Wed, May 7, 2:16 PM (4 days ago)
**Stepan Company (SCL) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $593.3 million, up 8% YoY. - **Profit Margins:** Gross margin at 12.7%, operating margin at 4.8%. - **Net Income:** $19.7 million, up 42% YoY. - **EPS:** $0.86, up 41% YoY. - **Cash Flow:** Operating cash flow at $6.9 million, down from $41.6 million YoY. **Segment Performance:** - **Surfactants:** 72% of sales, up 10% YoY. - **Polymers:** 25% of sales, flat YoY. - **Specialty Products:** 3% of sales, up 11% YoY. **Trends & Uncertainties:** - **Positive:** Higher selling prices, increased sales volume, and cost savings. - **Negative:** Stronger U.S. dollar impacting foreign sales, increased raw material costs, and environmental remediation expenses. - **Future Operations:** Continued investment in capacity expansion and new product development. **Environmental & Legal Matters:** - Ongoing remediation efforts and legal proceedings may impact future financials. - Environmental reserves totaled $17.9 million at Q1 2025. **Debt & Liquidity:** - Total debt: $659.3 million, up from $625.4 million YoY. - Cash and cash equivalents: $107.5 million. - Net debt to equity ratio: 31.5%. **Forward-Looking Statements:** - Management expects continued growth in 2025, driven by increased demand and pricing power. - However, uncertainties include raw material cost volatility, foreign exchange rates, and regulatory changes. **Ticker:** SCL