Celanese Corporation reported a decline in financial performance for the third quarter and the first nine months of 2024 compared to the same periods in 2023. For the three months ended September 30, 2024, net sales were $2,648 million, down from $2,723 million in 2023, reflecting a decrease of $75 million or 3%. The nine-month figures also showed a decline, with net sales of $7,910 million compared to $8,371 million in the prior year, a decrease of $461 million or 6%.

Gross profit for the third quarter fell to $622 million from $673 million, while for the nine months, it decreased to $1,817 million from $1,990 million. Operating profit saw a significant drop, with Q3 2024 reporting $248 million compared to $842 million in Q3 2023, a decrease of $594 million or 71%. For the nine months, operating profit was $708 million, down from $1,428 million in the previous year.

The decline in revenue and profitability was attributed to lower pricing in the Acetyl Chain segment due to oversupply and demand pressures, as well as reduced volume in the Engineered Materials segment, influenced by the formation of the Nutrinova joint venture. Notably, a one-time gain of $508 million from the Nutrinova joint venture formation in September 2023 did not recur, further impacting year-over-year comparisons.

Celanese's net earnings for Q3 2024 were $120 million, a sharp decline from $949 million in Q3 2023. For the nine months, net earnings were $397 million compared to $1,263 million in the same period last year. Earnings per share for Q3 2024 were $1.06, down from $8.73 in Q3 2023.

On the strategic front, Celanese announced the closure of its Polyamide 66 and High-Performance Nylon polymerization units in Uentrop, Germany, and a facility in Mechelen, Belgium, with expected exit costs of approximately $30 million. The company also formed a joint venture with Mitsui & Co., Ltd. in September 2023, contributing various assets while retaining a 30% interest.

As of September 30, 2024, total current assets decreased to $5,706 million from $6,218 million at the end of 2023, while total assets were $25,892 million, down from $26,597 million. Long-term debt decreased to $11,324 million from $12,301 million. The company declared a quarterly cash dividend of $0.70 per share, totaling $76 million, but announced plans to reduce the dividend by approximately 95% starting in Q1 2025 to support deleveraging efforts.

Overall, Celanese is navigating challenging market conditions, particularly in the automotive and industrial sectors, while implementing strategic changes to enhance long-term growth and value creation.