Westlake Corporation Reports Third Quarter 2024 Results
Westlake (WLK) reported third quarter 2024 results with net sales of $3.1 billion, net income of $183 million (excluding identified item), and EBITDA of $580 million. The quarter was impacted by extended maintenance outages at ethylene JV and chlorovinyl facilities. Sales declined 3% compared to Q2 2024, with a 4% decrease in volume and 1% increase in average sales price.
The company accrued $75 million in mothball expenses related to two units in European epoxy business. Performance and Essential Materials (PEM) segment reported sales of $2.0 billion, while Housing and Infrastructure Products (HIP) segment recorded sales of $1.1 billion. The company ended the quarter with $2.9 billion in cash and $4.6 billion in total debt.
Westlake (WLK) ha riportato i risultati del terzo trimestre del 2024, con vendite nette di 3,1 miliardi di dollari, un reddito netto di 183 milioni di dollari (escludendo voci identificate) e un EBITDA di 580 milioni di dollari. Il trimestre è stato influenzato da prolungate interruzioni per manutenzione nelle joint venture di etilene e nelle strutture di clorovinile. Le vendite sono diminuite del 3% rispetto al secondo trimestre del 2024, con una diminuzione del 4% in volume e un aumento del 1% nel prezzo medio di vendita.
La società ha accantonato 75 milioni di dollari per spese di inattività relative a due unità del business di resine epossidiche in Europa. Il segmento Performance and Essential Materials (PEM) ha riportato vendite di 2,0 miliardi di dollari, mentre il segmento Housing and Infrastructure Products (HIP) ha registrato vendite di 1,1 miliardi di dollari. La società ha chiuso il trimestre con 2,9 miliardi di dollari in liquidità e 4,6 miliardi di dollari di debito totale.
Westlake (WLK) reportó los resultados del tercer trimestre de 2024, con ventas netas de 3.1 mil millones de dólares, un ingreso neto de 183 millones de dólares (excluyendo ítems identificados) y un EBITDA de 580 millones de dólares. El trimestre se vio afectado por paradas de mantenimiento prolongadas en las joint ventures de etileno y en las instalaciones de cloruro de polivinilo. Las ventas disminuyeron un 3% en comparación con el segundo trimestre de 2024, con una disminución del 4% en volumen y un aumento del 1% en el precio promedio de venta.
La compañía acumuló 75 millones de dólares en gastos de inactividad relacionados con dos unidades en el negocio de epoxi en Europa. El segmento de Materiales de Rendimiento y Esenciales (PEM) reportó ventas de 2.0 mil millones de dólares, mientras que el segmento de Productos de Vivienda e Infraestructura (HIP) registró ventas de 1.1 mil millones de dólares. La compañía terminó el trimestre con 2.9 mil millones de dólares en efectivo y 4.6 mil millones de dólares en deuda total.
Westlake (WLK)는 2024년 3분기 실적을 보고했으며, 순매출 31억 달러, 순이익 1억 8300만 달러(식별된 항목 제외), EBITDA 5억 8000만 달러를 기록했습니다. 이 분기는 에틸렌 합작투자 및 클로로비닐 시설에서의 장기 유지보수로 인해 영향을 받았습니다. 판매는 2024년 2분기 대비 3% 감소했으며, 물량은 4% 감소하고 평균 판매가는 1% 증가했습니다.
회사는 유럽 에폭시 사업의 두 개 유닛과 관련하여 7500만 달러의 휴업 비용을 적립했습니다. 성능 및 필수 재료(PEM) 부문은 20억 달러의 매출을 보고했으며, 주택 및 인프라 제품(HIP) 부문은 11억 달러의 매출을 기록했습니다. 회사는 분기를 29억 달러의 현금과 46억 달러의 총 부채로 마감했습니다.
Westlake (WLK) a publié les résultats du troisième trimestre 2024, avec des ventes nettes de 3,1 milliards de dollars, un bénéfice net de 183 millions de dollars (hors éléments identifiés) et un EBITDA de 580 millions de dollars. Ce trimestre a été impacté par des arrêts de maintenance prolongés dans les coentreprises d'éthylène et dans les installations de chlorure de polyvinyle. Les ventes ont baissé de 3 % par rapport au deuxième trimestre 2024, avec une baisse de 4 % du volume et une augmentation de 1 % du prix de vente moyen.
