OLN

Avient Corporation AVNT reported adjusted earnings of 96 cents per share for the second quarter of 2026, up 20% from 80 cents a year ago. The bottom line beat the Zacks Consensus Estimate of 89 cents by 7.9%. Better-than-expected organic volume growth aided the outperformance. Sales increased 5.8% year over year to $917 million and beat the Zacks Consensus Estimate of $895.3 million by 2.4%. Organic sales rose 4.3%, while favorable foreign exchange contributed 1.5%. Adjusted EBITDA margin expanded 110 basis points to a record 18.3%. Avient Corporation price-consensus-eps-surprise-chart | Avient Corporation Quote Color, Additives and Inks sales increased 6.6% year over year to $574.2 million from $538.6 million. Segment EBITDA rose 10.5% to $124.5 million from $112.7 million. The segment’s EBITDA margin improved to approximately 21.7% from 20.9% in the year-ago quarter. Specialty Engineered Materials generated sales of $343.9 million, up 4.3% from $329.7 million a year earlier. Segment EBITDA climbed 21.1% to $75.8 million from $62.6 million. EBITDA margin expanded to approximately 22% from 19%, indicating significant profitability improvement in the segment. Avient ended the second quarter with cash and cash equivalents of $425.6 million. Total debt was approximately $1.88 billion. For the first six months of 2026, net cash provided by operating activities was $59.3 million. Capital expenditures were $41.3 million. Management expects cash generation to support both growth investments and further balance-sheet improvement. Avient raised its full-year 2026 adjusted earnings guidance to $3.10-$3.25 per share from the previous range of $2.93-$3.17. The revised range implies adjusted earnings growth of 10-15% over 2025. Management cited year-to-date performance and visibility into third-quarter demand in raising its expectations. The company also increased its full-year adjusted EBITDA guidance to $575-$603 million. AVNT expects to repay $100-$150 million of debt during 2026, including the $50 million repaid in the second quarter. Management remains focused on targeted investments in prioritized growth portfolios while pursuing continued earnings growth and balance-sheet improvement. Shares of Avient have gained 25.5% in the past year against the 4.3% growth in the industry. Image Source: Zacks Investment Research AVNT currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Ashland Inc.’s ASH adjusted earnings were $1.02 per share for the fiscal third quarter, down around 2% from the year-ago quarter’s figure of $1.04. The bottom line missed the Zacks Consensus Estimate of $1.03. For fiscal 2026, Ashland reaffirmed sales guidance of $1.835-$1.870 billion and adjusted EBITDA outlook of $385-$400 million. Huntsman Corporation HUN posted break-even earnings per share on an adjusted basis for the second quarter compared with a loss of 20 cents in the year-ago quarter. The Zacks Consensus Estimate of earnings was pegged at 6 cents per share. HUN expects to remain focused on additional price increases and cost-reduction initiatives to offset rising and volatile energy and crude oil-related costs, particularly in Europe. Olin Corporation’s OLN second-quarter adjusted earnings were 7 cents per share, in line with the Zacks Consensus Estimate. For the third quarter, Olin expects adjusted EBITDA in the range of $160 million to $200 million. OLN expects its Chemical businesses’ results to be comparable with second-quarter levels as lower operating rates at the Freeport vinyl chloride monomer facility and weaker ethylene dichloride pricing offset anticipated stronger caustic soda volumes. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Avient Corporation (AVNT) : Free Stock Analysis Report Ashland Inc. (ASH) : Free Stock Analysis Report Huntsman Corporation (HUN) : Free Stock Analysis Report Olin Corporation (OLN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Tronox Holdings plc TROX posted an adjusted loss of 51 cents per share for the second quarter of 2026, wider than the year-ago loss of 28 cents. The loss was also wider than the Zacks Consensus Estimate of a loss of 39 cents. Revenues increased 19% year over year to $868 million and beat the consensus estimate of $848.8 million by 2.2%. Higher titanium dioxide (TiO2) and zircon volumes drove sales growth, although elevated production, freight and other costs weighed on profitability. Tronox Holdings PLC price-consensus-eps-surprise-chart | Tronox Holdings PLC Quote TiO2 sales were $700 million in the reported quarter, up 19% year over year. TiO2 sales volumes increased 18%, while average selling prices, including mix, were flat and currency contributed 1%. Sequentially, TiO2 sales rose 14% as volumes increased 9% and price/mix improved 5%. Zircon sales increased 43% year over year to $97 million. Sales volumes surged 61%, more than offsetting an 18% decline in average selling prices, including mix. Sequentially, zircon revenues increased 9%, supported by a 4% volume increase and a 5% improvement in price/mix. Cash and cash equivalents were $194 million as of June 30, 2026. Total debt stood at $3.2 billion, while net debt was $3 billion. Cash provided by operating activities was $105 million in the second quarter. Capital expenditures totaled $45 million, resulting in positive free cash flow of $60 million. For the third quarter of 2026, Tronox expects TiO2 volumes to decline sequentially in the mid-single-digit percentage range, consistent with normal seasonal patterns. Zircon volumes are expected to moderate slightly because of inventory availability after a strong first half. TiO2 pricing is projected to rise sequentially in the mid-single-digit percentage range, while zircon pricing is expected to increase in the mid- to high-single-digit range. Management forecasts adjusted EBITDA of $95-$115 million, with margins improving sequentially as pricing actions and higher operating rates provide support. Elevated input costs stemming from Middle East volatility are expected to partly offset these benefits. Free cash flow is expected to be relatively neutral in the third quarter, while Tronox continues to target meaningful positive free cash flow for full-year 2026. Looking further ahead, the company expects the definitive feasibility study for its rare-earths cracking and leaching facility to conclude by the third quarter of 2027. Shares of Tronox have risen 70.9% in the past year compared with the industry’s 4.8% growth. Image Source: Zacks Investment Research TROX currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Ashland Inc.’s ASH adjusted earnings were $1.02 per share for the fiscal third quarter, down around 2% from the year-ago quarter’s figure of $1.04. The bottom line missed the Zacks Consensus Estimate of $1.03. For fiscal 2026, Ashland reaffirmed sales guidance of $1.835-$1.870 billion and adjusted EBITDA outlook of $385-$400 million. Huntsman Corporation HUN posted break-even earnings per share on an adjusted basis for the second quarter compared with a loss of 20 cents in the year-ago quarter. The Zacks Consensus Estimate of earnings was pegged at 6 cents per share. HUN expects to remain focused on additional price increases and cost-reduction initiatives to offset rising and volatile energy and crude oil-related costs, particularly in Europe. Olin Corporation’s OLN second-quarter adjusted earnings were 7 cents per share, in line with the Zacks Consensus Estimate. For the third quarter, Olin expects adjusted EBITDA in the range of $160 million to $200 million. OLN expects its Chemical businesses’ results to be comparable with second-quarter levels as lower operating rates at the Freeport vinyl chloride monomer facility and weaker ethylene dichloride pricing offset anticipated stronger caustic soda volumes. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tronox Holdings PLC (TROX) : Free Stock Analysis Report Ashland Inc. (ASH) : Free Stock Analysis Report Huntsman Corporation (HUN) : Free Stock Analysis Report Olin Corporation (OLN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Koppers Holdings Inc. KOP posted adjusted earnings of $1.37 per share for the second quarter of 2026, down 7.4% year over year but above the Zacks Consensus Estimate of $1.12. On a reported basis, Koppers posted a net loss of $147.5 million, or $7.71 per share, compared with net income of $16.4 million, or 81 cents per share, a year earlier. The reported quarter included $215.8 million of impairment, restructuring and plant closure costs.Revenues rose 3% to $520.1 million and beat the consensus mark of $506.1 million by 2.8%.The quarter benefited from strong Performance Chemicals (PC) segment volumes and higher domestic utility pole volumes. PC volumes increased 11%, while domestic utility pole volumes rose 16%, helping offset pricing pressure and higher costs elsewhere in the portfolio.Adjusted EBITDA totaled $71 million, down 7.9% from $77.1 million. Higher raw material costs, unfavorable pricing in the Railroad and Utility Products and Services (RUPS) unit, higher freight and legal costs, and the impact of 2025 divestitures were partly offset by lower operating costs and improved throughput from network optimization efforts. Koppers Holdings Inc. price-consensus-eps-surprise-chart | Koppers Holdings Inc. Quote PC sales increased 11.5% year over year to $168.2 million. Adjusted EBITDA advanced 31.4% to $37.7 million, while the segment margin expanded to 22.4% from 19%.Higher sales volumes and $1.3 million of lower raw material costs drove the improvement. The raw material benefit reflected gains from Koppers' copper-hedging program, net of higher scrap copper costs, while increased logistics expenses partly offset the upside.RUPS sales fell 1.8% year over year to $245.9 million. Adjusted EBITDA declined 18.7% to $25.7 million, with margin contracting to 10.5% from 12.6%. Lower prices, unfavorable mix, higher raw material costs and weaker maintenance-of-way activity weighed on profitability.Carbon Materials and Chemicals sales rose 2.3% to $106 million, supported by higher carbon black feedstock volume and pricing and higher carbon pitch volume. Still, adjusted EBITDA dropped 54.8% to $7.6 million as higher raw material, operating and selling, general and administrative expenses offset sales gains and cost savings from the Stickney facility actions. For the first six months of 2026, operating cash flow reached a record $96.3 million, up from $27.8 million a year earlier. Free cash flow was also a record at $72.6 million versus $1.4 million, after capital expenditures of $23.7 million.Long-term debt declined to $892.7 million as