Solvay has reported its full-year earnings before interest, taxes, depreciation and amortization fell 15.6% to 1.05 billion euros in 2024, on sales that declined 4% to €4.6 billion.

Philippe Kehren, CEO, Solvay, said: “Since Solvay's separation in December 2023, our teams have achieved a lot, and I extend my sincere thanks to every Solvay employee for their contributions. Our new purpose-driven culture is clearly driving our organization forward.

Despite a market environment that shows little signs of recovery, our position as an essential chemical player combined with our leadership positions in our core markets have enabled us to deliver a solid financial performance in 2024, once again demonstrating our resilience. This success is underpinned by continued year-on-year growth in volumes for businesses such as Bicarbonate and Peroxides, and significant cost savings achieved through our ongoing transformation and digitalization efforts.

We have also made significant strides in sustainability, by reaffirming our commitment to carbon neutrality, launching our ambitious "For Generations" roadmap, and continuing to advance new energy transition projects to reduce our environmental footprint.

With our clear strategy in place, we are confident in our ability to continue to meet our commitments, generate sustainable cash flow to reward shareholders, and strategically position Solvay for future growth."

Structural cost savings initiatives delivered €110 million in 2024, well above the target of €80 million thanks to the acceleration of savings initiatives at manufacturing sites and in corporate functions.

2025 outlook

For 2025, current macroeconomic and geopolitical contexts do not suggest any significant volume recovery in Solvay main end markets. Solvay thus expects the trends of the latter part of the previous year to continue for at least the first semester. Net pricing is anticipated to be resilient compared to 2024, including the impact of the soda ash annual contracts.

In light of these external dynamics, management will continue to focus on the transformation of the company. Cost savings are expected to reach €200 million by year end (from €110 million at the end of 2024), offsetting both inflation and the temporary Corporate stranded costs expected in 2025 from the exit of the Transition Service Agreement with Syensqo.

In that context, Solvay expects its full year 2025 underlying EBITDA to be between €1.0 billion and €1.1 billion (representing an organic growth of -5 to +5% using EUR/USD rate of 1.05). Free cash flow to Solvay shareholders from continuing operations is expected to be around €300 million. Capex are expected to be between €300 million to €350 million, and provision cash-out will increase by more than €50 million year-on-year, mainly due to planned payments for the Dombasle energy transition project, accrued for in prior years.