Olin Corporation has reported a sharp decline in third-quarter 2026 net income, with earnings falling nearly 66% year over year amid persistent global demand weakness, challenging market conditions and rising cost pressures.

 

The company posted net income of $14.4 million, or $0.13 per diluted share, for the quarter ended September 30, 2026, compared with $42.8 million, or $0.37 per diluted share, in the same period last year.

 

Adjusted EBITDA also declined to $191.4 million from $222.4 million in the third quarter of 2025, reflecting continued pressure across key business segments. The latest figure excludes depreciation and amortization expenses of $114.4 million, acquisition-related costs of $13.7 million and restructuring charges of $1.7 million.

 

Despite the earnings decline, revenue edged higher, rising to $1.75 billion from $1.71 billion a year earlier.

 

Ken Lane, President and Chief Executive Officer, said, "During the third quarter, Olin delivered adjusted EBITDA consistent with our expectations and restored normal operations at our vinyl chloride monomer (VCM) assets. Our Chlor Alkali Products and Vinyls business maintained disciplined market participation and stable domestic Electrochemical Unit values despite continued challenging global demand. 

 

"Epoxy earnings improved as structural cost reductions and volume growth offset persistent demand weakness in Europe. Winchester delivered consistent year-over-year commercial volume growth through the third quarter, while pricing actions were implemented to offset higher metals and raw material costs.

 

"We also achieved two important milestones related to our proposed merger with Huntsman. Shareholders of both companies overwhelmingly approved the transaction, and the waiting period under the U.S. Hart-Scott-Rodino Act expired, satisfying a key closing condition."

 

He added: "We continue to see good progress on the remaining regulatory approvals and now expect the transaction to close in first quarter 2027, subject to customary closing conditions. We are advancing permitted pre-close integration planning to prepare for an expeditious combination and realization of expected synergies.

 

"Our fourth-quarter outlook reflects normal seasonality, as well as elevated year-end customer destocking in Chemicals, higher feedstock costs, continued pressure from subsidized Asian exports and significant planned maintenance turnarounds. We remain focused on our value-first commercial approach amid volatile export markets. Fourth quarter 2026 adjusted EBITDA is expected to be in the range of $80 million to $100 million. Our priorities remain operating safely and reliably, delivering Beyond250 structural cost savings and generating cash."

 

Olin expects adjusted EBITDA of between $80 million and $100 million in the fourth quarter of 2026, significantly below the $191.4 million reported in the third quarter.

 

The company cited seasonal weakness, elevated customer destocking in its Chemicals business, higher feedstock costs, subsidized Asian exports and major planned maintenance turnarounds as key headwinds.

 

Meanwhile, the proposed merger with Huntsman is moving closer to completion after shareholders of both companies overwhelmingly approved the deal and the U.S. antitrust waiting period expired. Olin now expects the transaction to close in the first quarter of 2027, subject to customary closing conditions.

 

The company said it remains focused on operational reliability, structural cost reductions and cash generation as it navigates challenging market conditions.