AdvanSix Reports Third Quarter 2025 Financial Results Amid Challenging Market Conditions
AdvanSix Inc. (NYSE: ASIX), a leading diversified chemistry company, today released its financial results for the third quarter ended September 30, 2025. The company reported lower year-over-year sales and profitability, reflecting ongoing softness in key end markets and elevated input costs, while highlighting strategic efforts to preserve cash flow and capitalize on strengths in its Plant Nutrients segment.
“During the third quarter, our team demonstrated agility and discipline in a complex operating environment,” said Erin Kane, President and CEO of AdvanSix. “We successfully executed a strong fall fill program in Plant Nutrients as we entered the new fertilizer year, even as raw material costs remained elevated. At the same time, we’re proactively moderating production rates in Nylon Solutions and Chemical Intermediates to align inventory with weakened demand and protect free cash flow. Our long-standing ability to navigate cyclical challenges—paired with our integrated manufacturing platform and strategic initiatives like SUSTAIN—positions us well for resilience and future growth.”
Financial Performance Overview
For the third quarter of 2025, AdvanSix generated sales of $374.5 million, a 6% decline from $398.2 million in the same period of 2024. The decrease was primarily attributed to a 3% drop in sales volume, driven by softer demand in Nylon and Chemical Intermediates markets. Additionally, raw material pass-through pricing declined by approximately 5% due to lower benzene and propylene costs—key inputs for cumene, a critical feedstock. However, favorable market-based pricing in Plant Nutrients, supported by strong North American ammonium sulfate supply-demand dynamics, contributed a 2% uplift.
By product line, Plant Nutrients emerged as a bright spot, with sales climbing to $138.7 million (37% of total sales) from $113.6 million (29%) in the prior year. In contrast, Nylon sales fell to $79.0 million (21%) from $93.7 million (24%), and Chemical Intermediates declined to $83.6 million (22%) from $114.6 million (28%). Caprolactam sales remained relatively stable at $73.1 million (20% of total).
Profitability and Cash Flow
Net income for the quarter swung to a loss of $2.6 million, compared to a profit of $22.3 million in Q3 2024. Diluted earnings per share (EPS) turned negative at ($0.10), down from $0.82 a year earlier. On an adjusted basis, EPS was $0.08, a decrease of $0.80 year-over-year, primarily reflecting lower pricing in Chemical Intermediates and reduced volumes in Nylon and intermediates.
Adjusted EBITDA totaled $24.7 million, down significantly from $53.2 million in the prior-year quarter. This resulted in an adjusted EBITDA margin of 6.6%, a 680-basis-point contraction from 13.4% in Q3 2024.
Operational cash flow for the quarter was $26.6 million, down $30.7 million year-over-year, largely due to lower earnings. Capital expenditures totaled $26.5 million, a modest $4.0 million reduction from the prior year. As a result, free cash flow—a key focus for management—was just $66,000, a sharp decline from $26.8 million in Q3 2024.
About AdvanSix
AdvanSix is a diversified chemistry company that produces essential materials for our customers in a wide variety of end markets and applications that touch people’s lives. Our integrated value chain of our five U.S.-based manufacturing facilities plays a critical role in global supply chains and enables us to innovate and deliver essential products for our customers across building and construction, fertilizers, agrochemicals, plastics, solvents, packaging, paints, coatings, adhesives, electronics and other end markets. Guided by our core values of Safety, Integrity, Accountability and Respect, AdvanSix strives to deliver best-in-class customer experiences and differentiated products in the industries of nylon solutions, plant nutrients, and chemical intermediates. More information on AdvanSix can be found at http://www.advansix.com.
Non-GAAP Financial Measures
This release includes certain non-GAAP financial measures that are intended to provide additional insight into AdvanSix’s operating performance but should not be viewed as substitutes for the most directly comparable GAAP measures. Detailed reconciliations between GAAP and non-GAAP figures are included within this release.
Investors are encouraged to review these reconciliations and consider the related GAAP measures when evaluating the Company’s financial performance. Please note that the non-GAAP metrics presented by AdvanSix may be calculated differently from similarly titled measures used by other companies, and therefore may not be directly comparable.
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