Latest news with #OlinCorp
Associated Press
20-05-2025
- Climate
- Associated Press
Chlorine leak at a Texas chemical plant prompts officials to ask residents to stay inside
FREEPORT, Texas (AP) — A chlorine leak at a Texas chemical plant on Tuesday prompted officials to ask residents in two Texas cities near the facility to shelter in place. Chlorine gas was released around 9 a.m. from a plant in Freeport that is owned by Olin Corp., according to Brazosport CAER, an organization that provides communication between residents and petrochemical industries in the area. Freeport is about 60 miles (97 kilometers) south of Houston. Officials announced that the leak had been stopped around 9:45 a.m. A request to shelter in place was issued shortly after the leak happened as a precaution for residents in Clute and Lake Jackson, officials said. The shelter in place request was lifted around 10:40 a.m. It was not immediately known if there were any injuries due to the leak. 'The status of the chlorine leak has been contained and an all clear has been issued,' the Lake Jackson Police Department said on social media. Clayton, Missouri-based Olin did not immediately reply to an email seeking comment.
Yahoo
03-05-2025
- Business
- Yahoo
Olin Corp (OLN) Q1 2025 Earnings Call Highlights: Strategic Moves and Market Challenges
Chlor Alkali Products and Vinyls EBITDA: First quarter EBITDA increased slightly with higher chlorine and caustic volumes. Epoxy Sales: Sequential improvement in sales due to increased resin prices and volumes, though margins were offset by higher costs. Winchester Division: Domestic and international military ammunition volume growth; commercial sales weak due to retailer destocking. Debt Refinancing: Nearest debt tranche pushed out to 2029, enhancing financial resilience. Capital Spending Estimate: Reduced by approximately $25 million to a range of $200 million to $220 million for 2025. Cost Savings Expectations: Increased to $50 million to $70 million for the full year 2025. Adjusted EBITDA Outlook: Second quarter 2025 expected to be in the range of $170 million to $210 million. Warning! GuruFocus has detected 4 Warning Sign with OLN. Release Date: May 02, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Olin Corp (NYSE:OLN) exceeded expectations in its chlor alkali products and vinyls business due to industry outages, leading to increased demand. The company successfully refinanced its nearest debt tranche, extending maturities to 2029, enhancing financial resilience. Olin Corp (NYSE:OLN) reported stable ECU values with positive pricing trends expected to continue into the second quarter. The Winchester division secured a three-year contract extension for the Lake City GoCo ammunition facility, supporting growth. Olin Corp (NYSE:OLN) closed the acquisition of AMMO Inc.'s ammunition assets, expected to be immediately accretive and support growth. The commercial ammunition market remains weak, with retailers destocking and consumer sales declining. Epoxy division faces challenges with higher costs offsetting improved resin prices and volumes. Winchester division is impacted by rising metal costs due to tariffs, pressuring margins. The company anticipates a $40 million sequential chemicals turnaround expense headwind in the second quarter. Olin Corp (NYSE:OLN) continues to navigate a challenging economic environment with significant uncertainty. Q: Could you provide an update on the volume and price outlook for chlor and vinyls sequentially, particularly EDC pricing? A: Kenneth Lane, President and CEO, noted that while EDC pricing remains weak, it is not expected to decline further as current levels are unsustainable for Asian producers. Positive pricing trends are anticipated for caustic soda in Q2, supported by seasonal improvements in bleach demand. Q: Can you elaborate on the ramp-up of KEM ONE volumes and the cash positivity of PVC sales? A: Kenneth Lane confirmed that PVC sales through KEM ONE are cash positive, highlighting the strength of Olin's cost structure. The company plans to ramp up volumes through the year, viewing this as a positive growth opportunity. Q: What were Olin's operating rates in Q1, given the industry outages? A: Kenneth Lane explained that Olin took advantage of increased spot demand by deferring a turnaround, which elevated operating rates in Q1. However, rates are expected to decrease in Q2 as the turnaround proceeds. Q: Can you provide a breakdown of Winchester's EBITDA decline due to lost volumes versus higher costs? A: Todd Slater, CFO, stated that approximately two-thirds of the year-over-year decline in Winchester's EBITDA was due to lower volumes and prices, with the remaining one-third attributed to higher commodity and propellant costs. Q: How does Olin plan to manage the capacity overhang in epoxy, and could Winchester implement a surcharge to improve pricing? A: Kenneth Lane acknowledged the significant capacity overhang in epoxy, particularly in Asia, but emphasized the integration value of epoxy in Olin's portfolio. Regarding Winchester, he noted that current inventory levels and consumer caution make it difficult to implement price increases. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
