Methanex Reports $89 Million Loss in Q4 2025
Methanex Corp's stock fell sharply by 13.15% as it hit a 5-day low following the announcement of a significant quarterly loss.
The company reported a loss of $89 million in Q4 2025, translating to a loss of $1.15 per share, which is a significant decline from a profit of $45 million in the same quarter last year. Additionally, revenues increased by approximately 2% year-over-year to $968.8 million but fell short of the Zacks Consensus Estimate of $994.4 million, indicating weakened market demand and intensified competition. The disappointing earnings report has raised concerns about the company's profitability and future outlook, leading to a sharp decline in stock price.
This financial performance highlights the challenges Methanex faces in a competitive market, and the stock's decline may reflect investor concerns about its ability to navigate these pressures effectively.
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- Company Update: MethaneX has been affected by JP Morgan's decision to cut its rating to neutral.
- Target Price Adjustment: JP Morgan has raised the target price for MethaneX from $56 to $65.
- High Voting Participation: At the Annual General Meeting on April 30, 2026, a total of 64,397,180 common shares were voted, representing 83.27% of outstanding shares, indicating strong shareholder engagement and interest in company affairs.
- Board Election Results: All director nominees were elected with support rates exceeding 99%, particularly Don Marchand who received 99.95% approval, reflecting strong shareholder confidence in the management team.
- Auditor Reappointment: KPMG LLP was reappointed as Methanex's auditor with 76.52% support, ensuring financial transparency and compliance, which enhances investor confidence in the company's financial practices.
- Executive Compensation Advisory Vote: The non-binding advisory vote on executive compensation received 97.86% approval, indicating shareholder endorsement of the company's compensation policies, which may enhance management incentives and governance standards.
- Earnings Performance: Methanexpress reported a non-GAAP EPS of $0.30 for Q1 2026, indicating the company's resilience amid market fluctuations, despite an uncertain overall economic environment.
- Price Growth Trend: The average realized price in Q1 was $351 per tonne, up from $331 per tonne in Q4 2025, demonstrating positive progress in the company's pricing strategy.
- Future Price Expectations: Based on April and May posted prices, the average realized price is expected to range between $500 and $525 per tonne for these two months, which will further drive revenue growth and enhance market confidence.
- Industry Performance: Methanexpress has been recognized as a top-performing foreign materials stock year-to-date, reflecting its competitiveness in the industry and investor recognition, potentially attracting more investor interest.
- Net Loss Overview: Methanex reported a net loss of $14 million in Q1 2026, primarily driven by mark-to-market expenses related to share-based compensation due to rising share prices, although this was an improvement from a $89 million loss in Q4 2025, indicating effective cost control measures.
- Adjusted Financial Performance: The company achieved an Adjusted EBITDA of $220 million and an Adjusted net income of $23 million in the first quarter, reflecting positive progress in operational efficiency and pricing power, which is expected to lay a foundation for future profitability.
- Production and Sales Data: Methanex produced 2.391 million tonnes of methanol in Q1 2026, a slight increase from 2.364 million tonnes in Q4 2025, with total sales volume at 2.622 million tonnes, indicating stable market demand despite a decrease in sales volume compared to the previous quarter.
- Cash Flow and Debt Management: The company repaid $60 million of its Term Loan A and returned $14 million to shareholders through dividends, ending the quarter with a cash balance of $379 million, demonstrating strong liquidity and prudent financial management strategies.






