third quarter 2026
Filed Nov 2, 2026Huntsman Announces Third Quarter 2026 Earnings
Third-quarter revenue, adjusted EBITDA, adjusted net income and free cash flow were positive and improved year over year, while the company remained in a GAAP net loss and reported substantially lower operating cash flow than in the prior-year quarter.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026GAAP | $1.72B | – | 18 % |
| Cost of goods sold, three months ended September 30, 2026GAAP | $1.48B | – | – |
| Gross profit, three months ended September 30, 2026GAAP | $237M | – | – |
| Selling, general and administrative expense, three months ended September 30, 2026GAAP | $168M | – | – |
| Research and development expense, three months ended September 30, 2026GAAP | $27M | – | – |
| Restructuring, impairment and plant closing costs, three months ended September 30, 2026GAAP | $4M | – | – |
| Other operating income, net, three months ended September 30, 2026GAAP | −$1M | – | – |
| Total operating expenses, three months ended September 30, 2026GAAP | $198M | – | – |
| Operating income, three months ended September 30, 2026GAAP | $39M | – | – |
| Interest expense, net, three months ended September 30, 2026GAAP | −$23M | – | – |
| Equity in income of investment in unconsolidated affiliates, three months ended September 30, 2026GAAP | $7M | – | – |
| Other income, net, three months ended September 30, 2026GAAP | $3M | – | – |
| Income from continuing operations before income taxes, three months ended September 30, 2026GAAP | $26M | – | – |
| Income tax expense, three months ended September 30, 2026GAAP | −$28M | – | – |
| Loss from continuing operations, three months ended September 30, 2026GAAP | −$2M | – | – |
| Loss from discontinued operations, net of tax, three months ended September 30, 2026GAAP | −$3M | – | – |
| Net loss, three months ended September 30, 2026GAAP | −$5M | – | – |
| Net income attributable to noncontrolling interests, three months ended September 30, 2026GAAP | −$13M | – | – |
| Net loss attributable to Huntsman Corporation, three months ended September 30, 2026GAAP | −$18M | – | – |
| Basic loss per share, three months ended September 30, 2026GAAP | $(0.10) | – | – |
| Diluted loss per share, three months ended September 30, 2026GAAP | $(0.10) | – | – |
| Adjusted EBITDA, three months ended September 30, 2026non-GAAP | $132M | – | – |
| Adjusted net income, three months ended September 30, 2026non-GAAP | $7M | – | – |
| Adjusted diluted income per share, three months ended September 30, 2026non-GAAP | $0.04 | – | – |
| Effective tax rate, third quarter 2026GAAP | 108% | – | – |
| Adjusted effective tax rate, third quarter 2026non-GAAP | 56% | – | – |
| Net cash provided by operating activities from continuing operations, three months ended September 30, 2026GAAP | $115M | – | – |
| Capital expenditures, three months ended September 30, 2026other | −$33M | – | – |
| Free cash flow from continuing operations, three months ended September 30, 2026non-GAAP | $82M | – | – |
| Revenue, nine months ended September 30, 2026GAAP | $4.8B | – | 11 % |
| Gross profit, nine months ended September 30, 2026GAAP | $665M | – | – |
| Total operating expenses, nine months ended September 30, 2026GAAP | $605M | – | – |
| Operating income (loss), nine months ended September 30, 2026GAAP | $60M | – | – |
| Net loss attributable to Huntsman Corporation, nine months ended September 30, 2026GAAP | −$77M | – | – |
| Diluted loss per share, nine months ended September 30, 2026GAAP | $(0.44) | – | – |
| Adjusted EBITDA, nine months ended September 30, 2026non-GAAP | $325M | – | – |
| Adjusted net loss, nine months ended September 30, 2026non-GAAP | −$28M | – | – |
| Adjusted diluted loss per share, nine months ended September 30, 2026non-GAAP | $(0.16) | – | – |
| Net cash provided by operating activities from continuing operations, nine months ended September 30, 2026GAAP | $2M | – | – |
| Free cash flow from continuing operations, nine months ended September 30, 2026non-GAAP | −$99M | – | – |
| Effective tax rate, nine months ended September 30, 2026GAAP | 243% | – | – |
| Adjusted effective tax rate, nine months ended September 30, 2026non-GAAP | 86% | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Polyurethanes, three months ended September 30, 2026Higher average selling prices and higher sales volumes. MDI average selling prices increased across all three regions due to improved supply and demand dynamics and higher raw materials costs; MDI sales volumes increased in the Americas and Europe regions. Segment adjusted EBITDA was $75 million compared to $48 million, or 56 % better. | $1.15B | – | 21 % |
