Core Viewpoint - Huntsman Exploration Inc. has established a Technical Advisory Committee to enhance its strategic and financial guidance, particularly for its gold-focused projects [1][3]. Group 1: Committee Formation and Appointments - The newly formed Technical Advisory Committee aims to provide strategic and financial expertise to advance the company's portfolio [1]. - Tony M. Ricci, CPA, CA, has been appointed as a member of the Committee, bringing over 30 years of experience in public companies and a strong background in the mining sector [2][3]. - Mr. Ricci's previous roles include significant positions at Great Bear Resources Ltd., Norsemont Mining Inc., and other companies with a combined market capitalization exceeding $5 billion [2]. Group 2: Strategic Importance of Appointments - The CEO of Huntsman Exploration, Carl Ginn, emphasized that Mr. Ricci's appointment is crucial for strengthening the company's strategic vision and exploration efforts [3]. - Mr. Ricci is expected to provide critical guidance in assessing the economic viability of the company's gold-focused assets [3]. - Additionally, Mr. Jean-Félix Lepage, P.Eng., has been elected to the Committee, bringing experience from O3 Mining, which merged with Agnico Eagle in a transaction valued at approximately $180 million [4]. Group 3: Company Overview - Huntsman Exploration Inc. is a Canadian exploration company focused on advancing gold and critical mineral projects in premier mining jurisdictions [5]. - The company is committed to sustainable exploration and aims to create shareholder value through responsible development of its mineral assets [4][5].

Looking at the universe of stocks we cover at Dividend Channel , in trading on Friday, shares of Huntsman Corp (Symbol: HUN) were yielding above the 9% mark based on its quarterly dividend (annualized to $1), with the stock changing hands as low as $10.58 on the day. Dividends are particularly important for investors to consider, because historically speaking dividends have provided a considerable share of the stock market's total return. To illustrate, suppose for example you purchased shares of the iShare ...

Core Viewpoint - Huntsman Corporation announced the appointment of Julia Wright as Executive Vice President, General Counsel, and Secretary, effective October 13, 2025, succeeding David Stryker, who will retire at the end of the year [1][3]. Group 1: Leadership Transition - Julia Wright has over 15 years of senior executive experience, previously serving as Senior Vice President, General Counsel, and Secretary at ChampionX Corporation [2]. - David Stryker has been with Huntsman as General Counsel since June 2013 and will assist in the transition while focusing on strategic initiatives [3]. Group 2: Julia Wright's Background - At ChampionX, Wright was responsible for various legal functions, including corporate governance, compliance, and M&A, and played a key role in the company's acquisition by SLB [2]. - Wright's previous experience includes serving as Vice President and General Counsel at Nabors Industries and starting her career at Vinson and Elkins [2]. Group 3: Company Overview - Huntsman Corporation is a global manufacturer and marketer of specialty chemicals, with 2024 revenues of approximately $6 billion [4]. - The company operates over 60 manufacturing and R&D facilities in about 25 countries and employs approximately 6,300 associates [4].

Group 1 - Huntsman (HUN) shares have significantly underperformed over the past year, losing approximately 50% of their value [1] - The chemicals sector is experiencing broad pressure due to weak economic activity, particularly in the construction industry, and ongoing oversupply issues [1]

Group 1: Corporate Actions - Mitsubishi Chemical announced the transfer of its wholly-owned subsidiary J-Film Corporation to a special purpose entity of Marubeni Capital Fund III, expected to be completed by December 29, 2025. This decision follows the recent exit from the polyester resin manufacturing business for printer toner, driven by a new mid-term management plan for 2029 [3]. - Evonik has initiated the dissolution and liquidation of its joint venture with Shandong Weilan Biotechnology due to changes in the market environment and unmet operational expectations. The joint venture was established to develop gut health solutions for livestock in the Chinese market [4]. - Hexion reported a 10% workforce reduction as part of cost-cutting measures, including the closure of its maleic anhydride plant in Germany and other downstream facilities in Europe and North America, due to decreased global construction and industrial activity [6]. Group 2: Financial Performance - Mitsubishi Chemical's Q1 2025 sales revenue was 880.65 billion yen, a 13.4% decrease year-on-year, with net profit down 36.1% to 35.968 billion yen, and attributable net profit down 50.5% to 19.627 billion yen, largely impacted by overall economic slowdown and U.S. trade policies [3]. - Evonik's Q2 2025 sales fell by 11% to 3.5 billion euros, with over half of the decline attributed to unfavorable currency fluctuations and the divestment of its superabsorbent polymers business. Adjusted EBITDA decreased by 12% to 509 million euros [4][5]. - Hexion's H1 2025 revenue was $2.868 billion, down 6% year-on-year, with a net loss of $163 million compared to a net loss of $15 million in the same period last year. Adjusted EBITDA fell by 31.1% [6].

