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Celanese Corporation Reports Third Quarter Earnings

businesswire.com

DALLAS--( BUSINESS WIRE)--Celanese Corporation (NYSE: CE), a global chemical and specialty materials company, today reported third quarter 2025 U.S. GAAP diluted loss per share of ($12.39) and adjusted earnings per share of $1.34. The Company generated net sales of $2.4 billion in the third quarter, a sequential 4 percent decline driven by decreases of 4 percent in volume and 1 percent in price, with a small currency offset. Most end-markets continued to be challenged in the third quarter and caused sequential volume declines in both businesses. The Company reported third quarter consolidated operating loss of ($1.3) billion, adjusted EBIT of $326 million, and operating EBITDA of $517 million at margins of (53), 14, and 21 percent, respectively. Celanese remained focused on advancing the strategic priorities of increasing cash to deleverage the balance sheet, intensifying cost improvements, and driving top-line growth through differentiated business models. Consistent with these priorities, the Company realized a significant milestone with the announcement in the quarter of a definitive agreement to divest the Micromax® business. These actions also supported the Company's ability to generate operating cash flow in the third quarter of $447 million and free cash flow of $375 million.

The difference between U.S. GAAP diluted earnings per share and adjusted earnings per share in the third quarter was primarily due to Certain Items totaling $1.5 billion 1 principally due to non-cash asset impairment losses in the Engineered Materials reporting segment.

Celanese made significant progress in advancing strategic priorities, including the following key milestones:

1 Primarily related to impairment of goodwill and certain trade names arising from our annual goodwill and indefinite-lived intangible assets impairment tests.

"Our strong third quarter free cash flow and Micromax ® divestiture announcement clearly demonstrate that we are executing against our strategic action plans," said Scott Richardson, president and chief executive officer. "Our third quarter free cash flow performance is a substantial improvement over the same period last year and shows the robust cash generation capabilities we have and continue to utilize. The signing of the Micromax ® divestiture demonstrates our commitment to aggressively and prudently taking steps to deleverage our balance sheet. I thank our teams for their tenacity and resilience in driving these outcomes," continued Richardson. "We have two strong businesses, and the action plans in each are driving value even in a demand environment that remains challenging. We can't control the macroeconomic environment, so our plan is simple: keep identifying and executing actions to generate cash, reduce costs, and drive growth through our two highly differentiated business models."

Third Quarter 2025 Financial Highlights:

Three Months Ended

September 30,

2025

June 30,

2025

September 30,

2024

(unaudited)

(In $ millions, except per share data)

Net Sales

Engineered Materials

1,384

1,442

1,481

Acetyl Chain

1,061

1,115

1,190

Intersegment Eliminations

(26

)

(25

)

(23

)

Total

2,419

2,532

2,648

Operating Profit (Loss)

Engineered Materials

(1,327

)

164

100

Acetyl Chain

135

153

238

Other Activities

(83

)

(86

)

(93

)

Total

(1,275

)

231

245

Net Earnings (Loss)

(1,353

)

200

117

Adjusted EBIT (1)

Engineered Materials

200

213

235

Acetyl Chain

187

195

275

Other Activities

(61

)

(66

)

(56

)

Total

326

342

454

Equity Earnings and Dividend Income, Other Income (Expense)

Engineered Materials

35

25

46

Acetyl Chain

44

43

34

Operating EBITDA (1)

517

530

641

Diluted EPS - continuing operations

$

(12.39

)

$

1.89

$

1.05

Diluted EPS - total

$

(12.39

)

$

1.80

$

1.03

Adjusted EPS (1)

$

1.34

$

1.43

$

2.41

Net cash provided by (used in) investing activities

(59

)

(88

)

(100

)

Net cash provided by (used in) financing activities

(118

)

(116

)

(376

)

Net cash provided by (used in) operating activities

447

410

79

Free cash flow (1)

375

311

(16

)

___________________

(1) See "Non-US GAAP Financial Measures" below.

Third Quarter Business Segment Overview

Engineered Materials

Engineered Materials reported third quarter net sales of $1.4 billion, representing a decrease of 4 percent compared to the previous quarter, consisting of a 6 percent decrease in volume and partially offset by increases of 1 percent in both price and currency. Volumes were impacted as customers remained cautious amid lingering geopolitical uncertainty. Auto builds declined sequentially, and other key end-markets remained at lower-than-normal levels. Engineered Materials reported third quarter operating loss of ($1.3) billion, adjusted EBIT of $200 million, and operating EBITDA of $315 million, with margins of (96), 14, and 23 percent, respectively. The results were driven by the business' efforts to reduce costs and drive mix enrichment, despite volume headwinds. Engineered Materials reduced costs through programs targeted at lowering discretionary spend, decreasing sales, general, and administrative (SG&A) costs, and streamlining the logistics and distribution network. Product mix was favorable and supported by commercialization of High Impact Programs (HIPs), which are higher margin projects that emphasize specialty product offerings. Additionally, the business has continued to progress against the previously stated goal of reducing inventory by approximately $100 million in 2025 to support cash generation.

