Celanese (CE) Company Report

Celanese delivered Q3 EPS of $1.34, reflecting ongoing execution on cash flow, cost improvements, and top-line growth priorities.
Management expects to grow EPS by $1–$2 in 2026 through cost actions and engineered materials pipeline progress, even if demand remains flat.
Announced closure of the Narco acetate tow facility in Europe, targeting $20M–$30M of productivity savings in 2027.
Completed sale of Micromax for $500M gross proceeds, with 5% tax leakage, achieving half of the $1B divestiture goal by end-2027.
Generated $250M of working capital cash source in 2025, expects neutral working capital in Q4, and projects sustainable free cash flow of $700M–$800M in 2026.

Nov 7, 2025, 2:00 PM

Transcript

Celanese reports Q3 2025 results and 2026 outlook

Earnings

Guidance Update

M&A

Celanese delivered $1.34 EPS in Q3 2025, with engineered materials volumes down 8% year-over-year as standard-grade products declined while thermoplastic elastomers held up.
Management expects $1–$2 of EPS growth in 2026, split roughly equally between cost actions and engineered materials pipeline gains, assuming flattish demand.
Completed the $500 M Micromax divestiture, realizing proceeds net of ~5% tax and reaching half of the $1 B divestiture target by 2027.
Announced closure of the Lanaken acetate tow facility, targeting $20–$30 M of annual productivity savings by 2027 and optimizing low-cost assets across the network.
Generated $250 M of working capital cash in 2025, expect zero net working capital change in Q4, and project $700–$800 M of free cash flow in 2026 at the low end as sustainable.

Nov 7, 2025, 2:00 PM

Transcript

Celanese reports Q3 2025 results

Earnings

Guidance Update

Celanese generated $375 million in free cash flow and delivered $1.34 adjusted EPS for Q3 2025.
Segment adjusted EBIT was $200 million for Engineered Materials and $187 million for Acetyl Chain, with EM benefiting from improved mix and AC margins remaining above 20% despite an unplanned outage.
Company remains on track to achieve its FY2025 free cash flow target of $700–$800 million, ending Q3 with $1.4 billion in cash and a $1.75 billion undrawn revolving credit facility.
Q4 2025 adjusted EPS is guided at $0.85–$1.00, with segment EBIT guidance of $165–$175 million for EM and $165–$180 million for AC.

Nov 7, 2025, 2:00 PM

Presentation

Celanese forecasts $1–$2 EPS growth for fiscal 2026

Guidance Update

M&A

Demand Weakening

Celanese expects to grow EPS by $1–$2 in 2026, driven roughly half by ongoing cost actions and half by engineered materials pipeline gains, even in a flattish demand environment.
Engineered materials volumes were down 8% year-over-year in Q3, driven by standard-grade thermoplastics (POM, nylon, GUR, polyesters), while thermoplastic elastomers held up; EM pricing improved, marking the strongest quarter in eight periods.
In the acetyl chain, lowest-cost assets (U.S.) operated at 100% utilization, with other global units flexed to match demand; block operation of Singapore and Frankfurt sites will continue into 2026.
Completed the $500 million Micromax divestiture, advancing toward the $1 billion divestiture target by 2027; net proceeds face a 5% tax leakage.
Generated a $250 million working capital cash source in 2025, with Q4 WC neutral; free cash flow is anticipated at least $700 million in 2026, reflecting lower restructuring and sustained cash conversion.

Nov 7, 2025, 2:00 PM

Transcript

Celanese reports Q3 2025 results

Earnings

Guidance Update

M&A

Celanese delivered $1.34 adjusted EPS (incl. ~$0.38 of transaction amortization), $517 million operating EBITDA and $375 million free cash flow, while net sales fell 4% sequentially due to volume headwinds and an unplanned outage.
Completed $40 million of second-half 2025 cost reductions and remains on track to achieve $120 million of total cost savings for the year.
Signed a definitive agreement to divest the Micromax® portfolio for approximately $500 million (based on ~$40 million pro forma EBITDA), expected to close in Q1 2026; also repaid $150 million on its five-year term loan in Q3 and an additional $200 million in Q4 towards the 2027 maturity.
Issued Q4 2025 guidance of $0.85–$1.00 adjusted EPS, reflecting seasonal softening in key end-markets.

