Q3 2026 revenue of $4.4 billion grew 6.6% with operating margin of 11.0%, but SG&A of $876 million outpaced the prior year's $824 million and operating margin remains well below the 16.4% seen in Q2 2024, suggesting overhead is eroding operating leverage.
PPG Industries, Inc. (PPG) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 16.69B | 15.88B | 15.85B | 16.24B | 15.61B | 16.8B | 13.83B | 15.15B | 15.37B | 14.75B | 14.27B | 14.24B | 14.79B | 14.27B | 12.69B | 13.15B | 13.42B | 12.24B | 15.85B | 12.22B | 9.86B | 9.03B | 9.51B | 8.76B | 8.07B | 8.17B | 8.63B | 8B | 7.75B | 7.38B | 7.22B |
| Revenue Growth % | 18.17% | 0.19% | -2.44% | 4.02% | -7.07% | 21.45% | -8.66% | -1.48% | 4.24% | 3.35% | 0.2% | -3.72% | 3.69% | 12.45% | -3.55% | -2.01% | 9.67% | -22.78% | 29.7% | 23.92% | 9.23% | -5.1% | 8.65% | 8.54% | -1.25% | -5.33% | 7.93% | 3.15% | 5.04% | 2.23% | 2.27% |
| Cost of Goods Sold | 10B | 9.84B | 9.25B | 9.68B | 9.97B | 10.29B | 7.78B | 8.65B | 9B | 8.21B | 7.67B | 7.79B | 8.35B | 8.31B | 7.6B | 7.87B | 8.21B | 7.54B | 10.15B | 7.83B | 6.15B | 5.6B | 6B | 5.52B | 5.07B | 5.14B | 5.33B | 4.96B | 4.72B | 4.4B | 4.34B |
| COGS % of Revenue | - | 62.01% | 58.39% | 59.59% | 63.89% | 61.22% | 56.22% | 57.13% | 58.55% | 55.66% | 53.71% | 54.67% | 56.44% | 58.28% | 59.9% | 59.8% | 61.19% | 61.6% | 64.07% | 64.06% | 62.4% | 62% | 63.06% | 63.05% | 62.8% | 62.88% | 61.81% | 62% | 60.86% | 59.59% | 60.13% |
| Gross Profit | 6.69B | 6.03B | 6.59B | 6.56B | 5.64B | 6.52B | 6.06B | 6.49B | 6.37B | 6.54B | 6.61B | 6.46B | 6.44B | 5.95B | 5.09B | 5.29B | 5.21B | 4.7B | 5.69B | 4.39B | 3.71B | 3.43B | 3.51B | 3.23B | 3B | 3.03B | 3.29B | 3.04B | 3.03B | 2.98B | 2.88B |
| Gross Margin % | 40.09% | 37.99% | 41.61% | 40.41% | 36.12% | 38.78% | 43.78% | 42.87% | 41.45% | 44.34% | 46.29% | 45.33% | 43.56% | 41.72% | 40.1% | 40.2% | 38.81% | 38.4% | 35.93% | 35.94% | 37.6% | 38% | 36.94% | 36.95% | 37.2% | 37.12% | 38.19% | 38% | 39.14% | 40.41% | 39.87% |
| Gross Profit Growth % | - | -8.52% | 0.44% | 16.4% | -13.46% | 7.58% | -6.71% | 1.88% | -2.54% | -1% | 2.32% | 0.19% | 8.27% | 16.98% | -3.8% | 1.52% | 10.83% | -17.46% | 29.64% | 18.45% | 8.07% | -2.36% | 8.62% | 7.8% | -1.02% | -7.98% | 8.46% | 0.13% | 1.74% | 3.61% | 1.12% |
| Operating Expenses | 4.43B | 3.86B | 4.31B | 4.53B | 3.97B | 4.83B | 4.28B | 4.55B | 4.51B | 4.53B | 5.42B | 4.5B | 4.63B | 4.4B | 3.82B | 3.98B | 3.84B | 3.82B | 4.45B | 3.08B | 2.48B | 2.25B | 2.41B | 2.26B | 2.09B | 2.11B | 2.09B | 1.93B | 1.78B | 1.67B | 1.58B |
| OpEx % of Revenue | - | 24.33% | 27.18% | 27.88% | 25.45% | 28.75% | 30.92% | 30.02% | 29.34% | 30.68% | 37.95% | 31.57% | 31.3% | 30.85% | 30.08% | 30.22% | 28.63% | 31.19% | 28.08% | 25.25% | 25.14% | 24.89% | 25.29% | 25.83% | 25.91% | 25.8% | 24.26% | 24.13% | 23.03% | 22.58% | 21.93% |