Acetyl Chain

The Acetyl Chain delivered third quarter net sales of $1.1 billion, representing a sequential decrease of 5 percent, consisting of declines of 4 percent in price and 2 percent in volume with a small currency offset. The overall demand environment for the business remained challenged. The quarterly performance reflected continued headwinds in end-markets like building and construction, especially in the western hemisphere vinyls business, as well as continued challenges in acetate tow. Additionally, the quarter was impacted by an unplanned outage at the Clear Lake, Texas methanol unit. The Acetyl Chain delivered third quarter operating profit of $135 million, adjusted EBIT of $187 million, and operating EBITDA of $250 million at margins of 13, 18, and 24 percent, respectively. The business continued to take multiple actions to drive consistency of earnings. These included optimizing production at low-cost, U.S. based assets, reducing operating rates at higher cost sites, and reducing global distribution costs to align with the demand environment.

Cash Flow and Tax

Celanese reported third quarter operating cash flow of $447 million and free cash flow of $375 million, which included cash capital expenditures of $64 million. Third quarter operating cash flow and free cash flow results were mainly driven by cost reductions, continued execution of the inventory reduction goals in Engineered Materials, and timing of working capital.

The effective U.S. GAAP income tax rate for the three months ended September 30, 2025 was 1 percent compared to 34 percent for the same period in 2024. The effective income tax rate for the current period is lower compared to the same period in 2024, primarily due to a non-cash goodwill impairment loss of ($1.1) billion in the Engineered Materials segment recorded during the three months ended September 30, 2025, which is not deductible for tax purposes. The effective tax rate for adjusted earnings was 8 percent based on expected jurisdictional mix of earnings for the full year and consideration of other non-recurring U.S. GAAP items.

Outlook

"We expect to see volume declines in the fourth quarter due to western hemisphere seasonality, partially offset by our cost reduction efforts. We continue to look for new productivity levers every day," said Scott Richardson. "Considering these dynamics, we anticipate fourth quarter adjusted earnings per share to be $0.85 to $1.00."

"We remain focused on our key priorities of generating cash flow to accelerate deleveraging, intensifying cost improvements, and driving top line growth. Our third quarter cash performance shows strong progress towards our expected range of $700 to $800 million of free cash flow in 2025," continued Richardson. "Importantly, we continue to focus on stable and sustainable delivery of cash through this year and into 2026, which is critical to position our company for long-term value creation."

Reconciliations of forecasted non-GAAP measures such as adjusted earnings per share, adjusted EBIT, operating EBITDA or free cash flow to the equivalent U.S. GAAP measures (diluted earnings per share, net earnings (loss) attributable to Celanese Corporation and net cash provided by (used in) operations, respectively), are not available without unreasonable efforts because a forecast of Certain Items, such as mark-to-market pension gains/losses, and other items is not practical. For more information, see "Non-GAAP Financial Measures" below.

The Company's prepared remarks related to the third quarter will be posted on its website at investors.celanese.com under Financial Information/Financial Document Library on November 6, 2025. Information about Non-US GAAP measures is included in a Non-US GAAP Financial Measures and Supplemental Information document posted on our investor relations website under Financial Information/Non-GAAP Financial Measures. See also "Non-GAAP Financial Measures" below.

Celanese Corporation is a global leader in chemistry, producing specialty material solutions used across most major industries and consumer applications. Our businesses use our chemistry, technology and commercial expertise to create value for our customers, employees and shareholders. We support sustainability by responsibly managing the materials we create and growing our portfolio of sustainable products to meet customer and societal demand. We strive to make a positive impact in our communities and to foster inclusivity across our teams. Celanese Corporation is a Fortune 500 company that employs more than 11,000 employees worldwide with 2024 net sales of $10.3 billion.

