ASIX · AdvanSix Inc.

AdvanSix reported first quarter 2026 results with sales of $404.2 million, reflecting 7% year-over-year growth driven by 6% higher volumes primarily in Chemical Intermediates and 1% favorable pricing, particularly in Plant Nutrients amid higher nitrogen pricing that offset elevated sulfur input costs. Raw material pass-through pricing declined 2% due to lower benzene and propylene costs. Despite sales growth, profitability deteriorated sharply with a GAAP net loss of $15.5 million and diluted EPS of ($0.58), compared to prior year profit, reflecting the absence of $26 million insurance proceeds, higher sulfur and natural gas prices, elevated utilities, and $11 million winter storm impacts. Adjusted EBITDA fell to $4.8 million (1.2% margin) from $51.6 million (13.7% margin), while adjusted EPS was ($0.50), down $1.43. Product line sales showed stability in Nylon (22% of total) and Caprolactam (17%), growth in Plant Nutrients to $140.6 million (35%), and Chemical Intermediates to $107.3 million (26%). Cash from operations swung to a ($15.3) million outflow from prior year inflow, partly offset by working capital changes, with capex at $35.9 million. CEO Erin Kane highlighted navigation of headwinds like winter storms and geopolitical issues amid subdued demand, with positioning for sequential Q2 improvement in nylon and acetone markets. Outlook includes $75-95 million full-year capex (down from $116 million in 2025), $17-22 million turnaround impacts, and benefits from 45Q tax credits. The company declared a steady $0.16 per share dividend and appointed Patrick Day as SVP and CFO effective April 27. Additionally, AdvanSix entered a process design agreement for potential expansion of its Hopewell, Virginia ammonia platform to serve growing Diesel Exhaust Fluid demand, with FEED ongoing and final investment decision in H1 2027, targeting 2029 startup without impacting fertilizer production.