Koppers Q2 GAAP loss of $147.5M includes $215.8M impairment; adjusted EBITDA falls 7.9%
KOP has more than doubled off its 52-week low of $25.
Summary
Koppers Q2 GAAP loss of $147.5M includes a $215.8M impairment for the Stickney shutdown. Adjusted EBITDA fell 7.9% to $71M, with the Carbon Materials segment hit hardest. Restructuring charges and a new environmental lawsuit add pressure.
Key Events · Earnings and Guidance · KOP
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Q2 GAAP Loss Driven by $215.8M Impairment
Net loss of $147.5 million, or $7.71 per share, compared to net income of $16.4 million a year ago. The loss includes $215.8 million in impairment and restructuring charges, primarily from the decision to discontinue distillation and chemical manufacturing at the Stickney, Illinois facility.
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Adjusted EBITDA Declines 7.9%
Adjusted EBITDA was $71.0 million, down from $77.1 million in Q2 2025. Carbon Materials and Chemicals adjusted EBITDA fell 54.8% to $7.6 million, while Performance Chemicals rose 31.4% to $37.7 million.
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Stickney Shutdown Expected to Cost $233M-$252M
Total pre-tax charges for the Stickney shutdown are estimated at $233 million to $252 million, including $164.6 million in impairment already recorded. Production is expected to wind down by December 31, 2026.
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Illinois AG Files Air Emissions Complaint
On June 17, 2026, the Illinois Attorney General filed a complaint alleging air emissions violations at the Stickney facility, seeking civil penalties and injunctive relief. Koppers has accrued an estimated probable penalty.
Analysis · KOP · Manufacturing
A steep GAAP loss hit Koppers this quarter, driven by a $215.8 million impairment charge tied to the planned shutdown of its Stickney, Illinois facility. Excluding that and other items, adjusted EBITDA of $71 million still fell nearly 8% from last year, with the Carbon Materials and Chemicals segment's adjusted EBITDA more than halving. The company is executing a multi-year restructuring to exit low-margin, capital-intensive operations, but the near-term cost is heavy — total expected pre-tax charges for the Stickney and phthalic anhydride shutdowns range from $283 million to $306 million. Meanwhile, the Illinois Attorney General filed an air emissions complaint against the Stickney facility in June, adding legal risk. The balance sheet remains manageable with $390 million in liquidity, but the impairment and ongoing restructuring underscore the challenges in the legacy chemicals business.
At the time of this filing, KOP was trading at $50.77 on NYSE in the Manufacturing sector, with a market capitalization of approximately $976.4M. The 52-week trading range was $25.00 to $52.25. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.