Element Solutions reported adjusted EBITDA of $136 million in Q4, up 8% year-over-year on a constant currency basis, despite a metals price headwind of several million dollars that trimmed margins by approximately one percentage point. Excluding pass-through metals, adjusted EBITDA margin improved by 40 basis points to 25.5%. Semiconductor solutions grew 13% organically, while electronics segment net sales rose 10% on AI and data center investments.

For the full year, net sales reached $2.6 billion, a 6% organic increase led by 10% growth in electronics and 1% in specialties. Adjusted EBITDA climbed to $548 million, up 7% on a constant currency basis excluding divestitures, and record adjusted EPS reached $1.49. All major segments—Assembly, Circuitry, Semiconductor and Specialty—delivered mid- to high-single-digit organic growth, with Specialty margins expanding 250 basis points.

Element Solutions generated $256 million of adjusted free cash flow in 2025 and expects $75 million of capital expenditures in 2026. The company closed two acquisitions for $870 million, funding part with a $450 million term loan, leading to pro forma net debt/EBITDA just above 3x. Management targets reducing leverage to 2.5x by year-end 2026, with 95% of debt fixed at approximately 4% cost.