Solvay cuts 2026 EBITDA and cash‑flow guidance after Middle East plant shutdown
Solvay reported preliminary Q3 2026 underlying EBITDA of €173 million on net sales of €1.03 billion, missing consensus. The company blamed a shutdown at its Saudi peroxide plant and a €25 million conflict impact, and lowered full‑year EBITDA guidance to €720‑740 million and free‑cash‑flow target to €120‑150 million. Shares fell 5‑5.5% to around €23.9, hitting a 52‑week low of €22.58. Analysts trimmed price targets, with JPMorgan cutting its target to €28.50 from €30.00.
Why it matters
The reduced EBITDA and cash‑flow forecasts signal lower profitability and dividend‑paying capacity for the year, prompting investors to reassess valuations. Analyst price‑target cuts reflect the market’s expectation of weaker earnings and dividend sustainability.
Key facts
- 1Q3 underlying EBITDA was €173 million. tradingview.com
- 2Q3 net sales were €1.03 billion. tradingview.com
- 3Full‑year 2026 underlying EBITDA guidance was cut to €720‑740 million. investing.com
- 4Full‑year free cash flow guidance was cut to €120‑150 million. investing.com
- 5The Middle‑East conflict impact on Q3 EBITDA was approximately €25 million. investing.com
- 6Shares fell 5.5% after the guidance cut. investing.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.