NYSE$KWR

Quaker Chemical Corporation · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Quaker Houghton reported a decrease in net sales and net income for the fourth quarter of 2024 compared to the prior year, primarily due to lower selling prices, unfavorable foreign currency translation, and reduced organic sales volumes.

Quaker Houghton's Q4 2024 performance saw a 5% decrease in net sales to $444.1 million and a decline in net income to $14.2 million. Despite a challenging macro environment, the company improved profitability and generated strong cash flow for the full year, driven by new business wins, particularly in Asia/Pacific.

  • Net sales for Q4 2024 decreased by 5% to $444.1 million, primarily due to lower selling prices and product mix, unfavorable foreign currency translation, and a decline in organic sales volumes.
  • Net income attributable to Quaker Chemical Corporation for Q4 2024 was $14.2 million, or $0.81 per diluted share, down from $20.2 million, or $1.12 per diluted share, in Q4 2023.
  • Non-GAAP net income for Q4 2024 was $23.6 million, or $1.33 per diluted share, compared to $31.9 million, or $1.78 per diluted share, in the prior year period.
  • Adjusted EBITDA for Q4 2024 was $64.8 million, a decrease of approximately 16% compared to $77.0 million in Q4 2023, mainly due to the decline in sales and operating margins.

Headline financials

Total Revenue

$444M

Previous: $467M-4.9%
EPS (adj)

$1.33

Previous: $1.78-25.3%
Adjusted EBITDA

$64.8M

Previous: $77M-15.8%
Adjusted EBITDA Margin

14.6%

Previous: 16.5%-11.5%
Non-GAAP Operating Income

$40.5M

Previous: $50.9M-20.5%
Non-GAAP Operating Margin

9.1%

Previous: 10.9%-16.5%
Net Income

$14.2M

Previous: $20.2M-29.8%
Operating Income

$29M

Previous: $48.3M-39.9%
Gross Profit

$156M

Previous: $171M-8.7%

Revenue & EPS history

Quaker Chemical · Revenue · Quarterly

$444M

Q4 2024-4.9%vs Q4 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Forward guidance

Quaker Houghton anticipates sustained growth and share gains in 2025 by advancing its enterprise strategy, refocusing on customer intimacy, and effectively allocating capital. The company expects to deliver revenue, adjusted EBITDA, and earnings growth in 2025.

Tailwinds

  • Delivering sustained growth and share gains by advancing enterprise strategy.
  • Refocusing the organization around a unique customer intimate model.
  • Effectively allocating capital to enhance operational efficiency and competitiveness.
  • Taking additional steps to reduce complexity, expected to deliver at least $20 million in run-rate cost savings in 2025.
  • Leveraging global scale to unlock full potential and deliver revenue, adjusted EBITDA, and earnings growth in 2025.

Headwinds

  • Uncertainty surrounding changes in tariffs and their impact on business.
  • Potential impacts of inflation and global supply chain constraints.
  • Risks related to customer financial instability and high interest rates.
  • Economic and political disruptions, including numerous global elections and potential regime changes.
  • Impacts from acts of war, terrorism, and military conflicts, as well as changes in tax laws and regulations.

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 Q4 2024

Historical avgQ4 2024

+1.5%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+0.4%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+20.6%

Q2 2022

Best reaction

-10.0%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.0%+5.1%+7.4%
Q4 2025+1.1%-13.5%-25.8%
Q3 2025+5.5%+7.1%+9.6%
Q1 2025-2.6%-5.8%+2.3%
Q4 2024+2.6%-1.2%-7.8%
Q3 2024+4.2%+3.9%+2.0%
Q2 2024-6.5%-8.0%-3.3%
Q1 2024-1.0%-0.2%-3.3%
Q4 2023+0.5%-0.2%+4.1%
Q3 2023+13.0%+14.6%+28.9%
Q2 2023-5.3%-9.1%-11.4%
Q1 2023+11.3%+11.5%+7.8%
Q4 2022+0.6%+0.5%-5.0%
Q3 2022+6.4%+19.1%+25.1%
Q2 2022+20.6%+21.3%+8.7%
Q1 2022-2.8%-13.4%-5.1%
Q4 2021-3.4%-10.9%-4.2%
Q3 2021+3.6%+3.9%-12.3%
Q2 2021-1.9%+2.8%+4.3%
Q1 2021-0.7%-1.6%-1.5%
Q4 2020-4.2%-5.3%-20.1%
Q3 2020+8.9%+22.6%+24.2%
Q2 2020-1.8%+1.5%-2.6%
Q1 2020+7.6%+3.8%+21.8%
Q4 2019+1.1%+0.1%-28.9%
Q3 2019-4.2%-7.6%-0.6%
Q2 2019-10.0%-10.5%-15.2%
Q1 2019-3.3%-6.6%-18.6%
Q4 2018-0.5%-3.5%-4.6%
Q3 2018+13.3%+13.7%+14.6%
Q2 2018+10.0%+3.2%+10.0%
Q1 2018-2.0%-2.4%+3.3%
Q4 2017+1.1%-0.7%-2.1%
Q3 2017+4.8%+3.9%+8.1%
Q2 2017-3.9%-5.4%-8.2%
Q1 2017-0.5%+0.0%-3.6%
Q4 2016+2.9%+0.8%-2.4%
Q3 2016+1.9%+2.3%+20.0%
Q2 2016-0.1%+0.1%+1.1%
Q1 2016-1.4%
Q4 2015+6.1%
Q3 2015+5.1%
Q2 2015+16.0%
Q1 2015-5.5%
Q4 2014-7.0%
Q3 2014+8.7%
Q2 2014-0.3%
Q1 2014-2.7%
Q4 2013+6.8%
Q3 2013-3.1%
Q2 2013+1.7%
Q1 2013+8.6%
Q4 2012+1.9%
Q3 2012+11.6%
Q2 2012+2.8%
Q1 2011-1.6%
Q1 2012+0.2%
Q4 2009-1.6%
Q4 2011-1.6%
Q3 2010+3.5%
Q3 2011+3.5%
Q4 2010-4.3%
Q2 2010-4.3%
Q2 2011-4.3%
Q1 2010-6.6%

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