of June 30, 2026, from $914.3 million at year-end 2025. Cash and cash equivalents were $40.7 million compared with $38 million. Koppers returned $47.4 million to shareholders through share repurchases and quarterly dividends in the first half, up from $32.4 million a year earlier. Koppers maintained its 2026 sales forecast at $1.9-$2 billion but narrowed adjusted EBITDA guidance to $240-$250 million from the prior view of $240-$260 million. Adjusted earnings guidance was revised to $3.80-$4.20 per share from $3.80-$4.60.The company expects the challenging margin environment to persist through the rest of 2026, with input costs and freight remaining headwinds. Operating cash flow guidance remains $165-$185 million, free cash flow is projected at $110-$130 million and capital expenditures are expected to be $55 million. Shares of Koppers have rallied 70.4% in the past year compared with the Zacks Chemicals Diversified industry’s 6.8% growth. Image Source: Zacks Investment Research KOP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Ashland Inc.’s ASH adjusted earnings were $1.02 per share for the fiscal third quarter, down around 2% from the year-ago quarter figure of $1.04. The bottom line missed the Zacks Consensus Estimate of $1.03. For fiscal 2026, Ashland reaffirmed sales guidance of $1.835-$1.870 billion and adjusted EBITDA outlook of $385-$400 million. Huntsman Corporation HUN posted break-even earnings per share on an adjusted basis for the second quarter compared with a loss of 20 cents in the year-ago quarter. The Zacks Consensus Estimate of earnings was pegged at 6 cents per share. HUN expects to remain focused on additional price increases and cost-reduction initiatives to offset rising and volatile energy and crude oil-related costs, particularly in Europe. Olin Corporation’s OLN second-quarter adjusted earnings were 7 cents per share, in line with the Zacks Consensus Estimate. For the third quarter, Olin expects adjusted EBITDA in the range of $160 million to $200 million. OLN expects its Chemical businesses’ results to be comparable with second-quarter levels as lower operating rates at the Freeport vinyl chloride monomer facility and weaker ethylene dichloride pricing offset anticipated stronger caustic soda volumes. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Koppers Holdings Inc. (KOP) : Free Stock Analysis Report Ashland Inc. (ASH) : Free Stock Analysis Report Huntsman Corporation (HUN) : Free Stock Analysis Report Olin Corporation (OLN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Friday, July 31, 2026 at 9:00 a.m. ET Director of Investor Relations - Steve A. Keenan President and Chief Executive Officer - Kenneth Todd Lane Chief Financial Officer - Todd A. Slater Operator: Good morning. And welcome to Olin Corporation's Second Quarter 26 Earnings Conference Call. To withdraw your question, Please note this event is being recorded. I would now like to turn the conference over to Steve A. Keenan, Olin's Director of Investor Relations. Please go ahead, Steve. Steve A. Keenan: Thank you, operator. Good morning, everyone. We appreciate you joining us today. Review Olin's second quarter 2026 results. Please keep in mind that today's discussion, together with the associated slides, as well as the question and answer session that follows will include statements regarding estimates or expectations of future performance. Please note these are forward looking statements, and that Olin's actual results could differ materially from those projected. Some of the factors that could cause actual results to differ from our projections are described without limitations in the risk factors section of our most recent Form 10-Ks and in yesterday's second quarter earnings press release. A copy of today's transcript and slides will be available on our website in the Investors section under Past Events. Our earnings press release and related financial data and information are available under press releases. With me this morning are Kenneth Todd Lane, Olin's president and CEO and Todd A. Slater, Olin's CFO. We will start with some prepared remarks, then we will look forward to taking your questions. Let me now turn the call over to Olin's President and CEO, Kenneth Todd Lane. Kenneth Todd Lane: Thank you, Steve, and thanks to everyone for joining us today. We appreciate your interest in Olin and taking the time to join us on such a busy morning. Let's begin with some highlights from the second quarter on slide 3. On June 16, we were very pleased to announce our planned merger with Huntsman. Bringing together 2 highly complementary businesses, to create a world scale vertically integrated North American focused chemical leader with more than $12 billion in sales. Second quarter also saw the conflict involving Frank disrupt chemical supply chains and increase prices. Markets rebalanced as the quarter progressed although significant uncertainty remains. Caustic soda and EDC export pricing was a second quarter bright spot reflecting the supply chain disruptions at the beginning of the quarter. This was partially offset by an unplanned VCM shutdown at our Freeport, Texas facility. Epoxy also achieved higher pricing across all products during the second quarter as hydrocarbon feedstock costs rose and availability tightened. Epoxy demand remained weak in Europe, but the US saw moderate seasonal demand improvement in the quarter. Winchester's commercial ammunition recovery continues as year over year demand improves and our pricing initiatives to offset rising metals costs start to gain traction. Domestic and international military sales continue to show strength. Against the backdrop of weak demand, and volatile global events, Olin's self help efforts remain top of mind. Our value first commercial approach continues to preserve ECU values while our Beyond250 initiative is delivering structural cost reductions. Now let's turn to slide 4 for an update on our recently announced merger with Huntsman which creates a $12 billion vertically integrated cost advantage North American chemicals leader. Since announcing the transaction, we made significant progress in a short period of time. We filed our definitive proxy on July 13, and Olin shareholders have already begun casting their votes as we approach the August 25 special shareholder meeting. Todd and I have spent recent weeks on the road with the Huntsman management team meeting with both Olin and Huntsman shareholders. Listening to feedback, and discussing our value creation thesis, The response has been very supportive and reinforces our excitement about the deal. In the third quarter, we will begin pre closing integration planning led by Todd. This is a very important first step toward realizing the $400 million of synergies quickly following the close. Which we continue to expect in the first half of 2027. Now let's turn to slide 5 for a closer look at our chlor alkali products and vinyls second quarter performance. Early in the quarter, the Frank conflict drove supply chain interruptions and dramatically higher feedstock and energy costs. Resulting in higher prices for many products. As supply chains rebalanced during the quarter, export pricing for both EDC and caustic soda trended lower but remained above pre conflict levels. These export price trends will offset stronger domestic caustic pricing in the third quarter. We expect product availability to tighten in the fourth quarter driven by persistently higher feedstock and energy costs as well as several planned industry shutdowns. As discussed on our Q1 earnings call, we had an unplanned outage in early May at our Freeport, Texas DCM plant. While the outage was disappointing, it was an isolated equipment issue that we have addressed. We were able to restart the plant by mid May but BCM will be running at reduced operating rates through the third quarter while we complete final repairs. This outage resulted in a $40 million penalty to second quarter adjusted EBITDA and will have an estimated $20 million impact on the third quarter. Second quarter merchant chlorine sales improved seasonally. Supported by stronger water treatment, refrigerant, and other derivative demand. During the third quarter, several planned chlorine customer shutdowns will reduce volumes, but chlorine pricing remains stable. Finally, we continue to make very good progress on our Beyond250 structural cost savings initiatives. And we are on track to deliver on our commitments. Turning to slide 6, let's review our EPOXI results. During the second quarter, our epoxy business posted its best results in more than 3 years. As the Frank conflict unfolded, our epoxy team implemented price increases to offset rising raw material and transportation costs. Security of supply became paramount to customers. Supporting Olin's strategy to grow our epoxy participation in both The US and Europe. During the second quarter, US epoxy resin demand experienced moderate seasonal improvement while European demand remained flat. Our epoxy cost initiatives continue to pay off. Between our new Stade, Germany supply agreements and our Guarulhos, Brazil plant closure we have reduced epoxy structural costs by more than $50 million per year. These actions in combination with our commercial strategy for increased participation have returned this business to positive earnings. Now let's take a look at Winchester on slide 7. Monthly out the door commercial ammunition sales have improved year over year. As consumer demand strengthens. Winchester continues to increase prices to offset rising raw material costs. Particularly copper and brass. Both of these have resulted in year over year improvement to adjusted EBITDA. Winchester is continuing its disciplined approach to working capital and inventory management as we see our commercial backlog growth. The third quarter is typically our strongest for commercial ammunition demand due to the fall hunting season. And we expect that to drive sequential earnings improvement. Domestic and international military ammunition and project sales, continue to be strong. I will now turn the call over to Todd for a look at our financial highlights. Todd A. Slater: Thanks, Kenneth. I will now walk through our cash flow liquidity position and overall financial foundation. Our top priority remains generating strong cash flow preserving liquidity, and maintaining flexibility through the cycle. We ended the quarter with 1.2 billion of available liquidity including the undrawn capacity under our revolving credit facility. Our debt profile remains well structured with no bond maturities before 2029. During the