Despite global challenges, Jotun delivered historic 2025 results, blending record profitability with world-class sustainability performance and strategic international market expansion.
Jotun, a leading global manufacturer of paints and coatings headquartered in Sandefjord, Norway, delivered historic financial results in 2025 despite macroeconomic challenges, geopolitical tensions, and adverse currency effects from a stronger Norwegian krone. Operating in over 100 countries with 40 production facilities across 25 nations and 10,933 employees worldwide, the company maintained steady growth through premium product innovation, market expansion, and sustainability focus. Operating revenues reached NOK 34,333 million, up 0.4% from NOK 34,206 million in 2024, with 93% of sales from international markets.
NOK 7.1 billion operating profit
Financial performance was exceptional, with operating profit rising 4.7% to NOK 7,081 million from NOK 6,766 million, achieving an operating margin of 20.6% (up from 19.8%). Profit before tax hit NOK 6,824 million, while after NOK 1,581 million in taxes (23.2% effective rate), net profit reached NOK 5,243 million—NOK 5,114 million attributable to parent company shareholders and NOK 129 million to non-controlling interests. Underlying profit growth exceeded 10.6%, driven by stable raw material prices, higher gross margins, and cost efficiencies.
Total assets stood at NOK 34,653 million (down slightly from NOK 34,904 million due to currency translation), with equity steady at NOK 21,657 million, yielding a robust 62.5% equity/assets ratio. Net cash position strengthened to NOK 2,470 million (from NOK 1,481 million), supported by operating cash flow surging to NOK 6,466 million from NOK 4,117 million. Investments in intangible and fixed assets totaled NOK 1,516 million, focused on factory expansions in Indonesia and a new R&D headquarters in Malaysia. Key metrics remained world-class: Return on Capital Employed (ROCE) at 33.9% (from 33.6%), Return on Equity (ROE) at 24.8% (from 22.8%). Over the past decade, revenues have more than doubled, underscoring Jotun’s long-term growth trajectory.
Decorative Paints (36% of sales, NOK 17,110 million—record high) benefited from volume growth across all regions except China, premium innovations like Jotashield Eterna, Fenomastic My Home Rich Matt, and new Trebitt woodstain. The Jotun Shop Concept rolled out to over 1,000 dealers, while Global Colour Trends “Soulful Spaces” reinforced market leadership. Performance Coatings (64%) dominated: Marine Coatings (28%) achieved double-digit growth and market share gains in newbuildings, drydocks, and seastock, powered by Hull Performance Solutions 2.0, SeaQuantum XT, and Hull Skating Solutions. Protective Coatings (29%) hit all-time highs from offshore wind (Baltoflake) and oil/gas (Jotachar 1709 XT). Powder Coatings (7%) recorded record sales via EV Battery Solutions in China and architectural projects in Middle East/India.
Sustainable growth & global resilience
Jotun’s sustainability efforts shone, with 11.8 million tonnes of CO₂ emissions avoided via marine coatings (DNV-verified), equivalent to over 30% of Norway’s annual emissions. The Double Materiality Assessment identified key topics: avoided emissions, climate adaptation/mitigation, energy, waste, and health/safety. Progress included 56% renewable energy use (70% target by 2030), 32% Scope 1+2 reduction since 2017, and PFAS phase-out in products. Health & Safety featured a Lost Time Injury Rate of 1.7 per million hours, the I CARE campaign, and Global Employee Assistance Programme access for all. Waste diversion reached 65% (60% target met), with focus on circular economy practices.
Facing inflation, protectionism, and slowing global GDP, Jotun sees opportunities in high-growth markets (Africa expansions in Algeria/Ethiopia) and innovations like Hardtop XP II. R&D employs 600+ scientists across global labs. The proposed dividend rises to NOK 2,394 million (NOK 7,000 per share, 47% of net profit), aligning with the 30-50% payout policy. With a strong cash position, global matrix organization (five regions: ECA, MEIA, NEA, SEAP, Americas), and Penguin Spirit values (Loyalty, Care, Respect, Boldness), Jotun is primed for sustainable growth in 2026 and beyond.
