Huntsman Cuts $100M Costs, Converts 45% EBITDA to Cash; Q1 EBITDA at $25–$40M
Huntsman converted 45% of EBITDA into free cash flow in 2025 while achieving $100 million of annualized cost savings through 500 headcount reductions and seven facility closures. The company expects Q1 segment EBITDA of $25–$40 million in polyurethanes/MDI with a $10 million natural gas headwind and reports very low inventories.
1. 2025 Financial Performance
Huntsman converted 45% of EBITDA into free cash flow in 2025 and delivered $100 million of annualized cost savings by reducing roughly 500 employees and closing seven facilities, bolstering margins and cash generation despite volatile end markets.
2. Balance Sheet and Liquidity
At year-end the company held over $400 million in cash, an $800 million revolving credit facility and about $300 million in securitized receivables, with management signaling selective M&A or joint ventures without issuing equity or stretching leverage.
3. Polyurethanes/MDI Q1 2026 Outlook
Huntsman issued price-increase notices in North America and Europe to offset rising benzene and natural gas costs, forecasts polyurethanes/MDI segment EBITDA of $25–$40 million (including a $10 million natural gas headwind) and reports very low inventories with early volume and pricing improvement signs.