Westlake Corporation’s first quarter swung to a narrower adjusted loss as sales improved from the prior quarter but remained below last year’s level.
Net sales rose to $2.652 billion in the first quarter of 2026 from $2.533 billion in the fourth quarter of 2025, a gain of $119 million, or about 4.7%. Compared with the first quarter of 2025, sales fell $194 million from $2.846 billion, or about 6.8%.
The company reported a net loss attributable to Westlake of $169 million, or $1.31 a share, versus a $544 million loss, or $4.22 a share, in the fourth quarter. A year earlier, Westlake reported a $40 million loss, or 31 cents a share.
Excluding identified items, the net loss narrowed to $100 million, or 77 cents a share, from a $131 million loss, or $1.02 a share, in the prior quarter. On that same basis, the loss was wider than the $33 million loss, or 26 cents a share, in the first quarter of 2025.
EBITDA improved to $150 million from a $315 million loss in the fourth quarter, a swing of $465 million. Versus a year ago, EBITDA fell from $288 million. Excluding identified items, EBITDA climbed to $235 million from $196 million in the prior quarter but slipped from $295 million a year earlier.
Westlake took $85 million of identified items in the quarter, including a $67 million litigation settlement and $18 million of shutdown-related charges. That compares with $511 million in identified items in the fourth quarter and $7 million in the first quarter of 2025.
Cash used in operating activities was $94 million in the quarter, while capital spending totaled $209 million. At March 31, Westlake had $2.5 billion in cash, cash equivalents and fixed-income investments, alongside $5.6 billion of debt.
In housing and infrastructure products, net sales were $993 million, up from $901 million in the fourth quarter and down slightly from $996 million a year earlier. Income from operations was $56 million, down from $66 million sequentially and from $148 million a year ago. EBITDA was $118 million, compared with $130 million in the prior quarter and $203 million in the first quarter of 2025.
In performance and essential materials, net sales were $1.659 billion, up from $1.632 billion in the fourth quarter but below $1.850 billion a year earlier. The segment posted an operating loss of $211 million, compared with a $717 million loss in the fourth quarter and a $163 million loss a year ago. EBITDA came in at $19 million, versus a $450 million loss in the prior quarter and $73 million in the first quarter of 2025.
Within that segment, performance materials generated $1.0 billion in net sales, down $53 million from a year earlier, while essential materials sales were $656 million, down $138 million year over year. The market has reacted to these announcements by moving the company's shares -8.34% to a price of $105.29. For more information, read the company's full 8-K submission here.