L'entreprise a provisionné 75 millions de dollars pour des frais d'inactivité liés à deux unités de son activité époxy en Europe. Le segment Performance and Essential Materials (PEM) a enregistré des ventes de 2,0 milliards de dollars, tandis que le segment Housing and Infrastructure Products (HIP) a réalisé des ventes de 1,1 milliard de dollars. L'entreprise a terminé le trimestre avec 2,9 milliards de dollars en liquidités et 4,6 milliards de dollars de dettes totales.
Westlake (WLK) hat die Ergebnisse des dritten Quartals 2024 mit Nettoumsätzen von 3,1 Milliarden US-Dollar, einem Nettogewinn von 183 Millionen US-Dollar (ohne identifizierte Posten) und einem EBITDA von 580 Millionen US-Dollar veröffentlicht. Das Quartal wurde durch verlängerte Wartungsstillstände in der Ethylen-JV und in den Chlorvinylanlagen beeinträchtigt. Der Umsatz ging im Vergleich zum zweiten Quartal 2024 um 3% zurück, wobei das Volumen um 4% sank und der durchschnittliche Verkaufspreis um 1% stieg.
Das Unternehmen hat 75 Millionen US-Dollar für Stilllegungskosten im Zusammenhang mit zwei Einheiten im europäischen Epoxidgeschäft zurückgestellt. Der Bereich Performance and Essential Materials (PEM) meldete Umsätze von 2,0 Milliarden US-Dollar, während der Bereich Housing and Infrastructure Products (HIP) Umsätze von 1,1 Milliarden US-Dollar verbuchte. Das Unternehmen beendete das Quartal mit 2,9 Milliarden US-Dollar in bar und 4,6 Milliarden US-Dollar an Gesamtschulden.
- Maintained strong cash position of $2.9 billion
- 1% increase in average sales price quarter-over-quarter
- Higher average sales price for polyethylene in PEM segment
- Increased sales volume for chlorine, caustic soda and epoxy resin year-over-year
- Net income decreased by $130 million compared to Q2 2024
- EBITDA declined by $164 million quarter-over-quarter
- Extended maintenance outages impacted production and increased costs
- Sales volume decreased 4% sequentially
- $75 million mothball expenses for European epoxy business units
- Lower HIP segment sales due to slower North American residential construction
Insights
Westlake's Q3 2024 results show significant challenges, with
- Extended maintenance outages severely impacted operations, particularly in ethylene and chlorovinyl facilities
- EBITDA dropped to
$580 million from$744 million in Q2, a22% decline - HIP segment showed weakness with sales declining to
$1.1 billion from$1.2 billion due to slower residential construction
The
The market landscape presents mixed signals for Westlake. While North American conditions remain relatively solid and Asia shows recovery signs, operational execution has become a critical concern. Notable market dynamics include:
- Global industrial activity remains in recovery mode, with uneven progression across regions
- North American residential construction slowdown impacting HIP segment performance
- Strategic decision to mothball European epoxy units reflects adaptation to changing global market conditions
The combination of monetary stimulus measures and potential Federal Reserve actions could support recovery momentum, though operational reliability improvements will be important for capitalizing on market opportunities.
