INEOS Quattro Holdings Limited (‘INEOS Quattro’ or the ‘Group’) announces its trading performance for the third quarter of 2026.
Based on unaudited management information, INEOS Quattro reports that EBITDA for the third quarter of 2026 was €162 million, compared to €177 million for Q3, 2025 and €407 million for Q2, 2026.
The pricing support seen in Q2, 2026, driven by supply disruptions arising from the conflict in the Middle East did not continue into Q3, 2026 resulting in more challenging market conditions. In Europe, profitability was adversely affected by the return of low-cost imports from Asia and continued elevated energy prices. In contrast, the US market remained resilient across all major segments. In Asia, market conditions improved in the PTA and acetic acid segments, while oversupply in the Chinese market continued to maintain pressure on polymer margins.
Styrolution reported EBITDA of €64 million compared to €94 million in Q3, 2025. Polymer market demand reduced in all regions and product groups. High feedstock and energy costs led to significant price increases which caused customers to delay orders. Polymer margins decreased compared to the elevated levels seen in the previous quarter but were higher in Europe and the Americas compared to the same quarter last year. Low Asian operating rates in the quarter intensified competition which compressed margins. As part of the planned business restructuring initiatives, the polystyrene production site in Channahon, US stopped production in September 2026. The Styrene market was long due to low downstream demand in the quarter. Non-cash inventory holding gains were €2 million in Q3, 2026 compared to a loss of €13 million in Q3, 2025. EBITDA in the comparative quarter included a one-off income of €21 million from the sale of surplus EUA carbon credits.
Inovyn reported EBITDA of €13 million compared to €64 million in Q3, 2025. Performance was impacted by lower sales volumes across all key products, reflecting continued weak European demand, strong import competition and cautious customer purchasing behaviour, especially around the European holiday period. The pricing support seen in Q2, 2026 following the Middle East-related supply disruptions which temporarily reduced Asian import volumes into Europe has largely dissipated in Q3, 2026, with increased imports once again weighing on market conditions. Domestic GP and SP PVC spreads over ethylene and domestic market share remained broadly in line with the prior year, whilst export GP PVC spreads were significantly lower leading to a deliberate reduction in export sales. In addition, substantially higher electricity and natural gas prices adversely impacted profitability. Lower fixed costs partially offset these adverse factors.
Aromatics reported EBITDA of €45 million compared to €(8) million in Q3, 2025. Margins improved in the US and in Asia, supported by increased US PX contract prices and PTA/PX spreads in China which allowed producers to pass on raw material price increases into the market. European gasoline prices surged which significantly impacted margins for European producers. PTA sales volumes reduced in Asia due to PX feedstock constraints in the quarter. Non-cash inventory holding gains were €18 million in Q3, 2026 compared to a loss of €2 million in Q3, 2025.
Acetyls reported EBITDA of €40 million compared to €27 million in Q3, 2025. China acetic acid prices and margins moved up again in Q3, 2026 driven by rising methanol costs and supportive supply/demand dynamics. Some pressure was seen on acetic acid margins outside of China, and VAM prices also saw a degree of weakening. European production was severely disadvantaged by highly uncompetitive gas prices, resulting in the idling of our plants in Hull, UK. In the US, sales volumes were robust with excess volume being shipped to Europe.
The Group has continued to focus on cash management and liquidity. The Group has implemented and maintained a number of measures to conserve cash during this period, including policies to control all discretionary fixed costs across the businesses and a review of all capital projects. The Group has also implemented ongoing business restructuring initiatives to review its asset portfolio. The planned disposal of the Italian chlor-alkali business of Inovyn is subject to customary regulatory approvals and is expected to be completed in Q4, 2026.
In August 2026, Inovyn agreed to acquire the remaining 50% interest in the membrane chlor-alkali cell room at Runcorn, UK, together with the Vynova EDC asset, from Vynova UK. Subject to the necessary legal and regulatory approvals, the transaction will integrate the chlor-alkali and EDC value chain under Inovyn and support the long-term future of the Runcorn site.
Net debt was approximately €5,557 million as at September 30, 2026. Cash balances at the end of the quarter were €1,562 million. During the quarter, the Group repaid part of the outstanding balances on the Senior Secured Notes due 2027 for €58 million and on the Euro Term Loan due 2027 for €50 million. There was availability under undrawn receivables securitization facilities of €520 million. Net debt leverage was approximately 6.4 times EBITDA at the end of September 2026.