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Jun 30
Chemours Q2 2025 Earnings Report
Chemours reported its second quarter 2025 financial results, surpassing expectations with increased net sales and adjusted EBITDA, driven by strong demand for Opteon™ Refrigerants and favorable pricing in Advanced Performance Materials. The company also reached a significant environmental settlement in New Jersey.
Key Takeaways
The Chemours Company delivered a strong second quarter in 2025, with net sales increasing by 4% year-over-year to $1.615 billion and Adjusted EBITDA rising by 22% to $253 million. This performance was primarily fueled by robust volume growth in Thermal & Specialized Solutions, particularly for Opteon™ Refrigerants, and strong pricing in Advanced Performance Materials. Despite a net loss of $381 million due to litigation-related charges, the company's operational results exceeded expectations, and it made significant progress on environmental settlements.
Net Sales increased by 4% year-over-year to $1.615 billion, driven by a 3% increase in volume and a 1% increase in price.
Adjusted EBITDA grew by 22% to $253 million, primarily due to volume and pricing dynamics and lower corporate expenses.
The company reported a Net Loss of $381 million, or $2.54 per diluted share, mainly due to litigation-related charges from the New Jersey environmental settlement.
Chemours reached an agreement with the State of New Jersey to resolve all statewide environmental claims, including PFAS, with a net present value of approximately $250 million.
Chemours
Chemours
Chemours Revenue by Segment
Revenue by Segment
Thermal & Specialized Solutions Revenue
CapyFin.comTitanium Technologies Revenue
CapyFin.comAdvanced Performance Materials Revenue
CapyFin.comOther Non-Reportable Segment Revenue
CapyFin.com Forward Guidance
For the third quarter of 2025, Chemours anticipates a sequential decrease in consolidated Net Sales by 4-6% and expects consolidated Adjusted EBITDA to range between $175 million and $195 million. Full-year 2025 guidance projects Net Sales of $5.9 billion to $6.0 billion and Adjusted EBITDA of $775 million to $825 million.
Positive Outlook
- Full-year 2025 Adjusted EBITDA guidance of $775 million to $825 million, indicating continued profitability.
- Anticipated Free Cash Flow Conversion of 60-80% in the second half of 2025, suggesting strong cash generation.
- Corporate Expenses are expected to decrease approximately 5% sequentially in Q3 2025.
- Operational disruptions in TT and APM totaling $35 million are expected to be resolved in the fourth quarter.
- Capital expenditures for the full year 2025 are expected to be approximately $250 million, indicating continued investment in the business.
Challenges Ahead
- Consolidated Net Sales are expected to decrease 4-6% sequentially in the third quarter of 2025.
- Consolidated Adjusted EBITDA is expected to decrease sequentially in Q3 2025, ranging between $175 million and $195 million.
- TSS expects a sequential Net Sales decrease in the mid-single-digit percentage range due to traditional refrigerant seasonality.
- TT expects a sequential Net Sales decrease in the low single-digit percentage range due to seasonality and regional sales mix, with approximately $15 million in operational disruption costs.
- APM expects a sequential Net Sales decrease in the mid-teens percentage range due to production constraints and an outage at Washington Works U.S. site, with additional costs of approximately $20 million.
Revenue & Expenses
Visualization of income flow from segment revenue to net income