SUMMARY FINANCIAL HIGHLIGHTS (in millions of dollars, except per share data and percentages)
|
|
Three Months
|
|
Three Months
|
|
Three Months
|
||||||
|
|
|
|
|
|
|
||||||
Westlake Corporation |
|
|
|
|
|
|
||||||
Net sales |
|
$ |
3,117 |
|
|
$ |
3,207 |
|
|
$ |
3,115 |
|
Income from operations |
|
$ |
180 |
|
|
$ |
406 |
|
|
$ |
349 |
|
Net income attributable to Westlake Corporation |
|
$ |
108 |
|
|
$ |
313 |
|
|
$ |
285 |
|
Diluted earnings per common share |
|
$ |
0.83 |
|
|
$ |
2.40 |
|
|
$ |
2.20 |
|
Identified Item (1) |
|
$ |
75 |
|
|
$ |
— |
|
|
$ |
— |
|
Net income attributable to Westlake Corporation excl. Identified Item |
|
$ |
183 |
|
|
$ |
313 |
|
|
$ |
285 |
|
Diluted earnings per common share excl. Identified Item |
|
$ |
1.41 |
|
|
$ |
2.40 |
|
|
$ |
2.20 |
|
EBITDA |
|
$ |
505 |
|
|
$ |
744 |
|
|
$ |
682 |
|
EBITDA excl. Identified Item |
|
$ |
580 |
|
|
$ |
744 |
|
|
$ |
682 |
|
EBITDA margin (2) |
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
||||||
Performance and Essential Materials ("PEM") Segment |
|
|
|
|
|
|
||||||
Net sales |
|
$ |
2,019 |
|
|
$ |
2,013 |
|
|
$ |
1,971 |
|
Income from operations |
|
$ |
(9 |
) |
|
$ |
157 |
|
|
$ |
105 |
|
EBITDA |
|
$ |
222 |
|
|
$ |
391 |
|
|
$ |
339 |
|
Identified Item (1) |
|
$ |
75 |
|
|
$ |
— |
|
|
$ |
— |
|
EBITDA excl. Identified Item |
|
$ |
297 |
|
|
$ |
391 |
|
|
$ |
339 |
|
EBITDA margin (2) |
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
||||||
Housing and Infrastructure Products ("HIP") Segment |
|
|
|
|
|
|
||||||
Net sales |
|
$ |
1,098 |
|
|
$ |
1,194 |
|
|
$ |
1,144 |
|
Income from operations |
|
$ |
202 |
|
|
$ |
266 |
|
|
$ |
256 |
|
EBITDA |
|
$ |
262 |
|
|
$ |
336 |
|
|
$ |
327 |
|
EBITDA margin |
|
|
|
|
|
|
|
|
|
______________________________ |
||
(1) |
"Identified Item" represents |
|
(2) |
Excludes Identified Item |
RESULTS
Consolidated Results
(Unless otherwise noted the financial numbers below exclude the Identified Item)
For the third quarter of 2024, the Company reported net sales of
Third quarter 2024 sales of
EBITDA of
A reconciliation of EBITDA (including and excluding the Identified Item) to net income, income from operations and net cash provided by operating activities can be found in the financial schedules at the end of this press release. Reconciliations of segment EBITDA (including and excluding the Identified Item) to net income and income from operations can be found in the financial schedules at the end of this press release.
Mothball Expenses ("Identified Item")
During the third quarter of 2024, the Company accrued
Cash and Debt
Net cash provided by operating activities was
Performance and Essential Materials Segment
(Unless otherwise noted the financial numbers below exclude the Identified Item)
For the third quarter of 2024, PEM sales of
PEM income from operations was
Compared to the prior year period, PEM income from operations decreased by
Housing and Infrastructure Products Segment
For the third quarter of 2024, HIP sales of
HIP income from operations was
Compared to the prior year period, HIP income from operations decreased by
EXECUTIVE COMMENTARY
"During the third quarter of 2024, global macroeconomic trends modestly improved from the environment we saw in the second quarter of 2024 with relatively solid and improving conditions in
"The pace of the recovery from the recent trough in global industrial and manufacturing activity remains uneven. However, recent monetary and fiscal stimulus, including actions by the Federal Reserve and the Chinese government, have the potential to accelerate the pace and duration of the macroeconomic recovery. Meanwhile, we will continue to focus on our levers for growth, including developing and commercializing innovative new products to help our customers address their needs, improving the profitability and reliability of our plants, and redeploying our investment-grade balance sheet to create long-term shareholder value," concluded Mr. Gilson.
Forward-Looking Statements
The statements in this release and the related teleconference relating to matters that are not historical facts, including statements regarding our outlook for the performance of our business segments, global macroeconomic conditions, continuing stabilization or increases in sales prices, volumes, margins and profitability in both domestic and export markets for most of our products, industrial, manufacturing, residential construction and infrastructure activity in our target markets, our ability to weather economic volatility, raw material costs, higher energy prices, the earnings potential of our assets, monetary and fiscal policies domestically and abroad, the pace and duration of economic recovery, our ability to improve profitability and reliability of our plants, future preventative maintenance activities, our ability to continue to execute our strategies, and our ability to create long-term value for our shareholders are forward-looking statements.
