Huntsman Announces Second Quarter 2025 Earnings

Three months ended

Six months ended

June 30,

June 30,

In millions, except per share amounts

2025

2024

2025

2024

Revenues

$     1,458

$     1,574

$     2,868

$     3,044

Net (loss) income attributable to Huntsman Corporation

$       (158)

$          22

$       (163)

$        (15)

Adjusted net (loss) income⁽¹⁾

$        (34)

$          24

$        (53)

$          13

Diluted (loss) income per share

$      (0.92)

$       0.13

$      (0.94)

$      (0.09)

Adjusted diluted (loss) income per share⁽¹⁾

$      (0.20)

$       0.14

$      (0.31)

$       0.08

Adjusted EBITDA⁽¹⁾

$          74

$        131

$        146

$        212

Net cash provided by (used in) operating activities from continuing operations

$          92

$          55

$          21

$          (8)

Free cash flow from continuing operations⁽²⁾

$          55

$            5

$        (52)

$       (100)

See end of press release for footnote explanations and reconciliations of non-GAAP measures.

Table 1 – Results of Operations

Three months ended

Six months ended

June 30,

June 30,

In millions, except per share amounts

2025

2024

2025

2024

Revenues

$     1,458

$     1,574

$     2,868

$     3,044

Cost of goods sold

1,276

1,331

2,485

2,600

Gross profit

182

243

383

444

Operating expenses:

Selling, general and administrative

160

176

326

352

Research and development

33

33

65

64

Restructuring, impairment and plant closing costs

124

4

125

15

Loss (gain) on acquisition of assets, net

–

1

(5)

(51)

Prepaid asset write-off

–

–

–

71

Income associated with litigation matter, net

–

–

(33)

–

Other operating income, net

(15)

(5)

(17)

(3)

Total operating expenses

302

209

461

448

Operating (loss) income

(120)

34

(78)

(4)

Interest expense, net

(21)

(20)

(40)

(39)

Equity in (loss) income of investment in unconsolidated affiliates

(2)

18

(1)

37

Other income, net

4

12

7

14

(Loss) income from continuing operations before income taxes

(139)

44

(112)

8

Income tax (expense) benefit

(7)

(13)

(22)

7

(Loss) income from continuing operations

(146)

31

(134)

15

Income from discontinued operations, net of tax

1

7

–

–

Net (loss) income

(145)

38

(134)

15

Net income attributable to noncontrolling interests

(13)

(16)

(29)

(30)

Net (loss) income attributable to Huntsman Corporation

$       (158)

$          22

$       (163)

$        (15)

Adjusted EBITDA⁽¹⁾

$          74

$        131

$        146

$        212

Adjusted net (loss) income ⁽¹⁾

$        (34)

$          24

$        (53)

$          13

Basic (loss) income per share

$      (0.92)

$       0.13

$      (0.94)

$      (0.09)

Diluted (loss) income per share

$      (0.92)

$       0.13

$      (0.94)

$      (0.09)

Adjusted diluted (loss) income per share⁽¹⁾

$      (0.20)

$       0.14

$      (0.31)

$       0.08

Common share information:

Basic weighted average shares

173

172

173

172

Diluted weighted average shares

173

173

173

172

Diluted shares for adjusted diluted (loss) income per share

173

173

173

173

See end of press release for footnote explanations.

Table 2 – Results of Operations by Segment

Three months ended

Six months ended

June 30,

(Worse) /

June 30,

(Worse) /

In millions

2025

2024

better

2025

2024

better

Segment revenues:

Polyurethanes

$        932

$     1,001

(7 %)

$     1,844

$     1,927

(4 %)

Performance Products

270

299

(10 %)

527

590

(11 %)

Advanced Materials

264

279

(5 %)

513

540

(5 %)

Total reportable segments’ revenues

1,466

1,579

(7 %)

2,884

3,057

(6 %)

Intersegment eliminations

(8)

(5)

n/m

(16)

(13)

n/m

Total revenues

$     1,458

$     1,574

(7 %)

$     2,868

$     3,044

(6 %)

Segment adjusted EBITDA⁽¹⁾:

Polyurethanes

$          31

$          80

(61 %)

$          73

$        119

(39 %)

Performance Products

32

46

(30 %)

62

88

(30 %)

Advanced Materials

45

52

(13 %)

81

95

(15 %)

n/m = not meaningful

See end of press release for footnote explanations.

