CE Earnings Prediction
The chart below shows how CE performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CE sees a -2.11% change in stock price 10 days leading up to the earnings, and a -4.35% change 10 days following the report. On the earnings day itself, the stock moves by -0.35%. This data can give you a slight idea of what to expect for the next quarter's release.
CE Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.65B
-2.75%
-0.11%
Gross Margin
21.98%
-5.30%
-3.38%
Operating Margin
11.40%
-12.78%
-4.04%
Net Margin
4.61%
-86.79%
-20.65%
EPS
1.06
-87.80%
-24.82%
No Data Available
CE Earnings Analysis
Celanese Corporation Common Stock Corporation (CE.N) Earnings Conference Call
Positive
Cash Flow Generation Outlook: 1. Strong Cash Flow Generation: Celanese anticipates generating approximately $800 million to $900 million in cash flow, indicating a robust financial position despite current market challenges.
Clear Lake Revenue Potential: 2. Clear Lake Contribution: The Clear Lake facility is expected to contribute $100 million annually, with $20 million already realized in Q3, showcasing the potential for future revenue growth.
Cost Savings Strategy: 3. Cost Reduction Initiatives: The company is implementing additional cost reduction measures, targeting $75 million in SG&A savings, which will enhance operational efficiency and profitability.
Project Value Increase: 4. Project Pipeline Growth: The value per project in the Engineered Materials segment has increased by over 30% year-over-year, reflecting strong demand for innovative solutions and a robust project pipeline.
Acetyl Chain Margin Resilience: 5. Resilient Acetyl Chain Margins: Despite macroeconomic headwinds, the Acetyl Chain segment has maintained strong margins, supported by advantageous technology and a low-cost production footprint in the U.S. Gulf Coast.
Negative
Q3 Earnings Decline: 1. Disappointing Q3 Results: Celanese reported a significant decline in performance, with Q3 earnings falling to $2.44 per share, down from expectations, and projecting a further drop to $1.25 in Q4.
Dividend Cut Announcement: 2. Dividend Reduction: The company announced a temporary reduction in its quarterly dividend starting Q1 2025, citing insufficient cash flow and slower-than-expected deleveraging efforts.
Auto Production Decline: 3. Weak Auto Market Impact: European auto production fell 14% from Q2 to Q3, leading to a significant drop in demand and forcing Celanese to slow production to match reduced customer orders.
Brand Value Impairment: 4. Impairment Charges: Celanese recorded a $34 million impairment on trade names, primarily affecting the Zytel brand, indicating challenges in maintaining brand value amid market pressures.
Cost Management Pressures: 5. Cost Management Challenges: Despite implementing cost reduction measures, the company anticipates ongoing pressure from macroeconomic conditions, impacting its ability to achieve targeted EBITDA levels.
CE FAQs
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CE Earning Call Sentiment
Celanese Corporation (CE) Q3 2024 Earnings Call Transcript
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CE.N
0.58%Positive
The earnings call summary and Q&A indicate several negative factors: declining volumes and prices, dividend cuts, and uncertainty in key markets like auto and China. The management's unclear responses and lack of guidance further exacerbate concerns. Despite cost reductions and some expected benefits from asset start-ups, the overall sentiment is negative due to market challenges and cautious outlook.