These forward-looking statements are subject to significant risks and uncertainties. Actual results could differ materially, based on factors including, but not limited to: general economic and business conditions; the cyclical nature of the chemical and building products industries; the availability, cost and volatility of raw materials and energy; the results of acquisitions and our integration efforts; uncertainties associated with
Use of Non-GAAP Financial Measures
This release makes reference to certain "non-GAAP" financial measures, such as EBITDA, EBITDA margin and certain financial measures adjusted to exclude the effect of the Identified Item, as defined in Regulation G of the
About
Westlake Corporation Conference Call Information:
A conference call to discuss Westlake Corporation's third quarter 2024 results will be held Tuesday, November 5, 2024 at 11:00 AM Eastern Time (10:00 AM Central Time). To access the conference call, it is necessary to pre-register at https://register.vevent.com/register/BI9dd3d967e2694f52b0a3216544d073e3. Once registered, you will receive a phone number and unique PIN number.
A replay of the conference call will be available beginning two hours after its conclusion. The conference call and replay will be available via webcast at https://edge.media-server.com/mmc/p/te7pi7po.
WESTLAKE CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) |
||||||||||||||||
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
(in millions of dollars, except per share data and share amounts) |
||||||||||||||
Net sales |
|
$ |
3,117 |
|
|
$ |
3,115 |
|
|
$ |
9,299 |
|
|
$ |
9,722 |
|
Cost of sales |
|
|
2,618 |
|
|
|
2,529 |
|
|
|
7,670 |
|
|
|
7,702 |
|
Gross profit |
|
|
499 |
|
|
|
586 |
|
|
|
1,629 |
|
|
|
2,020 |
|
Selling, general and administrative expenses |
|
|
215 |
|
|
|
206 |
|
|
|
648 |
|
|
|
641 |
|
Amortization of intangibles |
|
|
29 |
|
|
|
31 |
|
|
|
89 |
|
|
|
92 |
|
Restructuring, transaction and integration-related costs |
|
|
75 |
|
|
|
— |
|
|
|
83 |
|
|
|
6 |
|
Income from operations |
|
|
180 |
|
|
|
349 |
|
|
|
809 |
|
|
|
1,281 |
|
Interest expense |
|
|
(39 |
) |
|
|
(40 |
) |
|
|
(120 |
) |
|
|
(124 |
) |
Other income, net |
|
|
44 |
|
|
|
56 |
|
|
|
153 |
|
|
|
101 |
|
Income before income taxes |
|
|
185 |
|
|
|
365 |
|
|
|
842 |
|
|
|
1,258 |
|
Provision for income taxes |
|
|
65 |
|
|
|
70 |
|
|
|
214 |
|
|
|
249 |
|
Net income |
|
|
120 |
|
|
|
295 |
|
|
|
628 |
|
|
|
1,009 |
|
Net income attributable to noncontrolling interests |
|
|
12 |
|
|
|
10 |
|
|
|
33 |
|
|
|
33 |
|
Net income attributable to Westlake Corporation |
|
$ |
108 |
|
|
$ |
285 |
|
|
$ |
595 |
|
|
$ |
976 |
|
Earnings per common share attributable to Westlake Corporation: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
0.84 |
|
|
$ |
2.22 |
|
|
$ |
4.61 |
|
|
$ |
7.61 |
|
Diluted |
|
$ |
0.83 |
|
|
$ |
2.20 |
|
|
$ |
4.58 |
|
|
$ |
7.56 |
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
128,638,632 |
|
|
|
127,854,464 |
|
|
|
128,525,531 |
|
|
|
127,685,210 |
|
Diluted |
|
|
129,340,461 |
|
|
|
128,583,927 |
|
|
|
129,237,560 |