Table 3 — Factors Impacting Sales Revenue

Three months ended

June 30, 2025 vs. 2024

Average selling price^(a)

Local

Exchange

Sales

currency & mix

rate

volume^(b)

Total

Polyurethanes

(5 %)

0 %

(2 %)

(7 %)

Performance Products

(1 %)

0 %

(9 %)

(10 %)

Advanced Materials

(3 %)

1 %

(3 %)

(5 %)

Combined segments

(4 %)

1 %

(4 %)

(7 %)

Six months ended

June 30, 2025 vs. 2024

Average selling price^(a)

Local

Exchange

Sales

currency & mix

rate

volume^(b)

Total

Polyurethanes

(4 %)

0 %

0 %

(4 %)

Performance Products

2 %

(1 %)

(12 %)

(11 %)

Advanced Materials

(3 %)

(1 %)

(1 %)

(5 %)

Combined segments

(3 %)

(1 %)

(2 %)

(6 %)

(a) Excludes sales from tolling arrangements, by-products and raw materials.

(b) Excludes sales from by-products and raw materials.

Table 4 — Reconciliation of U.S. GAAP to Non-GAAP Measures

 Income tax 

 Net (loss) 

 Diluted (loss) income 

 EBITDA 

and other expense

 income 

 per share 

Three months ended

Three months ended

Three months ended

Three months ended

June 30,

June 30,

June 30,

June 30,

In millions, except per share amounts

2025

2024

2025

2024

2025

2024

2025

2024

Net (loss) income

$       (145)

$          38

$       (145)

$          38

$      (0.84)

$       0.22

Net income attributable to noncontrolling interests

(13)

(16)

(13)

(16)

(0.08)

(0.09)

Net (loss) income attributable to Huntsman Corporation

(158)

22

(158)

22

(0.92)

0.13

Interest expense, net from continuing operations

21

20

Income tax expense from continuing operations

7

13

$           (7)

$         (13)

Income tax expense (benefit) from discontinued operations

1

(7)

Depreciation and amortization from continuing operations

72

75

Business acquisition and integration expenses and purchase accounting inventory adjustments

–

1

–

1

–

2

–

0.01

EBITDA / Income from discontinued operations

(2)

–

 N/A 

 N/A 

(1)

(7)

(0.01)

(0.04)

Release of significant deferred tax asset valuation allowance

–

–

(8)

–

(8)

–

(0.05)

–

Fair value adjustments to Venator investment, net and other tax matter adjustments

–

(7)

–

2

–

(5)

–

(0.03)

Certain legal and other settlements and related expenses

1

1

–

(1)

1

–

0.01

–

Amortization of pension and postretirement actuarial losses

7

8

–

–

7

8

0.04

0.05

Restructuring, impairment and plant closing and transition costs

125

5

–

(1)

125

4

0.72

0.02

Adjusted⁽¹⁾

$          74

$        131

$         (15)

$         (12)

(34)

24

$      (0.20)

$       0.14

Adjusted income tax expense⁽¹⁾

15

12

Net income attributable to noncontrolling interests

13

16

Adjusted pre-tax (loss) income ⁽¹⁾

$           (6)

$          52

Adjusted effective tax rate⁽³⁾

N/M

23 %

Effective tax rate

(5 %)

30 %

 Income tax 

 Net (loss) 

 Diluted (loss) income 

 EBITDA 

and other expense

 income 

 per share 

Six months ended

Six months ended

Six months ended

Six months ended

June 30,

June 30,

June 30,

June 30,

In millions, except per share amounts

2025

2024

2025

2024

2025

2024

2025

2024

Net (loss) income

$       (134)

