Specialty chemicals maker Avient beats Q2 sales expectations

Avient

01/08/2025 11:23

Overview

Avient Q2 sales rise 2% yr/yr, beating analyst expectations, per LSEG data

Adjusted EPS for Q2 exceeds guidance and analyst estimates, per LSEG data

Co repaid $50 mln debt in Q2, aiming for $100-$200 mln reduction by year-end

Avient Corp shares up 5.8% premarket

Outlook

Avient narrows full-year adjusted EPS guidance to $2.77-$2.87

Company expects Q3 adjusted EPS of $0.70, up 8% year-over-year

Avient sees full-year adjusted EBITDA between $545 mln and $560 mln

Company plans to reduce debt by $100 mln to $200 mln by year-end

Result Drivers

ORGANIC REVENUE GROWTH - Driven by strategic execution and customer focus, per CEO Dr. Ashish Khandpur

MIXED DEMAND - Resilient defense and healthcare demand offset weak consumer demand, per CEO Dr. Ashish Khandpur

MARGIN EXPANSION - Achieved through productivity and cost discipline, per CEO Dr. Ashish Khandpur

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$866.50 mln
$853.20 mln (6 Analysts)
Q2 Adjusted EPS
Beat
$0.8
$0.79 (8 Analysts)
Q2 EPS
$0.57
Q2 Operating Income
$96.10 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the specialty chemicals peer group is "buy"

Wall Street's median 12-month price target for Avient Corp is $41.50, about 23.9% above its July 31 closing price of $31.57

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nPn5J9RVza

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)