|
|
|
128,509,618 |
|
WESTLAKE CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) |
||||||||
|
|
September 30,
|
|
December 31,
|
||||
|
|
(in millions of dollars) |
||||||
ASSETS |
|
|
|
|
||||
Current assets |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
2,915 |
|
$ |
3,304 |
||
Accounts receivable, net |
|
|
1,754 |
|
|
1,601 |
||
Inventories |
|
|
1,747 |
|
|
1,622 |
||
Prepaid expenses and other current assets |
|
|
133 |
|
|
82 |
||
Total current assets |
|
|
6,549 |
|
|
6,609 |
||
Property, plant and equipment, net |
|
|
8,602 |
|
|
8,519 |
||
Other assets, net |
|
|
5,958 |
|
|
5,907 |
||
Total assets |
|
$ |
21,109 |
|
$ |
21,035 |
||
|
|
|
|
|
||||
LIABILITIES AND EQUITY |
|
|
|
|
||||
Current liabilities (accounts payable and accrued and other liabilities) |
|
$ |
2,351 |
|
$ |
2,491 |
||
Current portion of long-term debt, net |
|
|
— |
|
|
299 |
||
Long-term debt, net |
|
|
4,616 |
|
|
4,607 |
||
Other liabilities |
|
|
2,956 |
|
|
2,874 |
||
Total liabilities |
|
|
9,923 |
|
|
10,271 |
||
Total Westlake Corporation stockholders' equity |
|
|
10,662 |
|
|
10,241 |
||
Noncontrolling interests |
|
|
524 |
|
|
523 |
||
Total equity |
|
|
11,186 |
|
|
10,764 |
||
Total liabilities and equity |
|
$ |
21,109 |
|
$ |
21,035 |
WESTLAKE CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) |
||||||||
|
|
Nine Months Ended September 30, |
||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
(in millions of dollars) |
||||||
Cash flows from operating activities |
|
|
|
|
||||
Net income |
|
$ |
628 |
|
|
$ |
1,009 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||
Depreciation and amortization |
|
|
833 |
|
|
|
815 |
|
Deferred income taxes |
|
|
(58 |
) |
|
|
(67 |
) |
Net loss on disposition and others |
|
|
51 |
|
|
|
43 |
|
Other balance sheet changes |
|
|
(574 |
) |
|
|
(37 |
) |
Net cash provided by operating activities |
|
|
880 |
|
|
|
1,763 |
|
Cash flows from investing activities |
|
|
|
|
||||
Additions to investments in unconsolidated subsidiaries |
|
|
(24 |
) |
|
|
(18 |
) |
Additions to property, plant and equipment |
|
|
(723 |
) |
|
|
(752 |
) |
Other, net |
|
|
11 |
|
|
|
20 |
|
Net cash used for investing activities |
|
|
(736 |
) |
|
|
(750 |
) |
Cash flows from financing activities |
|
|
|
|
||||
Distributions to noncontrolling interests |
|
|
(31 |
) |
|
|
(33 |
) |
Dividends paid |
|
|
(197 |
) |
|
|
(156 |
) |
Proceeds from exercise of stock options |
|
|
13 |
|
|
|
39 |
|
Repayment of senior notes |
|
|
(300 |
) |
|
|
— |
|
Repurchase of common stock for treasury |
|
|
— |
|
|
|
(23 |
) |
Other, net |
|
|
(2 |
) |
|
|
(2 |
) |
Net cash used for financing activities |
|
|
(517 |
) |
|
|
(175 |
) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash |
|
|
(15 |
) |
|
|
(12 |
) |
Net increase (decrease) in cash, cash equivalents and restricted cash |
|
|
(388 |
) |
|
|
826 |
|
Cash, cash equivalents and restricted cash at beginning of period |
|
|
3,319 |
|
|
|
2,246 |
|
Cash, cash equivalents and restricted cash at end of period |
|
$ |
2,931 |
|
|
$ |
3,072 |
|
WESTLAKE CORPORATION SEGMENT INFORMATION (Unaudited) |
