Nov 6 (Reuters) - Specialty chemicals maker Celanese CE.N beat analysts' estimates for third-quarter profit on Wednesday, powered by its cost-cutting measures.
The acetic acid maker said it remains on track to generate $700 million to $800 million in free cash flow in 2025, driven by cost and inventory reductions, as well as the timing of working capital.
Shares of the company were up more than 8% after the bell.
Global chemical makers have contended with weak industrial demand and Chinese overcapacity that have dented demand across end markets and squeezed margins.
A tight leash on costs helped peer Dow Inc DOW.N report a smaller-than-expected adjusted quarterly loss, while LyondellBasell LYB.N topped profit expectations.
Celanese revenue fell nearly 9% to $2.42 billion in the third quarter while costs of sales decreased to $1.9 billion from $2.03 billion.
The company forecast fourth-quarter adjusted earnings per share to be in the range of 85 cents to $1.00, below analysts' expectations of $1.01, according to data compiled by LSEG.
Celanese said the sequential decline in earnings would be partially offset by its cost cuts.
Last month, the company said it would cease operations at its acetate tow facility at Lanaken, Belgium, during the second half of 2026 and lay off about 160 employees at the site.
It also plans to sell its Micromax business to Element Solutions ESI.N for about $500 million in cash in order to generate cash and cut debt.
The Irving, Texas-based company posted an adjusted profit of $1.34 per share in the July-September quarter, compared with analysts' average estimate of $1.22.
(Reporting by Vallari Srivastava in Bengaluru; Editing by Sriraj Kalluvila)
((Srivastava.Vallari@thomsonreuters.com;))
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