Westlake Q1 revenue falls 7%, misses estimates

Westlake

05/05/2026 11:43

Overview

U.S. chemicals maker's Q1 revenue declined year-over-year and missed analyst expectations

Adjusted EPS for Q1 was -$0.77, with results impacted by litigation and shutdown charges

Company expects margin improvement in coming quarters from higher sales prices and cost actions

Outlook

Westlake expects PEM segment margins to benefit from higher feedstock and energy prices through summer 2026

Company sees HIP sales volume supported by infrastructure spending and demand from new data centers

Westlake anticipates further earnings improvement as it executes its profitability improvement plan

Result Drivers

LOWER SALES PRICES - Co said lower average sales prices in both HIP and PEM segments contributed to year-over-year revenue and margin declines

VOLUME GAINS OFFSET - Higher HIP sales volumes, including from the ACI acquisition and seasonal factors, were more than offset by lower prices and subdued residential construction activity

COST AND SUPPLY CHAIN IMPACTS - Litigation settlement, facility shutdown charges, and higher natural gas costs weighed on results

Company press release: ID:nBw5NWK8Pa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Miss
$2.65 bln
$2.76 bln (13 Analysts)
Q1 EPS
-$0.77
Q1 Net Income
-$169 mln
Q1 EBITDA Margin
9.00%
Q1 Pretax Profit
-$190 mln


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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.)