||||||||||||||||
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
(in millions of dollars) |
||||||||||||||
Net external sales |
|
|
|
|
|
|
|
|
||||||||
Performance and Essential Materials |
|
|
|
|
|
|
|
|
||||||||
Performance Materials |
|
$ |
1,164 |
|
|
$ |
1,127 |
|
|
$ |
3,505 |
|
|
$ |
3,549 |
|
Essential Materials |
|
|
855 |
|
|
|
844 |
|
|
|
2,458 |
|
|
|
2,907 |
|
Total Performance and Essential Materials |
|
|
2,019 |
|
|
|
1,971 |
|
|
|
5,963 |
|
|
|
6,456 |
|
Housing and Infrastructure Products |
|
|
|
|
|
|
|
|
||||||||
Housing Products |
|
|
937 |
|
|
|
963 |
|
|
|
2,826 |
|
|
|
2,699 |
|
Infrastructure Products |
|
|
161 |
|
|
|
181 |
|
|
|
510 |
|
|
|
567 |
|
Total Housing and Infrastructure Products |
|
|
1,098 |
|
|
|
1,144 |
|
|
|
3,336 |
|
|
|
3,266 |
|
|
|
$ |
3,117 |
|
|
$ |
3,115 |
|
|
$ |
9,299 |
|
|
$ |
9,722 |
|
Income (loss) from operations |
|
|
|
|
|
|
|
|
||||||||
Performance and Essential Materials |
|
$ |
(9 |
) |
|
$ |
105 |
|
|
$ |
170 |
|
|
$ |
723 |
|
Housing and Infrastructure Products |
|
|
202 |
|
|
|
256 |
|
|
|
678 |
|
|
|
589 |
|
Corporate and other |
|
|
(13 |
) |
|
|
(12 |
) |
|
|
(39 |
) |
|
|
(31 |
) |
|
|
$ |
180 |
|
|
$ |
349 |
|
|
$ |
809 |
|
|
$ |
1,281 |
|
Depreciation and amortization |
|
|
|
|
|
|
|
|
||||||||
Performance and Essential Materials |
|
$ |
225 |
|
|
$ |
225 |
|
|
$ |
669 |
|
|
$ |
652 |
|
Housing and Infrastructure Products |
|
|
54 |
|
|
|
51 |
|
|
|
157 |
|
|
|
157 |
|
Corporate and other |
|
|
2 |
|
|
|
1 |
|
|
|
7 |
|
|
|
6 |
|
|
|
$ |
281 |
|
|
$ |
277 |
|
|
$ |
833 |
|
|
$ |
815 |
|
Other income, net |
|
|
|
|
|
|
|
|
||||||||
Performance and Essential Materials |
|
$ |
6 |
|
|
$ |
9 |
|
|
$ |
27 |
|
|
$ |
14 |
|
Housing and Infrastructure Products |
|
|
6 |
|
|
|
20 |
|
|
|
27 |
|
|
|
30 |
|
Corporate and other |
|
|
32 |
|
|
|
27 |
|
|
|
99 |
|
|
|
57 |
|
|
|
$ |
44 |
|
|
$ |
56 |
|
|
$ |
153 |
|
|
$ |
101 |
|
WESTLAKE CORPORATION RECONCILIATION OF EBITDA TO NET INCOME, INCOME FROM OPERATIONS AND NET CASH PROVIDED BY OPERATING ACTIVITIES (INCLUDING AND EXCLUDING IDENTIFIED ITEM) (Unaudited) |
||||||||||||||||||||
|
|
Three Months
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2024 |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||
|
|
(in millions of dollars, except percentages) |
||||||||||||||||||
Net cash provided by operating activities |
|
$ |
237 |
|
|
$ |
474 |
|
|
$ |
696 |
|
|
$ |
880 |
|
|
$ |
1,763 |
|
Changes in operating assets and liabilities and other |
|
|
50 |
|
|
|
(354 |
) |
|
|
(417 |
) |
|
|
(310 |
) |
|
|
(821 |
) |
Deferred income taxes |
|
|
36 |
|
|
|
— |
|
|
|
16 |
|
|
|
58 |
|
|
|
67 |
|
Net income |
|
|
323 |
|
|
|
120 |
|
|
|
295 |
|
|
|
628 |
|
|
|
1,009 |
|
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
|
— |
|
|
|
75 |
|
|
|
— |
|
|
|
75 |
|
|
|
— |
|
Net income excl. Identified Item |
|
$ |
323 |
|
|
$ |
195 |
|
|
$ |
295 |
|
|
$ |
703 |
|
|
$ |
1,009 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income |
|
|
323 |
|
|
|
120 |
|
|
|
295 |
|
|
|
628 |
|
|
|
1,009 |
|
