Westlake Q3 revenue misses estimates, net loss widens

Westlake

30/10/2025 10:46

Overview

Westlake Q3 2025 revenue of $2.8 bln missed analyst expectations

Company reported a Q3 net loss of $782 mln, impacted by a $727 mln impairment charge

Adjusted EBITDA for Q3 2025 was $313 mln, down from $580 mln in Q3 2024

Outlook

Westlake expects $200 mln in cost savings by 2026

Company anticipates removing $100 mln in annual losses from footprint optimization

Westlake sees margins and earnings supported by improved plant reliability

Result Drivers

CHLOROVINYLS IMPAIRMENT - $727 mln non-cash impairment charge for North American chlorovinyls goodwill affected Q3 results

MACROECONOMIC PRESSURE - Weak industrial and manufacturing activity globally pressured PEM segment sales prices and margins

HIP SALES VOLUME - Lower sales volume in HIP segment due to timing of customer orders affected Q3 income from operations

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Miss
$2.83 bln
$2.96 bln (14 Analysts)
Q3 EPS
-$6.06
Q3 Net Income
-$782 mln
Q3 EBITDA Margin
11%
Q3 Pretax Profit
-$775 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"

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

Wall Street's median 12-month price target for Westlake Corp is $90.00, about 18.4% above its October 29 closing price of $73.47

The stock recently traded at 42 times the next 12-month earnings vs. a P/E of 31 three months ago

Press Release: ID:nBw5Cwf8Pa

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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.)