Nov 6, 2025, 9:57 PM

8-K

Celanese reports Q3 2025 earnings

Earnings

M&A

Guidance Update

Net sales of $2,419 million, down 4% sequentially driven by a 4% volume decline and 1% price decrease.
GAAP diluted loss per share of ($12.39) and adjusted EPS of $1.34, reflecting $1,520 million of non-cash impairments.
Adjusted EBIT of $326 million and operating EBITDA of $517 million, generating $375 million in free cash flow.
Signed agreement to divest the Micromax® portfolio for approximately $500 million, expected to close in Q1 2026 to support deleveraging.
Q4 guidance of $0.85–1.00 in adjusted EPS and reaffirmed 2025 free cash flow target of $700–800 million.

Nov 6, 2025, 9:25 PM

8-K

Element Solutions to acquire EFC Gases & Advanced Materials

M&A

Element Solutions Inc. agreed to acquire EFC Gases & Advanced Materials for approximately 12x forecasted 2026 adjusted EBITDA in an all-cash deal, expected to close by end of 2025.
EFC, a specialty gases and advanced materials provider with >15% revenue CAGR since 2009 and ~40% of sales in semiconductors, expands ESI's presence in high-growth technology and space markets.
The acquisition is projected to contribute $30 million of adjusted EBITDA in 2026 at >30% margins, funded with cash on hand and incremental debt.
Combined with the Micromax acquisition, the transaction is expected to be over 7% accretive to ESI's adjusted EPS in 2026 and keep pro forma net debt/EBITDA below 3.0x by year-end 2025.

Nov 4, 2025, 12:30 PM

Press Release

Celanese to divest Micromax business to Element Solutions

M&A

Celanese signed a definitive agreement to divest its Micromax® electronic inks and pastes portfolio to Element Solutions for approximately $500 million in cash, subject to adjustments.
The Micromax business has a 2025 pro forma run-rate EBITDA of ~$40 million, with net proceeds earmarked for deleveraging Celanese’s balance sheet.
The transaction is expected to close in Q1 2026, pending regulatory approvals and customary closing conditions.
Micromax products serve high-performance electronics markets—including navigation, defense, medical monitoring, and advanced circuit boards—offering conductive, resistive, dielectric inks, and LTCC materials.

Oct 28, 2025, 8:42 PM

8-K

Celanese agrees to divest Micromax business to Element Solutions

M&A

Celanese will sell its Micromax® business to Element Solutions Inc. for approximately $500 million in cash, subject to adjustments, with net proceeds earmarked for deleveraging.
The Micromax unit generated a pro forma 2025 run rate EBITDA of about $40 million.
The transaction is expected to close in Q1 2026, pending regulatory approvals and customary conditions.
Morgan Stanley & Co. LLC is acting as financial advisor, while Kirkland & Ellis LLP and Allen & Overy Shearman Sterling LLP serve as legal counsel.

Oct 28, 2025, 8:36 PM

Press Release

Celanese agrees to sell Micromax to Element Solutions for ~$500M

M&A

Celanese has signed a definitive agreement to sell its Micromax® business to Element Solutions for approximately $500 million in cash.
The transaction is expected to close in Q1 2026, subject to regulatory approvals and customary closing conditions.
Micromax’s portfolio of electronics inks and pastes serves high-performance applications in aerospace, defense, healthcare, and emerging markets.
Based on projected 2025 results, the deal is forecast to be >5% accretive to Element Solutions’ adjusted EPS and add $40 million to its adjusted EBITDA.
The acquisition will expand Element Solutions’ Electronics segment to ~$2 billion in sales, enhancing its high-value solutions offering.

Oct 28, 2025, 8:18 PM

Press Release

Earnings Transcripts

Quarterly earnings call transcripts for Celanese.