Wacker Chemie AG

Wacker Chemie reported Q3 2025 sales of EUR 1.34 billion, down 6% year over year, and EBITDA of EUR 112 million versus EUR 145 million a year ago. Excluding the EUR 47 million drag from “others,” the sum of segment EBITDA was EUR 159 million, down from EUR 195 million last year. EBIT was minus EUR 20 million versus plus EUR 30 million a year ago, and net income was negative EUR 82 million, or a loss of EUR 1.73 per share, after a EUR 30 million deferred tax expense tied to lower German corporate tax rates. Net cash flow was plus EUR 19 million, and inventories were EUR 173 million lower year to date; liquidity was about EUR 781 million and net debt was EUR 1.16 billion. For 2025, management lowered guidance to sales at the lower end of EUR 5.5 billion-EUR 5.9 billion and EBITDA in the lower half of EUR 500 million-EUR 700 million; net cash flow is expected to be negative but significantly higher than last year. Segment outlooks were also cut: Silicones sales and EBITDA are now expected to be low single-digit percent below prior year, Polymers sales to decline by a mid-single-digit percent with margin below prior year, Biosolutions sales to be similar to last year with EBITDA around EUR 25 million, and Polysilicon sales to be high single-digit percent lower with EBITDA of approximately EUR 100 million. Management also said 2026 CapEx should be well below EUR 400 million.

Christian Hartel described the backdrop as difficult across the chemical industry, especially in Europe, with weak demand, high competition from China, and a stronger euro. He emphasized that Wacker is staying focused on specialty chemicals, aligning polysilicon with semiconductor growth, and restoring competitiveness through a broad cost program targeting fixed production costs and administration. He also stressed that semis remains the strategic center of polysilicon, while solar remains dependent on the outcome of U.S. regulatory investigations.

Tobias Ohler detailed the quarter’s financial pressure: sales of EUR 1.34 billion, EBITDA of EUR 112 million, EBIT of minus EUR 20 million, and net income of minus EUR 82 million after a EUR 30 million deferred tax charge. He pointed to lower pricing, foreign exchange, and volume mix as the main EBITDA headwinds, but noted better cash generation, with net cash flow at plus EUR 19 million and inventories down EUR 173 million since the start of the year. He also highlighted a solid balance sheet with EUR 4.42 billion in equity, about EUR 781 million in liquidity, a 52% equity ratio, and plans to reduce CapEx meaningfully, including 2026 CapEx well below EUR 400 million.

Analysts pressed on tariff exposure, the solar polysilicon mix, the sustainability of Silicones margins, and whether 2026 could see group EBITDA down again. Management said the direct tariff impact is expected to be EUR 20 million to EUR 30 million for the full year, mostly pass-through, while the bigger effect may be indirect demand uncertainty. On polysilicon, management reiterated that it does not disclose the semi/solar mix but said semi volumes are growing strongly and that the strategic focus remains on semi, with any solar upside depending on a final Section 232 ruling. On Silicones and other segments, management said it is too early to give 2026 guidance, but acknowledged pressure from lower utilization, weak orders, and reduced fixed-cost absorption, while confirming that the new cost program is intended to address those issues across the group.