Forward-Looking Statements

This release may contain "forward-looking statements," which include information concerning the Company's plans, objectives, goals, strategies, future revenues, cash flow, financial performance, synergies, capital expenditures, deleveraging efforts, planned cost reductions, dividend policy, financing needs and other information that is not historical information. All forward-looking statements are based upon current expectations and beliefs and various assumptions. There can be no assurance that the Company will realize these expectations or that these beliefs will prove correct. There are a number of risks and uncertainties that could cause actual results to differ materially from the results expressed or implied in the forward-looking statements contained in this release. These risks and uncertainties include, among other things: the ability to successfully achieve planned cost reductions; changes in general economic, business, political and regulatory conditions in the countries or regions in which we operate; the length and depth of product and industry business cycles, particularly in the automotive, electrical, textiles, electronics and construction industries; volatility or changes in the price and availability of raw materials and energy, particularly changes in the demand for, supply of, and market prices of ethylene, methanol, natural gas, carbon monoxide, wood pulp, hexamethylene diamine, Polyamide 66 ("PA66"), polybutylene terephthalate, ethanol, natural gas and fuel oil, and the prices for electricity and other energy sources; the ability to pass increases in raw materials prices, logistics costs and other costs on to customers or otherwise improve margins through price increases; the possibility that we will not be able to realize the anticipated benefits of the Mobility & Materials business (the "M&M Business") we acquired from DuPont de Nemours, Inc. (the "M&M Acquisition"), including synergies and growth opportunities, whether as a result of difficulties arising from the operation of the M&M Business or other unanticipated delays, costs, inefficiencies or liabilities; additional impairments of goodwill or intangible assets; increased commercial, legal or regulatory complexity of entering into, or expanding our exposure to, certain end markets and geographies; risks in the global economy and equity and credit markets and their potential impact on our ability to pay down debt in the future and/or refinance at suitable rates, in a timely manner, or at all; risks and costs associated with increased leverage from the M&M Acquisition, including increased interest expense and potential reduction of business and strategic flexibility; the ability to maintain plant utilization rates and to implement planned capacity additions, expansions and maintenance; the ability to reduce or maintain current levels of production costs and to improve productivity by implementing technological improvements to existing plants; increased price competition and the introduction of competing products by other companies; the ability to identify desirable potential acquisition or divestiture opportunities and to complete such transactions, including obtaining regulatory approvals, consistent with the Company's strategy; market acceptance of our products and technology; compliance and other costs and potential disruption or interruption of production or operations due to accidents, interruptions in sources of raw materials, transportation, logistics or supply chain disruptions, cybersecurity incidents, terrorism or political unrest, public health crises, or other unforeseen events or delays in construction or operation of facilities, including as a result of geopolitical conditions, the direct or indirect consequences of acts of war or conflict (such as the Russia-Ukraine conflict or conflicts in the Middle East) or terrorist incidents or as a result of weather, natural disasters, or other crises; the ability to obtain governmental approvals and to construct facilities on terms and schedules acceptable to the Company; changes in applicable tariffs, duties and trade agreements, tax rates or legislation throughout the world including, but not limited to, anti-dumping and countervailing duties, adjustments, changes in estimates or interpretations or the resolution of tax examinations or audits that may impact recorded or future tax impacts and potential regulatory and legislative tax developments in the United States and other jurisdictions; changes in the degree of intellectual property and other legal protection afforded to our products or technologies, or the theft of such intellectual property; potential liability for remedial actions and increased costs under existing or future environmental, health and safety regulations, including those relating to climate change or other sustainability matters; potential liability resulting from pending or future claims or litigation, including investigations or enforcement actions, or from changes in the laws, regulations or policies of governments or other governmental activities, in the countries in which we operate; our level of indebtedness, which could diminish our ability to raise additional capital to fund operations or limit our ability to react to changes in the economy or the chemicals industry, and the success of our deleveraging efforts, as well as any changes to our credit ratings; changes in currency exchange rates and interest rates; tax rates and changes thereto; and various other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission.

Any forward-looking statement speaks only as of the date on which it is made, and the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date on which it is made or to reflect the occurrence of anticipated or unanticipated events or circumstances.

Non-GAAP Financial Measures

Presentation

This document presents the Company's two business segments, Engineered Materials and the Acetyl Chain.

Use of Non-US GAAP Financial Information

This release uses the following Non-US GAAP measures: adjusted EBIT, adjusted EBIT margin, operating EBITDA, operating EBITDA margin, adjusted earnings per share and free cash flow. These measures are not recognized in accordance with US GAAP and should not be viewed as an alternative to US GAAP measures of performance or liquidity. The most directly comparable financial measure presented in accordance with US GAAP in our consolidated financial statements for adjusted EBIT and operating EBITDA is net earnings (loss) attributable to Celanese Corporation; for adjusted EBIT margin is operating margin; for operating EBITDA margin is operating margin; for adjusted earnings per share is earnings (loss) from continuing operations attributable to Celanese Corporation per common share-diluted; and for free cash flow is net cash provided by (used in) operations.

Definitions of Non-US GAAP Financial Measures

Reconciliation of Non-US GAAP Financial Measures

Reconciliations of the Non-US GAAP financial measures used in this press release to the comparable US GAAP financial measure, together with information about the purposes and uses of Non-US GAAP financial measures, are included in our Non-US GAAP Financial Measures and Supplemental Information document filed as an exhibit to our Current Report on Form 8-K filed with the SEC on or about November 6, 2025 and also available on our website at investors.celanese.com under Financial Information/Financial Document Library.

Results Unaudited

The results in this document, together with the adjustments made to present the results on a comparable basis, have not been audited and are based on internal financial data furnished to management. Quarterly results should not be taken as an indication of the results of operations to be reported for any subsequent period or for the full fiscal year.

Certain prior period amounts have been revised to correct for certain prior period immaterial errors. See Note 1 to our Quarterly Report on Form 10-Q for the quarterly period ending September 30, 2025.

Supplemental Information

Additional information about our prior period performance is included in our Quarterly Reports on Form 10-Q and in our Non-US GAAP Financial Measures and Supplemental Information document.

Consolidated Statements of Operations - Unaudited

Three Months Ended

September 30,

2025

June 30,

2025

September 30,

2024

(In $ millions, except share and per share data)

Net sales

2,419

2,532

2,648

Cost of sales

(1,898

)

(1,998

)

(2,029

)

Gross profit

521

534

619

Selling, general and administrative expenses

(231

)

(214

)

(248

)

Amortization of intangible assets

(42

)

(42

)

(40

)

Research and development expenses

(31

)

(31

)

(32

)

Other (charges) gains, net

(1,491

)

(20

)

(61

)

Foreign exchange gain (loss), net

2

6

10

Gain (loss) on disposition of businesses and assets, net

(3

)

(2

)

(3

)

Operating profit (loss)

(1,275

)

231

245

Equity in net earnings (loss) of affiliates

39

29

51

Non-operating pension and other postretirement employee benefit (expense) income

2

1

3

Interest expense

(177

)

(177

)

(169

)

