Olin's Earnings Top Estimates in Q3, Revenues Miss Amid Challenges

Olin Corporation OLN posted a third-quarter 2025 profit of $42.8 million, or 37 cents per share. This compares to a loss of $24.9 million or 21 cents in the year-ago quarter. Barring one-time items, earnings came in at 40 cents per share, topping the Zacks Consensus Estimate of 9 cents.

The chemical maker’s revenues rose roughly 7.8% year over year to $1,713.2 million in the quarter. It missed the Zacks Consensus Estimate of $1,731.5 million. The company saw constrained demand growth amid continued market challenges.

Olin Corporation Price, Consensus and EPS Surprise

Olin Corporation price-consensus-eps-surprise-chart | Olin Corporation Quote

OLN’s Segment Review

Chlor Alkali Products and Vinyls:In the third quarter of 2025, revenues amounted to $924 million, which rose around 6% year over year. The reported figure lagged the consensus estimate of $992 million. The upside in sales was primarily due to increased volume. Segment earnings were $127.6 million compared with $45.3 million in the third quarter of 2024. 

Epoxy:Revenues in the division went up around 22.6% year over year to $349.6 million. It beat the consensus estimate of $321 million.

Winchester: Revenues rose around 1.6% year over year to $439.6 million. The sales were maintained at this level primarily due to higher military sales and military project revenues, which were partially offset by reduced commercial ammunition pricing and sales. It missed the consensus estimate of $448 million.

Olin’s Financials

The cash balance at the end of the third quarter was $140.3 million. At the end of the reported quarter, Olin had roughly $2.85 billion in net debt. 

During the third quarter, roughly 0.5 million shares of common stock were repurchased for $10.1 million. As of Sept. 30, 2025, Olin had approximately $2 billion in share repurchase authorizations.

OLN’s Outlook

Per OLN, the fourth quarter is the weakest seasonal quarter for the company. Additionally, the continued challenges in the markets, the possibility of rising costs and inventory reductions, Olin anticipates its adjusted EBITDA for the fourth quarter of 2025 to be within the range of $110 million to $130 million. The company maintains its commitment to a disciplined capital allocation strategy, with a strong emphasis on maximizing cash generation and maintaining its net debt at previous year levels. This outlook is underpinned by Olin’s solid financial foundation.

Olin’s Price Performance

Shares of Olin have lost 40.6% in the past year compared with the 25.2% decline of the industry.

OLN’s Zacks Rank & Key Picks

OLN currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks worth a look in the basic materials space are Royal Gold, Inc. RGLD, Avino Silver & Gold Mines Ltd. ASM and Fortuna Mining Corp. FSM.

Royal Gold is scheduled to report third-quarter results on Nov. 5. The Zacks Consensus Estimate for RGLD’s third-quarter earnings is pegged at $2.30 per share. RGLD’s earnings beat the Zacks Consensus Estimate in each of the last four quarters, with the average surprise being 8.95%. Royal Gold currently flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Avino Silver is slated to report third-quarter results on Nov. 6. The Zacks Consensus Estimate for third-quarter earnings is pegged at 3 cents per share. ASM’s earnings beat the Zacks Consensus Estimate in each of the last four quarters, with the average surprise being 141.67%. Avino Silver flaunts a Zacks Rank #2 (Buy) at present.

Fortuna Mining is scheduled to report third-quarter results on Nov. 5. FSM carries a Zacks Rank #2 at present. Fortuna Mining’s earnings beat the consensus estimate in one of the last four quarters and missed thrice.

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This article originally published on Zacks Investment Research (zacks.com).

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