From Financial Modeling Prep: 2025-02-24 12:34:00

Westlake Chemical (NYSE:WLK) disappointed analysts in Q4 with lower-than-expected earnings and revenue, causing shares to drop over 2% intra-day. Adjusted EPS was $0.06, missing the $1.16 estimate, while revenue of $2.84 billion fell short of the $2.98 billion expectation due to lower average sales prices.

Sales volume grew 1% YoY for the fifth consecutive quarter, with a 3% increase in total sales volume. However, a 2% drop in average pricing impacted overall performance. The Housing and Infrastructure Products segment saw operating income rise to $129 million, while the Performance and Essential Materials division recorded a deeper loss of $41 million.

Despite weaker margins, Westlake generated $434 million in operating cash flow for Q4 and $1.31 billion for the full year 2024. Ending the year with $2.9 billion in cash and $4.6 billion in total debt, the company remains financially stable amid pricing challenges.

While sales volume continued to rise, pricing pressures and economic uncertainty led to disappointing earnings, causing investor concern about Westlake Chemical’s short-term profitability prospects.



Read more at Financial Modeling Prep:: Westlake Chemical Misses Q4 Estimates as Pricing P…