Braskem (BRKM5) investor relations material

Executive summary

• Recurring EBITDA fell to $74M in 2Q25, down 67% sequentially and 77% year-over-year, driven by lower spreads, scheduled shutdowns, and inventory effects across all segments.

• Net loss attributable to shareholders was $45M (R$267M), mainly due to margin compression and reduced financial gains.

• Cash position at quarter-end was $1.7B, sufficient to cover debt maturities for the next 30 months; total liquidity, including credit lines, reached $2.8B.

• Transformation plan and Resilience Program advanced, focusing on renewables, asset optimization, efficiency, and sustainability.

Financial highlights

• Net revenue was $3.15B, down 5% sequentially and 14% year-over-year; COGS decreased 1% sequentially and 9% year-over-year.

• Consolidated recurring EBITDA was $74M, down 67% year-over-year and sequentially.

• Operating cash consumption was $31M, up $129M from the previous quarter; total cash consumption, including Alagoas, was R$1.4B.

• Gross profit dropped 72% from 1Q25 and 74% from 2Q24; gross margin fell to 2%.

• Corporate leverage reached 10.59x at quarter-end due to lower LTM EBITDA.

Outlook and guidance

• The global petrochemical industry faces continued challenges from oversupply, slow demand growth, and new capacity in China, with margin pressure expected through 2030.

• Company will continue asset transformation, focus on cash flow management, and pursue measures to strengthen the Brazilian chemical sector.

• Emphasis on competitive parity measures in Brazil, such as the PRESIQ program, to support industry utilization and competitiveness.

• Cash burn expected to continue in H2, but at a lower rate than H1, with focus on productivity and feedstock improvements.