Core Insights - Huntsman Corporation reported a second-quarter 2025 loss of 92 cents per share, a significant decline from earnings of 13 cents per share in the same quarter last year [1] - Adjusted loss per share was 20 cents, wider than the expected loss of 15 cents, compared to earnings of 14 cents in the prior year [1][9] - Revenues decreased by approximately 7% year over year to $1,458 million, missing the consensus estimate of $1,476.7 million due to lower global construction and industrial activity [2][9] Segment Highlights - **Polyurethanes**: Revenues fell 7% year over year to $932 million, surpassing the estimate of $906 million, primarily due to lower average selling prices and reduced sales volumes [3] - **Performance Products**: Revenues decreased by 10% to $270 million, below the estimate of $300 million, driven by lower sales volumes attributed to reduced operating rates at the Moers facility in Germany [4] - **Advanced Materials**: Revenues declined 5% to $264 million, falling short of the estimate of $267 million, with decreases in both average selling prices and volumes due to unfavorable sales mix and reduced demand in coatings and aerospace markets [5] Financials - Free cash flow from continuing operations was $55 million, up from $5 million in the prior-year quarter [6] - The company had approximately $1.3 billion in combined cash and unused borrowing capacity as of June 30, 2025 [6] - Net cash provided by operating activities from continuing operations was $92 million in the reported quarter [6] Outlook - The company anticipates continued muted construction demand in the third quarter and has implemented cost-cutting measures, including the closure of the European Maleic Anhydride facility in Moers and other downstream facilities in North America and Europe [7] Stock Performance - Huntsman shares have declined by 57.1% over the past year, compared to a 25% decline in the Zacks Chemicals Diversified industry [8]

Company Overview - Huntsman Corporation held its Second Quarter 2025 Earnings Call on July 31, 2025, where key executives participated, including Peter Huntsman (Chairman, CEO, and President) and Phil Lister (Executive Vice President and CFO) [3]. Earnings Release - The company released its earnings for the second quarter of 2025 via a press release and made additional materials available on its website, including slides and detailed commentary [3]. Conference Call Structure - The earnings call included an introduction by Ivan Marcuse, Vice President of Investor Relations and Corporate Development, followed by opening comments from Peter Huntsman and a Q&A session [2][3]. Participants - The call featured a range of participants from various financial institutions, including JPMorgan Chase, KeyBanc Capital Markets, RBC Capital Markets, Deutsche Bank, and others, indicating significant interest from the investment community [1].