Interest income

7

7

5

Dividend income - equity investments

40

41

30

Other income (expense), net

4

1

15

Earnings (loss) from continuing operations before tax

(1,360

)

133

180

Income tax (provision) benefit

7

77

(61

)

Earnings (loss) from continuing operations

(1,353

)

210

119

Earnings (loss) from operation of discontinued operations

(10

)

(3

)

Income tax (provision) benefit from discontinued operations

1

Earnings (loss) from discontinued operations

(10

)

(2

)

Net earnings (loss)

(1,353

)

200

117

Net (earnings) loss attributable to noncontrolling interests

(4

)

(3

)

(4

)

Net earnings (loss) attributable to Celanese Corporation

(1,357

)

197

113

Amounts attributable to Celanese Corporation

Earnings (loss) from continuing operations

(1,357

)

207

115

Earnings (loss) from discontinued operations

(10

)

(2

)

Net earnings (loss)

(1,357

)

197

113

Earnings (loss) per common share - basic

Continuing operations

(12.39

)

1.89

1.05

Discontinued operations

(0.09

)

(0.02

)

Net earnings (loss) - basic

(12.39

)

1.80

1.03

Earnings (loss) per common share - diluted

Continuing operations

(12.39

)

1.89

1.05

Discontinued operations

(0.09

)

(0.02

)

Net earnings (loss) - diluted

(12.39

)

1.80

1.03

Weighted average shares (in millions)

Basic

109.6

109.5

109.3

Diluted

109.6

109.7

109.5

Consolidated Balance Sheets - Unaudited

As of

September 30,

2025

As of

December 31,

2024

(In $ millions)

ASSETS

Current Assets

Cash and cash equivalents

1,440

962

Trade receivables - third party and affiliates, net

1,038

1,121

Non-trade receivables, net

657

493

Inventories

2,213

2,284

Assets held for sale

471

Other assets

271

266

Total current assets

6,090

5,126

Investments in affiliates

1,259

1,217

Property, plant and equipment, net

5,172

5,273

Operating lease right-of-use assets

372

388

Deferred income taxes

1,347

1,251

Other assets

546

555

Goodwill

4,170

5,387

Intangible assets, net

3,213

3,641

Total assets

22,169

22,838

LIABILITIES AND EQUITY

Current Liabilities

Short-term borrowings and current installments of long-term debt - third party and affiliates

1,199

1,501

Trade payables - third party and affiliates

1,248

1,228

Liabilities held for sale

62

Other liabilities

1,171

1,157

Income taxes payable

47

4

Total current liabilities

3,727

3,890

Long-term debt, net of unamortized deferred financing costs

11,655

11,078

Deferred income taxes

669

923

Uncertain tax positions

230

286

Benefit obligations

402

396

Operating lease liabilities

278

294

Other liabilities

829

408

Commitments and Contingencies

Shareholders' Equity

Treasury stock, at cost

(5,483

)

(5,486

)

Additional paid-in capital

425

409

Retained earnings

9,861

11,054

Accumulated other comprehensive income (loss), net

(849

)

(848

)

Total Celanese Corporation shareholders' equity

3,954

5,129

Noncontrolling interests

425

434

Total equity

4,379

5,563

Total liabilities and equity

22,169

22,838

Non-US GAAP Financial Measures and Supplemental Information

November 6, 2025

In this document, the terms the "Company," "we" and "our" refer to Celanese Corporation and its subsidiaries on a consolidated basis.

Purpose

The purpose of this document is to provide information of interest to investors, analysts and other parties including supplemental financial information and reconciliations and other information concerning our use of non-US GAAP financial measures. This document is updated quarterly.

Presentation

This document presents the Company's two business segments, Engineered Materials and the Acetyl Chain.

Use of Non-US GAAP Financial Measures

From time to time, management may publicly disclose certain numerical "non-GAAP financial measures" in the course of our earnings releases, financial presentations, earnings conference calls, investor and analyst meetings and otherwise. For these purposes, the Securities and Exchange Commission ("SEC") defines a "non-GAAP financial measure" as a numerical measure of historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that effectively exclude amounts, included in the most directly comparable measure calculated and presented in accordance with US GAAP, and vice versa for measures that include amounts, or are subject to adjustments that effectively include amounts, that are excluded from the most directly comparable US GAAP measure so calculated and presented. For these purposes, "GAAP" refers to generally accepted accounting principles in the United States.

Non-GAAP financial measures disclosed by management are provided as additional information to investors, analysts and other parties because the Company believes them to be important supplemental measures for assessing our financial and operating results and as a means to evaluate our financial condition and period-to-period comparisons. These non-GAAP financial measures should be viewed as supplemental to, and should not be considered in isolation or as alternatives to, net earnings (loss), operating profit (loss), operating margin, cash flow from operating activities (together with cash flow from investing and financing activities), earnings per share or any other US GAAP financial measure. These non-GAAP financial measures should be considered within the context of our complete audited and unaudited financial results for the given period, which are available on the Financial Information/Financial Document Library page of our website, investors.celanese.com. The definition and method of calculation of the non-GAAP financial measures used herein may be different from other companies' methods for calculating measures with the same or similar titles. Investors, analysts and other parties should understand how another company calculates such non-GAAP financial measures before comparing the other company's non-GAAP financial measures to any of our own. These non-GAAP financial measures may not be indicative of the historical operating results of the Company nor are they intended to be predictive or projections of future results.

