Overview

* Koppers ( KOP ) Q3 sales fell 12.4% yr/yr, missing analyst expectations

* Adjusted EPS for Q3 missed analyst expectations

* Company completed sale of Railroad Structures business to simplify portfolio

Outlook

* Koppers ( KOP ) revises 2025 sales forecast to approximately $1.9 bln

* Company tightens 2025 adjusted EBITDA forecast to $255 mln-$260 mln

* Koppers ( KOP ) expects 2025 adjusted EPS of $4.00-$4.15

Result Drivers

* COST CONTROL - CEO Leroy Ball attributed operating performance to disciplined cost control measures under the Catalyst transformation process

* UTILITY POLE GROWTH - Increased volumes in the domestic utility pole business contributed positively to results

* PORTFOLIO SIMPLIFICATION - Sale of Railroad Structures business simplified portfolio and reduced employee count by 17%

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Miss $485.30 $514.57

mln mln (3

Analysts

)

Q3 Miss $1.21 $1.25 (3

Adjusted Analysts

EPS )

Q3 EPS $1.17

Q3 Net $23.80

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 $50.00, about 44.3% above its November 6 closing price of $27.84

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

Press Release:

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(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.)