Loading...
•
Mar 31, 2025
Celanese Q1 2025 Earnings Report
Celanese reported a modest improvement in Q1 results despite weak demand in key markets.
Key Takeaways
Celanese posted $2.4 billion in revenue and a net loss of $17 million for Q1 2025, driven by productivity gains in Engineered Materials and offset by softness in Acetyl Chain order timing and costs. Adjusted EPS was $0.57.
Engineered Materials benefited from favorable mix and productivity, delivering $1.29 billion in revenue.
Acetyl Chain performance was impacted by delayed acetate tow orders and slightly higher energy costs.
Net loss was $17 million, driven by $43 million in Certain Items and $32 million in refinancing costs.
Free cash flow was negative $73 million due to capital expenditures and working capital timing.
Revenue by Segment
Forward Guidance
Celanese anticipates stronger Q2 driven by normalization in acetate tow, partial volume recovery, and reduced non-recurring impacts, but global trade tensions remain a risk.
Positive Outlook
- Dividend from Chinese JV expected to resume in Q2.
- Slight recovery anticipated in automotive demand in U.S. and China.
- Normalization of acetate tow orders expected.
- Improved cost profile from new self-help initiatives.
- Cash generation remains a top priority with $700M–$800M free cash flow targeted for FY25.
Challenges Ahead
- Demand uncertainty heightened by global tariff developments.
- Persistent weakness in Western Hemisphere demand for Acetyl Chain.
- High refinancing expense incurred in Q1.
- Sluggish demand in key markets like construction and coatings.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...