$          15

$       (134)

$          15

$      (0.78)

$       0.09

Net income attributable to noncontrolling interests

(29)

(30)

(29)

(30)

(0.17)

(0.17)

Net loss attributable to Huntsman Corporation

(163)

(15)

(163)

(15)

(0.94)

(0.09)

Interest expense, net from continuing operations

40

39

Income tax expense (benefit) from continuing operations

22

(7)

$         (22)

$            7

Income tax expense (benefit) from discontinued operations⁽³⁾

1

(8)

Depreciation and amortization from continuing operations

141

144

Business acquisition and integration (gain) expenses and purchase accounting inventory adjustments

(5)

21

–

(17)

(5)

4

(0.03)

0.02

EBITDA / (Income) loss from discontinued operations⁽³⁾

(1)

8

N/A

N/A

–

–

–

–

Establishment of significant deferred tax asset valuation allowances, net

–

–

1

–

1

–

0.01

–

Fair value adjustments to Venator investment, net and other tax matter adjustments

–

(7)

–

2

–

(5)

–

(0.03)

Certain legal and other settlements and related (income) expenses

(32)

2

7

(1)

(25)

1

(0.14)

0.01

Amortization of pension and postretirement actuarial losses

14

16

(2)

(1)

12

15

0.07

0.09

Restructuring, impairment and plant closing and transition costs

129

19

(2)

(6)

127

13

0.74

0.08

Adjusted⁽¹⁾

$        146

$        212

$         (18)

$         (16)

(53)

13

$      (0.31)

$       0.08

Adjusted income tax expense⁽¹⁾

18

16

Net income attributable to noncontrolling interests

29

30

Adjusted pre-tax (loss) income⁽¹⁾

$           (6)

$          59

Adjusted effective tax rate⁽⁴⁾

(300 %)

27 %

Effective tax rate

(20 %)

N/M

N/M = not meaningful

N/A = not applicable

See end of press release for footnote explanations.

Table 5 — Selected Balance Sheet Items

June 30,

December 31,

In millions

2025

2024

Cash

$               399

$               340

Accounts and notes receivable, net

813

725

Inventories

896

917

Prepaid expenses

69

114

Other current assets

31

29

Property, plant and equipment, net

2,491

2,493

Other noncurrent assets

2,448

2,496

Total assets

$            7,147

$            7,114

Accounts payable

$               694

$               770

Other current liabilities

478

470

Current portion of debt

372

325

Long-term debt

1,663

1,510

Other noncurrent liabilities

879

876

Huntsman Corporation stockholders’ equity

2,828

2,959

Noncontrolling interests in subsidiaries

233

204

Total liabilities and equity

$            7,147

$            7,114

Table 6 — Outstanding Debt

June 30,

December 31,

In millions

2025

2024

Debt:

Revolving credit facility

$               361

$                  –

Senior notes

1,487

1,799

Accounts receivable programs

155

–

Variable interest entities

12

16

Other debt

20

20

Total debt – excluding affiliates

2,035

1,835

Total cash

399

340

Net debt – excluding affiliates⁽⁴⁾

$            1,636

$            1,495

See end of press release for footnote explanations.

Table 7 — Summarized Statement of Cash Flows

Three months ended

Six months ended

June 30,

June 30,

In millions

2025

2024

2025

2024

Total cash at beginning of period

$            334

$            552

$            340

$            540

Net cash provided by (used in) operating activities from continuing operations

92

55

21

(8)

Net cash used in operating activities from discontinued operations

(1)

(9)

(4)

(11)

Net cash used in investing activities

(38)

(50)

(32)

(80)

Net cash provided by (used in) financing activities

9

(210)

69

(102)

Effect of exchange rate changes on cash

3

(3)

5

(4)

Total cash at end of period

$            399

$            335

$            399

$            335

Free cash flow from continuing operations⁽²⁾:

Net cash provided by (used in) operating activities from continuing operations

$              92

$              55

$              21

$              (8)