| Selling, General & Admin | 3.6B | 3.44B | 3.39B | 3.59B | 3.04B | 3.83B | 3.39B | 3.6B | 3.57B | 3.61B | 4.52B | 3.58B | 3.7B | 3.49B | 2.99B | 3.12B | 2.98B | 2.94B | 3.43B | 2.31B | 1.83B | 1.63B | 1.72B | 1.58B | 1.42B | 1.4B | 1.36B | 1.23B | 1.13B | 1.07B | 1B |
| SG&A % of Revenue | - | 21.66% | 21.4% | 22.11% | 19.45% | 22.79% | 24.5% | 23.8% | 23.24% | 24.5% | 31.7% | 25.17% | 24.99% | 24.44% | 23.55% | 23.74% | 22.19% | 23.99% | 21.65% | 18.9% | 18.59% | 18.03% | 18.03% | 18.02% | 17.59% | 17.08% | 15.81% | 15.38% | 14.62% | 14.47% | 13.91% |
| Research & Development | 435M | 423M | 423M | 424M | 434M | 439M | 379M | 432M | 441M | 451M | 453M | 466M | 483M | 463M | 430M | 428M | 394M | 388M | 451M | 348M | 305M | 294M | 303M | 290M | 273M | 266M | 282M | 284M | 271M | 250M | 239M |
| R&D % of Revenue | - | 2.66% | 2.67% | 2.61% | 2.78% | 2.61% | 2.74% | 2.85% | 2.87% | 3.06% | 3.17% | 3.27% | 3.27% | 3.25% | 3.39% | 3.25% | 2.94% | 3.17% | 2.85% | 2.85% | 3.09% | 3.26% | 3.19% | 3.31% | 3.38% | 3.26% | 3.27% | 3.55% | 3.5% | 3.39% | 3.31% |
| Other Operating Expenses | 3M | 0 | 492M | 514M | 502M | 561M | 509M | 511M | 497M | 460M | 440M | 446M | 450M | 452M | 399M | 425M | 470M | 493M | 567M | 427M | 341M | 325M | 388M | 394M | 398M | 447M | 447M | 415M | 381M | 348M | 340M |
| Operating Income | 2.26B | 2.17B | 2.29B | 2.04B | 1.67B | 1.69B | 1.78B | 1.95B | 1.86B | 2.01B | 1.19B | 1.96B | 1.81B | 1.55B | 1.27B | 1.31B | 1.37B | 883M | 1.24B | 1.31B | 1.23B | 1.18B | 1.11B | 973M | 911M | 924M | 1.2B | 1.11B | 1.25B | 1.32B | 1.29B |
| Operating Margin % | 13.53% | 13.66% | 14.43% | 12.53% | 10.67% | 10.03% | 12.87% | 12.85% | 12.11% | 13.66% | 8.33% | 13.76% | 12.26% | 10.87% | 10.02% | 9.98% | 10.18% | 7.21% | 7.85% | 10.7% | 12.46% | 13.11% | 11.65% | 11.11% | 11.29% | 11.31% | 13.93% | 13.87% | 16.11% | 17.83% | 17.94% |
| Operating Income Growth % | - | -5.16% | 12.38% | 22.15% | -1.19% | -5.28% | -8.53% | 4.51% | -7.55% | 69.39% | -39.31% | 7.99% | 17.03% | 21.95% | -3.2% | -3.88% | 54.7% | -29.02% | -4.82% | 6.35% | 3.8% | 6.86% | 13.87% | 6.81% | -1.41% | -23.13% | 8.39% | -11.21% | -5.09% | 1.62% | -0.46% |
| EBITDA | 2.79B | 2.7B | 2.78B | 2.55B | 2.17B | 2.25B | 2.29B | 2.46B | 2.36B | 2.47B | 1.63B | 2.4B | 2.26B | 2B | 1.67B | 1.74B | 1.84B | 1.36B | 1.81B | 1.71B | 1.61B | 1.56B | 1.5B | 1.37B | 1.31B | 1.37B | 1.65B | 1.53B | 1.63B | 1.69B | 1.66B |
