Quaker Chemical's Q4 Earnings Lag Estimates, Revenues Beat

Quaker Chemical Corporation KWR recorded earnings of 81 cents per share in the fourth quarter of 2024, down from earnings of $1.12 per share in the year-ago quarter.Barring one-time items, earnings came in at $1.33 per share for the reported quarter, missing the Zacks Consensus Estimate of $1.62.Find the latest earnings estimates and surprises on Zacks Earnings Calendar.Net sales fell around 5% year over year to $444.1 million in the quarter. Sales, however, beat the Zacks Consensus Estimate of $441.7 million. The downside was due to lower selling prices and product mix, unfavorable currency swings and reduced organic sales volumes due to weak end-market conditions. KWR’s Segment HighlightsSales from the Americas segment fell around 8% year over year to $208.6 million in the reported quarter. It was above the consensus estimate of $201 million. Sales were hurt by lower sales volumes, unfavorable currency impact, and decreased selling price and product mix.The EMEA unit recorded sales of $125.9 million in the quarter, down 7% year over year. It missed the consensus estimate of $130 million. Lower selling prices and mix as well as reduced organic sales volumes impacted sales.The Asia/Pacific unit logged sales of $109.6 million, up around 5% year over year. It beat the consensus estimate of $107 million. Higher sales volumes and contributions from the Sutai Group acquisition more than offset a decline in selling price and product mix.KWR’s FY24 ResultsEarnings (as reported) for full-year 2024 were $6.51 per share, up from $6.26 a year ago.  Sales fell around 6% year over year to around $1,839.7 million.Quaker Chemical’s FinancialsThe company ended the quarter with cash and cash equivalents of around $188.9 million, down roughly 3% year over year. Long-term debt was around $669.6 million, down around 8% from the prior year.KWR generated an operating cash flow of $204.6 million in 2024.The company returned $82.4 million to shareholders through dividends and share repurchases in 2024.KWR’s OutlookQuaker Chemical noted that it remains committed to delivering sustained growth and share gains by advancing its enterprise strategy, refocusing the organization around its customer intimate model and effectively allocating capital.  It is taking additional actions that are expected to deliver run-rate cost savings of at least $20 million this year. KWR expects these actions to boost its operational efficiency, improve competitiveness and allow it to better leverage its global scale. It expects to deliver revenue, adjusted EBITDA and earnings growth in 2025.KWR’s Stock Price PerformanceQuaker Chemical’s shares have lost 27.1% in the past year compared with the Zacks Chemicals Specialty industry’s 20.8% decline. Image Source: Zacks Investment ResearchKWR’s Zacks Rank & Key PicksKWR currently carries a Zacks Rank #5 (Strong Sell).Better-ranked stocks in the Basic Materials space are Fortuna Mining Corp. FSM, Kronos Worldwide, Inc. KRO and Orla Mining Ltd. ORLA, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Fortuna is scheduled to release fourth-quarter results on March 5. The Zacks Consensus Estimate for FSM’s fourth-quarter earnings is pegged at 16 cents per share. FSM beat the Zacks Consensus Estimate in two of the last four quarters while missing twice, with the average earnings surprise being 53.5%.Kronos Worldwide is expected to release fourth-quarter results on March 5. The consensus estimate for KRO’s fourth-quarter earnings stands at 11 cents. KRO beat the Zacks Consensus Estimate in three of the last four quarters while missing once, with the average earnings surprise being 41.7%.Orla Mining is slated to report fourth-quarter results on March 18. The Zacks Consensus Estimate for fourth-quarter earnings is pegged at 8 cents. ORLA beat the Zacks Consensus Estimate in two of the last four quarters while missing once and meeting on the other occasion, with the average earnings surprise being 97.9%.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Kronos Worldwide Inc (KRO): Free Stock Analysis Report Quaker Houghton (KWR): Free Stock Analysis Report Fortuna Mining Corp. (FSM): Free Stock Analysis Report Orla Mining Ltd. (ORLA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks