Overview

* Koppers ( KOP ) Q2 sales fall 10.4% to $504.8 mln, missing analysts' expectations

* Adjusted EPS rises 8.8% to $1.48, but misses estimates

* Company revises 2025 sales forecast downward due to market challenges

Outlook

* Koppers ( KOP ) lowers 2025 sales forecast to $1.9 bln-$2.0 bln

* Company lowers 2025 adjusted EBITDA guidance to $250 mln-$270 mln

* Koppers ( KOP ) maintains 2025 operating cash flow projection at $150 mln

* Company expects adjusted EPS of $4.00-$4.60 for 2025

Result Drivers

* SLUGGISH DEMAND - CEO Leroy Ball cites sluggish demand across all business segments as a key factor in sales decline

* COST-SAVING ACTIONS - Koppers ( KOP ) offset sales decline impact on profitability through cost-saving measures, according to CEO Leroy Ball

* BUSINESS EXIT - Positive margin contribution from exiting phthalic anhydride business, per CEO Leroy Ball

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Miss $504.80 $552.90

mln mln (3

Analysts

)

Q2 Miss $1.48 $1.51 (3

Adjusted Analysts

EPS )

Q2 EPS $0.81

Q2 Net $16.40

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the commodity chemicals peer group is "buy."

* Wall Street's median 12-month price target for Koppers Holdings Inc ( KOP ) is $55.00, about 39.5% above its August 7 closing price of $33.27

* The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)