Part I FINANCIAL INFORMATION [Item 1. Financial Statements](index=2&type=section&id=Item%201%20-%20Financial%20Statements) Stepan Company's H1 2025: Net sales up 7.2% to $1.19B, net income up 32.6% to $31.1M, operating cash flow at $18.1M Condensed Consolidated Statements of Income Highlights | (In thousands, except per share amounts) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | YoY Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $1,187,944 | $1,107,823 | +7.2% | | **Gross Profit** | $147,348 | $139,833 | +5.4% | | **Operating Income** | $46,253 | $38,836 | +19.1% | | **Net Income** | $31,052 | $23,414 | +32.6% | | **Diluted EPS** | $1.36 | $1.02 | +33.3% | Condensed Consolidated Balance Sheet Highlights | (In thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total current assets** | $906,106 | $810,429 | | **Total assets** | $2,416,130 | $2,304,648 | | **Total current liabilities** | $673,021 | $669,034 | | **Total liabilities** | $728,378 | $732,688 | | **Total equity** | $1,241,713 | $1,169,934 | Condensed Consolidated Statements of Cash Flows Highlights | (In thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | **Net Cash Provided By Operating Activities** | $18,135 | $71,056 | | **Net Cash Used In Investing Activities** | ($51,468) | ($54,036) | | **Net Cash Provided By (Used In) Financing Activities** | $13,258 | ($16,005) | | **Net Decrease in Cash and Cash Equivalents** | ($10,761) | ($5,115) | [Notes to Condensed Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail segment performance, $19.5M environmental accrual, $75M senior note issuance, and Philippine asset sale - The company has three reportable segments: Surfactants, Polymers, and Specialty Products. For the six months ended June 30, 2025, Surfactants accounted for **71%** of net sales, Polymers for **26%**, and Specialty Products for **3%**[59](index=59&type=chunk)[84](index=84&type=chunk)[85](index=85&type=chunk) Segment Operating Income (Six Months Ended June 30) | (In thousands) | 2025 | 2024 | % Change | | :--- | :--- | :--- | :--- | | **Surfactants** | $42,297 | $43,142 | -2.0% | | **Polymers** | $25,177 | $21,979 | +14.5% | | **Specialty Products** | $10,766 | $11,587 | -7.1% | | **Total Segment Operating Income** | $78,240 | $76,708 | +2.0% | - The company is managing various environmental and legal proceedings, with an estimated range of possible losses between **$19.5 million** and **$44.9 million** as of June 30, 2025. The company has accrued for the lower end of this range, totaling **$19.5 million**[37](index=37&type=chunk) - On May 21, 2025, the company issued and sold **$75 million** in aggregate principal amount of its **6.17%** Senior Notes due May 21, 2033[68](index=68&type=chunk) - On May 27, 2025, the company's subsidiary in the Philippines entered into an agreement to sell its manufacturing assets. The asset disposal group includes **$8.7 million** of assets and **$4.8 million** of liabilities[74](index=74&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=28&type=section&id=Item%202%20-%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) MD&A reports 7% net sales growth for Q2/H1 2025, Q2 operating income down, H1 up, Polymers driving growth, cash flow decreased [Results of Operations - Three Months Ended June 30, 2025 and 2024](index=32&type=section&id=Results%20of%20Operations%20-%20Three%20Months%20Ended%20June%2030%2C%202025%20and%202024) Q2 2025 net income rose 19%, net sales grew 7%, operating income fell 4%, driven by mixed segment performance and a lower tax rate Q2 2025 vs Q2 2024 Performance | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $594.7M | $556.4M | +7% | | **Operating Income** | $18.0M | $18.7M | -4% | | **Net Income** | $11.3M | $9.5M | +19% | | **Diluted EPS** | $0.50 | $0.42 | +19% | | **Adjusted Net Income** | $12.0M | $9.4M | +28% | - Surfactant operating income decreased **22%** to **$13.4 million**, mainly due to higher operating expenses, including a **$1.1 million** USEPA penalty, and margin pressure in North America from new facility start-up costs[103](index=103&type=chunk)[107](index=107&type=chunk) - Polymers operating income increased **26%** to **$17.2 million**, driven by an **18%** sales volume increase in North America and improved margins[108](index=108&type=chunk)[111](index=111&type=chunk) - The effective tax rate decreased to **17.7%** from **44.7%** in Q2 2024, primarily due to the non-recurrence of an unfavorable GILTI-related event and a favorable tax audit settlement in 2025[96](index=96&type=chunk) [Results of Operations - Six Months Ended June 30, 2025 and 2024](index=40&type=section&id=Results%20of%20Operations%20-%20Six%20Months%20Ended%20June%2030%2C%202025%20and%202024) H1 