Question · Q3 2025
Salvador Tiano asked about the significant increase in Olin's working capital in Q3, its implications for Q3 operating rates, and what this means for Q4 operating rates compared to previous years.
Answer
President and CEO Ken Lane explained that a $40 million EBITDA penalty in Q4 would free up $150 million in cash, addressing working capital built up from earlier demand expectations and turnaround timing. CFO Todd Slater added that unforeseen payment delays from the U.S. government for the Lake City military business were the primary driver for the Q3 working capital increase, with payments subsequently received in October.