Pursuant to the requirements of SEC Regulation G, whenever we refer to a non-GAAP financial measure, we will also present in this document, in the presentation itself or on a Form 8-K in connection with the presentation on the Financial Information/Financial Document Library page of our website, investors.celanese.com, to the extent practicable, the most directly comparable financial measure calculated and presented in accordance with GAAP, along with a reconciliation of the differences between the non-GAAP financial measure we reference and such comparable GAAP financial measure.

This document includes definitions and reconciliations of non-GAAP financial measures used from time to time by the Company.

Specific Measures Used

This document provides information about the following non-GAAP measures: adjusted EBIT, adjusted EBIT margin, operating EBITDA, operating EBITDA margin, operating profit (loss) attributable to Celanese Corporation, adjusted earnings per share, net debt, free cash flow and return on invested capital (adjusted). The most directly comparable financial measure presented in accordance with US GAAP in our consolidated financial statements for adjusted EBIT and operating EBITDA is net earnings (loss) attributable to Celanese Corporation; for adjusted EBIT margin and operating EBITDA margin is operating margin; for operating profit (loss) attributable to Celanese Corporation is operating profit (loss); for adjusted earnings per share is earnings (loss) from continuing operations attributable to Celanese Corporation per common share-diluted; for net debt is total debt; for free cash flow is net cash provided by (used in) operations; and for return on invested capital (adjusted) is net earnings (loss) attributable to Celanese Corporation divided by the sum of the average of beginning and end of the year short- and long-term debt and Celanese Corporation shareholders' equity.

Definitions

Supplemental Information

Supplemental Information we believe to be of interest to investors, analysts and other parties includes the following:

Results Unaudited

The results in this document, together with the adjustments made to present the results on a comparable basis, have not been audited and are based on internal financial data furnished to management. Quarterly results should not be taken as an indication of the results of operations to be reported for any subsequent period or for the full fiscal year.

Certain prior period amounts have been revised to correct for certain prior period immaterial errors. See Note 1 to our Quarterly Report on Form 10-Q for the quarterly period ending September 30, 2025.

Table 1

Adjusted EBIT and Operating EBITDA - Reconciliation of Non-GAAP Measures - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions)

Net earnings (loss) attributable to Celanese Corporation

(1,357

)

197

(24

)

(1,542

)

(1,925

)

113

152

118

(Earnings) loss from discontinued operations

10

5

8

5

2

1

Interest income

(7

)

(7

)

(4

)

(33

)

(5

)

(5

)

(10

)

(13

)

Interest expense

177

177

170

676

164

169

174

169

Refinancing expense

32

Income tax provision (benefit)

(7

)

(77

)

9

507

384

61

29

33

Certain Items attributable to Celanese Corporation (Table 8)

1,520

42

43

2,009

1,696

114

102

97

Adjusted EBIT

326

342

231

1,625

319

454

448

404

Depreciation and amortization expense (1)

191

188

180

728

184

187

181

176

Operating EBITDA

517

530

411

2,353

503

641

629

580

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions)

Engineered Materials

3

2

73

1

16

11

45

Acetyl Chain

Other Activities (2)

Accelerated depreciation and amortization expense

3

2

73

1

16

11

45

Depreciation and amortization expense (1)

191

188

180

728

184

187

181

176

Total depreciation and amortization expense

194

190

180

801

185

203

192

221

Excludes accelerated depreciation and amortization expense as detailed in the table above, which amounts are included in Certain Items above.

Other Activities includes corporate Selling, general and administrative ("SG&A") expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses).

Table 2

Supplemental Segment Data and Reconciliation of Segment Adjusted EBIT and Operating EBITDA - Non-GAAP Measures - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions, except percentages)

Operating Profit (Loss) / Operating Margin

Engineered Materials

(1,327

)

(95.9

)%

164

11.4

%

94

7.3

%

(1,197

)

(21.4

)%

(1,521

)

(119.9

)%

100

6.8

%

136

9.3

%

88

6.4

%

Acetyl Chain

135

12.7

%

153

13.7

%

161

14.4

%

946

19.9

%

215

19.4

%

238

20.0

%

241

20.0

%

252

20.0

%

Other Activities (1)

(83

)

(86

)

(90

)

(469

)

(113

)

(93

)

(130

)

(133

)

Total

(1,275

)

(52.7

)%

231

9.1

%

165

6.9

%

(720

)

(7.0

)%

(1,419

)

(60.2

)%

245

9.3

%

247

9.3

%

207

7.9

%

Less: Net Earnings (Loss) Attributable to NCI for Engineered Materials

3

1

2

(1

)

2

2

(4

)

(1

)

Less: Net Earnings (Loss) Attributable to NCI for Acetyl Chain

1

2

2

9

1

2

2

4

Operating Profit (Loss) Attributable to Celanese Corporation

(1,279

)

(52.9

)%

228

9.0

%

161

6.7

%

(728

)

(7.1

)%

(1,422

)

(60.3

)%

241

9.1

%

249

9.4

%

204

7.8

%

Operating Profit (Loss) / Operating Margin Attributable to Celanese Corporation

Engineered Materials

(1,330

)

(96.1

)%

163

11.3

%

92

7.1

%

(1,196

)

(21.4

)%

(1,523

)