2025 net income increased 32.6%, net sales grew 7%, operating income rose 19%, driven by Polymers and lower corporate expenses H1 2025 vs H1 2024 Performance | Metric | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $1,187.9M | $1,107.8M | +7% | | **Operating Income** | $46.3M | $38.8M | +19% | | **Net Income** | $31.1M | $23.4M | +33% | | **Diluted EPS** | $1.36 | $1.02 | +33% | | **Adjusted Net Income** | $31.3M | $24.1M | +30% | - Consolidated sales volume increased **2%**, with Surfactants up **1%**, Polymers up **7%**, and Specialty Products up **8%**[120](index=120&type=chunk) - Corporate expenses decreased by **$5.9 million** (**16%**) year-over-year, primarily due to the non-recurrence of a **$3.5 million** charge from 2024 and lower deferred compensation expenses[145](index=145&type=chunk) [Liquidity and Capital Resources](index=49&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) H1 2025 operating cash flow decreased to $18.1M due to working capital, cash fell to $88.9M, $75M in new senior notes issued - Cash from operating activities decreased to **$18.1 million** in H1 2025 from **$71.1 million** in H1 2024, primarily due to higher working capital requirements[147](index=147&type=chunk)[149](index=149&type=chunk) - Capital expenditures for H1 2025 were **$58.3 million**, and the full-year estimate is projected to be between **$120.0 million** and **$125.0 million**[152](index=152&type=chunk) - The company issued **$75.0 million** of **6.17%** Senior Notes due 2033 in May 2025[153](index=153&type=chunk)[155](index=155&type=chunk) - As of June 30, 2025, the company had **$139.6 million** available under its primary credit agreement[69](index=69&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=58&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) No material changes to market risks were reported compared to the 2024 Annual Report on Form 10-K - There have been no material changes to the market risks as disclosed in the Company's 2024 Annual Report on Form 10-K[177](index=177&type=chunk) [Item 4. Controls and Procedures](index=58&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls were effective as of June 30, 2025, with no material changes to internal financial reporting controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[178](index=178&type=chunk) - No changes occurred during the quarter ended June 30, 2025, that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[178](index=178&type=chunk) Part II OTHER INFORMATION [Item 1. Legal Proceedings](index=58&type=section&id=Item%201.%20Legal%20Proceedings) The company received a USEPA notice for FIFRA violations, paid a $1.1M civil penalty, and is seeking indemnification - On March 19, 2025, the company received a notice from the USEPA for violations of the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA)[180](index=180&type=chunk) - The USEPA assessed a civil penalty of **$1.1 million**, which the company paid on July 2, 2025. The company is pursuing indemnification claims to recover this cost[180](index=180&type=chunk) [Item 1A. Risk Factors](index=58&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported compared to the 2024 Annual Report on Form 10-K - There have been no material changes to the risk factors as disclosed in the Company's 2024 Annual Report on Form 10-K[182](index=182&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=59&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No open market share repurchases occurred in Q2 2025, with $125.1M remaining under the repurchase program - The company did not purchase any shares of its common stock on the open market during the second quarter of 2025[154](index=154&type=chunk)[183](index=183&type=chunk) - As of June 30, 2025, the company had **$125.1 million** remaining under its share repurchase program authorized by the Board of Directors[154](index=154&type=chunk)[183](index=183&type=chunk)

Financial Data and Key Metrics Changes - The company reported second quarter adjusted net income of $12 million, up 27% from $9.4 million in the prior year, driven by earnings growth in polymers and crop productivity, as well as a lower tax rate [9][11] - Adjusted EBITDA for the second quarter was $51.4 million, an 8% increase from $47.7 million in the prior year [14] - Cash from operations was $11.2 million for the quarter, while free cash flow was negative at $14.4 million due to inventory builds [12][19] Business Line Data and Key Metrics Changes - Polymers delivered double-digit adjusted EBITDA growth, while surfactant adjusted EBITDA remained similar to last year, impacted by raw material inflation [6][7] - Surfactant