earnings
confidence high
sentiment negative
materiality 0.75
Stepan Q2 net income falls 25% to $9.5M; criminal fraud charge and Millsdale flood weigh
STEPAN CO
2024-Q2 EPS reported
$1.02
revenue$1,107,823,000
- Net income $9.5M ($0.42 diluted EPS), down 25% YoY; adjusted net income $9.4M down 22%.
- Sales volume +4% YoY, but revenue -4% to $556M due to lower selling prices and mix.
- Unusual charges: $11.8M Millsdale flood, $3.6M Pasadena startup, $3.5M criminal fraud in Asia; investigation ongoing.
- Adjusted EBITDA $47.7M (+4%); cost-out on track; expects H2 EBITDA improvement vs prior year.
- Q3 fraud charge expected similar amount (~$3.5M); no material impact on business otherwise.