WAYNE, PA — Trinseo (NYSE: TSE) posted a deeper loss in the second quarter of 2025 as soft demand, pricing pressure, and reduced plant utilization weighed on results across all business segments. The performance underscores continued headwinds from global trade uncertainty and cautious customer spending.
Net sales fell 15% year-over-year to $784 million, driven by lower volumes and pricing—particularly in latex binders and polystyrene. The company reported a net loss of $106 million, or $2.95 per share, compared with a $68 million loss a year earlier. Adjusted EBITDA declined to $42 million from $67 million, hurt by weaker margins and lower equity income from its Americas Styrenics joint venture.
Trinseo pointed to challenging market conditions in Asia and Europe, where competitive pricing and reduced orders pressured Latex Binders revenue, down 19% to $204 million. Engineered Materials sales slid 9% to $293 million on softer volumes, though mix improvements and cost cuts helped keep segment earnings nearly flat. Polymer Solutions revenue dropped 17% to $287 million, largely due to lower European sales and pricing pressure from Asian imports. Americas Styrenics saw earnings cut in half to $8 million following an unplanned outage and reduced polystyrene demand.
Despite the weaker top line, Trinseo improved cash flow from operations to $7 million, up from negative levels last year, aided by a shorter cash conversion cycle and restructuring savings. Free cash flow remained negative at $3 million but improved by $53 million year-over-year. Liquidity at quarter’s end stood at $399 million, including $139 million in cash.
Looking ahead, the company reaffirmed its full-year guidance, projecting a net loss of about $320 million and Adjusted EBITDA of roughly $200 million. Management cautioned that no recovery is expected in the second half as seasonal demand is being offset by trade uncertainty, but emphasized ongoing cost controls, reduced discretionary spending, and targeted liquidity preservation.
CEO Frank Bozich said the company remains confident that current demand weakness is cyclical rather than structural and expects improvement once global trade conditions stabilize. In the meantime, Trinseo plans to continue investing in growth initiatives and circular technologies while navigating a difficult market environment.
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