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Trinseo (TSE) investor relations material

Trinseo Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2025 earnings summary7 Aug, 2025

Executive summary

  • Q2 2025 net loss was $106M, with adjusted EBITDA of $42M, both below prior year due to weak demand, lower volumes, and equity income, partially offset by cost reductions and restructuring actions.

  • Net sales for Q2 2025 were $784M, down 15% year-over-year, mainly from declines in latex binders and polystyrene.

  • Free cash flow was negative $3M, but liquidity remained strong at $399M at quarter end.

  • Major refinancing in early 2025 extended nearest debt maturity to 2028, improving liquidity and reducing near-term refinancing risk.

  • Ongoing restructuring, portfolio optimization, and sustainability initiatives are expected to drive future improvements.

Financial highlights

  • Q2 2025 net sales were $784M, down from $920M in Q2 2024, driven by 11% volume and 5% price declines.

  • Adjusted EBITDA was $42M, down from $67M prior year, mainly due to lower volumes and equity affiliate income.

  • Q2 2025 net loss was $106M, compared to $68M in Q2 2024; diluted EPS of $(2.95) vs. $(1.92).

  • Free cash flow for Q2 2025 was negative $3M; quarter-end cash was $139M, with total liquidity of $399M.

  • Gross margin for Q2 2025 was $36.6M, down from $68.4M in Q2 2024.

Outlook and guidance

  • Full-year 2025 net loss expected to be approximately $320M, with adjusted EBITDA of $200M and free cash flow of negative $165M.

  • No recovery in demand expected in the second half of 2025; profitability improvements from restructuring nearly offset by lower demand.

  • Liquidity management and cost controls remain a focus, with adequate resources to navigate macroeconomic headwinds.

  • Capital expenditures for 2025 estimated at $65M, with $40M for maintenance and the rest for sustainability projects.

  • Guidance assumes no reversal of Q2 net timing headwinds and flat net timing for the rest of 2025.

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Frequently asked questions

Trinseo, a materials solutions provider, manufactures and sells plastics and latex binders in the United States, Europe, the Asia-Pacific, and internationally. These products are used in the construction of latex foam products; leather, rubber and plastic coatings; automotive seating and trim; adhesives; footwear soles; tire cords and belts; building materials; medical devices; electronics applications; and more.

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