Specialty materials manufacturer Trinseo has reported a steep fourth-quarter loss and weaker annual performance, as declining sales volumes and pricing pressure across major product lines weighed on results.

 

The company posted fourth-quarter net sales of $663 million, down 19% from a year earlier, driven by lower sales volumes across all business segments and competitive pricing pressure in Polymer Solutions and Latex Binders, particularly in Europe and Asia.

 

Trinseo recorded a net loss of $251 million in the fourth quarter, $133 million worse than the prior year period. The quarter included $127 million in pre-tax restructuring and other charges tied to the company’s ongoing restructuring initiatives.

 

Adjusted EBITDA totaled $26 million, roughly in line with the same quarter last year, as savings from restructuring programs partly offset weaker volumes and margins.

 

For 2025, Trinseo reported net sales down 15% year over year, reflecting a 10% decline from lower volumes across all segments and a 6% drop from weaker pricing in Polymer Solutions and Latex Binders. Favorable foreign exchange added about 1% to sales.

 

The company posted a full-year net loss of $546 million, $197 million worse than the previous year. Results included $140 million in pre-tax restructuring and related charges.

 

Adjusted EBITDA for the year was $163 million, $41 million below 2024, as restructuring benefits and $27 million in polycarbonate license income were outweighed by falling volumes, weaker margins in Polymer Solutions and Latex Binders, and lower equity income from Americas Styrenics.

 

Operational cash flow also remained under pressure. Cash used in operations totaled $102 million, while capital expenditures reached $51 million, resulting in negative free cash flow of $153 million.

 

 

Engineered Materials: Quarterly net sales reached $240 million, down 13% year over year, largely due to lower MMA volumes following the closure of the company’s virgin production facilities in Italy. Adjusted EBITDA was $27 million, essentially unchanged as restructuring savings offset weaker volumes.

 

Latex Binders: Sales fell 19% to $176 million, reflecting reduced demand in textile, paper, and board markets globally. Adjusted EBITDA dropped to $9 million, $10 million below the prior year, driven by lower volumes and margins in Europe. Sales to CASE and battery binder applications represented 17% of segment revenue, with volumes rising 1% year over year despite subdued market demand.

 

Polymer Solutions: Net sales declined 25% to $246 million, while Adjusted EBITDA slipped to $15 million, down $2 million from last year, amid an unfavorable product mix and lower volumes.

 

Americas Styrenics: The segment posted Adjusted EBITDA of negative $7 million, an improvement of $3 million from the prior year, helped by higher polystyrene volumes and the absence of a major timing impact that weighed on 2024 results.

 

Commenting on the year, CEO Frank Bozich said, “While we continued to face numerous market and macroeconomic headwinds throughout 2025, our team remained resilient and delivered exceptional safety performance that exceeded our environmental, health, and safety goals for the year. 

 

"We continued to invest in new technology and innovation in strategic businesses like battery binders, CASE, and recycled content containing platforms to deliver growth. I am grateful for the strong contribution of team members throughout the organization. We remain focused on delivering best-in-class materials and services for our customers.”