Element Solutions Inc Q2 FY2026 Earnings Call
With Ben Gliklich (CEO), Carey Dorman (CFO) and Varun Gokarn (VP of Strategy and Integration).
Element Solutions is a leading specialty chemicals company whose operating businesses formulate a broad range of solutions that enhance the performance of products people use every day.
More about Element Solutions Inc
Developed in multi-step technological processes, our innovative solutions enable our customers' manufacturing processes in several key segments, including electronic circuitry, communication infrastructure, automotive systems, industrial surface finishing, and offshore energy. Customers of ESI’s businesses use our innovation as a competitive advantage, relying on ESI to help them navigate in fast-paced, high-growth markets. The breadth of ESI’s offerings provide strong strategic value to the end markets they serve. With over 5,000 people serving more than 50 countries, ESI has established a growing legacy of creating technological advances for customers around the globe. Our people and technical sales teams are located close to our key markets, allowing us to maintain strong customer relationships and accelerate our product innovation process.
1Prepared remarks3 speakers
Good morning, thank you for participating in our second quarter 2026 earnings conference call. Joining me today are our CEO, Ben Gliklich, and CFO, Carey Dorman. In accordance with Regulation FD, we are webcasting this conference call. A replay will be made available in the Investors section of the company's website. Before we begin, I want to remind everyone that our announced merger with Solstice Advanced Materials remains subject to shareholder and regulatory approvals and customary closing conditions.
As such…
Thank you, Varun. Good morning, everybody. Thank you for joining. Before we review this record quarter, I'd like to reiterate our rationale for the announced agreement to merge with Solstice Advanced Materials. This proposed transaction unites our complementary competencies to better meet customer demands for scaled, broad strategic supply partners, while also increasing avenues to prudently invest our cash flows for growth and unlocking compelling synergies.
Together, we stand to build an even stronger electronics…
Thanks, Ben. Good morning, everyone. On slide three, you can see a summary of our second quarter financial results. We delivered record quarterly revenue, adjusted EBITDA, and adjusted EPS. Organic net sales grew 15%, and constant currency adjusted EBITDA increased 33% year-over-year. Electronics organic net sales growth of 20% was broad-based. Each of the segment's verticals grew organically by double-digits, led by our semiconductor business, which was 31% in the quarter.
Adjusted EBITDA margins, excluding…
Thank you, Carey. Our company is strong and well-positioned in attractive growth markets. In each of our businesses, we've identified opportunities and built strategies to deliver substantial profit growth through investment in people and capabilities over a multi-year timeframe. We pride ourselves on customer centricity. On this front, we're seeing the fruits of persistent investments in technical service capabilities…