| EBITDA Margin % | 16.73% | 16.99% | 17.54% | 15.69% | 13.88% | 13.37% | 16.55% | 16.22% | 15.34% | 16.78% | 11.42% | 16.89% | 15.31% | 14.03% | 13.16% | 13.21% | 13.68% | 11.14% | 11.4% | 13.99% | 16.32% | 17.24% | 15.73% | 15.61% | 16.23% | 16.78% | 19.11% | 19.11% | 21.06% | 22.89% | 22.97% |
| EBITDA Growth % | 14.84% | -2.95% | 9.02% | 17.57% | -3.52% | -1.83% | -6.84% | 4.15% | -4.65% | 51.87% | -32.27% | 6.23% | 13.09% | 19.88% | -3.91% | -5.34% | 34.7% | -24.57% | 5.67% | 6.28% | 3.41% | 4.01% | 9.44% | 4.43% | -4.52% | -16.86% | 7.92% | -6.37% | -3.37% | 1.87% | 0.3% |
| D&A (Non-Cash Add-back) | 534M | 528M | 492M | 514M | 502M | 561M | 509M | 511M | 497M | 460M | 440M | 446M | 450M | 452M | 399M | 425M | 470M | 480M | 563M | 403M | 380M | 372M | 388M | 394M | 398M | 447M | 447M | 419M | 383M | 373M | 363M |
| EBIT | 2.32B | 2.29B | 2.09B | 1.94B | 1.52B | 1.94B | 1.5B | 1.79B | 1.81B | 2.11B | 904M | 1.87B | 1.53B | 1.42B | 1.04B | 1.43B | 1.48B | 810M | 1.16B | 1.41B | 1.23B | 1.18B | 1.11B | 973M | 911M | 924M | 1.2B | 1.11B | 1.25B | 1.32B | 1.29B |
| Net Interest Income | -109M | -88M | -64M | -107M | -113M | -95M | -115M | -100M | -95M | -85M | -99M | -86M | -454M | -153M | -170M | -168M | -155M | -165M | -228M | -73M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 148M | 153M | 177M | 140M | 54M | 26M | 23M | 32M | 23M | 20M | 26M | 40M | 50M | 43M | 39M | 42M | 34M | 28M | 26M | 20M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 257M | 241M | 241M | 247M | 167M | 121M | 138M | 132M | 118M | 105M | 125M | 126M | 83M | 196M | 210M | 210M | 189M | 193M | 254M | 93M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -153M | -124M | -435M | -345M | -311M | 129M | -418M | -285M | -169M | -9M | -410M | -214M | -468M | -324M | -443M | -91M | -71M | -266M | -336M | 8M | -267M | -304M | -45M | -130M | -939M | -290M | -213M | -164M | 18M | -167M | -80M |
| Pretax Income | 2.11B | 2.04B | 1.85B | 1.69B | 1.35B | 1.81B | 1.36B | 1.66B | 1.69B | 2B | 779M | 1.75B | 1.35B | 1.23B | 828M | 1.22B | 1.29B | 617M | 908M | 1.31B | 962M | 880M | 1.06B | 843M | -28M | 634M | 989M | 945M | 1.27B | 1.15B | 1.22B |
| Pretax Margin % | 12.62% | 12.88% | 11.69% | 10.41% | 8.68% | 10.8% | 9.85% | 10.97% | 11.01% | 13.6% | 5.46% | 12.25% | 9.1% | 8.59% | 6.53% | 9.29% | 9.65% | 5.04% | 5.73% | 10.76% | 9.76% | 9.75% | 11.17% | 9.63% | -0.35% | 7.76% | 11.46% | 11.82% | 16.35% | 15.57% | 16.83% |
| Income Tax | 490M | 458M | 475M | 428M | 320M | 374M | 291M | 392M | 353M | 615M | 214M | 413M | 237M | 253M | 148M | 260M | 415M | 191M | 284M | 383M | 241M | 255M | 322M | 293M | -7M | 247M | 369M | 377M | 466M | 435M | 471M |