PART I. FINANCIAL INFORMATION [Condensed Consolidated Financial Statements (Unaudited)](index=4&type=section&id=ITEM%201.%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) This section presents the unaudited condensed consolidated financial statements for both Huntsman Corporation and its principal operating subsidiary, Huntsman International LLC, for the quarterly period ended June 30, 2025 [Huntsman Corporation and Subsidiaries Financial Statements](index=5&type=section&id=Huntsman%20Corporation%20and%20Subsidiaries%20Financial%20Statements) For the six months ended June 30, 2025, Huntsman Corporation reported a **net loss** of **$134 million** on **total revenues** of **$2.87 billion**, a **significant shift** from a **net income** of **$15 million** on **total revenues** of **$3.04 billion** in the prior-year period Huntsman Corporation - Key Financials (Six Months Ended June 30) | Financial Metric (In Millions) | 2025 | 2024 | | :--- | :--- | :--- | | **Total Revenues** | $2,868 | $3,044 | | **Gross Profit** | $383 | $444 | | **Operating (Loss) Income** | $(78) | $(4) | | **Net (Loss) Income** | $(134) | $15 | | **Net (Loss) Income Attributable to Huntsman** | $(163) | $(15) | | **Diluted (Loss) per Share** | $(0.94) | $(0.09) | Huntsman Corporation - Balance Sheet Summary (In Millions) | Balance Sheet Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $2,208 | $2,125 | | **Total Assets** | $7,147 | $7,114 | | **Total Current Liabilities** | $1,544 | $1,565 | | **Total Liabilities** | $4,086 | $3,951 | | **Total Equity** | $3,061 | $3,163 | Huntsman Corporation - Cash Flow Summary (Six Months Ended June 30, In Millions) | Cash Flow Item | 2025 | 2024 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $17 | $(19) | | **Net Cash from Investing Activities** | $(32) | $(80) | | **Net Cash from Financing Activities** | $69 | $(102) | | **Capital Expenditures** | $(73) | $(92) | [Huntsman International LLC and Subsidiaries Financial Statements](index=12&type=section&id=Huntsman%20International%20LLC%20and%20Subsidiaries%20Financial%20Statements) Huntsman International LLC, the primary operating company, reported a **net loss** of **$132 million** for the first six months of 2025, compared to a **net income** of **$17 million** in the same period of 2024 Huntsman International LLC - Key Financials (Six Months Ended June 30) | Financial Metric (In Millions) | 2025 | 2024 | | :--- | :--- | :--- | | **Total Revenues** | $2,868 | $3,044 | | **Gross Profit** | $383 | $444 | | **Operating (Loss) Income** | $(76) | $(2) | | **Net (Loss) Income** | $(132) | $17 | | **Net (Loss) Income Attributable to Huntsman Int'l** | $(161) | $(13) | Huntsman International LLC - Cash Flow Summary (Six Months Ended June 30, In Millions) | Cash Flow Item | 2025 | 2024 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $18 | $(18) | | **Net Cash from Investing Activities** | $(37) | $(89) | | **Net Cash from Financing Activities** | $73 | $(94) | [Notes to Unaudited Condensed Consolidated Financial Statements](index=17&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) The notes provide critical context to the financial statements, detailing accounting policies, business combinations, restructuring activities, debt structure, and segment performance - The company operates in three segments: **Polyurethanes**, **Performance Products**, and **Advanced Materials**[43](index=43&type=chunk) - In Q1 2025, the company received a final liquidating distribution of approximately **$41 million** from the SLIC joint venture separation, with the acquisition resulting in a **net gain** of approximately **$5 million** in Q1 2025[49](index=49&type=chunk)[50](index=50&type=chunk) - The **Performance Products** segment initiated a **restructuring program** in Q2 2025 to close its European maleic anhydride facility in Moers, Germany, resulting in an **$88 million charge**, including a **$77 million asset impairment**[62](index=62&type=chunk) - The **Polyurethanes** segment expanded its **restructuring program** in Q2 2025 to optimize its European organization, recording a **$38 million expense** in H1 2025, with an additional **$24 million expected** through 2027[63](index=63&type=chunk)[64](index=64&type=chunk) - On March 28, 2025, the company redeemed its **4.25%** senior notes due April 2025 for approximately **$315 million**[76](index=76&type=chunk) - In Q1 2025, the company received a final **legal award** of approximately **$66 million** in its case against Praxair/Linde, recognizing **net income** of **$33 million** after legal fees[115](index=115&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=48&type=section&id=ITEM%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses a challenging quarter, with **total revenues** and