first half of 2026, working capital increased by $183 million reflecting our normal seasonal build which we expect to liquidate in the second half of the year. The increase also included $93 million of payments against previously accrued reserves related to the resolution of the legacy Shintech litigation matters. We expect to pay the remaining $100 million during the second half of 26. As a result of these litigation related cash payments, we expect to end the year with year over year increase in outstanding debt. And a leverage ratio of approximately 4.5 times. As we further strengthen our financial resilience, any excess cash flow will be used to reduce our outstanding debt. Our capital allocation priorities also remain consistent and disciplined. First, we continue to target 2026 capital spending of approximately $200 million with investments focused on the safe, reliable, and efficient operation of our assets. Second, we expect to continue our long history of uninterrupted quarterly dividend payments. Third, excluding approximately a $195 million of cash payments to resolve legacy litigation matters I just discussed. We expect working capital to be essentially flat for the full year 2026. And finally, we continue to expect 2026 to be a cash free tax year. Plus or minus approximately $20 million. Within Beyond250, we are expanding our focus on people and process improvements and remain on track to deliver more than $100 million of incremental structural cost savings in 2026. In addition, based on the progress we are seeing across the organization, we are increasingly confident we will exceed our $250 million target. by 2028. In summary, our teams remain focused on cash generation, cost discipline, and execution of Beyond250. Our strong financial foundation enables Olin to continue executing our value first commercial approach. While maintaining disciplined capital allocation a prudent capital structure, and resilient cash flows. With that, Kenneth, I will turn the call back to you. Kenneth Todd Lane: Thank you, Todd. I will finish up with slide 9 and our outlook for the third quarter. We expect stronger domestic caustic soda pricing. Export volumes for both caustic soda and EDC should improve but will largely be offset by lower export pricing. In epoxy, stable volumes and an improved mix are expected to benefit third quarter results. However, this will be more than offset by higher European FIFO costs. Winchester third quarter results are expected to improve driven by higher commercial volumes and pricing. Partially offset by higher metals costs. We will continue to remain focused on working capital Against the backdrop of continued global uncertainty, we expect Chemicals adjusted EBITDA to be relatively flat in the third quarter. We do expect a modest earnings improvement at Winchester, although corporate costs are expected to be a sequential headwind. Overall, adjusted EBITDA should again be in the range of $100 million to $200 million. Stepping back, we remain confident in the long term outlook for our business. Chlor-alkali continues to benefit from an attractive supply demand outlook relative to other commodity chemical value chains. Supported by recent industry capacity closures, and limited new capacity additions globally. As the industry leader in chlor-alkali, we are very well positioned to benefit from these favorable dynamics. Our epoxy business has returned to profitability and continues to improve. At Winchester, self help actions taken in late 2025, disciplined cost and working capital management, and a recovering commercial ammunition market continue to support improved performance. Across Olin, we are making good progress on our priorities. Delivering record safety performance in 2026, streamlining work processes, creating new reliability road maps, and adding resources to support execution. Leveraging digital tools and AI across our plants to quickly identify inefficiencies. Reduce costs, and improve asset reliability. Finally, we are reinforcing accountability by aligning our short term incentive program with site level safety, reliability, and cost performance targets. Further strengthening our performance driven culture. Operator, we are now ready to begin the Q&A. Operator: Thank you. We will now begin the question and answer session. To ask a question, you may press *, then 1 on your touch tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. At this time, we will pause momentarily to assemble the roster. First question will come from Frank Mitsch with Fermium Research. Please go ahead. Eva: Hi, guys. Good morning. This is Eva on for Frank. My first question was around the Frank and, you know, where would you say this has been the biggest impact within Olin And if the war were to drag on for a few more months, what are the implications for the company? Kenneth Todd Lane: Good morning, Eva. Good to hear your voice. Well, listen, the biggest impact really we felt in the second quarter, that is when we saw prices and concern around supply disruptions really ramp up early in the quarter. But as we said in the prepared comments, you know, we saw we saw that abate as we went through the quarter. Going forward, as markets have rebalanced, what we do expect is just globally costs have risen. You know, for folks especially producing outside of The US. That is going to put maybe a higher floor under prices as we go forward. You know, we recognize that there is some softness in some of the export pricing for EDC and caustic today. A lot of that is just digesting the volume that was produced when everybody saw that peak in pricing all of a sudden, you know, even the producers that were not making any money, you know, some that were even cash negative before prices ran up. Saw an opportunity to be able to produce and move some product. that is going to be digested here in the third quarter. And then and then as I said, I think things will start to tighten up more in the fourth quarter. there is a lot of capacity that is going to be down Demand continues to be stable. We are not seeing any erosion in demand. So I think we saw the run up in Q2. We are going to see things kind of normalize in Q3 at a higher cost level. And, you know, that should benefit us in the fourth quarter. Operator: The next question will come from Hassan Ahmed with Alembic Global. Please go ahead. Hassan Ahmed: Good morning, Kenneth and Todd. I wanted to sort of revisit the same a little differently. Trying to get a clearer view on nearer term supply demand dynamics, for chlorovinyls. First of all, would love to hear your views about, you know, the return of capacity across The Middle East as and when the conflict does end. You know? And then above and beyond that, obviously, we have seen, you know, a reescalation in price of natural gas in Europe. So would love to hear your views around, rationalization out there. And then on the demand side of it, you know, across a variety of chemical chains, it seems that, particularly in Asia, we saw a fair amount of inventory destocking. So could we potentially, over the next couple of quarters, expect on the demand side of things, a restocking cycle as well? Kenneth Todd Lane: Good morning, Hassan. Well, that is a lot of questions you put in there. So I am I tried to take some notes, and I will try to get to all of them. So listen. I again, in terms of short term, supply demand implications, we saw a run up in Q2. So looking backwards, we did see a run up in chlor alkali and PVC Operating rates in Q2. Yes. You did see a lot of the Asian ethylene based producers cut back Carbide ramped up. Even Europe ramped up and had a spike in operating rates in Q2. But we have seen those reverse. So like I said, there is a bit of a you know, we had this lump in Q2 of production. Now people have cut back on operating rates, and that is gonna start to filter through into the market as we go through the third and the fourth quarter. I am not as much worried about what is happening in terms of the return of capacity in The Middle East. That is much less of a concern for me. I think the reality of it is it is it is hard to put this genie back in the bottle, I am not sure exactly when things are going to settle down there. So that is less of a concern. I think the thing that we are going to watch is going to continue to be around what is happening in primarily in China. And what are they doing with their assets. We have seen operating rates in China already reduced in the third quarter. And again, it takes a little bit of time for that to filter through and into the supply demand balances, but it will. And that combined with some outages that we see particularly coming up here in North America, should be constructive for supply demand as we finish out the year. Going back to Europe, you know, Europe, again, we did see a run up in operating rates there. But you saw that come back as prices began to normalize and the fear of not being able to get product sort of waned, I would say. And your final point there around destocking, is 1 that is going to be really important to watch. Because I do think the buying pattern that we have seen from customers is initially, yes, they were trying to buy to be ahead of any disruptions. But now I think what you see is the behavior is they are going to consume their inventory because they are hoping that prices or costs will come down in the future. So, yes, that is certainly a situation that could change here. That all of a sudden people do need to restock and demand the apparent demand may improve. But I just want to reiterate, underlying housing, underlying automotive demand is still it is stable, but it is not recovering yet. So all of these dynamics are very volatile. They are hard to predict. And, frankly, that is why we gave a pretty wide range for the third quarter outlook that we did. Operator: The next question will come from Gabe Hajde with Wells Fargo. Please go ahead. Gabe: Good morning, Kenneth. Steve, Todd. Thanks for taking the question. I wanted to ask about kind of the 4.5x leverage target at the end of the year. and you have kind of given us some building blocks, Todd. I think about the normal I look at the model, $200 million, give or take, on working capital release. And a $100 million payment So I am kind of getting that debt maybe at $27.50 by the end of the year, which would kind of imply a full year EBITDA of 6.10 And then I am trying to kind of juxtapose that, I guess, with some comments that you are making, Kenneth, about improved dynamics in the fourth quarter for the chlor alkali business. Thank you. Kenneth Todd Lane: