Quaker Chemical Corporation reported fourth‑quarter and full‑year 2025 results, posting net sales of $468.5 million, a 6 % year‑over‑year increase from $444.1 million in Q4 2024. Net income rose to $20.7 million, giving a GAAP diluted earnings per share of $1.18. The company’s non‑GAAP (adjusted) EPS was $1.65, a miss of $0.06 (–3.4 %) against the consensus estimate of $1.71, but the company beat the revenue estimate of $465.29 million by $3.21 million (0.69 %).
Revenue growth was driven largely by a 6 % contribution from acquisitions, including the Dipsol acquisition completed in April 2025, and favorable foreign‑currency effects. Net sales in Q3 2025 were $493.8 million, and the company’s adjusted EPS in that quarter was $2.08, underscoring a sequential decline in earnings momentum. The acquisition is expected to add 1‑2 % to top‑line growth in 2026.
The EPS miss reflects soft market conditions in the Americas and EMEA, where operational challenges lowered gross margin by slightly over 1 % for the region, translating to an estimated $5 million to $10 million revenue impact. Gross margin in Q4 2025 was 35.3 %, flat year‑over‑year, while adjusted EBITDA margin rose to 15.3 %, an improvement of 75 basis points from the prior year.
Management projects a rebound in gross margins to the 36 %–37 % range in 2026 and anticipates high‑single‑digit EBITDA growth. The company’s guidance for Q1 2026 projects sales of approximately $478.6 million and EPS of about $1.86, while full‑year 2026 guidance estimates sales of roughly $1.98 billion and EPS of $8.57.
CEO Joseph A. Berquist said, “We remain confident in our ability to deliver net share gains within our target range of 2 % to 4 % as we execute our sales pipeline.” He added that the company expects “relative stability” in sales prices and raw‑material costs for the next two quarters and that it is targeting “mid‑single‑digit growth in both volume and revenue, and high‑single‑digit EBITDA growth driven by continued scale.”
Investors reacted negatively to the EPS miss, citing the company’s challenges in the Americas and EMEA, but management’s guidance signals confidence in margin recovery and continued growth in the Asia Pacific region, which remains a strong performer.
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