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Aug 6, 2026, 6:01 AM ETBasic Materials

Avient Corporation — Second Quarter 2026 Earnings Summary

AVNTAVIENT CORP
Source

Financial Performance

  • Second quarter 2026 sales reached $917.0 million, a 5.8% increase from $866.5 million in the prior year quarter, driven by 4.3% organic growth and 1.5% favorable foreign exchange.
  • GAAP earnings per share (EPS) were $0.70, up from $0.57 in the prior year quarter.
  • Adjusted EPS was $0.96, representing a 20% increase over the prior year quarter's $0.80.
  • GAAP net income attributable to Avient common shareholders was $64.8 million for the quarter, compared to $52.6 million in the prior year.
  • Adjusted net income was $88.3 million for the quarter, compared to $73.5 million in the prior year.
  • Adjusted EBITDA margins expanded 110 basis points to a record high of 18.3% in the second quarter, compared to 17.2% in the prior year.
  • GAAP operating income was $112.4 million for the quarter, up from $96.1 million in the prior year.
  • Adjusted operating income was $121.7 million for the quarter, up from $103.1 million in the prior year.
  • Cash flow generation supported $50 million in debt repayment during the second quarter.
  • For the six months ended June 30, 2026, net income attributable to Avient common shareholders was $120.5 million, compared to $32.4 million in the prior year period.
  • Adjusted EPS for the six months ended June 30, 2026, was $1.79, compared to $1.56 in the prior year period.

Guidance and Future Outlook

  • Full-year 2026 adjusted EPS guidance increased to a range of $3.10 to $3.25, up from the previous range of $2.93 to $3.17.
  • The updated full-year adjusted EPS guidance represents 10% to 15% growth over the prior year.
  • Full-year 2026 adjusted EBITDA guidance increased to a range of $575 million to $603 million.
  • The company expects to repay a total of $100 million to $150 million of debt during the full year 2026.

Business Segments and Product Lines

  • Organic sales growth was achieved in both business segments.
  • Color, Additives and Inks segment sales were $574.2 million for the quarter, up from $538.6 million in the prior year.
  • Specialty Engineered Materials segment sales were $343.9 million for the quarter, up from $329.7 million in the prior year.
  • Organic sales growth was driven by market share gains, new product innovation, and pricing actions.
  • The company continues to intersect its capabilities with high-growth secular trends while driving productivity improvements.

Market and Competitive Landscape

  • The company proactively managed inflation and supply chain disruptions.
  • Performance reflects execution of a strategy to intersect Avient's capabilities with high-growth secular trends.

Risks and Challenges

  • The press release notes a volatile business environment.
  • Forward-looking statements identify risks including disruptions in global credit markets, currency fluctuations, tariffs, political and regulatory risks, supply chain inefficiencies, changes in laws and regulations, raw material price fluctuations, demand fluctuations, production outages, litigation, cybersecurity breaches, and general economic conditions.

Management Commentary and Tone

  • Dr. Ashish Khandpur, Chairman, President and CEO, stated that teams delivered strong execution, generating organic growth and adjusted EBITDA margin expansion in both segments.
  • Dr. Khandpur emphasized remaining close to customers and managing inflation and supply chain disruptions to deliver profitable growth.
  • Joe Di Salvo, Senior Vice President and CFO, noted strong operational discipline in managing a volatile environment and highlighted strong cash generation supporting investment and balance sheet improvement.
  • Management expressed confidence in delivering double-digit adjusted EPS growth in 2026, following earnings growth in 2024 and 2025.

Other Key Points

  • GAAP EPS includes special items of $0.09 and intangible amortization expense of $0.17 for the second quarter 2026.
  • Special items for the second quarter 2026 included restructuring costs, environmental remediation costs, and legal expenses.
  • The company declared cash dividends of $0.2750 per share for the second quarter 2026, up from $0.2700 in the prior year quarter.
  • Total assets were $6,004.8 million as of June 30, 2026, compared to $6,025.6 million as of December 31, 2025.
  • Long-term debt was $1,875.3 million as of June 30, 2026, down from $1,922.6 million as of December 31, 2025.
  • A webcast and conference call were scheduled for August 6, 2026, at 8:00 a.m. Eastern Time.
Avient Corporation — Second Quarter 2026 Earnings Summary