Westlake Chemical Partners LP (NYSE: WLKP) reported fourth‑quarter 2025 results that included a net income of $14.5 million, or $0.41 per limited partner unit, and a full‑year net income of $48.7 million, or $1.38 per unit. The company’s earnings per unit of $0.41 fell short of one analyst consensus estimate of $0.4284 but exceeded another estimate of $0.40, while revenue of $323.0 million beat the consensus estimate of $313.03 million.
Operating cash flow for the quarter was $120.4 million, a decline of $12.1 million from the $132.5 million generated in Q4 2024. MLP distributable cash flow rose to $18.8 million, supporting a coverage ratio of 1.13×, up from 1.07× in the prior year’s fourth quarter. The increase in distributable cash flow reflects lower maintenance capital expenditures following the completion of the Petro 1 turnaround.
Compared with the same period a year earlier, Q4 2025 net income was slightly lower than the $15.0 million reported in Q4 2024, and the full‑year 2025 net income declined by $13.7 million from the $62.4 million reported in 2024. Nevertheless, Q4 2025 net income was relatively in line with Q3 2025’s $14.7 million, indicating a stabilization after the production disruptions caused by the Petro 1 project.
The Petro 1 turnaround, completed in Q2 2025, reduced production and sales volume during 2025. Management stated that no further major maintenance is planned for 2026, and the partnership expects production and sales volumes to normalize, which should lift coverage ratios in the coming year. The company’s CEO, Jean‑Marc Gilson, noted that the partnership ended 2025 with its highest quarterly coverage ratio since Q4 2022, attributing the improvement to solid production and sales volume and a shift in the timing of capital spending.
The partnership paid a quarterly distribution of $0.4714 per unit for Q4 2025, which was distributed to unitholders of record on February 23, 2026. Gilson added that the partnership is positioned for increased production and sales volume in 2026, and that the higher volume should result in an improved coverage ratio, as is typical in years following turnarounds.
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