Westlake Q2 2024 Earnings Report
Key Takeaways
Westlake Corporation reported Q2 2024 results with net sales of $3.2 billion, net income of $313 million, and EBITDA of $744 million. The company saw record Housing and Infrastructure Products (HIP) segment income from operations of $266 million and EBITDA of $336 million. There were sequential increases in Performance and Essential Materials (PEM) segment earnings and margins.
Record Housing and Infrastructure Products (HIP) segment income from operations of $266 million.
Record HIP segment EBITDA of $336 million.
Sequential increases in Performance and Essential Materials (PEM) segment earnings and margins.
Overall sales volume increased 6% sequentially from the previous quarter.
Westlake
Westlake
Forward Guidance
Conditions in the HIP segment should continue to be supported by favorable structural factors. Steps are being taken to enhance PEM segment profitability, including a plan to temporarily cease operations at two units within the European epoxy business.
Positive Outlook
- Favorable structural factors supporting conditions in the HIP segment.
- Decade-long under-investment in housing.
- Population growth.
- Aging housing stock.
- Increasing investments in infrastructure driven by the Infrastructure and Jobs Act.
Challenges Ahead
- Global industrial and manufacturing activity remains sluggish.
- Plan to temporarily cease operations at two units within our European epoxy business.
- Uncertainties associated with political tensions and conflict in the Middle East, Russia and Ukraine and elsewhere
- Uncertainties associated with pandemic infectious diseases
- Uncertainties associated with climate change