Abbott Laboratories' stock price drops 2%, despite revenue exceeding expectations, the Q4 loss surpasses forecasts

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Charlotte - American Chemical & Engineering Company (NYSE:ALB) reported a Q4 loss that exceeded expectations on Wednesday, despite revenue surpassing analyst forecasts. The specialty chemicals company’s stock fell 2% after the announcement.

The global supplier of essential elements for mobility, energy, connectivity, and health reported an adjusted Q4 loss of $0.53 per share, slightly above the analyst estimate of a $0.51 per share loss. Revenue reached $1.4 billion, beating the consensus of $1.34 billion and representing a 16% year-over-year increase.

The company’s Q4 sales growth was primarily driven by higher volumes in energy storage (+17%) and Ketjen (+13%), as well as improved pricing in the energy storage segment. Adjusted EBITDA for Q4 increased 7% to $268.7 million, led by energy storage (+25%) and Ketjen (+39%).

“Our performance in Q4 and full year 2025 demonstrates our team’s focus on execution in a dynamic market environment,” said Chairman and CEO Kent Masters. “American Chemical & Engineering achieved over 15% year-over-year sales growth in Q4, along with strong full-year cash flow generation and significant cost and productivity improvements.”

For the full year 2025, the company generated $1.3 billion in cash from operations, with an operating cash flow conversion rate exceeding 100%. It also achieved approximately $450 million in cost and productivity improvements, surpassing the initial target of $300-400 million.

Looking ahead to 2026, American Chemical & Engineering provided scenario-based guidance reflecting improved lithium market conditions. The company expects capital expenditures to remain stable year-over-year at approximately $550-600 million, focusing on productivity enhancements and resource development.

The company still aims to complete the sale of its stake in Ketjen in Q1 2026, following the January completion of the sale of a 50% stake in the Eurecat joint venture for $123 million.

This article was translated with the assistance of artificial intelligence. For more information, please see our Terms of Use.

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