Ecovyst Inc.

Second-quarter 2026 sales were $250 million, up $74 million year over year, and adjusted EBITDA was $53 million, up 27% versus Q2 2025. Excluding the approximately $55 million sulfur pass-through, sales were up nearly 11%, and adjusted EBITDA was up $11 million. First-half 2026 adjusted free cash flow was $13 million. The quarter ended with net debt leverage of 2.0x, up from 1.2x at March 31, after funding the Calabrian acquisition with debt and cash on hand. For 2026, Ecovyst now expects sales of $1.02 billion to $1.06 billion, full-year adjusted EBITDA of $195 million to $207 million, adjusted free cash flow of $45 million to $55 million, capital expenditures of $85 million to $95 million, interest expense of $18 million to $22 million, D&A of $80 million to $84 million, and adjusted diluted EPS of $0.58 to $0.72. Third-quarter 2026 adjusted EBITDA is expected to be $54 million to $59 million, and fourth-quarter 2026 adjusted EBITDA is expected to be $48 million to $55 million.

Kurt Bitting struck an upbeat, execution-focused tone, saying the quarter showed continued progress against financial objectives and the long-term growth strategy. He highlighted higher regenerated sulfuric acid demand, double-digit growth in virgin sulfuric acid volumes, and the strategic fit of Calabrian as the third bolt-on in Ecovyst’s sulfur-chemistry playbook. He also emphasized that the portfolio simplification from the Advanced Materials & Catalysts sale gave the company focus and financial flexibility, while long-term trends in mining expansion and U.S. industrial onshoring remain supportive.

Mike Feehan walked through the quarter’s math clearly: sales of $250 million, adjusted EBITDA of $53 million, and about $55 million of sulfur pass-through that largely did not affect EBITDA. He said the company ended Q2 with $176 million of liquidity, including $88 million of cash and $88 million of ABL availability, and with net debt leverage at 2.0x, still at the low end of the 2.0x to 2.5x target range. He also noted that full-year guidance moved up because of stronger first-half results and Calabrian, while higher sulfur prices will push the pass-through effect on sales to about $220 million for the year, and capital spending is rising to $85 million to $95 million because of the Gulf Coast expansion and Calabrian.

Analysts focused on contract reset pricing, nylon demand, sulfur market direction, and Calabrian integration. Management said about 90% of the business is under longer-term contracts and that contracts rolling off at year-end should reset at more favorable pricing and terms if current market conditions persist. On nylon, Kurt Bitting said Gulf Coast demand has been largely flattish, consistent with the company’s earlier view. On sulfur pricing and exports, management said U.S. sulfur prices appear to be plateauing and may ease modestly later this year, and noted the network can participate in sulfuric acid exports, helped by Waggaman’s capability and Gulf Coast sulfur access. On Calabrian, management said integration is on plan, customer disruption has been avoided, and expected cost and revenue synergies are likely $3 million to $4 million.