(120.0

)%

98

6.6

%

140

9.5

%

89

6.5

%

Acetyl Chain

134

12.6

%

151

13.5

%

159

14.2

%

937

19.7

%

214

19.3

%

236

19.8

%

239

19.9

%

248

19.7

%

Other Activities (1)

(83

)

(86

)

(90

)

(469

)

(113

)

(93

)

(130

)

(133

)

Total

(1,279

)

(52.9

)%

228

9.0

%

161

6.7

%

(728

)

(7.1

)%

(1,422

)

(60.3

)%

241

9.1

%

249

9.4

%

204

7.8

%

Equity Earnings and Dividend Income, Other Income (Expense) Attributable to Celanese Corporation

Engineered Materials

35

25

17

178

33

46

49

50

Acetyl Chain

44

43

3

138

35

34

33

36

Other Activities (1)

4

3

5

48

4

16

13

15

Total

83

71

25

364

72

96

95

101

Non-Operating Pension and Other Post-Retirement Employee Benefit (Expense) Income Attributable to Celanese

Corporation

Engineered Materials

8

8

Acetyl Chain

Other Activities (1)

2

1

2

(28

)

(35

)

3

2

2

Total

2

1

2

(20

)

(27

)

3

2

2

Certain Items Attributable to Celanese Corporation (Table 8)

Engineered Materials

1,495

25

15

1,851

1,625

91

74

61

Acetyl Chain

9

1

5

22

3

5

4

10

Other Activities (1)

16

16

23

136

68

18

24

26

Total

1,520

42

43

2,009

1,696

114

102

97

Adjusted EBIT / Adjusted EBIT Margin

Engineered Materials

200

14.5

%

213

14.8

%

124

9.6

%

841

15.0

%

143

11.3

%

235

15.9

%

263

17.9

%

200

14.5

%

Acetyl Chain

187

17.6

%

195

17.5

%

167

15.0

%

1,097

23.0

%

252

22.7

%

275

23.1

%

276

23.0

%

294

23.3

%

Other Activities (1)

(61

)

(66

)

(60

)

(313

)

(76

)

(56

)

(91

)

(90

)

Total

326

13.5

%

342

13.5

%

231

9.7

%

1,625

15.8

%

319

13.5

%

454

17.1

%

448

16.9

%

404

15.5

%

(1)

Other Activities includes corporate SG&A expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses).

Table 2

Supplemental Segment Data and Reconciliation of Segment Adjusted EBIT and Operating EBITDA - Non-GAAP Measures - Unaudited (cont.)

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions, except percentages)

Depreciation and Amortization Expense (1)

Engineered Materials

115

112

109

437

114

111

110

102

Acetyl Chain

63

64

61

244

63

63

61

57

Other Activities (2)

13

12

10

47

7

13

10

17

Total

191

188

180

728

184

187

181

176

Operating EBITDA / Operating EBITDA Margin

Engineered Materials

315

22.8

%

325

22.5

%

233

18.1

%

1,278

22.8

%

257

20.3

%

346

23.4

%

373

25.4

%

302

21.9

%

Acetyl Chain

250

23.6

%

259

23.2

%

228

20.4

%

1,341

28.2

%

315

28.4

%

338

28.4

%

337

28.0

%

351

27.8

%

Other Activities (2)

(48

)

(54

)

(50

)

(266

)

(69

)

(43

)

(81

)

(73

)

Total

517

21.4

%

530

20.9

%

411

17.2

%

2,353

22.9

%

503

21.3

%

641

24.2

%

629

23.7

%

580

22.2

%

(1)

Excludes accelerated depreciation and amortization expense, which amounts are included in Certain Items above. See Table 1 for details.

(2)

Other Activities includes corporate SG&A expenses, results of captive insurance companies and certain components of net periodic benefit cost (interest cost, expected return on plan assets and net actuarial gains and losses).

Table 3

Adjusted Earnings (Loss) per Share - Reconciliation of a Non-GAAP Measure - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

per share

per share

per share

per share

per share

per share

per share

per share

(In $ millions, except per share data)

Earnings (loss) from continuing operations attributable to Celanese Corporation

(1,357

)

(12.39

)

207

1.89

(19

)

(0.17

)

(1,534

)

(14.04

)

(1,920

)

(17.55

)

115

1.05

153

1.40

118

1.08

Income tax provision (benefit)

(7

)

(77

)

9

507

384

61

29

33

Earnings (loss) from continuing operations before tax

(1,364

)

130

(10

)

(1,027

)

(1,536

)

176

182

151

Certain Items attributable to Celanese Corporation (Table 8)

1,520

42

43

2,009

1,696

114

102

97

Refinancing and related expenses

32

Adjusted earnings (loss) from continuing operations before tax

156

172

65

982

160

290

284

248

Income tax (provision) benefit on adjusted earnings (1)

(9

)

(15

)

(6

)

(88

)

(14

)

(26

)

(26

)

(22

)

Adjusted earnings (loss) from continuing operations (2)

147

1.34

157

1.43

59

0.54

894

8.18

146

1.33

264

2.41

258

2.36

226

2.06

Diluted shares (in millions) (3)

Weighted average shares outstanding

109.6

109.5

109.4

109.3

109.4

109.3

109.3

109.1

Incremental shares attributable to equity awards

0.2

0.2

0.2

0.4

Total diluted shares

109.6

109.7

109.4

109.3

109.4

109.5

109.5

109.5

(1)

Calculated using adjusted effective tax rates (Table 3a) as follows:

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

Adjusted effective tax rate

6

9

9

9

9

9

9

9

(2)

Excludes the immediate recognition of actuarial gains and losses and the impact of actual vs. expected plan asset returns.

