GrafTech Draws $100M Loan, Reaffirms Volume Growth Amid Q2 Loss of $1.54/Share
EAF sits 49% above its 52-week low of $4.92.
Summary
GrafTech's Q2 results show modest operational improvement with higher volumes and stabilizing pricing, but the company continues to burn cash and has fully drawn its term loan to maintain liquidity.
Key Events · Earnings and Guidance · EAF
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Q2 Net Loss of $40M
The net loss narrowed to $40 million, or $1.54 per share, from $87 million in Q2 2025. Adjusted EBITDA slipped to $2 million from $3 million a year ago.
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Drew Remaining $100M Term Loan
Drawing the remaining $100 million available under the delayed-draw first lien term loan brought total liquidity to $253 million as of June 30, 2026, against gross debt of $1.225 billion.
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Sales Volume Up 8% YoY
Sales volume reached 30.8 thousand MT, an 8% increase year-over-year and 10% sequentially, fueled by strong U.S. demand and market share gains.
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Pricing Pressure Persists
The weighted-average realized price declined 7% year-over-year to approximately $3,900 per MT, though early success with price increases on uncommitted volume is emerging.
Analysis · EAF · Manufacturing
A net loss of $40 million, or $1.54 per share, marked an improvement from the $87 million loss a year ago, yet adjusted EBITDA barely stayed positive at $2 million. To bolster its position, the company drew the remaining $100 million from its delayed-draw term loan, lifting liquidity to $253 million even as negative free cash flow persists and gross debt stands at $1.2 billion. Management reaffirmed full-year volume growth of 5–10% and pointed to early traction on price increases, but the ongoing cash burn and heavy debt load keep financial risk elevated.
At the time of this filing, EAF was trading at $7.35 on NYSE in the Manufacturing sector, with a market capitalization of approximately $184.9M. The 52-week trading range was $4.92 to $20.32. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.