Clariant (CLN) Q2 2026 earnings summary

Executive summary

• Q2 2026 sales reached CHF 941.3 million, up 0.6% in local currency on a comparable basis, with strong growth in Care Chemicals and Adsorbents & Additives offsetting a 13.3% decline in Catalysts due to Middle East conflict.

• EBITDA margin before exceptional items improved by 80 basis points to 18.2% in Q2 2026, driven by Care Chemicals and effective cost management.

• Free cash flow conversion rose to 52% (LTM), reflecting disciplined capital spending and improved working capital management.

• Net income for H1 2026 increased to CHF 85.0 million from CHF 44.2 million in H1 2025, mainly due to higher operating income and lower exceptional expenses.

• Amsterdam District Court dismissed Shell's ethylene damage claim, reducing legal uncertainty.

Financial highlights

• Q2 2026 sales: CHF 941.3 million (+0.6% local currency, -0.3% reported); Q2 EBITDA before exceptional items: CHF 171.1 million (18.2% margin).

• H1 2026 sales: CHF 1,859.3 million (flat local currency, -1.2% reported); H1 EBITDA before exceptional items: CHF 331.3 million (17.8% margin, -7.7% YoY).

• Net income for H1 2026: CHF 85.0 million, up from CHF 44.2 million in H1 2025.

• Net cash from operating activities rose to CHF 168.7 million; free cash flow conversion at 52%.

• Net debt increased to CHF 1,493.1 million; net debt/EBITDA before exceptional items at 2.2x.

Outlook and guidance

• 2026 guidance unchanged: sales expected flat in local currency, EBITDA margin before exceptional items around 18%.

• Growth anticipated in Adsorbents & Additives, slight growth in Care Chemicals, lower sales in Catalysts due to Middle East order delays.

• H2 expected to be stronger, especially in Catalysts as force majeures ease outside the Middle East.

• Performance Improvement Programs savings target raised to CHF 100 million by 2027, with CHF 90 million expected by end of 2026.

• Portfolio pruning to have a negative ~1% impact on group sales.