Actual Plan Asset Returns

Expected Plan Asset Returns

(In percentages)

2024

2.5

5.3

(3)

Potentially dilutive shares are included in the adjusted earnings per share calculation when adjusted earnings are positive.

Table 3a

Adjusted Tax Rate - Reconciliation of a Non-GAAP Measure - Unaudited

Estimated

Actual

2025

2024

(In percentages)

US GAAP annual effective tax rate

4

(50

)

Discrete quarterly recognition of GAAP items (1)

7

1

Tax impact of other charges and adjustments (2)

2

98

Changes in valuation allowances, excluding impact of other charges and adjustments (3)

(10

)

(40

)

Other, includes effect of discrete current year transactions (4)

5

Adjusted tax rate

8

9

Note: As part of the year-end reconciliation, we will update the reconciliation of the GAAP effective tax rate for actual results.

(1)

Such as changes in tax laws (including US tax reform), deferred taxes on outside basis differences, changes in uncertain tax positions and prior year audit adjustments.

(2)

Reflects the tax impact on pre-tax adjustments presented in Certain Items (Table 8), which are excluded from pre-tax income for adjusted earnings per share purposes.

(3)

(4)

Table 4

Net Sales by Segment - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions)

Engineered Materials

1,384

1,442

1,287

5,595

1,269

1,481

1,467

1,378

Acetyl Chain

1,061

1,115

1,116

4,763

1,110

1,190

1,202

1,261

Intersegment eliminations (1)

(26

)

(25

)

(14

)

(90

)

(21

)

(23

)

(18

)

(28

)

Net sales

2,419

2,532

2,389

10,268

2,358

2,648

2,651

2,611

(1)

Includes intersegment sales primarily related to the Acetyl Chain.

Table 4a

Factors Affecting Segment Net Sales Sequentially - Unaudited

Three Months Ended September 30, 2025 Compared to Three Months Ended June 30, 2025

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(6

)

1

1

(4

)

Acetyl Chain

(2

)

(4

)

1

(5

)

Total Company

(4

)

(1

)

1

(4

)

Three Months Ended June 30, 2025 Compared to Three Months Ended March 31, 2025

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

9

3

12

Acetyl Chain

(1

)

(2

)

3

Total Company

4

(1

)

3

6

Three Months Ended March 31, 2025 Compared to Three Months Ended December 31, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

2

(1

)

1

Acetyl Chain

3

(1

)

(1

)

1

Total Company

2

(1

)

1

Three Months Ended December 31, 2024 Compared to Three Months Ended September 30, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(10

)

(3

)

(1

)

(14

)

Acetyl Chain

(4

)

(2

)

(1

)

(7

)

Total Company

(7

)

(3

)

(1

)

(11

)

Three Months Ended September 30, 2024 Compared to Three Months Ended June 30, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

1

1

Acetyl Chain

(2

)

1

(1

)

Total Company

(1

)

1

Three Months Ended June 30, 2024 Compared to Three Months Ended March 31, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

7

(1

)

6

Acetyl Chain

(1

)

(4

)

(5

)

Total Company

4

(2

)

2

Three Months Ended March 31, 2024 Compared to Three Months Ended December 31, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(1

)

(1

)

Acetyl Chain

5

1

1

7

Total Company

1

1

2

Table 4b

Factors Affecting Segment Net Sales Year Over Year - Unaudited

Three Months Ended September 30, 2025 Compared to Three Months Ended September 30, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(8

)

(1

)

2

(7

)

Acetyl Chain

(4

)

(8

)

1

(11

)

Total Company

(6

)

(4

)

1

(9

)

Three Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(3

)

(1

)

2

(2

)

Acetyl Chain

(2

)

(7

)

2

(7

)

Total Company

(2

)

(4

)

2

(4

)

Three Months Ended March 31, 2025 Compared to Three Months Ended March 31, 2024

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(4

)

(2

)

(1

)

(7

)

Acetyl Chain

(6

)

(4

)

(1

)

(11

)

Total Company

(5

)

(3

)

(1

)

(9

)

Three Months Ended December 31, 2024 Compared to Three Months Ended December 31, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(6

)

(3

)

(9

)

Acetyl Chain

(2

)

(4

)

(6

)

Total Company

(4

)

(4

)

(8

)

Three Months Ended September 30, 2024 Compared to Three Months Ended September 30, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(1

)

(2

)

(3

)

Acetyl Chain

1

(3

)

(2

)

Total Company

(3

)

(3

)

Three Months Ended June 30, 2024 Compared to Three Months Ended June 30, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(2

)

(4

)

(1

)

(7

)

Acetyl Chain

4

(6

)

(1

)

(3

)

Total Company

1

(5

)

(1

)

(5

)

Three Months Ended March 31, 2024 Compared to Three Months Ended March 31, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(12

)

(2

)

(1

)

(15

)

Acetyl Chain

11

(10

)

1

Total Company

(2

)

(5

)

(1

)

(8

)

