Braskem (NYSE:BAK) Releases Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Braskem (NYSE:BAK) issued its quarterly earnings data on Friday. The company reported $1.61 EPS for the quarter, missing the consensus estimate of $1.68 by ($0.07), FiscalAI reports. The company had revenue of $4.20 billion during the quarter, compared to analysts’ expectations of $4.32 billion. Braskem had a negative return on equity of 23.17% and a negative net margin of 13.72%.

Here are the key takeaways from Braskem’s conference call:

• Recurring EBITDA rose to $1.043 billion in Q2, supported by substantially wider resin and chemical spreads and $150 million in PIS/COFINS feedstock credits. Operating cash generation was $385 million, although working-capital investment reduced recurring cash generation to approximately $210 million.
• The company emphasized that the improved spreads were driven by a temporary Middle East-related supply shock, not a structural recovery. Consultants expect spreads to normalize in the second half of 2026 amid excess global capacity, moderate demand and low industry utilization rates.
• Braskem is pursuing a consensual financial restructuring with bank creditors and bondholders to rebalance its capital structure. Management said preserving liquidity and optimizing capital allocation are short-term priorities.
• Braskem Idesa reduced Mexican polyethylene utilization to 43% to preserve liquidity, reflecting lower ethane supplies from imports and Pemex; polyethylene sales declined 11% sequentially. Brazilian resin sales also fell 2%, pressured by imports and weaker polyethylene and PVC volumes.
• Progress on the Alagoas geological-event response continued, with 99.9% of residence relocations and compensation proposals completed or submitted, while cavity closure work advanced. The remaining provision balance declined to approximately BRL 3.2 billion after BRL 14.6 billion of prior disbursements.

Braskem Trading Down 5.6%

Shares of BAK stock traded down $0.12 during trading on Friday, hitting $1.96. The company’s stock had a trading volume of 4,839,363 shares, compared to its average volume of 2,362,347. The company has a market cap of $779.26 million, a PE ratio of -0.46, a P/E/G ratio of 0.13 and a beta of 1.62. The business has a fifty day moving average of $2.67 and a 200-day moving average of $3.54. Braskem has a 52 week low of $1.83 and a 52 week high of $5.39.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on BAK. Citigroup lowered Braskem from a “neutral” rating to a “sell” rating in a research report on Thursday, June 25th. JPMorgan Chase & Co. downgraded shares of Braskem from an “overweight” rating to a “neutral” rating in a report on Tuesday, June 30th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Braskem in a research note on Friday, July 17th. Bradesco Corretora downgraded shares of Braskem from an “outperform” rating to an “underperform” rating and set a $1.50 target price for the company. in a report on Tuesday, April 21st. Finally, Zacks Research lowered shares of Braskem from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 18th. Three research analysts have rated the stock with a Hold rating and five have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Strong Sell” and a consensus target price of $3.40.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Jump Financial LLC boosted its position in Braskem by 607.1% in the second quarter. Jump Financial LLC now owns 263,771 shares of the company’s stock worth $865,000 after purchasing an additional 226,467 shares during the last quarter. Jane Street Group LLC increased its position in shares of Braskem by 130.3% during the 2nd quarter. Jane Street Group LLC now owns 49,301 shares of the company’s stock valued at $162,000 after purchasing an additional 27,891 shares during the last quarter. Van ECK Associates Corp bought a new stake in shares of Braskem during the 3rd quarter worth $117,000. UBS Group AG boosted its holdings in shares of Braskem by 2.6% in the 3rd quarter. UBS Group AG now owns 783,445 shares of the company’s stock worth $1,896,000 after buying an additional 19,956 shares during the last quarter. Finally, Virtu Financial LLC boosted its holdings in shares of Braskem by 28.7% in the 3rd quarter. Virtu Financial LLC now owns 44,587 shares of the company’s stock worth $108,000 after buying an additional 9,938 shares during the last quarter.

About Braskem

Braskem (NYSE:BAK) is a leading integrated petrochemical company based in São Paulo, Brazil, and holds the distinction of being the largest thermoplastic resins producer in Latin America. The company operates across the entire value chain, from feedstock sourcing and polymer production to distribution and recycling. Braskem’s comprehensive approach to petrochemical manufacturing enables it to serve a diverse set of end markets with a broad portfolio of products.

Braskem’s core product lines include polypropylene, polyethylene and polyvinyl chloride (PVC), which are used in industries such as packaging, automotive, construction and electrical & electronics.