NYSE$ECVT
Ecovyst Inc · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Ecovyst's results reflected positive pricing and stable demand fundamentals across the majority of its end uses, with high refinery utilization supporting regeneration demand in the Ecoservices segment and stronger sales of hydrocracking catalysts and catalysts into renewable fuel applications within the Catalyst Technologies business.
Ecovyst reported sales of $173.3 million and net income of $16.6 million. Adjusted EBITDA was $67.9 million with a margin of 32.3%. The company repurchased 541,494 shares at an average price of $9.85, for a total cost of $5.3 million.
- Sales were $173.3 million, compared to $232.5 million in the third quarter of 2022, reflecting lower sulfur costs and decreased sales volume.
- Net income was $16.6 million, compared to $21.3 million in the year-ago quarter, with diluted net income per share of $0.14.
- Adjusted EBITDA was $67.9 million, with an Adjusted EBITDA margin of 32.3%.
- The company announced a planned expansion of silica catalyst production capacity in Kansas City, KS.
Headline financials
Revenue & EPS history
Ecovyst · Revenue · Quarterly
$173M
Revenue by segment
Ecovyst · $148M total across 1 segment · Q3 2023
- Ecoservices$148M-24.6%100.0%
Forward guidance
Ecovyst expects full-year 2023 Adjusted EBITDA to be at the low end of the previous guidance range, at approximately $260 million, and Adjusted Free Cash Flow of $70 million to $80 million.
Tailwinds
- Regeneration services demand in the fourth quarter remains unchanged.
- Higher sales of hydrocracking catalysts are expected, compared to the fourth quarter of 2022.
- Acceleration of turnaround will position the company well to capture volume recovery in 2024.
- Strong hydrocracking catalyst sales expected in the fourth quarter.
- Working capital increases in the Zeolyst Joint Venture will provide a comparative free cash flow benefit in 2024.
Headwinds
- Weaker demand for virgin sulfuric acid sales into nylon intermediates in the fourth quarter.
- Lower expected sales for polyethylene catalysts.
- Incremental costs to be incurred by the accelerated turnaround in Ecoservices.
- Potential for further macroeconomic deterioration and incremental year-end destocking in the fourth quarter.
- Lower regeneration volume in the fourth quarter of 2023 as refining customers conduct their customary, seasonal turnaround activity.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2023
-1.5%
Avg return
Earnings day
-1.9%
Avg return
5 days after
+0.2%
Avg return
30 days after
49%
20 / 41 earnings
Positive
+19.6%
Q3 2024
Best reaction
-29.9%
Q2 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +4.3% | +0.1% | -8.5% | |
| Q4 2025 | +1.1% | +1.3% | +13.4% | |
| Q3 2025 | -1.3% | -5.5% | +10.8% | |
| Q1 2025 | +3.5% | +13.0% | +24.6% | |
| Q4 2024 | -14.4% | -18.6% | -22.2% | |
| Q3 2024 | +19.6% | +22.1% | +24.8% | |
| Q2 2024 | -29.9% | -34.8% | -24.7% | |
| Q1 2024 | +3.0% | +2.6% | -2.2% | |
| Q4 2023 | -1.3% | -7.6% | +14.0% | |
| Q3 2023 | +4.4% | +2.0% | +9.0% | |
| Q2 2023 | -17.2% | -18.3% | -14.4% | |
| Q1 2023 | -7.1% | -10.3% | -8.5% | |
| Q4 2022 | -1.4% | +6.6% | +4.8% | |
| Q3 2022 | -5.3% | -2.8% | -7.4% | |
| Q2 2022 | +5.2% | +4.5% | -4.6% | |
| Q1 2022 | -10.2% | -13.2% | -7.5% | |
| Q4 2021 | +9.4% | +10.3% | +19.8% | |
| Q1 2016 | -16.5% | -24.4% | -24.2% | |
| Q3 2021 | +3.6% | +5.1% | -22.1% | |
| Q2 2021 | +0.8% | +7.0% | -15.7% | |
| Q1 2021 | +1.9% | +5.3% | +9.5% | |
| Q4 2020 | +0.3% | +0.3% | -6.4% | |
| Q3 2020 | -3.4% | -5.3% | +9.2% | |
| Q2 2020 | -8.2% | -8.9% | -11.2% | |
| Q1 2020 | -1.1% | +4.5% | +19.7% | |
| Q4 2019 | +0.5% | -9.2% | -37.9% | |
| Q3 2019 | -0.2% | -0.2% | -3.3% | |
| Q2 2019 | +7.5% | +10.3% | +9.2% | |
| Q1 2019 | -0.1% | -2.0% | -1.0% | |
| Q4 2018 | -2.2% | -2.5% | -9.4% | |
| Q3 2018 | +1.9% | -4.8% | -6.4% | |
| Q2 2017 | -3.0% | -1.9% | -2.2% | |
| Q2 2018 | +0.2% | -0.1% | -0.8% | |
| Q1 2017 | -0.1% | +3.8% | +27.6% | |
| Q1 2018 | -2.6% | -1.0% | +25.3% | |
| Q2 2016 | -4.3% | -3.8% | +3.2% | |
| Q4 2015 | -4.3% | -3.8% | +3.2% | |
| Q4 2017 | +3.5% | +4.1% | +8.7% | |
| Q3 2016 | +0.7% | -0.3% | +4.4% | |
| Q4 2016 | +0.7% | -0.3% | +4.4% | |
| Q3 2017 | +1.3% | -0.6% | +3.3% |
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