Earnings Guidance

Q3 2025

no prior guidance [N/A]

$1.25 per share " " "

no prior guidance

Cost Reductions

Q3 2025

no prior guidance [N/A]

$75 million to $100 million "

no prior guidance

Volume Outlook

Q3 2025

no prior guidance [N/A]

mid-single-digit decline " "

no prior guidance

Asset Utilization

Q3 2025

no prior guidance [N/A]

aggressive asset management planned for Q3, leading to a utilization tailwind in Q4 "

no prior guidance

Working Capital

Q3 2025

no prior guidance [N/A]

aiming to lower working capital by $400 million "

no prior guidance

Turnaround Costs

Q2 2025

$20 million headwind "

no current guidance [N/A]

no current guidance

Renew Revenue Guidance

Q2 2025

$75 million to $100 million "

$50 million to $75 million "

lowered

EBITDA Contribution

Q2 2025

$50 million "

no current guidance [N/A]

no current guidance

Second Quarter EPS Guidance

Q2 2025

$1.70 to $1.90 "

no current guidance [N/A]

no current guidance

Cash Flow Guidance

Q2 2025

confidence in delivering annual cash flow "

no current guidance [N/A]

no current guidance

Impact of Tariffs

Q2 2025

$30 million impact " "

no current guidance [N/A]

no current guidance

Cost Optimization & Cash Flow Generation

Discussed in Q1 2025 with reduced CapEx guidance, turnaround headwinds, and a strong focus on cash flow. " " " In Q4 2024, a $50 million net cost reduction plan and solid cash flow performance (e.g., AFP contributions) were emphasized. " " "

In Q2 2025, Eastman detailed aggressive measures with targeted cost cuts ($75–$100 million), active asset utilization management (headwind turning to tailwind), and a $1 billion cash generation platform. " " " "

Continued prioritization; the focus remains constant but with more aggressive targets and integrated asset utilization strategies to transform headwinds into future tailwinds. " " " "

Innovative Capital Investments & Circular Economy Initiatives

In Q1 2025, the discussion centered on recycling infrastructure investments and DOE-supported projects like the Longview project. " In Q4 2024, the Texas circular economy project, Kingsport methanolysis plant improvements, and strong customer commitments (over 100 customers) were highlighted. " " " " "

Q2 2025 expanded on projects such as the E2P investment (with expected EBIT improvements), a focus on leveraging methanolysis technology, and initiatives in recycled PET backed by customer premiums. " " " " " " "

Consistent commitment with expanded detail; the innovation agenda has grown to include more detailed investment strategies and technological optimizations. " " " " " " "

Tariff & Trade Uncertainty

In Q1 2025, tariffs were noted for impacting demand, with detailed segmental impacts (e.g., $30 million volume impact) and customer adjustments. " " " " " " In Q4 2024, executives discussed potential tariffs and observed modest pre-buying with minimal impact on guidance. " " " "

In Q2 2025, tariffs in the 15%–40% range were cited as causing a mid‐single‐digit drop in demand, with customers shifting inventory globally and increased market uncertainty. " " "

Persistent concern with heightened focus; the subject remains critical, with Q2 2025 showing more direct demand distortion and active inventory shifts due to ongoing trade uncertainty. " " "

Asset Utilization & Operational Efficiency

In Q1 2025, improvements were noted in methanolysis and fibers with stable yields and efficient operations. " " " " Q4 2024 emphasized cost reduction initiatives and streamlining of complex operations (including shutdowns and energy efficiency). " "

Q2 2025 features aggressive asset utilization management with a reported utilization headwind of $75–$100 million (expected to reverse in 2026), alongside targeted cost reductions and debottlenecking investments. " " " " "

Evolving focus; moving from stable operational performance to a more aggressive management style that aims to convert headwinds into future tailwinds through strategic efficiency measures. " " "

Customer Demand Dynamics & Order Visibility

Q1 2025 discussions highlighted relatively stable order books despite tariff-related caution and lower inventory levels, with clear order visibility emerging. " " " " In Q4 2024, multiyear contracts and modest pre-buying in fibers and methanolysis provided demand stability. " " " " " " "

In Q2 2025, customer behavior became more volatile with significant pre-buying, cautious order placement, and chaotic visibility leading to a mid‐single‐digit drop in demand. " " "

Increasing volatility; while previous periods showed relatively stable demand with strong contracts, Q2 2025 reflects more pronounced caution and chaotic order visibility amid heightened uncertainties. " " "

Fibers Segment Performance

Q1 2025 saw the Fibers segment facing persistent destocking, a 12% volume decline, and tariff impacts, though contractual safeguards provided some stability. " " " In Q4 2024, performance was stable with modest declines (1%–2%) and maintained strong margins and pricing. " "

In Q2 2025, the Fibers business encountered significant challenges with a $20 million headwind from textile issues and asset utilization, alongside increased energy costs impacting the tow business. " "

Worsening sentiment; moving from relatively stable performance in Q4 2024 to more pronounced headwinds in Q2 2025, though recovery efforts are anticipated later. " "

Competitive Domestic Manufacturing Advantage

In Q1 2025, advantages of domestic production were stressed, with U.S.-based performance films, specialty plastics, and other segments leveraging lower tariff exposure. " " Q4 2024 reinforced the long‑term benefits of U.S. manufacturing thanks to limited Chinese competition and supportive trade policies. "

Q2 2025 did not explicitly mention “Competitive Domestic Manufacturing Advantage,” though related operational topics were noted [N/A].

Deprioritized or implicit; while previously a highlighted advantage, the topic is not explicitly mentioned in Q2 2025, possibly signaling a shift in focus [N/A].

Macroeconomic Conditions & Energy Cost Pressures

Q1 2025 stressed challenges including trade disputes, consumer caution, and destocking, with energy cost pressures particularly in the fibers business. " " " " Q4 2024 noted a challenging macro environment with weak demand, inflation, and rising natural gas prices prompting efficiency measures. " " " "

In Q2 2025, the discussion focused on the impact of global trade uncertainty, inflation, and higher energy costs (e.g., a $10–$15 million energy cost headwind in fibers), emphasizing economic unpredictability. " " " "

Sustained challenges; the combined issues of macroeconomic uncertainty and rising energy costs persist, with continued emphasis on mitigation strategies. " " " "

Operational Improvements at the Kingsport Methanolysis Plant

Q1 2025 highlighted high operating rates, an 85% yield on DMT feedstock, and annualized production targets (2.5x volume) contributing approximately $25 million in earnings. " Q4 2024 noted steady operations at 85% DMP yield with ongoing improvements in uptime and production levels. "

In Q2 2025, the Kingsport plant achieved 105% capacity in rate tests, and targeted debottlenecking investments aim to push capacity to 130%, delivering an additional $50 million cost benefit. "

Consistent improvement; the plant shows continuous operational enhancements with increased capacity and planned investments to further boost efficiency and cost benefits. "