net sales were $411.5 million, an 8% increase year-over-year, with selling prices up 11% [15] - Specialty product net sales increased by 22% to $20.5 million, but adjusted EBITDA decreased by 24% due to order timing fluctuations [18] Market Data and Key Metrics Changes - Volume grew 1%, with polymers up 7% and NCT product line up 49%, while surfactants volume was down 1% [8] - North America and European rigid polyols volume grew low single digits, while the commodity PA business showed strong year-over-year growth [8] - The company experienced double-digit volume growth in crop productivity and oilfield end markets, offset by lower demand in global commodity consumer products [8] Company Strategy and Development Direction - The company aims to recover margins gradually and continues to focus on customer acquisition within Tier two and Tier three segments [6][20] - Investments are being made in new product development, particularly in the spray foam end market and next-generation polytechnologies [22] - The company is on track to close the sale of its site in the Philippines in 2025 and is looking for opportunities to optimize its asset base [24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about delivering full-year adjusted EBITDA and net income growth despite market uncertainties [24] - The company is focused on enhancing operational excellence to grow volume and improve product mix [23] - Management noted that the first half of the year was decent, with growth in adjusted EBITDA across surfactants, polymers, and specialty products [32] Other Important Information - The effective tax rate was 19.2% during the first half of the year, lower than the normal range of 24% to 26% due to favorable discrete items [13] - The company paid $8.7 million in dividends during the quarter and has increased dividends for 57 consecutive years [10] Q&A Session Summary Question: Clarification on one-time impacts in the Surfactants business - Management confirmed that the $6 million includes startup costs from Pasadena, the EPA fine, and environmental remediation reserve adjustments [29][31] Question: Details on raw material impacts and pricing - Management indicated that coconut oil prices have significantly increased, and they are still catching up on price execution [34][35] Question: Effects of the new collective bargaining agreement in Millsdale - Management expressed satisfaction with the workforce and noted that the agreement is a routine event occurring every four years [37] Question: Insights on the AOS expansion and its beneficiaries - Management highlighted that AOS is crucial for sulfate-free business growth, targeting both Tier one and lower-tier clients [43] Question: Future asset optimization opportunities - Management stated they are continuously evaluating their asset base for productivity and return on investment, with no concrete plans yet [46] Question: Clarification on the tax benefit seen in the quarter - Management confirmed that the tax benefit was a one-time occurrence and the normal tax rate will return to the range of 24% to 26% [47]

Core Viewpoint - Stepan Co. reported quarterly earnings of $0.52 per share, missing the Zacks Consensus Estimate of $0.92 per share, representing a significant earnings surprise of -43.48% [1][2] Financial Performance - The company posted revenues of $594.69 million for the quarter ended June 2025, slightly missing the Zacks Consensus Estimate by 0.49%, compared to $556.41 million in the same quarter last year [2] - Over the last four quarters, Stepan Co. has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Stock Performance - Stepan Co. shares have declined approximately 14.6% since the beginning of the year, contrasting with the S&P 500's gain of 8.3% [3] - The current Zacks Rank for Stepan Co. is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.96 on revenues of $583.9 million, and for the current fiscal year, it is $3.33 on revenues of $2.34 billion [7] - The estimate revisions trend for Stepan Co. was mixed ahead of the earnings release, which could change following the recent report [6] Industry Context - The Chemical - Diversified industry, to which Stepan Co. belongs, is currently ranked in the bottom 5% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment [5]

