Huntsman Posts Narrower Loss in Q2, Sales Beat on Higher Volumes

Huntsman Corporation’s HUN second-quarter 2026 loss (as reported) was 3 cents per share, narrower than a loss of 92 cents in the year-ago quarter. 

Barring one-time items, HUN posted break-even earnings per share compared with a loss of 20 cents in the year-ago quarter. The Zacks Consensus Estimate of earnings was pegged at 6 cents per share. 

Revenues were $1,663 million, up 14% year over year. The top line beat the Zacks Consensus Estimate of $1,546.1 million. HUN benefited from higher sales volumes across all three segments and pricing actions, partly offset by higher raw material costs and continued softness in construction markets. 

Huntsman Corporation Price, Consensus and EPS Surprise

Huntsman Corporation price-consensus-eps-surprise-chart | Huntsman Corporation Quote

HUN’s Q2 Segment Highlights

Polyurethanes: Revenues from the segment increased 16% year over year to $1,079 million. The figure beat our estimate of $980.9 million. The increase was driven by higher average selling prices and sales volumes. MDI prices improved across all three regions on better supply-demand dynamics, while volumes increased in the Americas and Europe. 

Performance Products: Revenues rose 5% year over year to $283 million and beat our estimate of $254.5 million. The increase primarily reflected higher sales volumes, particularly in performance amines, along with slightly higher average selling prices. Segment results also benefited from lower fixed costs under the company’s cost-optimization program. 

Advanced Materials: Revenues increased 19% year over year to $313 million, surpassing our estimate of $277.9 million. The improvement was driven by higher average selling prices and sales volumes. Pricing benefited from a favorable sales mix and currency movements, while volumes grew across aerospace, power and automotive markets. 

HUN’s Financials

Free cash flow from continuing operations was a use of $90 million against a source of $55 million in the prior-year quarter. The company had around $0.9 billion in combined cash and unused borrowing capacity as of June 30, 2026. Huntsman spent $30 million on capital expenditures compared with $37 million in the prior-year quarter. Net cash used in operating activities from continuing operations was $60 million in the reported quarter. 

HUN’s Outlook

Huntsman expects to remain focused on additional price increases and cost-reduction initiatives to offset rising and volatile energy and crude oil-related costs, particularly in Europe. The company expects 2026 capital expenditures of approximately $170 million. 

The planned all-stock merger of equals with Olin Corporation continues to progress, with the stockholder vote scheduled for Aug. 25, 2026. Management expects the combined company to benefit from vertical integration, greater scale and a stronger financial profile. 

HUN’s Stock Price Performance

Shares of Huntsman have gained 9.7% in the past year compared with the Zacks Chemicals Diversified industry’s 6.4% rise. 

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HUN’s Zacks Rank & Key Picks

HUN currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the Basic Materials space are Almonty Industries Inc. ALM, Neo Performance Materials Inc. NOPMF and Skeena Resources Limited SKE.

Almonty is expected to report second-quarter results on Aug. 13. The Zacks Consensus Estimate for ALM’s second-quarter earnings is pegged at 10 cents per share. It carries a Zacks Rank #2 at present.

NOPMF is slated to report second-quarter results on Aug. 11. The Zacks Consensus Estimate for earnings is pegged at 50 cents per share. NOPMF has a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Skeena Resources is expected to report second-quarter results on Aug. 13. The Zacks Consensus Estimate for SKE’s second-quarter loss is pegged at 11 cents per share. It currently carries a Zacks Rank #2.

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This article originally published on Zacks Investment Research (zacks.com).

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