Good morning, Gabe. Thanks for joining. I will start, then I will let Todd add to it. You know, first, I just wanna emphasize that, you know, as we have been saying over the course of the second quarter and as we talked about our merger with Huntsman, even for Olin deleveraging is going to be a priority. And that is something that we will be very focused on The teams here are extremely focused on cash generation and reducing working capital and managing that very carefully. You know, I think you have you have gotta you have gotta realize that there is a lot of volatility in the world around things that are going on with the geopolitical environment that we are in. And that is not going to change. Anytime soon as I just as I just mentioned. So we saw the run up in Q2, which was very beneficial for us. You saw that in our results. We are going to see a little bit of give back here in the third quarter as prices, especially in the export markets, reflect some of the pullback in terms of the cost and the results of customers again maybe trying to buy ahead a little bit of a lot of uncertainty. I think people are getting more comfortable living in an uncertain world for what that is worth. But what will not change is that there is going to be outages that are occurring. And if you think back to the end of last year, we were already in an environment where industry rationalization of capacity you know, relatively good demand. Yes. it is not it is not it is not growing right now, but it is stable. So in the face of all that, we were seeing things begin to improve already. And I think that is what I am saying is you are going to get back to a more stable environment that reflects what we saw you know, kind of late Q1 and even In the latter part of Q2. But that you know, that spike that we saw in Q2 is going to be an anomaly here as things try to find a more balanced way forward in a very uncertain world. But, Todd, I will let you talk to the balance sheet. Todd A. Slater: No problem. Yeah. Gabe, thanks for the question. As we you know, we, obviously, do not provide an annual EBITDA outlook, but we do expect net debt to increase year over year, you know, from year-end 2025 to year-end 2026. As I said, driven by you know, the you know, roughly $195 million of you know, legacy litigation payments that we are going to be obligated to make here in 2026. And you know, so we would expect to end the year in that 4.5, you know, times range on leverage. I just wanna remind everyone on the call you know, about cash flow. When you think about our trailing 12-month you know, adjusted EBITDA here at the end of June is roughly $5.70. And know, when you look at that number, Olin generated roughly a $100 million of levered free cash flow. In the last trailing 4 quarters. Even at those levels of adjusted EBITDA. That cash flow has really been utilized to you know, repay legacy litigation matters. But and you know, and that when I talk about levered free cash flow, that is after paying the dividend. Funding all of our capital spending, paying all our interest, all our you know, capital allocation priorities. So Olin, you know, does generate cash flow at you know, you know, very low levels of earnings. Which is, I think, a distinction among many of our commodity chemical peers. Operator: The next question will come from Josh Spector with UBS. Please go ahead. Chris Perrell: Good morning. This is Chris Peretti on for Josh. Kenneth, for the CAB business, with the VCM fixed in place, expect to get that $20 million back in the fourth quarter And then for epoxy, how large is that FIFO headwind in the third quarter And is pricing elevated enough to offset increasing raw materials, or do you need another round to you know, kind of keep things where they are? Kenneth Todd Lane: Hi. Good morning, Chris. Yes. So listen, as we get the VCM asset back to full capacity at the end of the quarter here, we do expect to see recovery of that in the fourth quarter. All that is going well at this point. So, Todd, you wanna take the second part of that question? Todd A. Slater: Yeah. Sure. No problem. You know, epoxy has announced price increases here in the third quarter, you know, commensurate with increased hydrocarbon and raw material costs that they have seen most recently by you know, the most recent you know, escalation of the conflict in The Middle East. And know, we would expect you know, it net to be a headwind on FIFO between Q2 and Q3. But we clearly expect epoxy to continue to generate positive EBITDA for the third quarter. Operator: The next question will come from Matthew DeYoe with Bank of America. Please go ahead. Hakim Saffo: Good morning, guys. This is Hakim Saffo on for Matthew DeYoe. You guys mentioned that U. S. Epoxy resin demand experienced seasonal improvement. Was the main driver you expected to continue into Q3? And then in Europe, what needs to happen for demand to improve is just more construction and industrial demand? Thank you. Kenneth Todd Lane: Hakim, good morning. Yeah. Listen. We did see some and we would say moderate was purposeful because we did see the normal level of seasonal improvement even in The US But, you know, you still do have a construction season in The US that drives things like coatings and that sort of thing. In Europe, we have not seen that improvement. We have seen really a flattish market in Q2. And normally, you would see some seasonal improvement Yes. You are going to need to see some improvement in housing and industrial demand in Europe before you see that. But I think you are going to continue to see head headwinds there because you have got higher energy costs that are now starting to impact you know, not just the cost of our production, but the cost of everyone else that are producing things in Europe. And I do not see anything in the short term that is gonna sort that out. You know, they are their policies in Europe continue to be ones that are going to constrain economic growth and expansion. And so the things that we are doing, like reducing our cost structure, is going to continue to be extremely important. We are not counting on the market to help us in Europe anytime soon. Operator: The next question will come from Arun Viswanathan with RBC Capital Markets. Please go ahead. Adam: Hi. This is Adam on for Arun. Have you guys broken out how much the FIFO benefit was that you called out for epoxy? I know it is improving but, you know, given that kind of reversal of that benefit next quarter, do you expect overall segment earnings to improve Or should they kind of be more in line with where they were this quarter? Todd A. Slater: Yeah. Thanks. I appreciate the question. We as maybe I will start with the second part. As we think about Chemicals earnings, we would expect Chemicals earnings you know, to be sequentially similar between Q3 and Q2. We would expect epoxy to be slightly lower in the third quarter compared to Q2 with chlor alkali better. You know, because obviously the you know? So as we think about that, epoxy being slightly lower will be driven by a lower this, the lower benefit from FIFO. And, in effect, a higher raw material cost running through the epoxy p and l. We have not quantified a specific number associated with that. But that is how you should think about You know, sequentially Q3 versus Q2. Operator: The next question will come from Matthew Blair with TPH. Please go ahead. Matthew Blair: Thanks and good morning. Slide 15 shows that chlorine prices fell in Q2. Even though most of the chlorine derivatives moved up in price, you know, things like PVC and EDC. I think you also mentioned that your merchant chlorine sales were pretty strong. in Q2. So could you just help us understand this dynamic? And you know, what caused chlorine to come down? Was it I guess, mostly a supply driven response. And then finally, I just wanted to confirm, I think you said you expect chlorine prices to be relatively stable, relatively flat in the third quarter. Thank you. Kenneth Todd Lane: Good morning, Matthew. Yes. You are correct. We do expect that to be the case. And you know, you realize that for the chlorine pricing, you are talking about you know, very small movements on an illiquid market. So it is it is frankly not very material to look just at the chlorine price by itself. that is why we published that PCI. it is more important to look at what the ECU with the derivatives is doing across the portfolio I will just be honest with you. The chlorine price by itself is not something to look at. And pay a whole lot of attention to. It is it is just a reflection of what you see printed in the publications, which have got a lot of I would say, do not have a lot of transparency with them. So but going forward, we expect to see that stable. Operator: The next question will come from John Roberts with Mizuho. Please go ahead. Saurabh Deere: Hi. Good morning. This is Saurabh Deshpande on for John Roberts. For taking my question. I just want to start with the Winchester. You said there is less import competition on the commercial side. Is that related to the wars outside The US, or metal cost or something else that is reducing the competition? Operator: Thanks for your question. Kenneth Todd Lane: Good morning. Yeah. So the lower imports are related to tariffs. So if you look at the tariffs that have been placed on imported ammunition, you know, it is it has fluctuated a little bit, but it is now 20% In some cases, a little bit higher than that. So we continue to see that being a tailwind for the commercial business for Winchester. You know, we have we have faced a lot of headwinds related to the tariffs around copper and brass And so we have been, you know, having to fight that with our price increases But it is now good to see that the imports are getting tariffs that are going to help give us a little bit of support here. Operator: The next question will come from Peter Osterland with Truist Securities. Please go ahead. Alec: Hi. This is Alec on for Peter. Going forward, what have you guys achieved so far regarding the $30 million of cost outs in Winchester? And what remaining buckets are you targeting? If military and commercial are improving, does the cost outlook change? Kenneth Todd Lane: Good morning, Alec. So, you know, we are doing very well in Winchester with our cost outs. We have already recognized a pretty significant part of that $30 million that we have committed to through efficiency improvements, You heard us talk about in the fourth quarter of last year, we were doing things to right size our shifts, and make sure that we were operating as efficiently