Financial Performance - Reported Net Income increased by 19% year-over-year to $11.3 million[12] - Adjusted Net Income increased by 27% year-over-year to $12.0 million[12] - EBITDA increased by 6% year-over-year to $50.6 million[12] - Adjusted EBITDA increased by 8% year-over-year to $51.4 million[12] - Free Cash Flow decreased by 62% year-over-year to $11.2 million, impacted by higher working capital[10, 12] Volume and Sales - Global sales volume grew 1% year-over-year, driven by Polymers, Crop Productivity, and MCT business, offset by decline in commodity consumer surfactants[9] - Surfactants Adjusted EBITDA decreased by 1% to $34.5 million due to lower demand in commodity consumer end markets, offset by growth in agricultural and oilfield end markets[20, 25] - Polymers Adjusted EBITDA increased by 17% to $25.6 million, driven by sales volume growth in North America and Europe[20, 30] - Specialty Products Adjusted EBITDA decreased by $2.1 million primarily due to order timing fluctuations within the pharmaceutical business[20] Strategic Initiatives - The Pasadena, Texas site is now operational and expected to provide benefits in the specialty alkoxylation business[11, 41] - The company is on track to close the sale of Philippines assets during the fourth quarter[11]

[Stepan Q2 2025 Earnings Release](index=1&type=section&id=Stepan%20Reports%20Second%20Quarter%202025%20Results) [Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) Stepan achieved double-digit net income growth in Q2 and H1 2025, driven by Polymers and Crop Productivity, despite start-up costs and negative free cash flow Q2 2025 Key Financial Metrics | Metric | Q2 2025 | Change vs. Q2 2024 | | :--- | :--- | :--- | | Reported Net Income | $11.3 million | +19% | | Adjusted Net Income | $12.0 million | +27% | | EBITDA | $50.6 million | +6% | | Adjusted EBITDA | $51.4 million | +8% | | Global Sales Volume | - | +1% | H1 2025 Key Financial Metrics | Metric | H1 2025 | Change vs. H1 2024 | | :--- | :--- | :--- | | Reported Net Income | $31.1 million | +33% | | Adjusted Net Income | $31.3 million | +30% | | EBITDA | $108.6 million | +11% | | Adjusted EBITDA | $108.9 million | +10% | | Global Sales Volume | - | +2% | - Earnings growth was driven by improved results in the Polymer and Crop Productivity businesses, as well as a lower effective tax rate. Polymer volume increased by **7%**[4](index=4&type=chunk) - Pre-tax earnings were negatively impacted by **$6.1 million** due to start-up costs for the new Pasadena, Texas alkoxylation site and an environmental remediation reserve adjustment at the Millsdale site[5](index=5&type=chunk) - Free cash flow was negative **$14.4 million** for the quarter, mainly due to increased working capital for business growth, inventory builds ahead of tariffs, and hurricane season preparations[5](index=5&type=chunk) [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) Q2 2025 net sales grew 7% to $594.7 million with net income up 19%, while H1 saw 7% sales growth and 33% net income increase Consolidated Financial Results ($ in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net Sales | $594,689 | $556,405 | 7% | $1,187,944 | $1,107,823 | 7% | | Operating Income | $17,965 | $18,667 | (4)% | $46,253 | $38,836 | 19% | | Net Income | $11,341 | $9,521 | 19% | $31,052 | $23,414 | 33% | | Diluted EPS | $0.50 | $0.42 | 19% | $1.36 | $1.02 | 33% | | Adjusted Net Income | $11,952 | $9,396 | 27% | $31,262 | $24,052 | 30% | | Adjusted Diluted EPS | $0.52 | $0.41 | 27% | $1.37 | $1.05 | 30% | Net Sales Change Breakdown | Driver | Q2 2025 | H1 2025 | | :--- | :--- | :--- | | Volume | 1% | 2% | | Selling Price & Mix | 6% | 7% | | Foreign Translation | (—)% | (2)% | | **Total** | **7%** | **7%** | [Segment Results](index=2&type=section&id=Segment%20Results) Consolidated adjusted EBITDA rose 8% in Q2, led by Polymers' 17% growth, while Surfactants and Specialty Products faced headwinds Net Sales by Segment (Q2 2025 vs Q2 2024, $ in thousands) | Segment | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Surfactants | $411,456 | $379,795 | 8% | | Polymers | $162,751 | $159,757 | 2% | | Specialty Products | $20,482 | $16,853 | 22% | | **Total** | **$594,689** | **$556,405** | **7%** | Adjusted EBITDA by Segment (Q2 2025 vs Q2 2024, $ in millions) | Segment | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Surfactants | $34.5 | $35.0 | (1)% | | Polymers | $25.6 | $21.8 | 17% | | Specialty Products | $6.7 | $8.8 | (24)% | | Unallocated Corporate | $(15.4) | $(17.9) | (14)% | | **Consolidated** | **$51.4** | **$47.7** | **8%** | [Surfactants](index=3&type=section&id=Surfactants) Q2 Surfactant net sales increased 8% to $411.5 million, driven by price, but adjusted EBITDA declined 1% due to costs and volume decrease - Net sales increased **8%** to **$411.5 million**, primarily due to a **11%** rise in selling prices[10](index=10&type=chunk) - Sales volume decreased by **1%**, as lower demand in commodity consumer products was largely offset by double-digit growth in Agricultural and Oilfield end