| Effective Tax Rate % | 23.27% | 22.4% | 25.65% | 25.33% | 23.62% | 20.61% | 21.37% | 23.6% | 20.85% | 30.67% | 27.47% | 23.67% | 17.61% | 20.64% | 17.87% | 21.28% | 32.05% | 30.96% | 31.28% | 29.13% | 25.05% | 28.98% | 30.29% | 34.76% | 25% | 38.96% | 37.31% | 39.89% | 36.78% | 37.86% | 38.77% |
| Net Income | 1.57B | 1.58B | 1.12B | 1.27B | 1.03B | 1.44B | 1.06B | 1.24B | 1.34B | 1.59B | 873M | 1.41B | 2.1B | 3.23B | 941M | 1.09B | 769M | 336M | 538M | 834M | 711M | 596M | 683M | 494M | -69M | 387M | 620M | 568M | 801M | 714M | 744M |
| Net Margin % | 9.41% | 9.93% | 7.04% | 7.82% | 6.57% | 8.56% | 7.66% | 8.21% | 8.72% | 10.81% | 6.12% | 9.87% | 14.21% | 22.65% | 7.42% | 8.33% | 5.73% | 2.75% | 3.39% | 6.82% | 7.21% | 6.6% | 7.18% | 5.64% | -0.86% | 4.74% | 7.19% | 7.1% | 10.33% | 9.68% | 10.31% |
| Net Income Growth % | 57.63% | 41.22% | -12.13% | 23.78% | -28.7% | 35.88% | -14.8% | -7.31% | -15.87% | 82.59% | -37.91% | -33.11% | -34.94% | 243.36% | -14.06% | 42.39% | 128.87% | -37.55% | -35.49% | 17.3% | 19.3% | -12.74% | 38.26% | 815.94% | -117.83% | -37.58% | 9.15% | -29.09% | 12.18% | -4.03% | -3.13% |
| Net Income (Continuing) | 1.62B | 1.59B | 1.38B | 1.26B | 1.03B | 1.44B | 1.07B | 1.27B | 1.34B | 1.39B | 565M | 1.33B | 1.11B | 973M | 680M | 962M | 880M | 426M | 624M | 932M | 721M | 625M | 741M | 500M | -60M | 387M | 620M | 568M | 801M | 714M | 744M |
| Discontinued Operations | -3M | 5M | -228M | 47M | 19M | 19M | 3M | 0 | 18M | 225M | 330M | 95M | 1.05B | 2.38B | 384M | 250M | 0 | 0 | 0 | -22M | 58M | 38M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 143M | 156M | 177M | 191M | 117M | 125M | 126M | 119M | 102M | 115M | 87M | 86M | 85M | 266M | 259M | 197M | 195M | 169M | 156M | 133M | 148M | 108M | 96M | 137M | 131M | 122M | 128M | 98M | 87M | 82M | 76.2M |
| EPS (Diluted) | 7.03 | 6.92 | 4.75 | 5.35 | 4.32 | 6.01 | 4.45 | 5.22 | 5.46 | 6.18 | 3.28 | 5.14 | 7.52 | 11.14 | 3.03 | 3.44 | 2.32 | 1.01 | 1.63 | 2.52 | 2.13 | 1.75 | 1.98 | 1.45 | -0.20 | 1.15 | 1.79 | 1.62 | 2.24 | 1.97 | 1.97 |
| EPS Growth % | 58.73% | 45.68% | -11.21% | 23.84% | -28.12% | 35.06% | -14.75% | -4.4% | -11.65% | 88.41% | -36.19% | -31.65% | -32.5% | 267.66% | -11.92% | 48.28% | 129.7% | -38.04% | -35.32% | 18.31% | 21.71% | -11.62% | 36.55% | 825% | -117.39% | -35.75% | 10.49% | -27.68% | 13.71% | 0% | 4.23% |
| EPS (Basic) | - | 6.96 | 4.77 | 5.38 | 4.35 | 6.06 | 4.47 | 5.25 | 5.50 | 6.22 | 3.30 | 5.18 | 7.60 | 11.27 | 3.07 | 3.48 | 2.34 | 1.02 | 1.64 | 2.54 | 2.15 | 1.76 | 1.99 | 1.46 | -0.20 | 1.15 | 1.80 | 1.64 | 2.26 | 1.99 | 1.98 |
| Diluted Shares Outstanding | 223.2M | 227.1M | 234.9M | 237.2M | 237.3M | 239.4M | 237.9M | 238.2M | 245.4M | 257.8M | 267.4M | 273.6M | 279.6M | 290.2M | 310.2M | 318.6M | 329M | 331M | 331.08M | 329M | 333.02M | 341.55M | 345.82M | 341.87M | 336.59M | 337.99M | 347.34M | 351.7M | 357.59M | 362.44M | 379M |