as we could at all of our sites. And we have made a lot of very good progress there. We have also just kicked off here in the third quarter our Beyond250 efforts where we are bringing in some outside expertise to help further improve the efficiencies, particularly at the Lake City facility in Missouri. And, you know, we are confident in the $30 million that we have out there. In fact, I would even say that for Winchester, we are likely to exceed that number once we get a little bit further down the road with assessing where we are at in Lake City. Operator: The next question will come from Roger Spitz with Bank of America. Please go ahead. Roger Spitz: Thanks very much. The Shintech $100 million payment, is on that Slide 14 or is that in addition? I just was not clear on that. Kenneth Todd Lane: Good morning, Roger. Todd, you wanna take that? Todd A. Slater: Yep. Roger, you know, the $100 million payment on slide 14, we have the $100 million is not on slide 14. Slide 14 is your full year modeling assumptions. However, in our outlook expectations for net debt to increase for the full year over year. That does include a $100 million payment in the back half of 2026. Operator: As there are no further questions, this concludes our question and answer session. Would like to turn the conference back over to Kenneth Todd Lane for closing comments. Kenneth Todd Lane: Thank you, Nick. I just want to thank everyone for joining us. and thank you for your interest in Olin. I wish you all a very safe and relaxing weekend. Operator: Frank you for attending today's presentation. You may now disconnect. Before you buy stock in Olin, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Olin wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $397,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,344,091!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 7, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Olin (OLN) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Olin Corporation OLN reported second-quarter net loss of $13.3 million, or 12 cents per share, compared with a loss of $1.3 million, or 1 cent, a year ago. Barring one-time items, adjusted earnings were 7 cents per share, in line with the Zacks Consensus Estimate. Revenues declined 0.9% year over year to $1,741.9 million but beat the consensus estimate of $1,719.6 million by 1.3%. Adjusted EBITDA rose 8.6% to $191.3 million, supported by improved chemical pricing and stronger Epoxy and Winchester performance. Olin Corporation price-consensus-eps-surprise-chart | Olin Corporation Quote Chlor Alkali Products and Vinyls sales were $819.5 million in the second quarter, down 16.3% year over year from $979.5 million. The reported figure missed the consensus estimate of $885 million. The decline primarily resulted from lower trading volumes associated with Blue Water Alliance and reduced vinyl chloride monomer volumes. The Blue Water Alliance joint venture concluded operations at the end of 2025. Segment earnings declined to $53.4 million from $64.9 million, with operating issues at the Freeport, TX, vinyl chloride monomer plant hurting results by $40.1 million. Epoxy sales increased 27.4% year over year to $422.1 million from $331.2 million, driven by higher volumes and improved pricing. The metric beat the consensus estimate of $376 million.  Segment earnings improved to $16 million from a year-ago loss of $23.7 million, reflecting higher volumes, improved product margins and lower operating costs. Higher selling prices supported margins, partly offset by elevated benzene and propylene costs. Winchester sales rose 11.8% year over year to $500.3 million from $447.6 million. It outpaced the consensus estimate of $494 million. Growth was mainly driven by higher commercial ammunition sales and increased military project revenues. Segment earnings increased to $28.1 million from $25 million as higher commercial ammunition pricing and volumes and military project revenues more than offset higher commodity metal and operating costs. Olin ended the second quarter with cash and cash equivalents of $177.4 million. Net debt was $2.85 billion. Net cash used in operating activities was $40.7 million during the first six months of 2026. Dividends paid totaled $45.6 million for the period. No common stock repurchases and retirements were recorded in the first half of 2026. For the third quarter of 2026, Olin expects adjusted EBITDA in the range of $160 million to $200 million. The company expects its Chemical businesses’ results to be comparable with second-quarter levels as lower operating rates at the Freeport vinyl chloride monomer facility and weaker ethylene dichloride pricing offset anticipated stronger caustic soda volumes. The Freeport disruption is expected to reduce third-quarter adjusted EBITDA by roughly $20 million, with full operating rates planned to resume late in the quarter. In Winchester, seasonally improving commercial demand is expected to support sequential earnings growth. Beyond 2026, the company expects the proposed Huntsman merger to close in the first half of 2027, subject to the required approvals and closing conditions. Shares of Olin have lost 1% in the past year against 6.1% rise of the industry. Image Source: Zacks Investment Research OLN currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks are Neo Performance Materials Inc. NOPMF, CECO Environmental Corp. CECO and Applied Industrial Technologies, Inc. AIT Neo Performance is slated to report second-quarter 2026 results on Aug. 11. The Zacks Consensus Estimate for earnings is pegged at 50 cents per share. NOPMF sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here. CECO is slated to report second-quarter 2026 results on Aug. 10. The consensus estimate for CECO’s earnings per share is pegged at 24 cents. CECO presently sports a Zacks Rank #1. Applied Industrial is scheduled to report fourth-quarter fiscal 2026 results on Aug. 13. The Zacks Consensus Estimate for AIT’s fourth-quarter earnings per share is pegged at $2.92. AIT carries a Zacks Rank #2 (Buy) at present. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Olin Corporation (OLN) : Free Stock Analysis Report Applied Industrial Technologies, Inc. (AIT) : Free Stock Analysis Report CECO Environmental Corp. (CECO) : Free Stock Analysis Report Neo Performance Materials Inc. (NOPMF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Adjusted EBITDA Guidance: Expected to be in the range of $160 million to $200 million for the third quarter. Freeport VCM Outage Impact: Resulted in a $40 million penalty to second quarter adjusted EBITDA, with an estimated $20 million impact expected in the third quarter. Epoxy Structural Cost Reductions: Reduced by more than $50 million per year through new supply agreements and plant closure. Working Capital: Increased by $183 million in the first half of 2026, reflecting seasonal build and $93 million in litigation payments. Litigation Payments: Expect to pay the remaining $100 million during the second half of 2026. Leverage Ratio: Expected to be approximately 4.5 times at year-end due to litigation-related cash payments. Capital Spending: Targeting approximately $200 million for 2026. Cash Tax: Expecting 2026 to be a cash-free tax year, plus or minus approximately $20 million. Beyond 250 Cost Savings: On track to deliver more than $100 million of incremental structural cost savings in 2026. Liquidity: Ended the quarter with $1.2 billion of available liquidity. Warning! GuruFocus has detected 6 Warning Signs with OLN. Is OLN fairly valued? Test your thesis with our free DCF calculator. Release Date: July 31, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Olin Corp (NYSE:OLN) announced a planned merger with Huntsman, creating a $12 billion vertically integrated North American chemical leader with significant synergy potential of $400 million. Second quarter saw strong caustic soda and EDC export pricing, driven by supply chain disruptions from the Iran conflict, which boosted results. Epoxy business posted its best results in more than three years, with higher pricing across all products and a return to positive earnings. Winchester's commercial ammunition recovery continues, with year-over-year demand improvement and pricing initiatives gaining traction, supported by tariffs on imports. Beyond 250 initiative is on track to deliver over $100 million in incremental structural cost savings in 2026, with confidence to exceed the $250 million target by 2028. Olin Corp (NYSE:OLN) maintains a strong financial foundation with $1.2 billion in available liquidity and no bond maturities before 2029. Olin Corp (NYSE:OLN) faced a $40 million EBITDA penalty in Q2 due to an unplanned VCM shutdown at Freeport, Texas, with an additional $20 million impact expected in Q3. Export pricing for caustic soda and EDC trended lower during the quarter, and further declines are expected in Q3, offsetting stronger domestic pricing. Epoxy demand remains weak in Europe, with no immediate improvement expected due to higher energy costs and constrained economic growth. The company expects a sequential headwind from higher European FIFO costs in Epoxy for Q3, which will offset improved volumes and mix. Olin Corp (NYSE:OLN) expects to end 2026 with a leverage ratio of approximately 4.5 times, driven by $195 million in legacy litigation payments, increasing outstanding debt year-over-year. Global uncertainty and volatile geopolitical events continue to create unpredictable market conditions, leading to a wide EBITDA guidance range for Q3. Q: What was the biggest impact of the Iran conflict on Olin, and what are the implications if the war drags on? A: Ken Lane (President and CEO) stated the biggest impact was felt in Q2 with price spikes and supply disruption concerns early in the quarter, which abated as the quarter progressed. Going forward, globally higher production costs, especially outside the US, should put a higher floor under prices. While export pricing for EDC and caustic is currently soft due to a volume glut from producers restarting, he expects markets to tighten in Q4 due to planned industry shutdowns and stable demand. Q: Can you provide a clearer view on near-term supply-demand dynamics for chlorovinyls, including the return of Middle East capacity, European rationalization, and potential Asian restocking? A: Ken Lane (President and CEO) explained that Q2 saw a spike in global operating rates, but these have since reversed. He is less concerned about Middle East capacity returning and more focused on China, where operating rates have already been reduced in Q3. He noted that