Shares of LSB Industries Inc (LXU) surged 9.68% in after-hours trading on Wednesday, following the release of its impressive third-quarter 2025 financial results. The chemical manufacturer reported significant improvements across key metrics, surpassing analyst expectations and demonstrating robust growth in its core business segments.
LSB Industries reported net sales of $155.4 million for Q3 2025, a substantial 42% increase from $109.2 million in the same period last year. This figure notably beat the consensus estimate of $133.83 million. The company's bottom line also showed remarkable improvement, with net income reaching $7.1 million, or $0.10 per diluted share, compared to a net loss of $25.4 million, or $(0.35) per share, in Q3 2024. Adjusted EBITDA more than doubled year-over-year, rising to $40.1 million from $17.5 million.
The strong performance was attributed to several factors, including increased demand for explosives due to sustained strength in gold and copper prices boosting mining activity worldwide. Additionally, the company benefited from higher sales volumes resulting from increased operating rates and the absence of planned turnaround activity. LSB Industries also highlighted robust demand for nitric acid domestically, supported by tariffs and anti-dumping duties, as well as strong ammonia pricing due to supply disruptions and production delays. Looking ahead, the company anticipates continued tight UAN supply and strong demand extending into 2026, providing a positive outlook for future growth.
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