Westlake Chemical's stock surged 10.98% during Tuesday's intraday trading session following the release of its fourth-quarter 2025 financial results, which showed a significant earnings beat despite a slight sales miss.
The chemical producer reported an adjusted loss of $0.25 per share for Q4 2025, which beat analyst consensus estimates of a $1.43 loss by 82.48 percent. This performance came despite quarterly sales of $2.533 billion missing the $2.606 billion estimate by 2.80 percent. The company's results were impacted by $393 million in charges related to the shutdown of three North American chlorovinyls plants, with total identified items amounting to $511 million for the quarter.
Excluding these one-time items, Westlake's adjusted EBITDA was $196 million with an 8 percent margin. For the full year 2025, the company reported adjusted EBITDA of $1.1 billion. Looking ahead to 2026, Westlake stated its priority is to achieve its profitability improvement plan's targeted $600 million in EBITDA, providing a positive outlook that contributed to investor optimism despite the company's caution that macroeconomic conditions are not expected to be a tailwind to its 2026 goals.
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