, Net | Geographic Concentration Risk      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Concentration risk, percentage 5.00% 4.00%  
Canada      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Long-lived assets $ 6   $ 6
Canada | Sales Revenue, Net | Geographic Concentration Risk      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Concentration risk, percentage 3.00% 4.00%  
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE LOSS - Schedule of Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2026
Mar. 31, 2025
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Beginning balance $ 2,393 $ 1,956
Other comprehensive (loss) income, net of tax (18) 64
Ending balance 2,467 2,122
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Beginning balance (383) (582)
Current year deferrals to AOCI (13) 66
Reclassifications from AOCI to Net income (3) (4)
Other comprehensive (loss) income, net of tax (16) 62
Ending balance (399) (520)
Unrealized Currency Translation Adjustments    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Beginning balance (312) (517)
Current year deferrals to AOCI (14) 66
Reclassifications from AOCI to Net income (4) (5)
Other comprehensive (loss) income, net of tax (18) 61
Ending balance (330) (456)
Pension Plan Adjustments    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Beginning balance (71) (64)
Current year deferrals to AOCI 0 0
Reclassifications from AOCI to Net income 1 1
Other comprehensive (loss) income, net of tax 1 1
Ending balance (70) (63)
Unrealized (Loss) Gain on Derivatives    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Beginning balance 0 (1)
Current year deferrals to AOCI 1 0
Reclassifications from AOCI to Net income 0 0
Other comprehensive (loss) income, net of tax 1 0
Ending balance $ 1 $ (1)
v3.26.1
ACCUMULATED OTHER COMPREHENSIVE LOSS - Additional Information (Details) - USD ($)
$ in Millions
Mar. 31, 2026
Mar. 31, 2025
Equity [Abstract]    
Cumulative income tax expense (benefit) on foreign exchange adjustments $ 1 $ 0
Cumulative income tax benefit on pension and postretirement benefit plans 29 27
Cumulative income tax expense on derivatives $ 0 $ 0