profits **decreasing** year-over-year due to **lower average selling prices** and **lower sales volumes** across all segments, leading to a **significant net loss** driven by weaker market conditions and substantial **restructuring** and **asset impairment charges** [Results of Operations](index=48&type=section&id=Results%20of%20Operations) In Q2 2025, Huntsman's **total revenues** **decreased by 7%** to **$1.46 billion**, and **gross profit** **dropped 25%** to **$182 million** compared to Q2 2024, resulting in a **stark reversal** to a **loss from continuing operations** of **$146 million** from a **$31 million income** in the prior-year quarter Huntsman Corporation - Overall Performance (In Millions) | Metric | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $1,458 | $1,574 | (7)% | $2,868 | $3,044 | (6)% | | **Gross Profit** | $182 | $243 | (25)% | $383 | $444 | (14)% | | **Operating (Loss) Income** | $(120) | $34 | NM | $(78) | $(4) | NM | | **(Loss) Income from Cont. Ops.** | $(146) | $31 | NM | $(134) | $15 | NM | | **Adjusted EBITDA** | $74 | $131 | (44)% | $146 | $212 | (31)% | - The **decline** in Q2 2025 results was driven by **lower average selling prices** and **lower sales volumes**, a **$120 million increase** in **restructuring costs**, and an **$18 million decrease** in **equity income** from unconsolidated affiliates[168](index=168&type=chunk) - **Selling, general and administrative (SG&A) expenses** **decreased by 9%** in Q2 2025 due to the impact of **restructuring programs** and favorable currency translation[168](index=168&type=chunk) [Segment Analysis](index=59&type=section&id=Segment%20Analysis) All three segments experienced year-over-year declines in Q2 2025, with **Polyurethanes' Adjusted EBITDA** **falling 61%** due to **lower MDI average selling prices** and **lower sales volumes**, **Performance Products' Adjusted EBITDA** **dropping 30%** impacted by **lower sales volumes** from softer markets and **reduced operating rates**, and **Advanced Materials' Adjusted EBITDA** **decreasing 13%** on **lower average selling prices** and **lower sales volumes** Segment Adjusted EBITDA (In Millions) | Segment | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Polyurethanes** | $31 | $80 | (61)% | $73 | $119 | (39)% | | **Performance Products** | $32 | $46 | (30)% | $62 | $88 | (30)% | | **Advanced Materials** | $45 | $52 | (13)% | $81 | $95 | (15)% | - **Polyurethanes:** The **decrease** was driven by **lower MDI average selling prices** from unfavorable supply/demand dynamics and **lower sales volumes** due to weak construction demand and a plant turnaround in Rotterdam[173](index=173&type=chunk) - **Performance Products:** The **decline** was caused by **lower sales volumes** from **reduced operating rates** at the Moers, Germany facility and softer market conditions[174](index=174&type=chunk) - **Advanced Materials:** The **decrease** was due to **lower average selling prices** from unfavorable sales mix and **reduced demand** in coatings and aerospace markets[175](index=175&type=chunk) [Liquidity and Capital Resources](index=63&type=section&id=Liquidity%20and%20Capital%20Resources) As of June 30, 2025, Huntsman had **total liquidity** of **$1.287 billion**, including **$399 million** in **cash** and **$888 million** in **available credit**, with **net cash from operating activities** improving to a **$21 million** inflow for H1 2025 from an **$8 million** outflow in H1 2024 - **Total liquidity** as of June 30, 2025, was **$1,287 million**, comprising **$399 million** in **cash**, **$836 million** available under the 2022 Revolving Credit Facility, and **$52 million** under A/R Programs[191](index=191&type=chunk) Cash Flow Comparison (Six Months Ended June 30, In Millions) | Cash Flow Item | 2025 | 2024 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $21 | $(8) | | **Net Cash from Investing Activities** | $(32) | $(80) | | **Net Cash from Financing Activities** | $69 | $(102) | - **Working capital** **increased by $104 million** to **$664 million** from December 31, 2024, primarily due to an **increase** in **accounts receivable** and a **decrease** in **accounts payable**[190](index=190&type=chunk) - The company expects to spend between **$180 million and $190 million** on **capital expenditures** in 2025[196](index=196&type=chunk) - The company has **$547 million** remaining under its **share repurchase program**, but repurchases are **limited** by the **Second Amendment to the 2022 Revolving Credit Facility**[196](index=196&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=66&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to **market risks** including changes in **interest rates**, **foreign exchange rates**, and **commodity prices** - Huntsman is