Celanese 2025 Q3 Earnings Record Net Loss of $1.35 Billion Amid Segment Revenue Declines

Celanese (CE) reported fiscal 2025 Q3 earnings on Nov 7, 2025, with results significantly below expectations. The company swung to a net loss of $1.35 billion (vs. $117 million in 2024 Q3) and posted an 8.6% revenue decline to $2.42 billion. CEO Scott Richardson highlighted cost discipline and strategic moves like the Lanaken facility closure as priorities to offset weak demand.

Revenue

Celanese’s Q3 revenue dropped 8.6% year-over-year to $2.42 billion, driven by declines across key segments. The Engineered Materials segment reported $1.38 billion, while the Acetyl Chain segment generated $1.06 billion. Other activities and eliminations contributed $0 and -$26 million, respectively. The decline reflects weaker demand in engineered thermoplastics and standard-grade materials, though the company emphasized progress in high-impact programs and thermoplastic elastomers.

Earnings/Net Income

Celanese swung to a loss of $12.39 per share in Q3 2025, compared to a profit of $1.03 per share in the prior-year period, representing a 1302.9% negative change. The net loss of $1.35 billion marked a 1256.4% deterioration from the $117 million net income in 2024 Q3, primarily due to a $1.4 billion goodwill impairment charge.

Post-Earnings Price Action Review

The strategy of buying Celanese shares on the date of its earnings announcement and holding for 30 days yielded a 7.5% cumulative return over three years, outperforming the S&P 500’s 15.6% return. This positive performance, despite the earnings miss, is attributed to Celanese’s consistent revenue-beating track record and strategic focus on debt reduction and portfolio optimization.

CEO Commentary

Scott Richardson emphasized cost discipline and EM pipeline progress as growth drivers, despite flattish demand. He noted challenges in engineered thermoplastics but expressed optimism about thermoplastic elastomers and high-impact programs. Strategic priorities include $1–$2 EPS growth from cost actions by 2026, low-cost asset utilization, and leveraging the EM portfolio for differentiated solutions.

Guidance

Celanese targets $1–$2 EPS growth (excluding Micromax EBITDA) in 2026 from cost savings and EM pipeline contributions. Free cash flow is projected to reach $700–$800 million, supported by working capital stability and restructuring cost reductions. The Lanaken closure is expected to yield $20–$30 million in annual savings by 2027.

Additional News

Celanese finalized the sale of its Micromax business for $500 million, advancing its $1 billion divestiture target by 2027. The company also announced the closure of its Lanaken acetate tow facility, projected to deliver productivity savings by 2027. Additionally, CFO Chuck Kyrish highlighted $30–$40 million in annual interest expense reductions, underscoring cost optimization efforts.

The earnings report underscores Celanese’s strategic pivot to cost efficiency and portfolio rationalization amid weak global demand. While the Q3 results were marred by a significant impairment charge, the company’s focus on debt reduction and operational improvements aligns with long-term resilience goals. Investors will closely monitor the success of divestitures and restructuring initiatives to gauge recovery in margins and earnings.