European operating rates have also pulled back. On demand, he highlighted that customers are currently consuming inventory, hoping for lower future costs, but a restocking cycle could occur. He reiterated that underlying housing and automotive demand is stable but not recovering, which is why the company provided a wide Q3 outlook range. Q: Regarding the 4.5 times leverage target for year-end, can you reconcile the building blocks with the improved Q4 dynamics you mentioned? A: Ken Lane (President and CEO) emphasized that deleveraging is a top priority, especially with the Huntsman merger. He acknowledged the volatility from geopolitical events, noting the Q2 spike was an anomaly and Q3 will see some give-back in export prices. However, he reiterated that industry rationalization and stable demand will lead to a more balanced environment. Todd Slater (CFO) added that the company does not provide annual EBITDA guidance but confirmed net debt will increase year-over-year due to ~$195 million in legacy litigation payments. He highlighted that Olin generated ~$100 million of levered free cash flow in the trailing four quarters even at low EBITDA levels, distinguishing it from peers. Q: With the VCM fix in place, do you expect to recover the $20 million impact in Q4? And how large is the Epoxy FIFO headwind in Q3? A: Ken Lane (President and CEO) confirmed that the VCM asset is expected to return to full capacity at the end of Q3, with recovery expected in Q4. Todd Slater (CFO) addressed the Epoxy FIFO headwind, stating that price increases have been announced for Q3 to offset higher hydrocarbon and raw material costs. He expects the FIFO impact to be a net headwind between Q2 and Q3, but Epoxy should still generate positive EBITDA in Q3. Q: What drove the seasonal improvement in US epoxy demand, and what needs to happen for European demand to improve? A: Ken Lane (President and CEO) noted that the US saw moderate seasonal improvement driven by the construction season, particularly in coatings. In Europe, demand remained flat, and he does not expect improvement without a recovery in housing and industrial demand. He highlighted that higher energy costs in Europe are a headwind for all producers, and Olin is not counting on market recovery there, focusing instead on reducing its own cost structure. Q: Can you break out the Epoxy FIFO benefit and whether overall segment earnings will improve or be in line with Q2? A: Todd Slater (CFO) stated that Chemicals earnings are expected to be sequentially similar between Q3 and Q2. Epoxy is expected to be slightly lower in Q3 due to a lower FIFO benefit and higher raw material costs, while chlor-alkali is expected to be better. He did not quantify the specific FIFO number but provided the sequential comparison framework. Q: Why did chlorine prices fall in Q2 even though derivatives like PVC and EDC moved up, and do you expect chlorine prices to be stable in Q3? A: Ken Lane (President and CEO) explained that chlorine pricing is an illiquid market with small movements, making it not very material to look at in isolation. He emphasized that the ECU value, including derivatives, is the more important metric. He confirmed that chlorine prices are expected to remain stable in Q3. Q: Is the lower import competition in Winchester related to wars outside the US or metal costs? A: Ken Lane (President and CEO) clarified that lower imports are related to tariffs, which are now at 20% or higher on imported ammunition. This is a tailwind for the commercial business, offsetting headwinds from tariffs on copper and brass, which the company is addressing through price increases. Q: What has been achieved so far regarding the $30 million cost-outs in Winchester, and does the cost outlook change given improving military and commercial demand? A: Ken Lane (President and CEO) stated that Winchester has already recognized a significant portion of the $30 million commitment through efficiency improvements, including rightsizing shifts. The company has kicked off Beyond 250 efforts with outside expertise to improve efficiencies at the Lake City facility. He expressed confidence in the $30 million target and suggested the company is likely to exceed it. Q: Is the $100 million Shintech payment included in the modeling assumptions on Slide 14? A: Todd Slater (CFO) clarified that the $100 million payment is not on Slide 14, which contains full-year modeling assumptions. However, the outlook for net debt to increase year-over-year does include the $100 million payment in the back half of 2026. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Olin Corporation? Here are five stocks we like better. Freeport outage weighed on chemicals: An equipment issue at Olin’s Texas VCM facility reduced Q2 adjusted EBITDA by $40 million, with another $20 million impact expected in Q3. Repairs are expected to restore full capacity in Q4. Epoxy and Winchester improved: Epoxy returned to positive earnings after pricing actions and structural cost reductions exceeding $50 million annually. Winchester benefited from stronger commercial ammunition demand, pricing increases and tariffs that reduced import competition. Merger and guidance remain on track: Olin is advancing its planned Huntsman merger, targeting a first-half 2027 close and $400 million in synergies. Q3 adjusted EBITDA guidance is $160 million to $200 million, while the company expects continued cost savings and plans to prioritize debt reduction. 3 Stocks Ringing in The New Year With Large Buyback Announcements Olin (NYSE:OLN) said its second-quarter performance was shaped by supply-chain disruptions tied to the conflict involving Iran, improved epoxy pricing, a recovery in commercial ammunition demand and an unplanned outage at its Freeport, Texas, vinyl chloride monomer facility. President and CEO Ken Lane said the company’s Chlor-Alkali and Vinyls business benefited early in the quarter as disruptions lifted chemical prices and raised feedstock and energy costs globally. Export prices for caustic soda and ethylene dichloride, or EDC, later declined as supply chains rebalanced, though they remained above pre-conflict levels. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now The Top 3 Materials Stocks to Buy in November “Caustic soda and EDC export pricing was a second quarter bright spot,” Lane said, adding that the favorable pricing was partially offset by the Freeport VCM outage. The Freeport VCM plant experienced an isolated equipment issue in early May and restarted by mid-month, Lane said. However, the facility will operate at reduced rates through the third quarter while Olin completes repairs. → Microsoft Just Flipped the AI Spending Narrative Overnight The outage reduced second-quarter adjusted EBITDA by $40 million, with an additional estimated $20 million impact expected in the third quarter. Lane said Olin expects to recover that impact in the fourth quarter once the asset returns to full capacity, assuming repairs continue as planned. For the third quarter, Olin expects stronger domestic caustic soda pricing and higher export volumes for caustic soda and EDC. Those benefits are expected to be largely offset by lower export prices. The company also expects planned industry shutdowns and persistently higher feedstock and energy costs to tighten product availability in the fourth quarter. → Carrier Earnings Could Send the Stock to a New All-Time High Lane said demand in end markets including housing and automotive remains stable, though it has not yet recovered. He also cited lower operating rates in China and expected North American outages as potentially constructive for market balances later in the year. Merchant chlorine sales improved seasonally in the second quarter, helped by demand from water treatment, refrigerant and other derivative markets. Several planned customer shutdowns are expected to reduce chlorine volumes in the third quarter, while chlorine pricing is expected to remain stable. Olin’s epoxy business posted what Lane described as its best results in more than three years. The company raised prices during the quarter to address rising raw-material and transportation costs as hydrocarbon feedstocks became more expensive and less available. U.S. epoxy resin demand experienced moderate seasonal improvement, particularly in construction-related applications such as coatings, while European demand remained flat. Lane said Europe did not see its normal seasonal improvement and faces continued pressure from higher energy costs and weak housing and industrial activity. Olin said its new supply agreements in Stade, Germany, and the closure of its Guarujá, Brazil, facility have reduced annual epoxy structural costs by more than $50 million. Combined with the company’s commercial strategy, those actions returned the business to positive earnings. Chief Financial Officer Todd Slater said epoxy is expected to generate positive EBITDA again in the third quarter, though results should be slightly lower than the second quarter because of higher European first-in, first-out raw-material costs. Olin has announced price increases intended to address elevated hydrocarbon and raw-material expenses. Winchester’s commercial ammunition business continued to improve year over year as consumer demand strengthened, Lane said. The company has been raising prices to offset higher costs for copper and brass, while domestic and international military ammunition and project sales remained strong. Olin expects Winchester’s third-quarter earnings to improve sequentially, supported by the fall hunting season, higher commercial volumes and pricing. Rising metals costs are expected to partially offset those gains. Lane said imported ammunition has become less competitive because of tariffs that are now generally 20% and, in some cases, higher. He said this should remain a tailwind for Winchester’s commercial business. The company also said it has already realized a significant portion of its previously identified $30 million of Winchester cost reductions through efficiency actions and workforce-sizing efforts. Olin recently began additional Beyond 250 work at Winchester’s Lake City, Missouri, facility and said it could exceed its $30 million cost-reduction target for the business. Olin is moving forward with its planned merger with Huntsman, announced June 16. Lane said the combination would create a vertically integrated, North America-focused chemical company with more than $12 billion in sales. The company filed its definitive proxy on July 13, with a special shareholder meeting scheduled for Aug. 25. Olin expects to begin pre-closing