Westlake Corporation’s (WLK) unit Westlake Epoxy is set to unveil several new products under the EpoVIVE portfolio at the European Coatings Show (“ECS”) 2025, from March 25 to March 27, in Germany. EpoVIVE is designed to provide sustainability advantages.The new technologies introduced in EpoVIVE make its products energy efficient with a lower carbon footprint and reduced emissions. The portfolio aims to meet the demand for alternatives free of SVHC (substances of very high concern) that use circular materi ...

Product Development - Westlake Corporation's unit, Westlake Royal Building Products, has introduced the Series 800 Patio Door to its Royal Window Solutions product line, emphasizing performance and versatility for various projects and locations [1] - The Series 800 doors are designed for optimal thermal efficiency and durability, featuring Energy Star-compliant glazing options, an internal weep system, an all-welded frame and sash, and dual-seal weatherstripping, achieving a DP50 rating for standard-height doors [2] Product Features - The Series 800 doors can be customized up to 12 feet wide and 8 feet high, with options including stainless steel rollers, dual-point locking, and ADA-compliant sizes, making them suitable for coastal applications [3] Market Outlook - The company is optimistic about the Housing and Infrastructure Products segment, driven by the need to increase residential housing supply in the U.S. after over 15 years of under-building to meet population growth and housing demand [4] - Despite challenging global macroeconomic conditions, the Performance and Essential Materials segment is positioned to benefit from a potential resurgence in global industrial and manufacturing activity, with a focus on cost-cutting, customer value enhancement, plant safety, and new product commercialization for 2025 [5]

Westlake Corporation’s (WLK) unit, Westlake Royal Building Products, has introduced a new Reversible Nickel Gap/V-Groove profile to its Kleer cellular PVC trim line. This product features a tongue-and-groove joint that simplifies installation, vertically or horizontally, by creating the nickel gap on one side and the V-groove on the other, making it suitable for modern and traditional home styles.The new Nickel Gap/V-Groove profile is made to be waterproof, termite resistant and low maintenance, like all ot ...

Westlake Corporation (WLK) recently announced that Westlake Epoxy plans to launch state-of-the-art solutions for the growing composites industry. WLK, over the years, has cultivated a broad network of equipment manufacturers, formulators, automators and end users. These partnerships have fostered the development of cutting-edge product offerings, including EpoVIVE.WLK plans to launch the new products in Paris at the JEC World Show 2025, March 4 to 6. The exhibition of its innovative offerings will include p ...

Group 1: Core Product Offering - Westlake Corporation's Westlake Royal Building Products unit is launching fire-rated roofing and stone solutions aimed at protecting homeowners in wildfire-prone areas, particularly in California [1] - The product portfolio includes various fire-rated roofing brands such as Newpoint Concrete Roof Tile, U.S. Tile Clay Roofing Products, Unified Steel-Stone coated roofing, and DaVinci Roofscapes, all designed to withstand extreme heat and provide natural fire resistance [2] - The new product lineup adheres to strict Wildland-Urban Interface guidelines and has been tested by Underwriters Laboratories, ensuring protection without sacrificing aesthetic appeal [3] Group 2: Company Performance and Rankings - Westlake Corporation currently holds a Zacks Rank of 4 (Sell), indicating a less favorable outlook compared to other companies in the Basic Materials sector [4] - Ingevity Corporation, with a Zacks Rank of 1 (Strong Buy), has a current-year earnings estimate of $2.75 per share and has beaten earnings estimates in three of the last four quarters [5] - Carpenter Technology Corporation has a Zacks Rank of 2 (Buy) and a current fiscal-year earnings estimate of $6.95 per share, having surpassed earnings estimates in all trailing quarters, with shares increasing by 207.1% over the past year [6] - ArcelorMittal also holds a Zacks Rank of 2 (Buy) with a current-year earnings estimate of $3.72 per share, having surpassed earnings estimates in three of the last four quarters [7]

Core Insights - Westlake Corporation (WLK) is launching EpoVIVE, a new epoxy product portfolio focused on sustainability, at JEC World in Paris from March 4-6 [1] - EpoVIVE aims to provide significant sustainability benefits over traditional products, featuring safer materials and energy-efficient applications, aligning with WLK's environmental goals [2] - The EpoVIVE portfolio is designed to cater to various industries, including aerospace, automotive, and construction, showcasing its versatility [3] Company Performance - WLK currently holds a Zacks Rank of 4 (Sell), indicating a less favorable outlook compared to other stocks in the Basic Materials sector [4] - Ingevity Corporation (NGVT) has a Zacks Rank of 1 (Strong Buy) with a current-year earnings estimate of $2.75 per share, demonstrating strong performance [5] - Carpenter Technology Corporation (CRS) has a Zacks Rank of 2 (Buy) with a current fiscal-year earnings estimate of $6.95 per share and a significant share price increase of 207.1% over the past year [6] - ArcelorMittal (MT) also holds a Zacks Rank of 2 (Buy) with a current-year earnings estimate of $3.72 per share, showing consistent performance with an average earnings surprise of 4.11% [7]

Westlake Corporation (WLK) logged a profit of $7 million or 6 cents per share for the fourth quarter of 2024. This compares to a loss of $497 million or $3.86 in the year-ago quarter. The bottom line missed the Zacks Consensus Estimate of $1.04.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Sales rose around 0.6% year over year to $2,843 million in the quarter. It missed the Zacks Consensus Estimate of $2,904.6 million. A 3% growth in sales volume was offset by a 2% decline in averag ...

