Koppers (NYSE:KOP) Issues Earnings Results

Key Points

• Koppers beat Q1 expectations with EPS of $0.57 versus analysts’ estimate of $0.44, and revenue of $455.3 million also came in above forecasts.
• The company announced a conditional shutdown of its Stickney, Illinois distillation site, expecting significant restructuring charges but also long-term benefits including annual EBITDA savings and higher adjusted EPS.
• Koppers updated FY2026 guidance to EPS of $3.80-$4.60 and maintained revenue guidance of $1.9 billion-$2.0 billion, while also raising its quarterly dividend to $0.09 per share.

Koppers (NYSE:KOP - Get Free Report) issued its earnings results on Friday. The specialty chemicals company reported $0.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.44 by $0.13, Briefing.com reports. The business had revenue of $455.30 million during the quarter, compared to the consensus estimate of $402.70 million. Koppers had a return on equity of 15.47% and a net margin of 2.98%.The company's revenue for the quarter was down .3% on a year-over-year basis. During the same period in the prior year, the business posted $0.71 EPS. Koppers updated its FY 2026 guidance to 3.800-4.600 EPS.

Here are the key takeaways from Koppers' conference call:

• Stickney wind‑down announced — conditional shutdown of the Stickney, IL distillation site with expected pre‑tax charges of $227M–$262M (including $170M–$195M non‑cash in Q2–Q3 2026) but management expects $15M–$20M annual adjusted EBITDA savings from 2027 and an estimated $1.00–$1.20 uplift to adjusted EPS, plus $8M–$15M less annual CapEx going forward.
• Strong cash generation in Q1 — adjusted EBITDA of $49.3M (10.8% margin), record Q1 operating cash flow $46.3M and free cash flow $34.9M, $29M of share repurchases, a 12.5% dividend increase to $0.09/quarter, and net leverage at 3.5x with a stated goal to reach 2.0–3.0x.
• 2026 outlook updated — consolidated sales guidance maintained at $1.9B–$2.0B but adjusted EBITDA guidance trimmed to $240M–$260M (down for oil‑price impact); adjusted EPS guidance is $3.80–$4.60 while management expects 2026 to be an inflection point for sustainably higher cash flow.
• CMC segment remains pressured — Q1 CMC sales fell to $93M with adjusted EBITDA of $1M (vs. $10M prior year) due to lower prices, higher raw‑material costs and market turmoil, driving the Stickney consolidation and near‑term revenue/earnings reductions for the segment.
• Performance Chemicals outperformance but cost risks — PC sales rose 18% to $142M with 15% volume growth and market‑share gains, supporting a slightly higher sales outlook, though input pressures (notably copper and fuel) require pricing and procurement actions to protect margins.

Koppers Price Performance

KOP stock traded up $2.77 on Friday, reaching $43.93. The company had a trading volume of 334,016 shares, compared to its average volume of 131,975. Koppers has a 1 year low of $25.00 and a 1 year high of $46.40. The company has a debt-to-equity ratio of 1.59, a quick ratio of 1.13 and a current ratio of 2.94. The company's fifty day moving average is $38.02 and its 200 day moving average is $32.36. The company has a market cap of $849.59 million, a P/E ratio of 15.86, a PEG ratio of 9.84 and a beta of 1.28.

Koppers Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Friday, May 29th will be paid a $0.09 dividend. The ex-dividend date of this dividend is Friday, May 29th. This represents a $0.36 dividend on an annualized basis and a yield of 0.8%. Koppers's dividend payout ratio is presently 13.00%.

Insiders Place Their Bets

In other Koppers news, CEO M Leroy Ball sold 2,489 shares of the firm's stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $37.91, for a total transaction of $94,357.99. Following the completion of the transaction, the chief executive officer owned 447,459 shares of the company's stock, valued at approximately $16,963,170.69. This trade represents a 0.55% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Insiders own 7.28% of the company's stock.

Institutional Investors Weigh In On Koppers

Hedge funds and other institutional investors have recently made changes to their positions in the business. Tower Research Capital LLC TRC grew its position in shares of Koppers by 258.1% in the second quarter. Tower Research Capital LLC TRC now owns 1,930 shares of the specialty chemicals company's stock valued at $62,000 after purchasing an additional 1,391 shares during the period. Quantbot Technologies LP grew its position in shares of Koppers by 95.6% in the second quarter. Quantbot Technologies LP now owns 2,130 shares of the specialty chemicals company's stock valued at $68,000 after purchasing an additional 1,041 shares during the period. BNP Paribas Financial Markets grew its position in shares of Koppers by 23.5% in the second quarter. BNP Paribas Financial Markets now owns 3,235 shares of the specialty chemicals company's stock valued at $104,000 after purchasing an additional 615 shares during the period. Kestra Advisory Services LLC purchased a new stake in shares of Koppers in the fourth quarter valued at $114,000. Finally, Quadrant Capital Group LLC purchased a new stake in shares of Koppers in the third quarter valued at $160,000. Hedge funds and other institutional investors own 92.75% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on the company. Wall Street Zen raised Koppers from a "hold" rating to a "buy" rating in a research note on Saturday, February 28th. Weiss Ratings raised Koppers from a "hold (c)" rating to a "hold (c+)" rating in a research note on Wednesday, April 29th. Zacks Research raised Koppers from a "strong sell" rating to a "hold" rating in a research note on Monday, February 9th. Finally, Barrington Research reissued an "outperform" rating and set a $55.00 target price on shares of Koppers in a research note on Monday, May 4th. Two investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $52.50.

Koppers News Roundup

Here are the key news stories impacting Koppers this week:

• Positive Sentiment: Koppers reported first-quarter EPS of $0.57, beating estimates of $0.44, and revenue of $455.3 million also came in above expectations, signaling better-than-expected near-term performance. Article title
• Positive Sentiment: The company announced a quarterly cash dividend of $0.09 per share, which can help support investor sentiment even though the yield is modest. Article title
• Neutral Sentiment: Koppers also updated FY2026 guidance to EPS of $3.80-$4.60 and revenue of $1.9 billion-$2.0 billion, which is roughly in line on sales but brackets analyst EPS expectations and may keep the market focused on execution.
• Neutral Sentiment: The company announced a conditional plan to discontinue operations at its Stickney, Illinois facility as part of a restructuring effort. Management says the move is intended to improve margins and cash flow, but it also reflects challenging market conditions and could involve costs and employee impacts. Article title
• Negative Sentiment: While guidance for revenue was broadly in line, the full-year EPS range suggests uncertainty around profitability, which may temper enthusiasm after the earnings beat.

Koppers Company Profile

Koppers Company, Inc is a global specialty chemicals and materials manufacturer serving diverse industrial markets. The company operates through two primary segments: Carbon Materials & Chemicals, which produces a range of coal tar–based products, phenolic specialties and carbon compounds; and Railroad Products & Services, which offers wood treating and infrastructure services for rail and utility customers.

In its Carbon Materials & Chemicals segment, Koppers supplies coal tar pitch, refined creosote, coal tar‐based distillates and phenolic resins used in aluminum smelting, graphite electrode manufacture, carbon fiber production, and water treatment applications.

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