integration planning in the third quarter and continues to target $400 million of synergies following an anticipated first-half 2027 closing. Slater said Olin ended the quarter with $1.2 billion of available liquidity, including unused revolving-credit capacity, and has no bond maturities before 2029. Working capital increased $183 million in the first half, reflecting normal seasonal needs and $93 million in payments tied to legacy Shintech litigation matters. Olin expects to pay the remaining $100 million related to those litigation matters during the second half of 2026. The company expects year-end leverage of about 4.5 times and said excess cash flow would be directed toward debt reduction. It continues to target approximately $200 million in 2026 capital spending and expects 2026 to be a cash-free-tax year, plus or minus $20 million. For the third quarter, Olin expects Chemicals adjusted EBITDA to be relatively flat, modest improvement at Winchester and a sequential headwind from corporate costs. Overall adjusted EBITDA is expected to be between $160 million and $200 million. Slater said Olin remains on track to deliver more than $100 million of incremental structural savings in 2026 under its Beyond 250 initiative and is increasingly confident it will exceed its $250 million savings target by 2028. Olin Corporation is a diversified manufacturer specializing in chemical products and ammunition. The company's core business activities encompass the production and distribution of chlor-alkali products, epoxy resins and derivatives, and small-caliber ammunition under the Winchester brand. Olin's chemical operations supply chlorine, caustic soda and related co-products to a wide range of end markets, including water treatment, pulp and paper, pharmaceuticals and general industrial applications. In its Chlor Alkali Products & Vinyls segment, Olin operates multiple manufacturing facilities that produce chlorine and sodium hydroxide, along with vinyl chloride monomer and polyvinyl chloride (PVC) compounds. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Olin Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance in Q2 was significantly influenced by the 'Frank conflict', which initially disrupted supply chains and spiked prices before markets rebalanced later in the period. The planned merger with Huntsman is the primary strategic pivot, aimed at creating a $12 billion vertically integrated North American chemical leader with $400 million in targeted synergies. Chlor-alkali results were impacted by an unplanned VCM shutdown at the Freeport facility, resulting in a $40 million EBITDA penalty due to equipment failure. Epoxy returned to profitability through a 'value first' commercial strategy and structural cost reductions, including the closure of the Guarulhos, Brazil plant. Winchester's recovery is driven by strengthening commercial ammunition demand and pricing initiatives designed to offset rising copper and brass costs. Management is reinforcing a performance-driven culture by aligning short-term incentives with site-level safety, reliability, and cost targets. The 'Beyond250' initiative is utilizing digital tools and AI to identify plant inefficiencies and deliver structural cost savings ahead of original targets. Q3 Chemicals adjusted EBITDA is expected to be relatively flat, as stronger domestic caustic pricing is offset by lower export pricing and higher European FIFO costs. The Freeport VCM plant is expected to run at reduced operating rates through Q3, with a projected $20 million residual earnings impact before returning to full capacity in Q4. Management expects product availability to tighten in Q4 due to persistently high energy costs and several planned industry-wide shutdowns. The Huntsman merger is on track for a first-half 2027 close, with pre-closing integration planning beginning in Q3 2026. Winchester anticipates sequential earnings improvement in Q3 driven by the fall hunting season, despite continued headwinds from metals pricing. Net debt is expected to increase year-over-year to a leverage ratio of approximately 4.5 times, primarily due to $195 million in legacy Shintech litigation payments. Working capital increased by $183 million in the first half of 2026, reflecting a normal seasonal build that management expects to liquidate in the second half. The company maintains a $1.2 billion liquidity position with no bond maturities occurring before 2029. Management flagged continued global uncertainty and volatile geopolitical events as primary risks to the stability of export pricing and feedstock costs. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted that while the initial price spike abated, the conflict has structurally raised global production costs, particularly for non-U.S. producers. This higher cost environment is expected to establish a higher floor for chemical prices moving forward, even as export markets digest excess Q2 volume. Customers are currently consuming inventory in hopes of future cost reductions, which may lead to a necessary restocking cycle later in the year. Underlying demand in housing and automotive sectors remains stable but has not yet shown signs of a significant recovery. European demand remains flat due to high energy costs and restrictive economic policies; management is not counting on market recovery to drive results in the region. Olin is focusing exclusively on internal cost structure improvements in Europe to maintain competitiveness. Import competition in the commercial ammunition market has lessened due to 20% tariffs, providing a tailwind for Winchester's domestic business. Management expects to exceed the $30 million cost-out target for Winchester as they apply 'Beyond250' methodologies to the Lake City facility.

Highlights Second quarter 2026 net loss of ($13.3) million, or ($0.12) per diluted share Quarterly adjusted EBITDA of $191.3 million CLAYTON, Mo., July 30, 2026 /PRNewswire/ -- Olin Corporation (NYSE: OLN) announced financial results for the second quarter ended June 30, 2026. Second quarter 2026 reported net loss was ($13.3) million, or ($0.12) per diluted share, which compares to second quarter 2025 reported net loss of ($1.3) million, or ($0.01) per diluted share. Second quarter 2026 adjusted EBITDA of $191.3 million excludes depreciation and amortization expense of $122.1 million, acquisition-related costs of $10.6 million, and restructuring charges of $10.5 million. Second quarter 2025 adjusted EBITDA was $176.1 million. Sales in the second quarter 2026 were $1,741.9 million, compared to $1,758.3 million in the second quarter 2025. Ken Lane, President and Chief Executive Officer, said, "The Olin team delivered sequential improvement in adjusted EBITDA in a highly volatile environment. Our Chlor Alkali Products and Vinyls business benefited from improved caustic soda and ethylene dichloride pricing and from favorable operating performance driven by our Beyond250 structural cost actions. However, partially offsetting this performance was an unplanned shutdown of the vinyl chloride monomer plant in Freeport, Texas. Operations have resumed at reduced rates. The disruption reduced second quarter adjusted EBITDA by $40 million, with an estimated $20 million impact expected in the third quarter as full rates are planned to resume late in the quarter. Epoxy continued to improve as margins expanded despite persistent weak demand conditions in Europe. Winchester's sequential improvement was driven by stronger commercial demand and pricing actions implemented to offset commodity metals and raw materials cost inflation. "Looking ahead, we expect our Chemical businesses' third quarter 2026 results to be comparable to the second quarter, as reduced operating rates at the vinyl chloride monomer facility and weaker ethylene dichloride pricing offset expected stronger caustic soda volumes. In our Winchester business, seasonally improving commercial demand is expected to support sequential earnings growth. With continued significant global volatility, third quarter 2026 adjusted EBITDA is forecast to be in the range of $160 million to $200 million," Lane concluded. SEGMENT REPORTING Olin defines segment earnings as income (loss) before interest expense, net, other operating income (expense), non-operating pension income, other income, and income taxes. CHLOR ALKALI PRODUCTS AND VINYLS Chlor Alkali Products and Vinyls sales for the second quarter 2026 were $819.5 million, compared to $979.5 million in the second quarter 2025. The decrease in sales was due to lower volumes, primarily resulting from lower trading volumes associated with Blue Water Alliance and lower vinyl chloride monomer volumes. The Blue Water Alliance joint venture concluded operations at the end of 2025. Second quarter 2026 segment earnings were $53.4 million, compared to $64.9 million in the second quarter 2025. Second quarter 2026 segment results were negatively impacted by $40.1 million from operating issues with the vinyl chloride monomer plant at the Freeport, Texas facility resulting in higher costs and reduced profit from lost sales. The remaining $28.6 million increase in segment earnings was primarily due to higher pricing, primarily caustic soda and ethylene dichloride, partially offset by higher raw material costs, primarily natural gas and electrical power costs. Chlor Alkali Products and Vinyls second quarter 2026 results included depreciation and amortization expense of $98.1 million compared to $106.3 million in the second quarter 2025. EPOXY Epoxy sales for the second quarter 2026 were $422.1 million, compared to $331.2 million in the second quarter 2025. The increase in sales was due to higher volumes and improved pricing. Second quarter 2026 segment earnings were $16.0 million, compared to a segment loss of ($23.7) million in the second quarter 2025. The $39.7 million increase in segment results was primarily due to higher volumes, improved product margins, and lower operating costs. Product margins improved year-over-year with higher pricing partially offset by higher raw material costs, primarily benzene and propylene. Epoxy second quarter 2026 results included depreciation and amortization expense of $11.7 million compared to $13.1 million in the second quarter 2025. WINCHESTER Winchester sales for the second quarter 2026 were $500.3 million, compared to $447.6 million in the second quarter 2025. The increase in sales was primarily due to higher commercial ammunition sales and higher military project revenue. Second quarter 2026 segment earnings were $28.1 million, compared to $25.0 million in the second quarter 