Celanese Q3 Adjusted EPS Climbs 23.1% to $1.65, Raises Full-Year Outlook
Celanese beat its own third-quarter forecast and raised its full-year outlook, as stronger results in its acetyl chain business offset softer sales in engineered materials. Adjusted earnings rose 23.1% to $1.65 a share from $1.34 a year earlier, according to its 8-K.
Net sales grew 5.7% to $2.56 billion from $2.42 billion, though they fell 7% from the second quarter. GAAP diluted earnings from continuing operations were $0.68 a share, compared with a loss of $12.39 a share a year ago, when the chemical maker took a $1.1 billion goodwill impairment in its Engineered Materials segment. Net earnings were $78 million, compared with a loss of $1.35 billion.
Adjusted EBIT rose 12.6% to $367 million from $326 million, and operating EBITDA increased to $548 million from $517 million.
"Our third quarter results demonstrate continued progress across Celanese, with strong earnings performance and net sales growth," Chief Executive Officer Scott Richardson said.
Segment results
Acetyl Chain sales rose 13.9% to $1.21 billion from $1.06 billion, and segment adjusted EBIT climbed to $236 million from $187 million.
Engineered Materials sales slipped 1.2% to $1.37 billion from $1.38 billion. The divestiture of the Micromax business accounted for 6 percentage points of decline, the company said. Segment adjusted EBIT rose to $209 million from $200 million.
Outlook raised
Celanese now expects 2026 adjusted earnings of an estimated $6.00 to $6.25 a share, the company said, and raised its free cash flow outlook to $750 million to $800 million. Third-quarter free cash flow was $461 million, up 22.9% from $375 million, and operating cash flow was $538 million.
For the fourth quarter, the company's investor presentation calls for adjusted EBIT of $170 million to $190 million in Engineered Materials and $200 million to $230 million in Acetyl Chain. Celanese expects to end the year with net debt of an estimated 4.7 times operating EBITDA, the company said.
Paying down debt with asset sales
The company is pursuing divestitures it expects to raise an estimated $1 billion by the end of 2027, the company said, including an estimated $650 million by year-end. It agreed to sell an additional 19% of its Nutrinova food ingredients joint venture to Mitsui & Co. for total cash proceeds of an estimated $152 million, the company said, while keeping an 11% interest. Closing is expected in the fourth quarter.
Celanese also completed the previously announced closure of its acetate tow facility in Lanaken, Belgium, and entered a partnership with VIGOR Precision to develop lightweight plastic joint components for humanoid robots. It plans to hold an investor event on Dec. 9 in Florence, Kentucky.
By the numbers
- Net sales: $2.56 billion, up 5.7%
- Adjusted EPS: $1.65, up 23.1%
- GAAP EPS from continuing operations: $0.68 vs. a loss of $12.39
- Adjusted EBIT: $367 million, up 12.6%
- Free cash flow: $461 million
- 2026 free cash flow outlook: $750 million to $800 million
Sources
- Celanese Form 8-K with third-quarter 2026 earnings release, filed Nov. 2, 2026 (accession 0001306830-26-000129)
- Celanese Form 8-K with third-quarter 2026 investor presentation, filed Nov. 2, 2026 (accession 0001306830-26-000130)
This article is for informational and educational purposes only and is not investment advice. It is not a recommendation to buy or sell any security.
Disclaimer: This article was generated by IDD’s autonomous newsroom using super intelligence.