| Performance Products, three months ended September 30, 2026Higher average selling prices, driven primarily by higher raw materials and logistics costs and favorable sales mix. Sales volumes remained relatively unchanged. Segment adjusted EBITDA was $31 million compared to $29 million, or 7 % better. | $260M | – | 6 % |
| Advanced Materials, three months ended September 30, 2026Higher sales volumes and higher average selling prices. Volumes increased primarily in aerospace, automotive and power markets, while prices increased primarily due to favorable sales mix. Segment adjusted EBITDA was $62 million compared to $44 million, or 41 % better. | $314M | – | 18 % |
| Polyurethanes, nine months ended September 30, 2026Segment adjusted EBITDA was $180 million compared to $121 million, or 49 % better. | $3.15B | – | 13 % |
| Performance Products, nine months ended September 30, 2026Segment adjusted EBITDA was $94 million compared to $91 million, or 3 % better. | $771M | – | (0 )% |
| Advanced Materials, nine months ended September 30, 2026Segment adjusted EBITDA was $171 million compared to $125 million, or 37 % better. | $906M | – | 16 % |
2026 outlook
- NoteCapital expenditures to be approximately $160 million.
- NoteMerger of equals with Olin Corporation expected to close in the first quarter of 2027.
- NoteBetter results and cash flow are expected to reduce net debt leverage to approximately 4 times by year-end.
What drove it
- Third-quarter total revenue increased 18 %, with Polyurethanes revenue up 21 %, Performance Products up 6 %, and Advanced Materials up 18 %.
- Third-quarter combined-segment revenue benefited from 15 % average selling price and mix, 0 % local currency, and 3 % sales volume.
- Polyurethanes segment adjusted EBITDA increased 56 %, supported by higher selling prices, higher volumes, higher equity earnings from the minority-owned joint venture in China and cost savings.
- Advanced Materials sales volumes increased primarily in aerospace, automotive and power markets.
- Restructuring, impairment and plant closing costs declined to $4 million from $12 million in the third quarter of 2025.
- Huntsman shareholders approved the merger of equals with Olin Corporation on August 25, 2026, and management reported regulatory clearance in multiple jurisdictions, including the United States in September.
Concerns
- Huntsman recorded a third-quarter net loss attributable to Huntsman Corporation of $(18) million and a diluted loss per share of $(0.10).
- Third-quarter net cash provided by operating activities from continuing operations declined to $115 million from $200 million, while free cash flow declined to $82 million from $157 million.
- Nine-month free cash flow from continuing operations was $(99) million, compared with $105 million in the prior-year period.
- Net debt - excluding affiliates was $1,684 million as of September 30, 2026, compared with $1,582 million as of December 31, 2025.
- The third-quarter effective tax rate was 108%, and the adjusted effective tax rate was 56%.
- The planned merger remains subject to approvals from remaining jurisdictions and is expected to close in the first quarter of 2027.
What to watch
- Progress toward regulatory approvals and the expected first-quarter 2027 closing of the Olin merger.
- Whether expected better results and cash flow reduce net debt leverage to approximately 4 times by year-end.
- Capital expenditures, which Huntsman expects to be approximately $160 million during 2026.
- Sustainability of MDI selling prices, supply-demand dynamics, sales volumes and raw-material-cost impacts in Polyurethanes.
- Conversion of earnings to cash flow after nine-month operating cash flow of $2 million and free cash flow of $(99) million.
Balance sheet and cash flow
- Cash as of September 30, 2026: $359 million; December 31, 2025: $429 million.
- Accounts and notes receivable, net as of September 30, 2026: $870 million; December 31, 2025: $677 million.
- Inventories as of September 30, 2026: $905 million; December 31, 2025: $818 million.
- Property, plant and equipment, net as of September 30, 2026: $2,369 million; December 31, 2025: $2,486 million.
- Total assets as of September 30, 2026: $7,104 million; December 31, 2025: $7,015 million.
- Current portion of debt as of September 30, 2026: $303 million; December 31, 2025: $353 million.
- Long-term debt as of September 30, 2026: $1,740 million; December 31, 2025: $1,658 million.
- Total debt - excluding affiliates as of September 30, 2026: $2,043 million; December 31, 2025: $2,011 million.