2025. The $3.1 million increase in segment earnings was primarily due to higher commercial ammunition pricing and volume and higher military project revenue, partially offset by higher raw material costs, primarily commodity metal costs, and higher operating costs. Winchester second quarter 2026 results included depreciation and amortization expense of $8.8 million compared to $7.9 million in the second quarter 2025. CORPORATE AND OTHER COSTS Other corporate and unallocated costs in the second quarter of 2026 increased $5.4 million compared to the second quarter 2025 primarily due to an unfavorable impact from foreign currency, partially offset by lower stock-based compensation, which includes mark-to-market adjustments. PROPOSED MERGER OF EQUALS On June 16, 2026, Olin and Huntsman Corporation announced that they have entered into a definitive agreement to combine in an all-stock merger of equals to form a combined company, OlinHuntsman Corporation. Second quarter 2026 results included acquisition-related costs of $10.6 million related to this pending merger. Completion of the merger, which is expected to occur in the first half of 2027, is subject to the satisfaction of customary closing conditions, including the receipt of required regulatory approvals and approval of the merger by both Olin shareholders and Huntsman stockholders. LIQUIDITY The cash balance on June 30, 2026, was $177.4 million. Olin ended the second quarter 2026 with net debt of approximately $2.85 billion and a net debt to adjusted EBITDA ratio of 5.0 times. On June 30, 2026, Olin had available liquidity of approximately $1.2 billion, including unrestricted access to the undrawn portion of its revolving credit facility. Working capital increased $183.0 million in the first half 2026. In addition to the normal seasonal working capital built in first half of the year, which we expect to liquidate during the second half, Olin paid approximately $93 million, including previously accrued reserves, to resolve legacy Shintech litigation matters and expect to pay the remaining approximately $100 million in the second half of 2026. CONFERENCE CALL INFORMATION Olin senior management will host a conference call to discuss second quarter 2026 financial results at 9:00 a.m. Eastern Time on Friday, July 31, 2026. Remarks will be followed by a question-and-answer session. Associated slides and the conference call webcast are accessible via Olin's website, www.olin.com, under the second quarter conference call icon. An archived replay of the webcast will also be available in the Investor Relations section of Olin's website beginning at 12:00 p.m. Eastern Time. A final transcript of the call will be posted the next business day. COMPANY DESCRIPTION Olin Corporation is a leading vertically integrated global manufacturer and distributor of chemical products and a leading U.S. manufacturer of ammunition. The chemical products produced include chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, hydrogen, and hydrochloric acid. Winchester's principal manufacturing facilities produce and distribute sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components, industrial cartridges, and clay targets, along with contracted U.S. military project revenue. Visit www.olin.com for more information on Olin Corporation. FORWARD-LOOKING STATEMENTS This communication includes forward-looking statements. These statements relate to analyses and other information that are based on management's beliefs, certain assumptions made by management, forecasts of future results, and current expectations, estimates and projections about the markets and economy in which we and our various segments operate. These statements may include statements regarding the proposed merger with Huntsman Corporation (Huntsman), the expected timetable for completing the merger, benefits and synergies of the merger, and future opportunities for the combined company following the transaction. The statements contained in this communication that are not statements of historical fact may include forward-looking statements that involve a number of risks and uncertainties. We have used the words "anticipate," "intend," "may," "expect," "believe," "should," "plan," "outlook," "project," "estimate," "forecast," "optimistic," "target," and variations of such words and similar expressions in this communication to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions, which are difficult to predict and many of which are beyond our control. Therefore, actual outcomes and results may differ materially from those matters expressed or implied in such forward-looking statements. We undertake no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise. The payment of cash dividends is subject to the discretion of our Board of Directors and will be determined in light of then-current conditions, including our earnings, our operations, our financial conditions, our capital requirements and other factors deemed relevant by our Board of Directors. In the future, our Board of Directors may change our dividend policy, including the frequency or amount of any dividend, in light of then-existing conditions. The risks, uncertainties and assumptions involved in our forward-looking statements, many of which are discussed in more detail in our filings with the SEC, including, without limitation, the "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2025, and our Quarterly Reports on Form 10-Q and other reports furnished or filed with the SEC, include, but are not limited to, the following: Business, Industry and Operational Risks sensitivity to economic, business and market conditions in the United States and overseas, including economic instability or a downturn in the sectors served by us; declines in average selling prices for our products and the supply/demand balance for our products, including the impact of excess industry capacity or an imbalance in demand for our chlor alkali products; unsuccessful execution of our operating model, which prioritizes Electrochemical Unit (ECU) margins over sales volumes; failure to control costs and inflation impacts or failure to achieve targeted cost reductions; availability of and/or higher-than-expected costs of raw material, energy, transportation, and/or logistics; our reliance on a limited number of suppliers for specified feedstock and services and our reliance on third-party transportation; the occurrence of unexpected manufacturing interruptions and outages, including those occurring as a result of labor disruptions and production hazards; exposure to physical risks associated with climate-related events or increased severity and frequency of severe weather events; the failure or an interruption, including cyber-attacks, of our information technology systems; risks associated with our international sales and operations, including economic, political or regulatory changes; weak industry conditions affecting our ability to comply with the financial maintenance covenants in our debt agreements; our indebtedness and debt service obligations; failure to identify, attract, develop, retain and motivate qualified employees throughout the organization and ability to manage executive officer and other key senior management transitions; adverse conditions in the credit and capital markets, limiting or preventing our ability to borrow or raise capital; our inability to complete future acquisitions or joint venture transactions or successfully integrate them into our business; the effects of any declines in global equity markets on asset values and any declines in interest rates or other significant assumptions used to value the liabilities in, and funding of, our pension plans; our long-range plan assumptions not being realized, causing a non-cash impairment charge of long-lived assets; Legal, Environmental and Regulatory Risks changes in, or failure to comply with, legislation or government regulations or policies, including changes regarding our ability to manufacture or use certain products and changes within the international markets in which we operate; new regulations or public policy changes regarding the transportation of hazardous chemicals and the security of chemical manufacturing facilities; unexpected outcomes from legal or regulatory claims and proceedings; costs and other expenditures in excess of those projected for environmental investigation and remediation or other legal proceedings; various risks associated with our Lake City U.S. Army Ammunition Plant contract and performance under other governmental contracts; Risks Relating to the Proposed Merger with Huntsman factors relating to the satisfaction of the conditions to, and timely completion of, the proposed merger with Huntsman, including required shareholder and regulatory approvals; the possibility that the proposed merger may not be completed on the anticipated terms, timing, or at all, including the possibility of circumstances that would require us to pay a termination fee or reimburse certain expenses; the possibility that the expected strategic benefits, cost savings, operational efficiencies and synergies of the proposed merger may not be realized or may take longer to realize than expected; the effect of the proposed merger on relationships with employees, customers, suppliers and other business partners and adverse effects on our ability to attract, retain and motivate key personnel, maintain commercial relationships and execute our business strategy; the diversion of management attention from day-to-day operations and other strategic opportunities; transaction, advisory, legal, accounting, consulting, regulatory, retention, integration planning costs and other costs associated with the proposed merger; the Merger Agreement contains customary covenants that restrict our ability to undertake certain actions without Huntsman's consent prior to closing, which may limit operational flexibility and the ability to pursue certain business opportunities during the pendency of the transaction; and the risk of litigation, regulatory proceedings relating to the proposed merger, or the imposition of conditions, limitations, divestiture requirements or other remedies by governmental authorities. All of our forward-looking statements should be considered in light of these factors. In addition, other risks and uncertainties not presently known to us or that we consider immaterial could affect the accuracy of our forward-looking statements. 2026-10 View original content to download multimedia:https://www.prnewswire.com/news-releases/olin-announces-second-quarter-2026-results-302839441.html