exposed to **market risks** from **interest rates**, **foreign exchange rates**, and **commodity prices**[197](index=197&type=chunk) - The company uses **derivative instruments** to manage exposures and **hedges its net investment** in some European operations[197](index=197&type=chunk) [Controls and Procedures](index=66&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's **disclosure controls and procedures** and concluded they were **effective** as of June 30, 2025 - Management concluded that as of June 30, 2025, the company's **disclosure controls and procedures** were **effective**[198](index=198&type=chunk) - **No material changes** were made to **internal control over financial reporting** during the quarter ended June 30, 2025[199](index=199&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=67&type=section&id=ITEM%201.%20Legal%20Proceedings) There have been **no material developments** in the **legal proceedings** previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2024 - **No material developments** have occurred regarding **legal proceedings** since the last Annual Report[201](index=201&type=chunk) [Risk Factors](index=67&type=page&id=ITEM%201A.%20Risk%20Factors) This section refers investors to the detailed discussion of **risk factors** in the company's Annual Report on Form 10-K for the year ended December 31, 2024, indicating no new **material risk factors** have emerged - For information on **risk factors**, the report refers to the Annual Report on Form 10-K for the year ended December 31, 2024[202](index=202&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=67&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the three months ended June 30, 2025, the company did **no shares were repurchased** under its publicly announced **share repurchase program**, though **$547 million** remained authorized for future repurchases, which are currently **limited** by a **credit facility amendment** - **No shares were repurchased** under the company's **share repurchase program** during the three months ended June 30, 2025[205](index=205&type=chunk) - Approximately **$547 million** remains available for repurchase under the existing program as of the end of the quarter[204](index=204&type=chunk) - **Share repurchases** are currently **limited** by the **Second Amendment to the 2022 Revolving Credit Facility**[205](index=205&type=chunk) [Exhibits](index=68&type=section&id=ITEM%206.%20Exhibits) This section lists the **exhibits** filed with the Form 10-Q, including **certifications** by the CEO and CFO, and various agreements related to **stock incentive plans** and **credit facilities** - **Exhibits** filed include CEO/CFO **certifications** under **Sarbanes-Oxley Sections 302 and 906**[208](index=208&type=chunk) - The **Second Amendment to the Credit Agreement**, dated May 23, 2025, is included as an **exhibit**[208](index=208&type=chunk)

Financial Data and Key Metrics Changes - The second quarter results were in line with expectations, showing a rebound in Advanced Materials, which offset sluggish construction activity and tariff uncertainties, particularly in polyurethanes [6][8] - Positive cash flow was generated in the second quarter, despite a $25 million EBITDA impact due to aggressive inventory and working capital management [9] Business Line Data and Key Metrics Changes - Advanced Materials showed normalized earnings, while construction activity remained disappointing [6][8] - The polyurethane segment faced challenges with low utilization rates, operating in the low to mid-80 percent range [12][22] Market Data and Key Metrics Changes - The overall market conditions are characterized by low inventories and muted consumer confidence, with expectations for gradual improvement in construction [7][8] - MDI utilization rates are expected to be higher in North America compared to China, which is operating at lower rates [12][13] Company Strategy and Development Direction - The company is focused on maintaining a strong balance sheet and is cautious about capital spending beyond necessary safety and maintenance [8][10] - There is an ongoing review of the asset portfolio, with a focus on creating value over volume [10] Management's Comments on Operating Environment and Future Outlook - Management expressed a cautious outlook for the third quarter, indicating neither panic nor excessive optimism, while anticipating long-term improvements in construction [8] - The company is preparing for potential impacts from higher tariffs and interest rate cuts, aiming for better profit and loss outcomes [10][11] Other Important Information - The closure of the Maleka anhydride facility was due to a lack of competitiveness in the European market, with the decision made after exploring all options [60][61] - The company is not planning to build a new MDI plant, citing sufficient global capacity [51][53] Q&A Session Summary Question: MDI utilization rates in the second quarter and expectations for the third quarter - The industry is operating in the low to mid-80 percent range, with North America slightly higher and China lower [12][13] Question: Update on order books in July - The order books are stable, with customers ordering just in time due to low inventories [17][18] Question: Thoughts on the dividend - The board is carefully considering the dividend, focusing on cash generation and market conditions [29][30] Question: Impact of trade finality on customer behavior - Customers prefer clarity on trade policies to reduce volatility, which affects purchasing behavior [36][42] Question: Future of European footprint and MDI facility - The European facility is expected to remain competitive, with ongoing evaluations of operating costs [62] Question: Price declines in polyurethanes - A 5% year-over-year price decline was noted, primarily driven by competitive dynamics in Europe [90][91] Question: Expectations for MTBE margins - Margins are expected to struggle in the second half of the year, with typical seasonal performance [114] Question: Rate cuts and their impact on construction - The direction of rate cuts is more important than the amount, with potential for significant economic catalysis if multiple cuts are anticipated [116]

Financial Data and Key Metrics Changes - The second quarter results were in line with expectations, showing a rebound in Advanced Materials, which offset sluggish construction activity and tariff uncertainties, particularly in polyurethanes [5][6] - Positive cash flow was generated in the second quarter, despite a $25 million EBITDA impact due to aggressive inventory and working capital management [7] Business Line Data and Key Metrics Changes - Advanced Materials showed normalized earnings, while construction activity remained weak, impacting overall performance [5][6] - Polyurethanes utilization rates were reported in the low to mid-80s percentile, with North America slightly higher than China [11][20] Market Data and Key Metrics Changes - Order books in July were described as stable, with customers ordering just in time due to low inventories [14][15] - The automotive sector in China continues to perform well, contrasting with struggles in Europe and North America [20][21] Company Strategy and Development Direction - The company remains focused on maintaining a strong balance sheet and prudent capital spending, emphasizing value creation over volume [6][8] - There is an ongoing review of the asset portfolio, with a focus on bolt-on acquisitions in Advanced Materials rather than in the more volatile polyurethane sector [43][44] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about potential improvements in construction and consumer confidence, particularly in the long term [6][30] - The impact of tariffs and trade disputes remains a concern, with management advocating for clarity in trade policies to reduce volatility [35][40] Other Important Information - The closure of the Maleka anhydride facility was attributed to a lack of competitiveness in the European market, with the decision made after exploring all options [58][59] - The company does not foresee new MDI plants being built under current market conditions, citing sufficient existing capacity [48][102] Q&A Session Summary Question: MDI utilization rates in the second quarter and expectations for the third quarter - Management indicated that the industry is operating in the low to mid-80s percentile, with North America slightly higher and China lower [11][20] Question: Update on order books in July - Management described the situation as stable, with customers ordering just in time due to low inventories [14][15] Question: Thoughts on the dividend - The board is carefully considering the dividend, focusing on cash generation and market conditions, with no immediate changes expected [26][30] Question: Impact of trade finality on customer behavior - Management noted that volatility is the primary concern, and customers prefer clarity in trade policies to stabilize purchasing behavior [35][40] Question: Future of the European footprint and MDI facility - Management believes the Rotterdam facility will remain competitive for several years, despite market challenges [60][61] Question: Price declines in polyurethanes - A 5% year-over-year price decline was noted, primarily driven by competitive dynamics in Europe [89] Question: Expectations for MTBE margins - Management indicated that MTBE typically performs best during driving seasons, but struggles are expected to continue through the end of the year [113]