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Westlake (WLK) FY2025 results: revenue $11.2 billion, down 8.0% on the year

Westlake Corp. (WLK) reported revenue of $11.2 billion for fiscal 2025, the year ended 31 December 2025, down 8.0% on the year before. Net income was -$1.5 billion, and diluted earnings per share $-11.70. The figures are the company's own, from the 10-K it filed with the SEC on 26 February 2026.

Revenue
$11.2 billion
-8.0% on the year
FY2018FY2025
Operating margin
-14.1%
7.2% a year earlier
FY2018FY2025
Net income
-$1.5 billion
FY2018FY2025
Diluted EPS
-$11.70
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 1 new.

  • Q4 loss and EBITDA excluding items: Excluding identified items, the fourth-quarter net loss was $33 million, or $0.25 per share, and EBITDA was $196 million on net sales of $2.5 billion.
  • Full-year results excluding identified items: For 2025, excluding identified items, net sales were $11.2 billion, with a net loss of $116 million, or $0.90 per share, and EBITDA of $1.1 billion.
  • PEM quarterly loss on prices and volume: PEM loss from operations excluding identified items was $222 million, against a $41 million loss a year earlier, on lower selling prices and lower sales volume.
  • PEM sales down 12% on prices, volume: PEM net sales fell 12% in the quarter, with volume down 7% and average sales price down 5%.
  • Year-end cash $2.9 billion, debt $5.6 billion: At December 31, 2025, cash and fixed-income investments were $2.9 billion and total debt was $5.6 billion.
Read the Q4 FY2025 earnings call summary

From this 10-K

Westlake makes and sells housing and infrastructure products and performance and essential materials, used in markets such as residential construction, packaging, automotive, healthcare, water treatment, wind turbines and coatings. It reports two segments, Housing and Infrastructure Products (HIP) and Performance and Essential Materials (PEM), and its production chain runs from ethylene and chlor-alkali (chlorine and caustic soda) into vinyls, polyethylene and epoxy, and from polyvinyl chloride (PVC) into its building products, pipe and compounds.

Westlake Corp., the 10-K for 2025

Westlake makes and sells housing and infrastructure products and performance and essential materials, used in markets such as residential construction, packaging, automotive, healthcare, water treatment, wind turbines and coatings. It reports two segments, Housing and Infrastructure Products (HIP) and Performance and Essential Materials (PEM), and its production chain runs from ethylene and chlor-alkali (chlorine and caustic soda) into vinyls, polyethylene and epoxy, and from polyvinyl chloride (PVC) into its building products, pipe and compounds.

History

It began operations in 1986. In 2014 it formed Westlake Chemical Partners to operate, acquire and develop ethylene production facilities, and that partnership completed an initial public offering the same year. It acquired Axiall Corporation in 2016, Boral Limited's North American building products businesses in 2021 and the global epoxy business of Hexion in 2022, and since 2022 it has owned a 50% interest in LACC, which owns an ethylene plant next to its chlor-alkali facility in Lake Charles. In 2025 it completed an expansion of chlorine, caustic soda and VCM capacity at its Geismar, Louisiana site, and in January 2026 it acquired the global compounding solutions businesses of the ACI/Perplastic Group, a Portugal-based maker of specialty materials for the wire and cable sectors.

Housing and Infrastructure Products

HIP makes residential PVC siding, PVC trim and mouldings, architectural stone veneer, windows, PVC decking, polymer composite and cement roof tiles, PVC pipe and fittings for water, sewer, electrical and industrial uses, and compounds used in housing, medical and automobile products. Its brands include Royal Siding, Celect, TruExterior, Kleer Lumber, Cultured Stone, Eldorado Stone and DaVinci Roofscapes. It competes with producers and fabricators including CertainTeed Corporation, JM Eagle, Trex Company and James Hardie.

Performance and Essential Materials

PEM's principal products are ethylene, polyethylene, chlorine and caustic soda, chlorinated derivative products, ethylene dichloride, VCM and PVC, along with epoxy resins used in coatings and in the automotive, construction, wind energy, aerospace and electronics industries. Its plants include sites in Louisiana, Kentucky, Texas, West Virginia, Washington, Quebec, Germany, Spain, South Korea, and through joint ventures it owns 95% and 60% of, China and Taiwan. At February 18, 2026 it had approximately 39.2 billion pounds per year of production capacity in the segment. The filing states that competition in these markets is based primarily on price, and its competitors include Dow, ExxonMobil Chemical, LyondellBasell, Formosa Plastics, Olin and Occidental Chemical.

People

At December 31, 2025 it had approximately 14,600 employees across 18 countries, approximately 7,400 of them in HIP, 6,500 in PEM and 700 in corporate and other roles. Approximately 68% were employed in the United States, and approximately 24% are represented by labor unions, including works councils in Europe.

From Westlake's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 26 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue11,17012,14212,548-8.0%
Cost of revenue10,35710,18510,329+1.7%
Gross profit8131,9572,219-58.5%
Gross margin7.3%16.1%17.7%
Selling, general and administrative900874865+3.0%
Operating income-1,578875729
Operating margin-14.1%7.2%5.8%
Interest expense171159165+7.5%
Pre-tax income-1,597938700
Income tax-126291178
Effective tax raten/a31.0%25.4%
Net income-1,508602479
Net margin-13.5%5.0%3.8%
Diluted EPS-$11.70$4.64$3.70
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow4651,3142,336-64.6%
Capital expenditure9951,0081,034-1.3%
Free cash flow-5303061,302
Free cash flow margin-4.7%2.5%10.4%
Cash from investing-1,223-1,001-1,037
Cash from financing530-650-245
Depreciation and amortisation1,1781,1141,097+5.7%
Share-based compensation41.041.043.00.0%
Buybacks63.060.023.0+5.0%
Dividends paid272264221+3.0%
Dividend per share$2.11$2.05$1.71+2.9%
Diluted shares, weighted128m129m129m-0.7%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity8,79210,52710,241-16.5%
Non-controlling interest503516523-2.5%
Debt5,5844,5624,906+22.4%
Operating lease liabilities688713611-3.5%
Other liabilities4,3944,4324,754-0.9%
Total liabilities and equity19,96120,75021,035-3.8%
Fixed assets8,6058,6338,519-0.3%
Goodwill1,3142,0312,041-35.3%
Intangible assets743820910-9.4%
Investments2040.0n/a
Cash and equivalents2,7242,9193,304-6.7%
Receivables1,2291,3151,393-6.5%
Inventory1,6531,6971,622-2.6%
Other assets3,4893,3353,246+4.6%
Total assets19,96120,75021,035-3.8%

10-K for the year ended 31 December 2025, filed 26 February 2026: the filing.