| Basic Shares Outstanding | 222.2M | 226.3M | 233.8M | 236M | 236.1M | 237.6M | 236.8M | 236.9M | 243.9M | 256.1M | 265.6M | 271.4M | 276.6M | 286.8M | 306.8M | 314.6M | 329M | 329.6M | 329.2M | 329M | 331.47M | 339.6M | 343.22M | 339.52M | 336.59M | 336.52M | 344.44M | 347.4M | 354.42M | 359.7M | 375.6M |
| Dividend Payout Ratio | - | 39.85% | 55.73% | 47.09% | 55.56% | 37.25% | 46.84% | 37.65% | 33.78% | 27.23% | 47.42% | 27.24% | 17.17% | 10.68% | 38.04% | 32.42% | 46.81% | 127.98% | 78.44% | 40.17% | 44.44% | 53.02% | 44.95% | 59.51% | - | 73.13% | 44.52% | 46.48% | 31.46% | 33.47% | 31.85% |
Quick answers to the most common questions about buying PPG stock.
For fiscal year 2025, PPG Industries, Inc. (PPG) reported total revenue of $15.88B. This represents a 119.9% increase compared to $7.22B in 1996.
PPG Industries, Inc. (PPG) is profitable, generating $1.58B in net income for the fiscal year ending 2025 with a net profit margin of 9.9%.
PPG Industries, Inc. (PPG) reported an operating income of $2.17B, resulting in an operating profit margin of 13.7%. This margin reflects the operational efficiency of the business before interest and taxes.
PPG Industries, Inc. (PPG) generated $6.03B in gross profit for the year, representing a gross profit margin of 38.0%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Architectural divestiture execution and margin conversion
Metrics are mathematically derived from official filings.
Organic Gains Masked by Portfolio Drag
PPG posted 6.6% topline growth in Q3 2026, yet trailing-twelve-month revenue expansion of just 0.2% indicates organic price/volume gains have not yet translated into consolidated growth, consistent with management commentary indicating prior-quarter organic growth of roughly 4%.
The divergence between reported quarterly growth (6.7-7.2% in 2026) and flat TTM revenue appears consistent with portfolio reshaping, specifically the pending divestiture of the U.S./Canada architectural business, rather than a demand acceleration. Investors should monitor whether the organic split between volume and pricing holds, as recent quarters suggest pricing discipline remains intact while global industrial production softness in Europe and China may constrain volume recovery in the Industrial Coatings segment.
Gross Margin Holding Near 40%
According to recent SEC filings, PPG's gross margin has oscillated between 37.4% and 42.1% over the past six reported quarters, currently near 40%, a roughly 200 basis point discount to Sherwin-Williams' 48.9% that reflects greater industrial mix exposure.
