Huntsman CORP (HUN): Results of Operations and Financial Condition
Huntsman CORP (HUN) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 FOR IMMEDIATE RELEASE Investor Relations: July 30, 2026 Ivan Marcuse The Woodlands, TX (281) 719-4637 NYSE: HUN Huntsman Announces Second Quarter 2026 Earnings Second Quarter Highlights · Second quarter 2026 net loss attributable to Huntsman of $6 million compared to
How this was made
The 30-second read
Why it matters
Traders can update near-term expectations for earnings quality (EBITDA vs free cash flow) and merger execution (Aug 25, 2026 stockholder vote).
Market read
The filing combines a fresh quarterly earnings release with a concrete merger timeline milestone, creating two potential drivers for price action.
What to watch
High effective tax rate (65% in 2Q26) and ongoing raw-material and energy volatility could limit the durability of earnings gains into subsequent quarters.
Huntsman Announces Second Quarter 2026 Earnings
Second-quarter revenue, adjusted EBITDA and segment adjusted EBITDA increased year over year, while the net loss narrowed substantially. Higher volumes and pricing supported all three segments, although free cash flow was a use of cash and management cited elevated and volatile energy, crude-oil-related and raw-material costs as headwinds.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $1,663 million | – | 14 % |
| Cost of goods soldGAAP | $1,418 million | – | – |
| Gross profitGAAP | $245 million | – | – |
| Selling, general and administrativeGAAP | $183 million | – | – |
| Research and developmentGAAP | $28 million | – | – |
| Restructuring, impairment and plant closing costsGAAP | $9 million | – | – |
| Gain on sale of business, netGAAP | $(22) million | – | – |
| Other operating expense (income), netGAAP | $10 million | – | – |
| Total operating expensesGAAP | $208 million | – | – |
| Operating income (loss)GAAP | $37 million | – | – |
| Interest expense, netGAAP | $(23) million | – | – |
| Equity in income (loss) of investment in unconsolidated affiliatesGAAP | $5 million | – | – |
| Other income, netGAAP | $7 million | – | – |
| Income (loss) from continuing operations before income taxesGAAP | $26 million | – | – |
| Income tax expenseGAAP | $(17) million | – | – |
| Income (loss) from continuing operationsGAAP | $9 million | – | – |
| (Loss) income from discontinued operations, net of taxGAAP | $(2) million | – | – |
| Net income (loss)GAAP | $7 million | – | – |
| Net income attributable to noncontrolling interestsGAAP | $(13) million | – | – |
| Net loss attributable to Huntsman CorporationGAAP | $(6) million | – | – |
| Basic loss per shareGAAP | $(0.03) | – | – |
| Diluted loss per shareGAAP | $(0.03) | – | – |
| Adjusted EBITDAnon-GAAP | $120 million | – | – |
| Adjusted net income (loss)non-GAAP | $- | – | – |
| Adjusted diluted income (loss) per sharenon-GAAP | $- | – | – |
| Effective tax rateGAAP | 65 % | – | – |
| Adjusted effective tax ratenon-GAAP | 61 % | – | – |
| Net cash used in operating activities from continuing operationsGAAP | $(60) million | – | – |
| Free cash flownon-GAAP | $(90) million | – | – |
| Capital expendituresother | $30 million | – | – |
| Six months ended June 30, 2026 revenueGAAP | $3,083 million | – | 7 % |
| Six months ended June 30, 2026 gross profitGAAP | $428 million | – | – |
| Six months ended June 30, 2026 operating income (loss)GAAP | $21 million | – | – |
| Six months ended June 30, 2026 net loss attributable to Huntsman CorporationGAAP | $(59) million | – | – |
| Six months ended June 30, 2026 diluted loss per shareGAAP | $(0.34) | – | – |
| Six months ended June 30, 2026 adjusted EBITDAnon-GAAP | $193 million | – | – |
| Six months ended June 30, 2026 adjusted net income (loss)non-GAAP | $(35) million | – | – |
| Six months ended June 30, 2026 adjusted diluted income (loss) per sharenon-GAAP | $(0.20) | – | – |
| Six months ended June 30, 2026 net cash used in operating activities from continuing operationsGAAP | $(113) million | – | – |
| Six months ended June 30, 2026 free cash flownon-GAAP | $(181) million | – | – |
| Polyurethanes segment adjusted EBITDAnon-GAAP | $66 million | – | 113 % |
| Performance Products segment adjusted EBITDAnon-GAAP | $37 million | – | 16 % |
| Advanced Materials segment adjusted EBITDAnon-GAAP | $64 million | – | 42 % |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| PolyurethanesHigher average selling prices and higher sales volumes. MDI average selling prices increased across all three regions, while MDI sales volumes increased in the Americas and Europe regions. | $1,079 million | – | 16 % |
| Performance ProductsHigher sales volumes and slightly higher average selling prices. Sales volumes increased primarily due to favorable demand in performance amines. | $283 million | – | 5 % |
| Advanced MaterialsHigher average selling prices and higher sales volumes. Pricing reflected favorable sales mix and major foreign currency exchange rate movements against the U.S. dollar, while volume growth was primarily in aerospace, power and automotive markets. | $313 million | – | 19 % |
During 2026 outlook
- NoteCapital expenditures to be approximately $170 million.
- NoteThe stockholder vote is scheduled for August 25, 2026.
What drove it
- Higher volumes across all three segments and pricing actions offset a significant increase in raw material costs.
