Full-year 2025 results | Arkema Argentina

High cash generation supported by strict management of operations in a challenging macroeconomic environment

EBITDA at €1,251 million, within the guidance range, and EBITDA margin at 13.8%, in a weak demand environment in the US and Europe, while Asia remained more dynamic
- Additional EBITDA contribution from major projects at around €60 million vs 2024
- Good resilience of Specialty Materials, overshadowed by the cyclical impact of acrylics and the decline of old-generation refrigerants
- Strict cost discipline offsetting fixed cost inflation while increasing R&D expenses
High recurring cash flow of €464 million, well above the €300 million guidance, consolidating the strength of the balance sheet
Ongoing momentum with +16 % YoY sales growth in key attractive markets such as batteries, sports, 3D printing, healthcare and fluorospecialties
Successful industrial start-up of three capacity expansions, in the US (DMDS, 1233zd) and Asia (Rilsan^® Clear), on schedule and on budget
Strong achievements in non-financial performance, with further progress in several key sustainability indicators
Stability of the dividend proposed at €3.60 per share
Revised segmentation from 2026 to better reflect the dynamics of the portfolio and enhance the transparency of the Specialty Materials performance (15.7% margin in 2025 ^([1]) and EBITDA decrease limited to 5% YoY at constant FX)
Outlook: In a macroeconomic environment marked so far by overall weak demand, the Group targets for 2026 a slight EBITDA growth at constant currencies and will continue to strictly control its operations, targeting to offset fixed cost inflation while managing capex at around €600 million.

^{([1]) Before allocation of corporate costs}

Chairman and CEO Thierry Le Hénaff said:

“In 2025 the macroeconomic environment was particularly demanding and more challenging than initially expected at the start of the year. Firstly, I would like to thank Arkema’s teams and management for their strong commitment and agility allowing us to address the headwinds we faced.

On the one hand, we focused on tightly managing costs, capex and working capital. As a result, the Group generated strong recurring cash flow, strengthening further its balance sheet, that will be key when the market rebounds. At the same time, we continued to implement our long-term innovation strategy for more sustainable solutions and to execute our major projects in Asia and North America. Their contribution was lower than expected in 2025 but operationally the plants are living up to our high expectations and their long-term outlook remains promising.

In an environment that continues to be uncertain, we will keep on focusing on our strengths and what is under our control, namely our cost discipline and our customer intimacy, as well as leveraging on our major projects and our strong innovation dynamics.”

Outlook

In a global macroeconomic environment marked so far by overall weak demand, adverse currency effects and limited visibility, the Group will continue to focus on the elements under its control.

Arkema will rely on the ramp-up of its major projects in high value-added innovative applications in the US and in Asia in which it has invested in the last few years. Their additional EBITDA contribution is expected to reach around €50 million in 2026 versus 2025, supported also by the three new production capacities recently started up.

The Group will also continue to tightly control its working capital and operating costs with the aim to offset fixed cost inflation in 2026. Furthermore, Arkema will pursue the streamlining and simplification of its organization and anticipates headcount to decline by around 3% per year over the next three years. In addition, the Group will manage its capital expenditure at around €600 million in 2026, leaving space for targeted investments in attractive markets.

Based on these elements, the Group targets a slight EBITDA growth in 2026 at constant currencies.

Arkema will also continue to implement its strategic roadmap on Specialty Materials, leveraging its
cutting-edge innovation, strengthening partnerships with its customers, and deploying its portfolio of technologies to support the development of solutions for a less carbon-intensive and more sustainable world.