Here's What Key Metrics Tell Us About Westlake (WLK) Q3 Earnings

In This Article:

For the quarter ended September 2024, Westlake Chemical (WLK) reported revenue of $3.12 billion, up 0.1% over the same period last year. EPS came in at $1.41, compared to $2.20 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $3.23 billion, representing a surprise of -3.52%. The company delivered an EPS surprise of -33.49%, with the consensus EPS estimate being $2.12.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Westlake performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net external sales- Performance and Essential Materials: $2.02 billion versus $2.03 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +2.4% change.

  • Net external sales- Housing and Infrastructure Products: $1.10 billion versus $1.20 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -4% change.

  • Net external sales- Performance and Essential Materials- Performance Materials: $1.16 billion compared to the $1.23 billion average estimate based on three analysts. The reported number represents a change of +3.3% year over year.

  • Net external sales- Performance and Essential Materials- Essential Materials: $855 million versus $845.91 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +1.3% change.

  • Net external sales- Housing and Infrastructure Products- Housing Products: $937 million versus $1.05 billion estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -2.7% change.

  • Net external sales- Housing and Infrastructure Products- Infrastructure Products: $161 million compared to the $191.11 million average estimate based on two analysts. The reported number represents a change of -11.1% year over year.

  • EBITDA- Housing and Infrastructure Products: $262 million compared to the $273.98 million average estimate based on four analysts.

  • EBITDA- Performance and Essential Materials: $222 million versus the four-analyst average estimate of $367.97 million.