Wacker Chemie reports €805M net loss amid restructuring and market pressures
Wacker Chemie has reported a challenging year for 2025, with revenue and earnings both falling sharply. The company's total sales dropped to €5.49 billion, a 4% decline from the previous year, while EBITDA plunged by 43% to €427 million. A net loss of €805 million was recorded, driven by high costs and market pressures.
The financial downturn stemmed from several key factors. Lower sales volumes, reduced prices, and underused production capacity all weighed on performance. Persistently high energy costs in Germany added to the strain, pushing the company into a significant net loss. Special charges and write-downs, totalling around €600 million, further deepened the deficit.
In response, Wacker Chemie launched its largest cost-cutting programme, PACE, in October 2025. The initiative aims to slash annual expenses in production and administration by over €300 million. As part of this effort, more than 1,500 jobs will be eliminated worldwide, with most reductions affecting operations in Germany. Despite the setbacks, the company strengthened its position in the polysilicon market. Capacity expansions at its Nünchritz site and improved production efficiency boosted its global market share to 25–30%. This growth came as competitors like Tokuyama Corporation scaled back operations in Japan, while Hemlock Semiconductor maintained a stable but U.S.-focused presence and OCI Company faced challenges from high energy costs in South Korea. Looking ahead, Wacker Chemie expects modest recovery. Revenue for the first quarter of 2026 is forecast at around €1.35 billion, with EBITDA projected between €140 million and €160 million. For the full year, the company anticipates low single-digit growth in revenue and EBITDA ranging from €550 million to €700 million. However, due to the net loss, no dividend will be proposed for 2025. The long-term strategy focuses on specialty products, particularly in the semiconductor and biotech sectors. By targeting these high-growth areas, the company aims to restore profitability over time.
The financial results for 2025 reflect a difficult period for Wacker Chemie, marked by declining revenue, heavy losses, and significant restructuring. Job cuts and cost reductions under the PACE programme signal a push to stabilise operations. Meanwhile, the company's strengthened market position in polysilicon and focus on innovation suggest a path toward future growth.
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