Eastman Chemical Q3 revenue, profit miss analyst estimates on higher costs

Eastman Chemical

29/10/2026 20:25

Overview
US specialty materials maker's Q3 revenue rose 8% yr/yr, missing analyst expectations
Adjusted EPS for Q3 missed analyst expectations
Higher selling prices offset increased raw material and distribution costs

Outlook
Eastman projects full-year 2026 adjusted EPS between $6.00 and $6.20
Company expects 2026 operating cash flow of approximately $850 mln
Eastman anticipates higher raw material and distribution costs due to Middle East conflict

Result Drivers
PRICE INCREASES - Co said higher selling prices across segments offset elevated raw material and distribution costs
ASSET UTILIZATION - Improved asset utilization after inventory reduction actions in 3Q25 contributed to EBIT growth
SEGMENT PERFORMANCE - Strong performance in Additives & Functional Products and Advanced Materials supported results, while Fibers EBIT declined due to lower contract pricing and higher input costs

Company press release: ID:nBwbbnWM7a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$2.39 bln
$2.42 bln (12 Analysts)
Q3 Adjusted EPS
Miss
$1.84
$1.92 (17 Analysts)
Q3 EPS
 
$2.19
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 10 "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 Eastman Chemical Co is $76.00, about 14% above its October 28 closing price of $66.67
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

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Oct 28 - Smurfit Westrock Q3 net income falls on cost inflation

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(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.)