From a sustainability standpoint, I look at our marine M&R business. We’re up 20% this year. And a lot of that is driven by sustainable products for reducing friction on the hall of ships, and we’re getting tremendous pull and we expect that to grow significantly in ’24 and beyond. I’m sorry, Vince mentioned in Chancey Hagerty’s business, some of the digital innovations that we’ve invested in and continue to invest in are really starting to gain not only momentum with our existing customers, but share winning momentum. By the end of this year, we’ll have 2,000 moonwalks in place, about a third of those are share gain. You’ll recall back in May, Chancey and his team demonstrated the broader PPG link digital ecosystem to help body shops be more productive.
Even though we’re only nine months in, we’ve got 7,000 shops lined up for PPG Link paying their subscriptions and starting to improve their own shops and we’re still very early days. And share gain momentum on PPG Link is starting to pick up. EVs 25% every car produced in China now is EV. We are winning share with the EV producers and we are growing content per vehicle on EVs. So a lot of the things we talked about are starting — they’re moving from incubation phase to implementation and execution phase. So I’m highly confident, Chris, that the things that we’ve picked as needle-moving investments for our future are going to do just that and move the needle in a positive direction.
Operator: Your next question comes from the line of Michael Leithead of Barclays. Michael, please go ahead. Your line is now open.
Michael Leithead: Great. Thanks. Good morning, guys. Questions for Vince on the cash flow. It’s been quite strong this year. Tim talked a bit about 4Q deployment opportunities. But just what’s the early read for the best opportunities to deploy cash in ’24 and just how should we think about a pick back up potentially in buyback sort of factoring into the EPS growth algorithm next year? Thanks.
Vince Morales: Yeah. Thanks, Mike. Good morning. Yeah, again, just to reiterate, again, record Q3 year-to-date cash flow about $1.5 billion. If you look at our net debt, we’re down $700 million, $800 million year-over-year or versus the end of the year. Tim mentioned that we have some more debt coming due in 2024. We’re going to pay some of that early to get the interest rate carry into our EPS. But we have $600 million of debt coming due over the next 12 years — 12 months, excuse me. And again, some of that’s — we have — we can prepay early, which we’ll take advantage of. And we are going to do some level of share repo in Q4. And we’re not going to itemize that in terms of size, but we’ll look at our cash position and we’ll look at the cash flow and typically our strongest quarter of the year.
We’ll give more guidance on 2024 in January. Again, we do have expect — again continue strong cash flow in 2024, our earnings growth, supporting that as well as we’re still carrying several hundred million dollars of excess inventory as we continue to make good progress in working that down in Q2 and Q3, but we still have a couple hundred million dollars we want to work down over the next six months or so. So that’ll help our cash flow next year, but we’ll get more cash and financial guidance in January.
Operator: Your next question comes from the line of Vincent Andrews with Morgan Stanley. Vincent please go ahead. Your line is now open.
Vincent Andrews: Thank you. Good morning, everyone. I believe there were some comments in the prepared remarks in U.S. refinish about some negative volume. It’s a function of some customer issues. Could you just give a little more detail on those and whether they’re going to persist into the fourth quarter or it was just unique to the third quarter?
Tim Knavish: Yeah. Hey, Vincent. It’s Tim. Thanks for the question. So to the earlier point, we are winning share in U.S. refinish. We are winning share largely driven by our digital ecosystem technology. So — and we’re laser-focused on the body shop level because that’s ultimately the end customer, that’s where our products get consumed. Because of the two-step distribution in this business, the actual sales we book or to the distributors. And they — especially in a high interest rate environment, they fluctuate their inventories up and down. So we look at it over a multi-quarter basis. But we’re confident, based on our net body shop wins that the volume and growth in this business will be a good story for us.
Vince Morales: Yeah. And Vincent, just — at the market level, the body shops are still very active. They still have a backlog. They’re working through that backlog. So sell-in certainly matters for us, but the ultimate judge of how the business and how the market is performing or the body shop metrics and the body shop business remains very solid as we sit here today, and we don’t see that changing in the near term.
Operator: Your next question comes from the line of Stephen V. Byrne with Bank of America Merrill Lynch. Stephen, please go ahead. Your line is open.
Stephen V. Byrne: Thanks, Tim. I’d like to ask you about your view on, among all of your growth potential, where would you rank cross-selling, you highlighted growth opportunities in businesses, but — and you highlighted Comex as an opportunity to drive a few other businesses. But do you see potential to do that in other regions and which of your businesses do you think you have the most potential to drive geographic share gain?
Tim Knavish: Yeah. Hey, Steve. Thanks for the question. Comex is one example. Two areas that top of mind, we talk about often as far as cross-selling, if you look at protective coatings, we are as part of our PMC business, we sell protective coatings today across the distribution networks that are kind of owned and operated by our architectural business. We look at from a customer standpoint, the near-shoring, the construction of battery plants, for example, or the near shoring of factories into Mexico or Vietnam and other places, those are cross-business selling opportunities, where we would be selling protective coatings, architectural coatings and light industrial coatings. So we have those cross-selling opportunities around the world, and we leverage those and see good opportunities for further growth going forward.
