February 17, 2025 4:34pm EST
Fourth Quarter Highlights
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Three months ended |
Twelve months ended |
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December 31, |
December 31, |
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In millions, except per share amounts |
2024 |
2023 |
2024 |
2023 |
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Revenues |
$ 1,452 |
$ 1,403 |
$ 6,036 |
$ 6,111 |
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Net (loss) income attributable to Huntsman Corporation |
$ (141) |
$ (71) |
$ (189) |
$ 101 |
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Adjusted net (loss) income(1) |
$ (43) |
$ (36) |
$ (13) |
$ 67 |
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Diluted (loss) income per share |
$ (0.82) |
$ (0.41) |
$ (1.10) |
$ 0.57 |
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Adjusted diluted (loss) income per share(1) |
$ (0.25) |
$ (0.21) |
$ (0.08) |
$ 0.37 |
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Adjusted EBITDA(1) |
$ 71 |
$ 44 |
$ 414 |
$ 472 |
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Net cash provided by operating activities from continuing operations |
$ 159 |
$ 166 |
$ 285 |
$ 251 |
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Free cash flow from continuing operations(2) |
$ 108 |
$ 83 |
$ 101 |
$ 21 |
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See end of press release for footnote explanations and reconciliations of non-GAAP measures. |
THE WOODLANDS, Texas, Feb. 17, 2025 /PRNewswire/ -- Huntsman Corporation (NYSE: HUN) today reported fourth quarter 2024 results with revenues of $1,452 million, net loss attributable to Huntsman of $141 million, adjusted net loss attributable to Huntsman of $43 million and adjusted EBITDA of $71 million.
Peter R. Huntsman, Chairman, President, and CEO, commented:
"The fourth quarter was within our expectations as trough conditions continued in our core markets. Despite quarterly volume improvement year-on-year of 5% for the Company leading to full year volume growth of 6%, we are yet to see that growth translate into needed margin improvement. As we begin 2025, construction and automotive markets, which represents approximately two-thirds of our portfolio, remain subdued. China faces economic challenges, but we expect the automotive sector to still show modest growth and overall profitability in that region to be relatively stable. European industry conditions are highly compromised from a combination of high energy costs, overburdening regulation, and excess capacity. We do not intend to sit idly by, waiting for markets to improve, and will remain aggressive in costs which will include announced workforce reductions in our Polyurethanes segment. Additionally, we will start assessing strategic options for our European maleic anhydride business as well as closing downstream Polyurethanes facilities. We will remain diligent in protecting our balance sheet, focusing on cash, and creating a leaner Company that will have substantial operating leverage when demand begins to meaningfully improve."
Segment Analysis for 4Q24 Compared to 4Q23
Polyurethanes
The increase in revenues in our Polyurethanes segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to higher sales volumes. Sales volumes increased primarily due to improved demand and share gains in the insulation and composite wood panels markets. The increase in segment adjusted EBITDA was primarily due to higher sales volumes, improved margins, and lower fixed and variable costs, partially offset with lower equity earnings from our minority-owned joint venture in China.
Performance Products
The decrease in revenues in our Performance Products segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to lower sales volumes, partially offset by higher average selling prices. Sales volumes decreased primarily due to extended Maleic Anhydride outages during the quarter and slow construction activity and weak demand in industrial markets, partially offset by modest improvements in fuels and lubes. The decrease in segment adjusted EBITDA was primarily due to lower sales volumes, partially offset by improved mix and lower fixed costs.
Advanced Materials
The increase in revenues in our Advanced Materials segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to higher sales volumes, partially offset by lower average selling prices. Sales volumes increased in our infrastructure and general industry segments. Average selling prices decreased primarily due to unfavorable sales mix. Segment adjusted EBITDA was relatively flat due to higher sales volumes offset by increased fixed costs.
Corporate, LIFO and other
For the three months ended December 31, 2024, adjusted EBITDA from Corporate and other was a loss of $39 million as compared to a loss of $35 million for the same period of 2023 due to a negative impact from LIFO valuation losses and higher legal expenses.
Liquidity and Capital Resources
During the three months ended December 31, 2024, our free cash flow from continuing operations was $108 million as compared to $83 million in the same period of 2023. As of December 31, 2024, we had approximately $1.7 billion of combined cash and unused borrowing capacity.
During the three months ended December 31, 2024, we spent $51 million on capital expenditures from continuing operations as compared to $83 million in the same period of 2023. During 2025, we expect to spend between approximately $180 million to $190 million on capital expenditures.
Income Taxes
In the fourth quarter of 2024, our effective tax rate loss was 36% and our adjusted effective tax rate was not meaningful. We expect our 2025 adjusted effective tax rate to be approximately 35%.
Source: Huntsman
