Koppers Holdings Inc. reports Q2 2025 sales of $504.8 million, compared to $563.2 million in Q2 2024.
Net income was $16.4 million vs. $26.8 million in prior year Q2. Adjusted EBITDA totaled to $77.1 million, compared to $77.5 million in Q2 2024.
Chief Executive Officer Leroy Ball said, "I am extremely happy with our 2Q performance in every category other than top line revenue, where sluggish demand continued across all business segments. Our team's amazing commitment to our transformation process, Catalyst, is already bearing fruit, as evidenced by our ability to offset the impact on profitability from the sales decline through various cost-saving actions. Our global employee base has declined for 14 consecutive months, representing an 11% drop from its high point in April 2024. The decision to exit our phthalic anhydride business has also showed early returns and contributed positively to our margins in the quarter. Finally, strong operating cash flow and lower capital expenditures enabled us to reduce debt and return capital to shareholders through share repurchases and quarterly dividends."
2025 Outlook
After considering the current competitive environment, global economic conditions, as well as the ongoing uncertainty associated with geopolitical and supply chain challenges, Koppers is revising its sales forecast to be approximately $1.9 billion to $2.0 billion, compared with $2.0 billion to $2.2 billion previously. Accordingly, Koppers is reducing its 2025 financial forecast for adjusted EBITDA to be approximately $250 million to $270 million and adjusted EPS of approximately $4.00 to $4.60 per share, while maintaining its operating cash flow projection of $150 million. Although the company expects to realize significant benefit in 2025 from its cost reduction initiatives, current market conditions are reflecting a continued reduction in demand.
Koppers is an integrated global provider of essential treated wood products, wood preservation technologies and carbon compounds.