- Polyurethanes adjusted EBITDA benefited from higher selling prices, higher sales volumes, higher equity earnings from the minority-owned joint venture in China and cost savings from the cost optimization program.
- Performance Products adjusted EBITDA benefited from higher sales volumes and lower fixed costs achieved through the cost optimization program.
- Advanced Materials adjusted EBITDA benefited from higher margins and higher sales volumes.
- On June 16, 2026, Huntsman announced an agreement to complete an all-stock merger of equals with Olin Corporation.
Concerns
- Construction remained soft.
- Rising and volatile energy and crude-oil-related costs, particularly in Europe, remained a headwind.
- Raw materials costs increased significantly.
- Second-quarter free cash flow was a use of cash, compared with a source of cash in the prior-year period.
What to watch
- Additional price increases and cost-reduction initiatives intended to offset energy, crude-oil-related and raw-material cost pressures.
- Execution of the planned all-stock merger of equals with Olin Corporation and the stockholder vote scheduled for August 25, 2026.
- Whether improved industrial demand continues to counter softness in construction.
- 2026 capital expenditures expected to be approximately $170 million.
Balance sheet and cash flow
- Free cash flow was a use of cash of $90 million for the second quarter 2026, compared to a source of cash of $55 million in the prior year period.
- Net cash used in operating activities from continuing operations was $60 million.
- As of June 30, 2026, Huntsman had approximately $0.9 billion of combined cash and unused borrowing capacity.
- Capital expenditures were $30 million during the three months ended June 30, 2026, compared to $37 million in the same period of 2025.
Analysis
Huntsman reported second-quarter revenue of $1,663 million, compared with $1,458 million in the prior-year period, and total revenues were reported as 14 % better year over year. The company attributed the improvement to higher volumes across all three segments and pricing actions. Polyurethanes, Performance Products and Advanced Materials each posted higher revenue, with Advanced Materials showing the largest reported increase at 19 %.
Profitability improved materially. Gross profit was $245 million compared with $182 million, operating income was $37 million compared with an operating loss of $120 million, and net loss attributable to Huntsman narrowed to $6 million from $158 million. Adjusted EBITDA increased to $120 million from $74 million. The improvement reflected stronger segment pricing and volume, cost optimization savings, higher equity earnings from the China joint venture in Polyurethanes, and higher margins in Advanced Materials. Lower restructuring, impairment and plant closing costs also reduced reported operating expenses.
The period still reflected pressure on cash generation and input costs. Net cash used in operating activities from continuing operations was $60 million, and free cash flow was a use of cash of $90 million, compared with a source of cash of $55 million in the prior-year period. Management identified rising and volatile energy and crude-oil-related costs, particularly in Europe, and significant raw-material cost increases as headwinds. As of June 30, 2026, the company reported approximately $0.9 billion of combined cash and unused borrowing capacity.
Management expects 2026 capital expenditures to be approximately $170 million after spending $30 million in the second quarter. The company also highlighted the planned all-stock merger of equals with Olin Corporation, announced on June 16, 2026, with a stockholder vote scheduled for August 25, 2026. The operating focus remains on additional price increases and cost-reduction initiatives, while investors will need to monitor whether improved industrial demand continues to offset continued softness in construction.
Management, verbatim
We delivered a solid quarter, supported by higher volumes across all three segments and pricing actions that offset a significant increase in raw material costs.
Peter R. Huntsman, Chairman, President, and CEO
Improved industrial demand helped counter continued softness in construction.
Peter R. Huntsman, Chairman, President, and CEO
Our planned merger of equals with Olin Corporation continues to progress at pace.
Peter R. Huntsman, Chairman, President, and CEO
Not in the filing
stated, not guessed- Gross margin was not reported.
- Quarter-over-quarter comparisons were not reported for the disclosed metrics.
- Forward revenue guidance was not reported.
- Forward gross-margin guidance was not reported.
- Forward operating-expense guidance was not reported.
- Forward tax-rate guidance was not reported.
- Share repurchases and dividends were not reported.
- Debt was not reported.
- Prior outlook was not provided.
- Full six-month reconciliation details following the truncated Table 4 were not provided in the filing text.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is an SEC 8-K (Item 2.02) with Huntsman’s 2Q26 results and commentary, including progress on its planned all-stock merger with Olin.
Ticker impact
Huntsman reported 2Q26 results with net loss of $6 million, adjusted EBITDA of $120 million, and free cash flow use of $90 million.
Near-term trading likely hinges on how investors weigh EBITDA improvement versus free-cash-flow weakness and merger execution risk.
The filing provides concrete quarterly P&L and cash metrics plus a specific merger timeline milestone (stockholder vote date), which can drive sentiment and positioning.
Market effects
Improved volumes and pricing actions in Huntsman’s segments may signal relative resilience in industrial chemicals demand, despite construction softness.
Management cites Europe energy and crude-related cost headwinds, which can affect regional margins for chemical producers.
The OlinHuntsman merger progress and synergy framing can influence expectations for consolidation and cost structure in specialty chemicals.
Counterpoint
The EBITDA improvement may not translate into cash generation, as free cash flow used $90 million in 2Q26, suggesting working-capital or capex pressures persist.
Key entities
- companyHuntsman Corporation
Reported 2Q26 revenues of $1,663 million, net loss of $6 million, adjusted EBITDA of $120 million, and free cash flow use of $90 million.
- companyOlin Corporation
Counterparty to Huntsman’s planned all-stock merger of equals; stockholder vote scheduled for Aug 25, 2026.
