Highlights

  • Olin reported Q3 2026 sales of US$1.75 billion and Net Income attributable to Olin of US$14.4 million.
  • Winchester segment Earnings rose to US$33.8 million from US$19.3 million on higher commercial ammunition pricing and volume.
  • Management expects fourth-quarter 2026 adjusted EBITDA of US$80 million to US$100 million, citing seasonality and planned maintenance turnarounds.
  • Olin signed a Credit agreement amendment providing a US$750 million term Loan and US$1.75 billion revolver upon Merger closing.

Olin Corporation (NYSE:OLN) closed out October with third-quarter 2026 results showing a return to normal operations at its vinyl chloride monomer (VCM) assets, alongside new financing terms built around its pending all-stock merger of equals with Huntsman Corporation. The chemicals and ammunition maker posted adjusted EBITDA of US$191.4 million for the quarter ended 30 September 2026, compared with US$222.4 million a year earlier, while sales edged up to US$1,747.7 million from US$1,713.2 million.

Net income attributable to Olin was US$14.4 million, or US$0.13 per diluted share, down from US$42.8 million, or US$0.37, in Q3 2025.

Winchester and Epoxy Offset a Softer Chlor Alkali Quarter

Chlor Alkali Products and Vinyls sales fell to US$850.8 million from US$924.0 million, and segment earnings declined to US$71.3 million from US$127.6 million. Lower volumes, including the end of the Blue Water Alliance at the close of 2025, and weaker VCM volumes outweighed higher pricing. Operating issues at the Freeport, Texas VCM plant cost about US$32.1 million in lost sales profit, and the Section 45V hydrogen tax credit benefit dropped to US$5.0 million from US$32.0 million.

Epoxy sales climbed to US$412.2 million from US$349.6 million, and the segment swung to earnings of US$0.6 million from a US$32.2 million loss on higher volumes and lower operating costs, although European Demand remained weak. Winchester sales rose to US$484.7 million from US$439.6 million, with segment earnings of US$33.8 million against US$19.3 million, helped by higher commercial ammunition pricing and Volume despite higher Commodity metal costs.

Leverage Rises as Operating Cash Flow Slows

For the nine months to 30 September 2026, net cash from Operating Activities was US$69.7 million, down from US$153.0 million a year earlier, while capital expenditures fell to US$106.6 million from US$163.5 million. Olin paid US$68.3 million in dividends, maintaining a US$0.20 quarterly payout, and did not repurchase shares during the period.

Total Debt stood at US$3,013.1 million at quarter-end, with net debt of US$2,798.3 million. Net debt to trailing twelve-month adjusted EBITDA reached 5.2 times, up from 4.1 times at 31 December 2025. Available Liquidity was about US$1.3 billion, including the undrawn revolver.

Merger Financing Lined Up as Management Guides a Seasonal Fourth Quarter

Olin and Huntsman announced the all-stock merger of equals on 16 June 2026 to form OlinHuntsman Corporation. Shareholders of both companies approved the transaction on 25 August 2026, and the US Hart-Scott-Rodino Waiting Period has expired. Closing is now expected in the first quarter of 2027, subject to remaining regulatory approvals and customary conditions.

On 27 October 2026, Olin entered a second amendment to its credit agreement that, upon the merger closing, provides a US$750 million term loan and a US$1.75 billion multicurrency revolving facility, both maturing five years after closing.

For Q4 2026, management expects adjusted EBITDA of US$80 million to US$100 million, citing seasonality, elevated year-end customer destocking in Chemicals, higher feedstock costs, subsidized Asian exports and significant planned maintenance turnarounds. Shares closed at US$17.60 on 30 October 2026, up 9.66% on the day, giving a market Capitalization of about US$2.01 billion.