Less: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Other income, net |
|
|
59 |
|
|
|
44 |
|
|
|
56 |
|
|
|
153 |
|
|
|
101 |
|
Interest expense |
|
|
(41 |
) |
|
|
(39 |
) |
|
|
(40 |
) |
|
|
(120 |
) |
|
|
(124 |
) |
Provision for income taxes |
|
|
(101 |
) |
|
|
(65 |
) |
|
|
(70 |
) |
|
|
(214 |
) |
|
|
(249 |
) |
Income from operations |
|
|
406 |
|
|
|
180 |
|
|
|
349 |
|
|
|
809 |
|
|
|
1,281 |
|
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
|
— |
|
|
|
75 |
|
|
|
— |
|
|
|
75 |
|
|
|
— |
|
Income from operations excl. Identified Item |
|
|
406 |
|
|
|
255 |
|
|
|
349 |
|
|
|
884 |
|
|
|
1,281 |
|
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
|
279 |
|
|
|
281 |
|
|
|
277 |
|
|
|
833 |
|
|
|
815 |
|
Other income, net |
|
|
59 |
|
|
|
44 |
|
|
|
56 |
|
|
|
153 |
|
|
|
101 |
|
EBITDA excl. Identified Item |
|
|
744 |
|
|
|
580 |
|
|
|
682 |
|
|
|
1,870 |
|
|
|
2,197 |
|
Less: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
|
— |
|
|
|
75 |
|
|
|
— |
|
|
|
75 |
|
|
|
— |
|
EBITDA |
|
$ |
744 |
|
|
$ |
505 |
|
|
$ |
682 |
|
|
$ |
1,795 |
|
|
$ |
2,197 |
|
Net external sales |
|
$ |
3,207 |
|
|
$ |
3,117 |
|
|
$ |
3,115 |
|
|
$ |
9,299 |
|
|
$ |
9,722 |
|
Operating Income Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Operating income margin excl. Identified Item |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA margin excl. Identified Item |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESTLAKE CORPORATION
RECONCILIATION OF DILUTED EARNINGS PER COMMON SHARE TO DILUTED EARNINGS PER COMMON SHARE EXCLUDING IDENTIFIED ITEM (Unaudited) |
||||||||||||||||||||
|
|
Three Months
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2024 |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||
|
|
(per share data) |
||||||||||||||||||
Diluted earnings per common share attributable to Westlake Corporation |
|
$ |
2.40 |
|
$ |
0.83 |
|
$ |
2.20 |
|
$ |
4.58 |
|
$ |
7.56 |
|||||
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
— |
|
|
0.58 |
|
— |
|
|
0.58 |
|
— |
||||||||
Diluted earnings per common share attributable to Westlake Corporation excl. Identified Item |
|
$ |
2.40 |
|
$ |
1.41 |
|
$ |
2.20 |
|
$ |
5.16 |
|
$ |
7.56 |
WESTLAKE CORPORATION RECONCILIATION OF FREE CASH FLOW TO NET CASH PROVIDED BY OPERATING ACTIVITIES (Unaudited) |
||||||||||||||||||||
|
|
Three Months
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2024 |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||
|
|
(in millions of dollars) |
||||||||||||||||||
Net cash provided by operating activities |
|
$ |
237 |
|
$ |
474 |
|
$ |
696 |
|
$ |
880 |
|
$ |
1,763 |
|||||
Less: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Additions to property, plant and equipment |
|
|
231 |
|
|
220 |
|
$ |
245 |
|
|
723 |
|
|
752 |
|||||
Free cash flow |
|
$ |
6 |
|
$ |
254 |
|
$ |
451 |
|
$ |
157 |
|
$ |
1,011 |
WESTLAKE CORPORATION RECONCILIATION OF PEM SEGMENT EBITDA TO INCOME FROM OPERATIONS (INCLUDING AND EXCLUDING IDENTIFIED ITEM) (Unaudited) |
||||||||||||||||||||
|
|
Three Months
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2024 |
|
|
2024 |