- Net debt - excluding affiliates as of September 30, 2026: $1,684 million; December 31, 2025: $1,582 million.
- Combined cash and unused borrowing capacity as of September 30, 2026: approximately $0.9 billion.
- Net cash used in operating activities from discontinued operations, three months ended September 30, 2026: $(5) million; prior year: $(4) million.
- Net cash used in investing activities, three months ended September 30, 2026: $(33) million; prior year: $(42) million.
- Net cash used in financing activities, three months ended September 30, 2026: $(65) million; prior year: $(83) million.
- Total change in primary working capital, three months ended September 30, 2026: $12 million; prior year: $90 million.
- Net cash used in investing activities, nine months ended September 30, 2026: $(48) million; prior year: $(74) million.
- Net cash used in financing activities, nine months ended September 30, 2026: $(22) million; prior year: $(14) million.
- Total change in primary working capital, nine months ended September 30, 2026: $(189) million; prior year: $(1) million.
Analysis
Huntsman delivered an improved third quarter, led by 18 % revenue growth to $1,717 million and an increase in adjusted EBITDA to $132 million from $94 million. All three operating segments grew revenue, led by Polyurethanes at 21 % and Advanced Materials at 18 %. Management attributed the performance to higher volumes, stronger margins and cost savings. The GAAP result nevertheless remained a net loss attributable to Huntsman Corporation of $(18) million, although this narrowed from $(25) million, while adjusted net income was $7 million versus an adjusted net loss of $(5) million.
The revenue mix was supported principally by price and mix. Combined-segment third-quarter revenue reflected a 15 % contribution from average selling price and mix and a 3 % contribution from sales volume, with no local-currency contribution. Polyurethanes benefited from higher MDI pricing across all three regions and higher MDI volumes in the Americas and Europe. Advanced Materials benefited from volume growth in aerospace, automotive and power markets. Performance Products grew on pricing and mix while sales volumes remained relatively unchanged.
Profitability improved through the income statement. Gross profit increased to $237 million from $204 million, operating income rose to $39 million from $6 million, and restructuring, impairment and plant closing costs declined to $4 million from $12 million. Polyurethanes adjusted EBITDA rose to $75 million from $48 million, Advanced Materials adjusted EBITDA increased to $62 million from $44 million, and Performance Products adjusted EBITDA was $31 million compared with $29 million. The third-quarter effective tax rate of 108% and adjusted effective tax rate of 56% remain important features of the reported earnings conversion.
Cash generation was positive in the quarter but weaker year over year. Net cash provided by operating activities from continuing operations was $115 million, down from $200 million, and free cash flow from continuing operations was $82 million, down from $157 million. For the nine months, operating cash flow from continuing operations was $2 million and free cash flow was $(99) million. Net debt - excluding affiliates was $1,684 million as of September 30, 2026, compared with $1,582 million at December 31, 2025. Management expects capital expenditures of approximately $160 million during 2026 and expects better results and cash flow to reduce net debt leverage to approximately 4 times by year-end.
The Olin merger is a central strategic development. Shareholders approved the transaction on August 25, 2026, and Huntsman reported regulatory clearance in multiple jurisdictions, including the United States in September. Management now expects closing in the first quarter of 2027, subject to obtaining approvals in remaining jurisdictions. The company stated that the combined OlinHuntsman will trade under the new ticker NYSE: OHN once the merger is completed.
Management, verbatim
Our Company continues to perform solidly despite significant macroeconomic and industry challenges. Year-over-year improvement was driven by higher volumes, stronger margins, and cost savings. Better results and cash flow are expected to reduce net debt leverage to approximately 4 times by year-end, a significant improvement from the beginning of the year.
Peter R. Huntsman, Chairman, President, and CEO
Our planned merger of equals with Olin Corporation reached several milestones during the quarter, including shareholder approval on August 25, 2026, and regulatory clearance in multiple jurisdictions, including the United States in September. We continue to work with the remaining jurisdictions to secure the approvals needed to complete the merger, which we now expect to close in the first quarter of 2027.
Peter R. Huntsman, Chairman, President, and CEO
Not in the filing
stated, not guessed- Quarterly gross margin was not reported.
- Quarterly prior-quarter comparisons were not reported.
- Revenue guidance was not reported.
- Gross-margin guidance was not reported.
- Operating-expense guidance was not reported.
- Tax-rate guidance was not reported.
- Dividend and share-repurchase activity were not reported.
- A previous-release outlook was not provided, so prior-guidance comparisons are unavailable.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.