The 40%+ gross margin band suggests PPG retains meaningful pricing power through its qualified positions in aerospace transparencies and automotive electrocoat, though the Q4 2024 dip to 34.9% underscores vulnerability to volume deleveraging against a fixed manufacturing base. Relative to Axalta at 32.6%, PPG's premium implies specialty mix, but the persistent gap to Sherwin-Williams appears structural, rooted in the latter's captive retail economics rather than any deterioration in PPG's technical positioning. Raw material spreads, particularly TiO2 and petroleum-derived resins, remain the swing factor for quarterly gross margin, with contract escalators typically lagging inflation by one to two quarters.
SG&A Outpacing Revenue Recovery
As reported in PPG's income statements, SG&A climbed to $876 million in Q3 2026 against $4.4 billion of revenue, versus $824 million on comparable sales a year earlier, implying overhead is growing faster than the top line and compressing operating leverage.
Operating income of $478 million in Q3 2026 represents an 11.0% margin, down from 13.5% in the year-ago period, which suggests the incremental revenue growth has carried above-proportional commercial and administrative cost, or possibly restructuring and separation costs tied to the architectural divestiture. The SG&A trajectory — from $824 million in 2025Q3 to $876 million in 2026Q3 — warrants investigation, because if the overhead build is structural rather than transaction-related, consolidated margin recovery may be slower than the mix-shift thesis implies. R&D spending has held steady at roughly $106-113 million per quarter, or approximately 2.5% of sales, indicating the technical differentiation that underpins the aerospace and EV coatings moat is being maintained rather than expanded.
Non-Operating Items Distort Comparability
PPG's reported diluted EPS of $2.02 in Q3 2026 accompanied operating income of only $478 million, while the Q4 2024 net loss of $280 million on $381 million of operating income suggests significant non-operating charges materially distort period-to-period comparability.
The Q3 2026 net margin of 10.4% against an 11.0% operating margin implies a modest net non-operating benefit or tax valuation adjustment, which analysts should not extrapolate as a durable earnings driver. Stock-based compensation of $27 million in Q3 2026, up from zero in several 2025 quarters, is small enough that EPS quality is not meaningfully impaired by dilution, but the negative figure warrants checking for a forfeiture or reversal event. Given the frequency of restructuring and intangible amortization charges associated with acquisitions like Tikkurila, normalized cash earnings likely diverge from reported GAAP net income, supporting a valuation approach anchored in adjusted EBITDA rather than headline EPS.
Q4 2024 Reset Anchors the Cycle
The Q4 2024 quarter stands out as the key inflection, with revenue collapsing 50.2% year over year to $2.2 billion and gross margin falling to 34.9%, driving a $280 million net loss that appears to mark the trough before the 2025-26 recovery.
The anomalous SG&A figure of $188 million in that quarter versus $1.1 billion in the prior quarter suggests significant divestiture or reclassification effects rather than a true operating cost collapse, meaning the apparent 17.6% operating margin in 2024Q4 is likely not a meaningful benchmark. The lasting impact appears to be a reset in the revenue base: 2025 quarters rebounded to $3.7-4.2 billion with operating margins recovering to 10.7-15.5%, establishing a lower but more defensible margin floor. The inflection supports the view that PPG has moved past its most acute period of industrial and construction-driven volume loss, though subsequent quarters show the recovery plateauing rather than compounding.
Mix Shift Has Yet to Prove Out
The bear case centers on operating margin, which has declined from 16.4% in Q2 2024 to 11.0% in Q3 2026 despite mid-single-digit revenue growth, suggesting the architectural divestiture-driven mix shift has yet to demonstrably expand consolidated profitability.
If SG&A continues to grow faster than revenue, as the 2026 trajectory suggests, the promised margin uplift from higher-margin aerospace and electronic materials exposure may be offset by separation costs and stranded overhead. Additionally, the 4% organic growth cited for the prior quarter may not be sustainable if it was substantially price-driven, given that TTM revenue growth of 0.2% implies limited volume momentum. Investors should treat the current valuation as requiring successful divestiture execution and sustained aerospace build rates; failure on either could leave PPG trading closer to a mid-teens EV/EBITDA industrial multiple than the specialty chemical premium embedded in the mix-shift thesis.