NYSE$WLK

Westlake Chemical Corp · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Westlake reported record results driven by strong market conditions and recent acquisitions.

Westlake Corporation announced record first quarter 2022 results, with record quarterly net sales of $4.1 billion, a 72% increase compared to the first quarter of 2021. Record quarterly net income reached $756 million, a 212% increase, and record quarterly EBITDA was $1.3 billion, a 135% increase year-over-year. The company benefited from strong market conditions and completed the acquisition of Hexion's global epoxy business.

  • Achieved record quarterly net sales of $4.1 billion, up 72% from Q1 2021.
  • Reported record quarterly net income of $756 million, a 212% increase from Q1 2021.
  • Attained record quarterly EBITDA of $1.3 billion, a 135% increase from Q1 2021.
  • Expanded specialty product portfolio with the acquisition of Hexion's global epoxy business.

Headline financials

Total Revenue

$4.06B

Previous: $2.36B+72.1%
EPS (adj)

$5.83

Previous: $1.87+211.8%
Capital Expenditures

-$263M

Previous: -$141M-86.5%
Free Cash Flow

$493M

Previous: $101M+388.1%
Net Income

$756M

Previous: $242M+212.4%
Operating Income

$1.03B

Previous: $346M+198.3%
Gross Profit

$1.29B

Previous: $509M+152.5%
Cash & Equivalents

$1.06B

Previous: $1.39B-24.3%
Total Assets

$19.7B

Previous: $14.1B+40.5%
Stock-Based Comp

$8M

Previous: $8M+0.0%

Revenue & EPS history

Westlake · Revenue · Quarterly

$4.06B

Q1 2022+72.1%vs Q1 2021
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Forward guidance

Westlake anticipates volatility driven by economic and geopolitical factors but remains confident in its business fundamentals and the markets in which it participates. The company is focused on its ESG tenets and creating value for its shareholders, remaining optimistic about the future.

Tailwinds

  • Market conditions currently remain favorable.
  • Continued strong demand outlook for products.
  • Focus on ESG tenets to enhance lives and create a sustainable future.
  • Commitment to creating value for shareholders.
  • Robust residential construction and remodeling activity driving demand for PVC resin.

Headwinds

  • Volatility driven by economic and geopolitical factors could impact businesses.
  • Rising feedstock costs.
  • Logistical constraints.
  • Rising raw material and energy costs.
  • Uncertainties associated with the United States and worldwide economies.

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 Q1 2022

Historical avgQ1 2022

+0.4%

Avg return

Earnings day

+1.0%

Avg return

5 days after

+1.1%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+12.1%

Q4 2025

Best reaction

-13.4%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.6%-6.9%-19.4%
Q4 2025+12.1%+13.3%+22.0%
Q3 2025-7.0%-9.1%-9.1%
Q1 2025-13.4%-15.5%-23.0%
Q4 2024-0.2%+2.4%-7.4%
Q3 2024+4.3%+0.5%-6.0%
Q2 2024+7.5%+9.4%+2.2%
Q1 2024+1.5%+4.0%+9.0%
Q4 2023-6.0%+2.8%+3.2%
Q3 2023+6.4%+3.6%+14.1%
Q2 2023-2.5%-1.3%-1.3%
Q1 2023+8.1%+5.3%+0.7%
Q4 2022-3.2%-0.9%-12.6%
Q3 2022+4.1%+5.5%+13.1%
Q2 2022-2.8%-2.9%-0.9%
Q1 2022+10.3%+8.0%+4.8%
Q4 2021-0.9%+2.4%+17.4%
Q3 2021+1.9%+0.9%-6.2%
Q2 2021-1.7%+0.3%+6.9%
Q1 2021+7.6%+9.3%+10.9%
Q4 2020+0.8%-2.1%+0.6%
Q3 2020-1.1%+1.3%+10.8%
Q2 2020+0.9%+7.4%+9.7%
Q1 2020+5.9%+7.8%+30.0%
Q4 2019-2.8%-4.1%-42.7%
Q3 2019+7.5%+9.3%-1.1%
Q2 2019+0.5%-0.6%-2.8%
Q1 2019-6.4%-10.6%-15.5%
Q4 2018-1.2%-6.6%-13.8%
Q3 2018+6.8%+1.9%-5.7%
Q2 2018-7.5%-6.7%-12.1%
Q1 2018-1.2%+0.5%+8.0%
Q4 2017+1.6%+4.1%+6.2%
Q3 2017+9.2%+8.1%+15.5%
Q2 2017-1.9%-2.5%+8.9%
Q1 2017+0.7%-0.1%+0.4%
Q4 2016+4.7%+3.2%+5.8%
Q3 2016+2.7%+2.5%+11.9%
Q2 2016-0.1%-4.0%+12.0%
Q1 2016-3.7%
Q4 2015-7.0%
Q3 2015+1.6%
Q2 2015+7.1%
Q1 2015-9.3%
Q4 2014+0.1%
Q3 2014-5.2%
Q2 2014-1.9%
Q1 2014+2.4%
Q4 2013+2.1%
Q3 2013+4.9%
Q2 2013+4.6%
Q1 2013+10.9%
Q4 2012-5.2%
Q3 2012-1.6%
Q2 2012+11.2%
Q1 2011-3.6%
Q1 2012+1.3%
Q1 2010-0.8%
Q4 2011-0.8%
Q4 2009-0.8%
Q3 2010+4.7%
Q3 2011+4.7%
Q4 2010-9.3%
Q2 2011-9.3%
Q2 2010-9.3%

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