Capital expenditures

(37)

(50)

(73)

(92)

Free cash flow from continuing operations⁽²⁾

$              55

$                5

$             (52)

$           (100)

Supplemental cash flow information:

Cash paid for interest

$             (36)

$             (29)

$             (44)

$             (41)

Cash paid for income taxes

(49)

(29)

(61)

(44)

Cash paid for restructuring and integration

(8)

(6)

(11)

(23)

Cash paid for pensions

(8)

(7)

(16)

(17)

Depreciation and amortization from continuing operations

72

75

141

144

Change in primary working capital:

Accounts and notes receivable

$                2

$             (43)

$             (63)

$           (130)

Inventories

160

(33)

59

(71)

Accounts payable

(62)

(8)

(94)

22

Total change in primary working capital

$            100

$             (84)

$             (98)

$           (179)

See end of press release for footnote explanations.

(1)

We use adjusted EBITDA to measure the operating performance of our business and for planning and evaluating the performance of our business segments.  We provide adjusted net income (loss) because we feel it provides meaningful insight for the investment community into the performance of our business.  We believe that net income (loss) is the performance measure calculated and presented in accordance with generally accepted accounting principles in the U.S. (“GAAP”) that is most directly comparable to adjusted EBITDA and adjusted net income (loss).  Additional information with respect to our use of each of these financial measures follows:

Adjusted EBITDA, adjusted net income (loss) and adjusted diluted income (loss) per share, as used herein, are not necessarily comparable to other similarly titled measures of other companies.

Adjusted EBITDA is computed by eliminating the following from net income (loss):  (a) net income attributable to noncontrolling interests; (b) interest expense, net; (c) income taxes; (d) depreciation and amortization; (e) amortization of pension and postretirement actuarial losses; (f) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted EBITDA in Table 4 above. 

Adjusted net income (loss) and adjusted diluted income (loss) per share are computed by eliminating the after tax impact of the following items from net income (loss): (a) net income attributable to noncontrolling interests; (b) amortization of pension and postretirement actuarial losses; (c) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted net income (loss) in Table 4 above.  The income tax impacts, if any, of each adjusting item represent a ratable allocation of the total difference between the unadjusted tax expense and the total adjusted tax expense, computed without consideration of any adjusting items using a with and without approach.

We may disclose forward-looking adjusted EBITDA because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, net, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including tax law changes not yet enacted. Each of such adjustment has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted EBITDA represents the forecast net income on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our adjusted EBITDA to differ.

(2)

Management internally uses free cash flow measure: (a) to evaluate our liquidity, (b) evaluate strategic investments, (c) plan stock buyback and dividend levels and (d) evaluate our ability to incur and service debt. Free cash flow is defined as net cash provided by operating activities less capital expenditures. Free cash flow is not a defined term under U.S. GAAP, and it should not be inferred that the entire free cash flow amount is available for discretionary expenditures.

(3)

We believe the adjusted effective tax rate provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of the businesses’ operational profitability and that may obscure underlying business results and trends. In our view, effective tax rate is the performance measure calculated and presented in accordance with U.S. GAAP that is most directly comparable to adjusted effective tax rate. The reconciliation of historical adjusted effective tax rate and effective tax rate is set forth in Table 4 above. Please see the reconciliation of our net income to adjusted net income in Table 4 for details regarding the tax impacts of our non-GAAP adjustments.

Our forward-looking adjusted effective tax rate is calculated based on our forecast effective tax rate, and the range of our forward-looking adjusted effective tax rate equals the range of our forecast effective tax rate. We disclose forward-looking adjusted effective tax rate because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including the future year effects of tax law changes not yet enacted. Each of such adjustments has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted effective tax rate represents the forecast effective tax rate on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our effective tax rate to differ.

(4)

Net debt is a measure we use to monitor how much debt we have after taking into account our total cash. We use it as an indicator of our overall financial position, and calculate it by taking our total debt, including the current portion, and subtracting total cash.