Solvay Q3 2026 earnings fall amid Middle East disruption

Quarterly performance

Underlying net sales were €1.031 billion in Q3 2026, down 3.3% organically year on year. Underlying EBITDA fell 26.6% organically to €173 million, with a margin of 16.8%. The Middle East conflict reduced EBITDA by about €25 million, including an estimated €15 million impact from the continued suspension of Peroxides operations at the Sadara complex in Jubail, Saudi Arabia. Soda ash market weakness also weighed on results.

Free cash flow to Solvay shareholders from continuing operations was €54 million in Q3 and €70 million for the first nine months. Underlying net debt was €1.8 billion, with leverage of 2.4x at September-end.

Rare earths and cost savings

Solvay signed a long-term rare earth feedstock supply agreement with Viridis, with supplies expected to begin in 2028. Discussions with investment fund OneIM continue; a potential joint venture would include Solvay’s rare earths activities, with the company retaining a significant minority stake. The activities under consideration generate about €80 million in annual underlying EBITDA.

Structural cost savings reached €283 million since the programme began, putting Solvay on track for its €300 million target by the end of 2026.

2026 outlook

Solvay expects underlying EBITDA of €720–740 million and free cash flow of €120–150 million, net of about €90 million in transformation expenses. Capital expenditure is expected to remain below €300 million, including €15–20 million for rare earth separation capacity expansion at La Rochelle.