Koppers (NYSE:KOP) Announces Earnings Results, Misses Expectations By $0.60 EPS

Koppers (NYSE:KOP) posted its earnings results on Friday. The specialty chemicals company reported $0.77 EPS for the quarter, missing the consensus estimate of $1.37 by ($0.60), FiscalAI reports. Koppers had a positive return on equity of 14.98% and a negative net margin of 4.59%. The business had revenue of $499.10 million for the quarter, compared to analyst estimates of $518.60 million. During the same period in the previous year, the company earned $1.21 earnings per share. The company’s quarterly revenue was up 2.8% compared to the same quarter last year. Koppers updated its FY 2026 guidance to 3.100-3.250 EPS.

Here are the key takeaways from Koppers’ conference call:

• Higher input and logistics costs pressured results: Third-quarter adjusted EBITDA fell 18% year over year to $58 million, and adjusted EPS declined to $0.77 from $1.21. Koppers lowered its 2026 outlook to adjusted EBITDA of $220 million–$225 million and adjusted EPS of $3.10–$3.25.
• Cash generation reached year-to-date records: Operating cash flow was $127 million and free cash flow was $92 million through September, compared with $77 million and $56 million, respectively, a year earlier. The company cited working-capital improvements and expects full-year free cash flow of $115 million–$135 million.
• Performance Chemicals and utility products showed resilience: Performance Chemicals volume grew 10% year over year, while domestic utility pole sales rose 5% in the quarter and 11% year to date. Management expects pricing actions—already agreed for more than 80% of Performance Chemicals’ 2027 business—to help offset cost inflation beginning in January, though residential demand remains subdued.
• Restructuring and cost initiatives are intended to support future earnings: Koppers reported $42 million in year-over-year Catalyst benefits through September and completed major production milestones at its Stickney facility. It expects the Stickney initiative to generate $15 million–$20 million in annual adjusted EBITDA benefits, while acknowledging near-term transition costs.

Koppers Stock Performance

Shares of NYSE KOP traded down $9.78 during trading hours on Friday, hitting $29.86. 354,349 shares of the stock were exchanged, compared to its average volume of 143,465. The company has a debt-to-equity ratio of 2.31, a current ratio of 2.33 and a quick ratio of 1.01. The company’s 50 day moving average is $44.13 and its 200 day moving average is $41.68. The firm has a market capitalization of $564.69 million, a P/E ratio of -6.33 and a beta of 1.23. Koppers has a one year low of $25.00 and a one year high of $53.00.

Koppers Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 14th. Investors of record on Friday, November 27th will be issued a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Friday, November 27th. Koppers’s dividend payout ratio is currently -7.63%.

More Koppers News

Here are the key news stories impacting Koppers this week:

• Positive Sentiment: Koppers declared a quarterly cash dividend of $0.09 per share, payable December 14 to shareholders of record November 27. Dividend announcement
• Neutral Sentiment: Third-quarter sales rose 2.8% year over year to $499.1 million, though the company’s revenue guidance of $1.9 billion was broadly in line with consensus. Third-quarter results
• Negative Sentiment: Adjusted EPS was $0.77, well below the $1.37 analyst consensus and down from $1.21 a year earlier; revenue of $499.1 million also fell short of the $518.6 million estimate. Higher raw-material and logistics costs weighed on results. Koppers lowered its 2026 EPS guidance to $3.10–$3.25, below the roughly $4.05 consensus, reinforcing concerns about profitability. MarketWatch report on results and costs

Analyst Ratings Changes

A number of analysts have weighed in on the company. Weiss Ratings cut Koppers from a “hold (c+)” rating to a “sell (d+)” rating in a research report on Tuesday, August 11th. Wall Street Zen lowered Koppers from a “strong-buy” rating to a “buy” rating in a report on Saturday, August 15th. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Koppers has a consensus rating of “Moderate Buy” and an average price target of $55.00.

Insider Activity

In other Koppers news, CEO Leroy Ball sold 4,000 shares of the company’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $45.96, for a total transaction of $183,840.00. Following the completion of the sale, the chief executive officer directly owned 429,555 shares in the company, valued at $19,742,347.80. This represents a 0.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider James A. Sullivan sold 7,500 shares of the firm’s stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $50.00, for a total value of $375,000.00. Following the completion of the sale, the insider directly owned 82,898 shares in the company, valued at approximately $4,144,900. This represents a 8.30% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 17,808 shares of company stock worth $856,651. Insiders own 7.28% of the company’s stock.

About Koppers

Koppers Holdings Inc (NYSE:KOP) is a global provider of treated wood products, carbon compounds and performance chemicals. The company serves infrastructure, industrial and utility markets with products designed to preserve, protect and extend the service life of wood and other materials.

Koppers operates through two primary business areas: Railroad and Utility Products and Services, and Performance Chemicals. Its offerings include treated railroad crossties, utility poles, pilings and other wood products, as well as wood preservatives and related treatment services.