Arkema Q2 2025 Results

Financial Performance

In Q2 2025, Arkema reported sales of €2.4 billion, a 2.3% decrease year-on-year at constant exchange rates. The EBITDA stood at €364 million, down from €451 million in Q2 2024, with a margin of 15.2%. Adjusted net income was €118 million, translating to €1.56 per share.

Market Conditions

The quarter was marked by weak demand and macroeconomic uncertainties, with volumes slightly down by 1.3%. Demand was disappointing in Europe and the U.S., but showed positive trends in Asia. The price effect was negative at 2.5%, influenced by market conditions and raw material costs.

Cost Management

Arkema is doubling its cost savings target to €100 million for 2025, focusing on fixed and variable cost reductions. Recurring cash flow was €111 million, reflecting strict working capital management. Net debt and hybrid bonds totaled €3,580 million at the end of June 2025.

Strategic Developments

The company is advancing its strategy in innovative materials, with projects like the bio-based polyamide plant and a new Rilsan® Clear unit in Singapore. The start-up of an additives plant in Texas is also part of this strategy. These projects are expected to contribute an additional €50 million to EBITDA in 2025.

Outlook

Arkema adjusted its annual EBITDA guidance to €1.3-1.4 billion for 2025, considering ongoing demand weakness and geopolitical uncertainties. The company anticipates a limited direct impact from tariff increases due to its global industrial footprint.