markets[10](index=10&type=chunk) - Adjusted EBITDA decreased **1%** to **$34.5 million**, negatively impacted by Pasadena start-up costs, a remediation reserve adjustment, an EPA penalty, and higher Oleochemical raw material costs[10](index=10&type=chunk) [Polymers](index=3&type=section&id=Polymers) Polymers net sales rose 2% to $162.8 million, driven by 7% volume growth, leading to a 17% increase in adjusted EBITDA to $25.6 million - Net sales increased **2%** to **$162.8 million**[10](index=10&type=chunk) - Sales volume grew **7%**, while selling prices decreased **7%**. Volume growth was observed in North American Rigid, European Rigid, and Phthalic Anhydride businesses[10](index=10&type=chunk) - Adjusted EBITDA increased **17%** to **$25.6 million**, mainly driven by the **7%** sales volume growth[11](index=11&type=chunk) [Specialty Products](index=4&type=section&id=Specialty%20Products) Specialty Products net sales grew 22% to $20.5 million, but adjusted EBITDA fell 24% to $2.1 million due to pharmaceutical order timing shifts - Net sales grew **22%** to **$20.5 million**, primarily due to higher sales volume[11](index=11&type=chunk) - Adjusted EBITDA decreased **24%** to **$2.1 million**. The decline was mainly due to pharmaceutical business order timing, with orders moved to the second half of the year[11](index=11&type=chunk) [Other Financial Information](index=4&type=section&id=Other%20Financial%20Information) H1 2025 effective tax rate decreased to 19.2% due to a favorable audit, while Q2 adjusted corporate expenses fell 18% and net debt ratio remained stable at 31% - The effective tax rate for H1 2025 was **19.2%**, down from **36.1%** in H1 2024. This decrease was primarily due to a favorable tax audit settlement in 2025 and the non-recurrence of an unfavorable GILTI-related event from 2024[12](index=12&type=chunk) - Adjusted corporate expenses for Q2 2025 decreased by **18%** year-over-year, mainly because expenses from a 2024 criminal social engineering scheme did not recur[41](index=41&type=chunk) - The net debt ratio remained constant at **31%** at the end of Q2 2025, the same as the previous quarter and year-end 2024[45](index=45&type=chunk)[46](index=46&type=chunk) [Outlook](index=4&type=section&id=Outlook) Management anticipates full-year growth in Adjusted EBITDA and Net Income, positive free cash flow, driven by operational excellence and the new Pasadena facility - The company is focused on accelerating business strategies through operational excellence, improved product/customer mix, and accelerated free cash flow generation[13](index=13&type=chunk) - The new Pasadena facility is now operational and is expected to deliver volume growth in the alkoxylation product line and supply chain savings in H2 2025[13](index=13&type=chunk) - Management expects to deliver full-year growth in Adjusted EBITDA and Adjusted Net Income, and achieve positive free cash flow in 2025, despite market uncertainties[13](index=13&type=chunk) [Appendix: Financial Statements and Reconciliations](index=7&type=section&id=Appendix%3A%20Financial%20Statements%20and%20Reconciliations) This appendix provides unaudited financial statements and reconciliations of non-GAAP measures, including income statements, balance sheets, and adjusted EBITDA - The appendix includes detailed Consolidated Statements of Income for the three and six months ended June 30, 2025 and 2024[25](index=25&type=chunk) - Provides a reconciliation of reported GAAP Net Income to non-GAAP Adjusted Net Income, detailing after-tax adjustments for Deferred Compensation and Environmental Remediation expenses[26](index=26&type=chunk)[27](index=27&type=chunk)[29](index=29&type=chunk) - Includes Consolidated Balance Sheets as of June 30, 2025, and December 31, 2024, along with details on net debt and working capital components[42](index=42&type=chunk)[43](index=43&type=chunk)[44](index=44&type=chunk) - Presents detailed reconciliations of non-GAAP EBITDA and Adjusted EBITDA from Operating Income for each business segment and on a consolidated basis[47](index=47&type=chunk)[48](index=48&type=chunk)