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||||
|
|
(in millions of dollars, except percentages) |
||||||||||||||||||
Performance and Essential Materials Segment |
|
|
|
|
|
|
|
|
|
|
||||||||||
Income (loss) from operations |
|
$ |
157 |
|
|
$ |
(9 |
) |
|
$ |
105 |
|
|
$ |
170 |
|
|
$ |
723 |
|
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
— |
|
|
75 |
|
|
|
— |
|
|
|
75 |
|
|
|
— |
|
||
Income (loss) from operations excl. Identified Item |
|
|
157 |
|
|
|
66 |
|
|
|
105 |
|
|
|
245 |
|
|
|
723 |
|
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
|
224 |
|
|
|
225 |
|
|
|
225 |
|
|
|
669 |
|
|
|
652 |
|
Other income, net |
|
|
10 |
|
|
|
6 |
|
|
|
9 |
|
|
|
27 |
|
|
|
14 |
|
EBITDA excl. Identified Item |
|
|
391 |
|
|
|
297 |
|
|
|
339 |
|
|
|
941 |
|
|
|
1,389 |
|
Less: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Mothball expenses |
|
|
— |
|
|
|
75 |
|
|
|
— |
|
|
|
75 |
|
|
|
— |
|
EBITDA |
|
$ |
391 |
|
|
$ |
222 |
|
|
$ |
339 |
|
|
$ |
866 |
|
|
$ |
1,389 |
|
Net external sales |
|
$ |
2,013 |
|
|
$ |
2,019 |
|
|
$ |
1,971 |
|
|
$ |
5,963 |
|
|
$ |
6,456 |
|
Operating Income Margin |
|
|
|
|
|
—% |
|
|
|
|
|
|
|
|
|
|||||
Operating income margin excl. Identified Item |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA margin excl. Identified Item |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESTLAKE CORPORATION
RECONCILIATION OF HIP SEGMENT EBITDA TO INCOME FROM OPERATIONS (Unaudited) |
||||||||||||||||||||
|
|
Three Months
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||||
|
|
2024 |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||
|
|
(in millions of dollars, except percentages) |
||||||||||||||||||
Housing and Infrastructure Products Segment |
|
|
|
|
|
|
|
|
|
|
||||||||||
Income from operations |
|
$ |
266 |
|
$ |
202 |
|
$ |
256 |
|
$ |
678 |
|
$ |
589 |
|||||
Add: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
|
53 |
|
|
54 |
|
|
51 |
|
|
157 |
|
|
157 |
|||||
Other income, net |
|
|
17 |
|
|
6 |
|
|
20 |
|
|
27 |
|
|
30 |
|||||
EBITDA |
|
$ |
336 |
|
$ |
262 |
|
$ |
327 |
|
$ |
862 |
|
$ |
776 |
|||||
Net external sales |
|
$ |
1,194 |
|
$ |
1,098 |
|
$ |
1,144 |
|
$ |
3,336 |
|
$ |
3,266 |
|||||
Operating Income Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESTLAKE CORPORATION SUPPLEMENTAL INFORMATION PRODUCT SALES PRICE AND VOLUME VARIANCE BY OPERATING SEGMENTS (Unaudited) |
||||||||||||
|
|
Third Quarter 2024 vs. Third
|
|
Third Quarter 2024 vs. Second
|
||||||||
|
|
Average Sales Price |
|
Volume |
|
Average Sales Price |
|
Volume |
||||
Performance and Essential Materials |
|
-3 |
% |
|
+6 |
% |
|
+1 |
% |
|
-1 |
% |
Housing and Infrastructure Products |
|
-3 |
% |
|
-1 |
% |
|
— |
% |
|
-9 |
% |
Company |
|
-3 |
% |
|
+3 |
% |
|
+1 |
% |
|
-4 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241105355131/en/
Contact—(713) 960-9111
Investors—Steve Bender
Media—L. Benjamin Ederington
Source: Westlake Corporation
FAQ
What was Westlake's (WLK) earnings per share in Q3 2024?
How much were Westlake's (WLK) net sales in Q3 2024?
What was the identified item expense for WLK in Q3 2024?