For Huntsman Corp., 2022 was a year of mixed financial results, with sales up but profit down.
Sales for The Woodlands, Texas-based Huntsman were up almost 5 percent to a little more than $8 billion for the year, while profit slumped almost 53 percent to $523 million. In a news release, Chairman, President and CEO Peter Huntsman said that in 2022 Huntsman "made great progress in our cost reduction programs to offset historically high inflation and energy costs and strengthen our core businesses."
He added that the sale of the firm's Textile Effects business is expected to be completed by the end of February. Huntsman is selling that business to Switzerland-based Archroma, a unit of SK Capital Partners, for $718 million.
At Huntsman's Polyurethanes unit, sales for 2022 ticked up 1 percent to almost $5.1 billion, but adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) tumbled 29 percent to $628 million. Officials said in the release that a fourth-quarter decline in PU sales was primarily due to lower volumes and the negative impact of weaker international currencies vs. the U.S. dollar, which was partially offset by higher local prices for MDI feedstock.
Looking to 2023, Peter Huntsman said that Huntsman officials "are optimistic" that destocking will end in the first part of the year and that fundamentals "will begin to modestly improve as we move through the year."
He added that "visibility into the second half is still low. … We are seeing some green shoots in areas like China, automotive, and aerospace, but construction demand globally is still under pressure."
On Wall Street, Huntsman's per-share stock price began 2023 around $27.80 but was at $29.30 in late trading Feb. 22 for an increase of more than 5 percent.