Core Insights - The company reported a 7% increase in net sales for the second quarter of 2025, driven by higher selling prices and improved product mix, despite a decline in global commodity consumer products demand [6][14][21] - Adjusted EBITDA grew by 8% in the second quarter and 10% for the first half of 2025, reflecting strong performance in the Polymer and Crop Productivity segments [2][5][11] - The effective tax rate decreased significantly to 19.2% in the first half of 2025 from 36.1% in the same period of 2024, contributing to improved net income [10][21] Financial Performance - Net sales for Q2 2025 were $594.7 million, up from $556.4 million in Q2 2024, while net income increased by 19% to $11.3 million [3][5][21] - Adjusted net income for Q2 2025 was $12.0 million, a 27% increase year-over-year, driven by growth in Polymers and Crop Productivity [5][23] - The company experienced a negative free cash flow of $14.4 million in Q2 2025, primarily due to inventory builds [5][13] Segment Performance - Surfactants segment net sales increased by 8% to $411.5 million, with selling prices up 11% but sales volume down 1% due to lower demand in commodity markets [8][14] - Polymers segment net sales rose by 2% to $162.8 million, with a 7% increase in sales volume, although selling prices decreased by 7% [8][14] - Specialty Products segment saw a significant 22% increase in net sales to $20.5 million, primarily due to higher sales volume [8][14] Operational Developments - The new alkoxylation site in Pasadena, Texas is now operational and is expected to contribute positively to volume growth and supply chain savings in the second half of 2025 [2][11] - The company is on track to close an asset sale in the Philippines in Q4 2025, aiming to optimize its global footprint [11] Outlook - The company remains optimistic about achieving full-year growth in adjusted EBITDA and adjusted net income, despite market uncertainties and tariff impacts [11][21] - Focus will be on enhancing operational excellence, improving product and customer mix, and accelerating free cash flow generation [11]

Core Viewpoint - Stepan Company is set to release its second quarter 2025 earnings results on July 30, 2025, followed by a conference call to discuss financial and operational performance [1][2]. Group 1: Earnings Release Details - The earnings results will be issued at approximately 7:00 a.m. ET (6:00 a.m. CT) on July 30, 2025 [1]. - Supporting slides will be available on the Investors/Presentations page of the company's website at the same time [1]. - A conference call will take place at 9:00 a.m. ET (8:00 a.m. CT) on the same day to discuss the results [1]. Group 2: Conference Call Access - The call will be hosted by Luis E. Rojo, President and CEO, and Ruben Velasquez, Vice President and CFO [2]. - Participants can access the call via phone or webcast, with a registration link provided for phone access [3]. - A replay of the conference call will be available shortly after the call on the company's website [3]. Group 3: Company Overview - Stepan Company is a major manufacturer of specialty and intermediate chemicals, particularly known for surfactants used in cleaning and disinfection products [4]. - The company is also a leading supplier of polyurethane polyols for the thermal insulation market and CASE industries [4]. - Headquartered in Northbrook, Illinois, Stepan operates modern production facilities across North and South America, Europe, and Asia [5].

Core Viewpoint - Stepan Company will release its second quarter 2025 earnings results on July 30, 2025, followed by a conference call to discuss financial and operational performance [1][2]. Company Profile - Stepan Company is a major manufacturer of specialty and intermediate chemicals, particularly known for surfactants used in cleaning and disinfection products, as well as polyurethane polyols for thermal insulation [4]. - The company operates modern production facilities across North and South America, Europe, and Asia, and its stock is traded on the NYSE under the symbol SCL [5].

Group 1 - Stepan Company announced the appointment of Ruben Velasquez as Vice President and Chief Financial Officer, effective July 15, 2025, succeeding Samuel Hinrichsen [1] - Mr. Velasquez has over two decades of global finance leadership experience across various industries, including industrial conglomerates and oil and gas [3] - The company is a major manufacturer of specialty and intermediate chemicals, leading in surfactants and polyurethane polyols for various markets [3][4] Group 2 - Stepan Company is headquartered in Northbrook, Illinois, and operates modern production facilities across North and South America, Europe, and Asia [4] - The company's common stock is traded on the New York Stock Exchange under the symbol SCL [4]

Group 1 - Stepan Company (NYSE: SCL) has been performing well in recent months [1] - The focus of Crude Value Insights is on cash flow and companies that generate it, leading to value and growth prospects [1] Group 2 - Subscribers have access to a 50+ stock model account and in-depth cash flow analyses of exploration and production firms [2] - The service includes live chat discussions about the oil and gas sector [2]