Table 4c

Factors Affecting Segment Net Sales Year Over Year - Unaudited

Year Ended December 31, 2024 Compared to Year Ended December 31, 2023

Volume

Price

Currency

Total

(In percentages)

Engineered Materials

(5

)

(3

)

(1

)

(9

)

Acetyl Chain

4

(6

)

(2

)

Total Company

(1

)

(4

)

(1

)

(6

)

Table 5

Free Cash Flow - Reconciliation of a Non-GAAP Measure - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions, except percentages)

Net cash provided by (used in) investing activities

(59

)

(88

)

(98

)

(470

)

(128

)

(100

)

(91

)

(151

)

Net cash provided by (used in) financing activities

(118

)

(116

)

45

(1,313

)

(189

)

(376

)

(489

)

(259

)

Net cash provided by (used in) operating activities

447

410

37

966

494

79

292

101

Capital expenditures on property, plant and equipment

(64

)

(93

)

(102

)

(435

)

(105

)

(88

)

(105

)

(137

)

Contributions from/(Distributions) to NCI

(8

)

(6

)

(8

)

(33

)

(8

)

(7

)

(14

)

(4

)

Free cash flow (1)

375

311

(73

)

498

381

(16

)

173

(40

)

Net sales

2,419

2,532

2,389

10,268

2,358

2,648

2,651

2,611

Free cash flow as % of Net sales

15.5

%

12.3

%

(3.1

)%

4.9

%

16.2

%

(0.6

)%

6.5

%

(1.5

)%

(1)

Free cash flow is a liquidity measure used by the Company and is defined by the Company as net cash provided by (used in) operating activities, less capital expenditures on property, plant and equipment, and adjusted for contributions from or distributions to our NCI joint ventures.

Table 6

Cash Dividends Received - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions)

Dividends from equity method investments

40

21

31

160

38

26

69

27

Dividends from equity investments without readily determinable fair values

40

41

1

128

33

30

31

34

Total

80

62

32

288

71

56

100

61

Table 7

Net Debt - Reconciliation of a Non-GAAP Measure - Unaudited

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

(In $ millions)

Short-term borrowings and current installments of long-term debt - third party and affiliates

1,199

252

406

1,501

1,501

1,607

1,977

2,439

Long-term debt, net of unamortized deferred financing costs

11,655

12,689

12,378

11,078

11,078

11,324

11,058

11,018

Total debt

12,854

12,941

12,784

12,579

12,579

12,931

13,035

13,457

Cash and cash equivalents

(1,440

)

(1,173

)

(951

)

(962

)

(962

)

(813

)

(1,185

)

(1,483

)

Net debt

11,414

11,768

11,833

11,617

11,617

12,118

11,850

11,974

Table 8

Certain Items - Unaudited

The following Certain Items attributable to Celanese Corporation are included in Net earnings (loss) and are adjustments to non-GAAP measures:

Q3 '25

Q2 '25

Q1 '25

2024

Q4 '24

Q3 '24

Q2 '24

Q1 '24

Income Statement Classification

(In $ millions)

Exit and shutdown costs

10

27

32

236

47

52

69

68

Cost of sales / SG&A / Other (charges) gains, net / Gain (loss) on disposition of businesses and assets, net / Non-operating pension and other postretirement employee benefit (expense) income

Asset impairments

1,486

(1)

1,638

1,601

(2)

34

(3)

3

Cost of sales / Other (charges) gains, net

Impact from plant incidents and natural disasters

3

13

3

3

7

Cost of sales

Mergers, acquisitions and dispositions

12

12

5

80

12

17

26

25

Cost of sales / SG&A

Actuarial (gain) loss on pension and postretirement plans

27

27

Cost of sales / SG&A / Non-operating pension and other postretirement employee benefit (expense) income

Legal settlements and commercial disputes

11

2

3

8

6

7

3

(8

)

Cost of sales / SG&A / Other (charges) gains, net

(Gain) loss on disposition of businesses and assets

2

1

1

Gain (loss) on disposition of businesses and assets, net

Other

1

1

5

5

Cost of sales / SG&A

Certain Items attributable to Celanese Corporation

1,520

42

43

2,009

1,696

114

102

97

(1)

Related to impairment of goodwill and certain trade names, primarily Zytel ®, arising from our annual goodwill and indefinite-lived intangible assets impairment tests.

(2)

Related to impairment of goodwill and certain trade names, primarily Zytel ®, arising from our interim goodwill and indefinite-lived intangible assets impairment tests.

(3)

Table 9

Return on Invested Capital (Adjusted) - Presentation of a Non-GAAP Measure - Unaudited

2024

(In $ millions,

except percentages)

Net earnings (loss) attributable to Celanese Corporation

(1,542

)

Adjusted EBIT (Table 1)

1,625

Adjusted effective tax rate (Table 3a)

9

%

Adjusted EBIT tax effected

1,479

2024

2023

Average

(In $ millions, except percentages)

Short-term borrowings and current installments of long-term debt - third parties and affiliates

1,501

1,383

1,442

Long-term debt, net of unamortized deferred financing costs

11,078

12,301

11,690

Celanese Corporation shareholders' equity

5,129

7,065

6,097

Invested capital

19,229

Return on invested capital (adjusted)

7.7

%

Net earnings (loss) attributable to Celanese Corporation as a percentage of invested capital

(8.0

)%