Hudson Technologies Posts 28.2% Revenue Rise, Wider $0.20 Per-Share Loss

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Hudson Technologies grew fourth-quarter revenue 28.2% year-over-year to $44.41 million, beating analyst projections, but posted a $0.20 per-share GAAP loss versus an expected $0.08 loss. Gross margin declined 8.7 percentage points, operating margin fell 16.7 points, and free cash flow swung to negative $33.65 million.

1. Fourth-Quarter Financial Results

Hudson Technologies reported fourth-quarter revenue of $44.41 million, a 28.2% increase year-over-year that exceeded estimates, but recorded a GAAP loss of $0.20 per share, wider than the $0.08 loss projected and the $0.06 loss a year earlier.

2. Margin Contraction Impacts Profitability

Gross margin fell by 8.7 percentage points year-over-year, while operating margin decreased by 16.7 points, driven by higher operating expenses and cost pressures in the refrigerant services segment.

3. Cash Flow and Market Reaction

Free cash flow swung to a $33.65 million outflow from a prior $19.16 million inflow, signaling significant operational headwinds. Shares slid 9.6% on the news, extending a year-to-date decline to 6.5% and trading over 39% below their 52-week high.

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