Solvay (SOLB) Q3 2026 earnings summary

Executive summary

• Q3 underlying net sales were €1,031m, down 3.3% organically; underlying EBITDA was €173m, down 26.6%, with a 16.8% margin.

• Middle East disruption, the Jubail Peroxides shutdown and weak soda ash markets pressured results; structural savings added €25m in Q3, with €283m delivered cumulatively.

• 9M underlying net sales were €3,059m and EBITDA €579m; underlying profit from continuing operations was €178m.

Financial highlights

• Q3 underlying net sales fell 1.3% reported and 3.3% organically; volume and mix reduced sales by €54m, while price added €19m and FX €22m.

• Q3 underlying EBITDA declined from €232m to €173m; volume and mix reduced EBITDA by €65m and net pricing by €29m, while fixed costs added €20m and other items €11m.

• The Middle East conflict reduced Q3 EBITDA by €25m, including €15m from the Jubail shutdown; the prior-year comparison included ~€40m from CO₂ rights sale proceeds.

• Underlying profit from continuing operations was €35m in Q3 versus €90m; 9M profit was €178m versus €291m.

• Q3 free cash flow was €54m and 9M free cash flow to shareholders from continuing operations was €70m; 9M included a €28m one-off insurer settlement gain.

Outlook and guidance

• FY2026 underlying EBITDA guidance is €720m–€740m, excluding potential Sadara revenue or recovery measures; guidance assumes EUR/USD of 1.20 and is net of €40m transformation expenses.

• FY2026 free cash flow guidance was €120m–€150m in prepared remarks; the CFO later cited €120m–€140m assuming no HPPO compensation. Guidance is net of ~€90m transformation expenses.

• FY2026 capex is expected below €300m, including €15m–€20m for La Rochelle rare earth separation capacity expansion.

• Structural cost savings remain on track for €300m by year-end 2026; transformation costs are expected to fall to ~€50m in 2027 and be almost fully eliminated from 2028.