Ecovyst Divests $556M Advanced Materials Business and Cuts Debt, Q4 EBITDA Up 7.5%
Ecovyst sold its Advanced Materials & Catalysts segment for $556 million, used $465 million to reduce its term loan and ended 2025 with a net debt leverage ratio of 1.2x. Q4 sales climbed to $199.4 million with adjusted EBITDA of $51.3 million (up 7.5%) and $20 million in share repurchases.
1. Divestiture and Debt Reduction
Ecovyst completed the sale of its Advanced Materials & Catalysts segment for $556 million and deployed $465 million of proceeds to pay down its term loan, resulting in a year-end net debt leverage ratio of 1.2x.
2. Q4 2025 Operational Highlights
The company reported fourth quarter sales of $199.4 million and net income of $9.2 million, while adjusted EBITDA rose 7.5% year-over-year to $51.3 million, corresponding to an adjusted diluted EPS of $0.28 and an EBITDA margin of 25.7%.
3. Full-Year 2025 Performance
For the full year, Ecovyst achieved sales of $723.5 million, net income of $6.3 million, and adjusted EBITDA of $172.0 million at a 23.8% margin, with net cash from operations of $118.1 million and adjusted free cash flow of $78.1 million.
4. Capital Allocation and 2026 Outlook
Ecovyst repurchased $20 million of common stock in Q4 and $47.4 million for the year, acquired Waggaman sulfuric acid assets for $41 million, and anticipates volume growth in regeneration services and higher virgin acid sales driven by refinery utilization and mining demand in 2026.