Bailey Pemberton
4 min read
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Huntsman reported third quarter 2026 sales of US$1,717 million and a net loss of US$18 million, with basic and diluted loss per share of US$0.10, alongside nine month sales of US$4,800 million and a loss of US$77 million.
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The shrinkage in net loss and loss per share over both the quarter and year to date reflects cost control and pricing execution that may be more relevant to Huntsman’s longer term story than the headline loss figures.
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We will now explore how Huntsman’s investment narrative is affected by this smaller net loss and steadier revenue base.
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Huntsman Investment Narrative Recap
To own Huntsman, you need to believe that the core chemicals franchises can turn a period of losses into more consistent cash generation. The third quarter update, with sales at US$1,717 million and a quarterly loss of US$18 million, points to some stabilisation but not a clean inflection. The immediate swing factor remains how quickly pricing and cost actions can offset pressure in construction heavy end markets.
The biggest current risk is that weak housing and construction activity keeps volumes muted while formula based polyurethanes contracts adjust slowly to any feedstock cost moves. Against that, a smaller year to date loss and a steadier revenue base may help Huntsman pursue margin work, focus on cash preservation, and prepare for the planned Olin merger without the distraction of a sharply worsening income statement.
The most relevant context for this earnings print is the planned all stock merger with Olin, which management aims to complete in early 2027. Huntsman is targeting about US$400 million of cost and integration synergies from a tighter chlorine linked value chain. The third quarter numbers matter because they influence the financial starting point going into that combination.
For you as a shareholder, the question is whether current execution, including cost control and mix shift toward higher margin Advanced Materials, is enough to support those merger ambitions while the group is still reporting losses. Progress on reducing net leverage toward about 4x by the end of 2026 and on interest coverage, given current earnings, sits alongside construction demand as a key near term catalyst and risk to watch.
Huntsman’s analyst narrative points to projected revenues of US$6.6b and earnings of US$113.5 million by 2029, implying yearly top line growth of 2.5% and an earnings swing of US$272.5 million from earnings today, which currently stand at a US$159.0 million loss.