Financial Performance - The company reported a significant increase in revenue, reaching $X billion, representing a Y% growth compared to the previous year[7]. - User data showed an increase in active users, with a total of Z million users, reflecting a growth rate of A% year-over-year[7]. - The company provided an optimistic outlook for the next quarter, projecting revenue growth of B% and an expected operating margin of C%[7]. Product Development and Innovation - New product launches are anticipated to contribute an additional $D million in revenue, with a focus on innovative technologies in the pipeline[7]. - The company is investing $H million in R&D to develop new technologies aimed at sustainability and efficiency improvements[21]. Market Expansion - The company plans to expand its market presence in E regions, aiming for a market share increase of F% by the end of the fiscal year[7]. Acquisitions and Synergies - Recent acquisitions are expected to yield synergies of approximately $G million, enhancing operational efficiencies[21]. Capital Expenditures - Future capital expenditures are projected to be $I million, focusing on capacity expansions and modernization of existing facilities[21]. Economic Factors and Compliance - The company is closely monitoring macroeconomic factors, including inflation and interest rates, which could impact future performance[25]. - Compliance with new environmental regulations is expected to incur costs of approximately $J million, affecting the overall financial outlook[21].

Financial Data and Key Metrics Changes - For Q4 2024, the company reported sales of $2.8 billion and EBITDA of $416 million, representing a 7% increase in EBITDA compared to Q4 2023's EBITDA of $390 million [17][24] - Full year 2024 net income was $677 million, with EBITDA totaling $2.3 billion, while total sales for 2024 declined by 3% to $12.1 billion due to a 10% decline in average sales prices [25][26] - The company achieved total cost reductions of $170 million in 2024, exceeding the target of $125 million to $150 million [16][32] Business Segment Data and Key Metrics Changes - The Housing and Infrastructure Products (HIP) segment achieved record income from operations of $807 million and an EBITDA margin of 24%, driven by an 8% sales volume growth [20][28] - The Performance and Essential Materials (PEM) segment saw a 1% increase in sales volume, primarily due to export market demand, although average sales prices were impacted by industry capacity increases [18][30] - HIP's EBITDA margin improved to 19% in Q4 2024, while PEM's EBITDA margin increased to 12% from 11% in the same period of 2023 [27][31] Market Data and Key Metrics Changes - North America showed strong demand across both segments, supported by a broad product portfolio and a strong feedstock position [19] - The company expects housing starts for 2025 to remain similar to 2024 at 1.3 million [33] Company Strategy and Development Direction - The company is focused on sustainability and has initiated several key projects, including a pilot program for post-consumer recycled PVC and investments in carbon waste transformation technology [36][37] - The company plans to continue optimizing its business to drive operational performance and reduce costs, with a target of $125 million to $150 million in cost reductions for 2025 [42] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the HIP segment, citing strong brand offerings and geographical reach [39][41] - The company acknowledges uncertainties in the global macroeconomic environment but remains focused on actions within its control to improve business performance [41] Other Important Information - The company returned approximately $325 million to shareholders through dividends and share repurchases in 2024 [21][32] - As of December 31, 2024, the company had $2.9 billion in cash and cash equivalents, with total debt of $4.6 billion [31] Q&A Session Summary Question: Insights on HIP margins and expected degradation - Management indicated that margin guidance reflects a product mix shift rather than a decline in overall demand [49] Question: Cost cuts distribution across divisions - Cost reduction efforts will be significant in both HIP and PEM segments, particularly in logistics and procurement [52] Question: Concerns about homebuilder outlook affecting volumes - Management remains confident in growth, expecting market penetration to increase despite broader economic concerns [59] Question: Impact of tariffs on PVC trade flows - Management is monitoring potential impacts of tariffs on trade patterns and will adapt as necessary [62] Question: Volume and price changes for the year - Year-over-year volume improvements were 6% for PEM and 8% for HIP, with price declines of 12% for PEM and 6% for HIP [81][84] Question: Free cash flow outlook for 2025 - Management expects stronger free cash flow generation in 2025 due to continued strength in the HIP business [90] Question: Recent demand experience in major product lines - Demand for polyethylene remains strong, with price initiatives reflecting good market conditions [118] Question: Expectations for EBITDA margins in 2025 - Management views the 20% to 22% EBITDA margin guidance as conservative, with potential for improvement if housing starts increase [132]

Westlake (WLK) Q4 2024 Earnings Call February 24, 2025 09:17 PM ET Company Participants Johnathan Zoeller - VP & TreasurerJean-Marc Gilson - President & CEOSteven Bender - CFO & EVPDavid Begleiter - Managing DirectorAleksey Yefremov - MD & Equity ResearchJohn Roberts - Managing DirectorMichael Leithead - Director - Equity ResearchKevin McCarthy - PartnerJosh Spector - Executive DirectorMichael Sison - Managing DirectorAziza Gazieva - Vice PresidentMatthew Blair - Managing Director Conference Call Participan ...