Ecovyst Inc (ECVT) stock plummeted over 10% in pre-market trading on Thursday, February 27, 2025, despite reporting better-than-expected adjusted EBITDA and adjusted net income for the fourth quarter of 2024.
The specialty chemicals company reported Q4 2024 revenue of $182.0 million, up 5.3% year-over-year but missing analysts' estimates of $192.95 million. However, Ecovyst's adjusted EBITDA of $75.9 million and adjusted net income of $33.0 million both exceeded expectations.
Despite the solid operational performance, Ecovyst reported a Q4 2024 net loss of $30.5 million, primarily due to a $65 million non-cash impairment charge on its investment in the Zeolyst Joint Venture. The impairment charge reflected the demand outlook for catalyst materials used in emission control applications and the production of sustainable fuels.
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