The Q1 earnings collapse is severe and structural — driven by input cost inflation and one-time items that will not repeat. Watch for Q2 guidance on the earnings call for signs of the 'meaningful sequential performance improvement' management promised. The DEF expansion project is a long-term positive but years away from contributing. The CFO change adds uncertainty during a critical period.
Price Chart
Executive Summary
AdvanSix reported Q1 2026 results with revenue of $404M (+7% YoY) but a GAAP net loss of -$15.5M and Adjusted EBITDA of $4.8M, down 91% from $51.6M a year ago. The massive profit decline was driven by the absence of $26M in prior-year insurance proceeds, $11M in winter storm impacts, and higher sulfur/natural gas costs. The company also announced a new CFO appointment and a potential DEF market expansion project, but the severe earnings deterioration dominates the narrative.
Key Financial Metrics
Key Facts
- Q1 2026 revenue $404.2M, up 7% YoY from $377.8M
- GAAP diluted EPS of ($0.58) vs $0.86 in Q1 2025
- Adjusted diluted EPS of ($0.50) vs $0.93 in Q1 2025
- Adjusted EBITDA of $4.8M, down 90.8% from $51.6M in Q1 2025
- Adjusted EBITDA margin collapsed to 1.2% from 13.7%
- Operating cash flow of negative $15.3M vs positive $11.4M in Q1 2025
- Free cash flow of negative $51.3M vs negative $22.6M in Q1 2025
- Line of credit drawn to $270M from $215M at year-end 2025
- Appointed Patrick Day as SVP and CFO effective April 27, 2026
- Evaluating expansion of integrated ammonia platform for DEF market with FID targeted for H1 2027
Financial Impact
Adjusted EBITDA declined by $46.9M YoY to $4.8M; free cash flow worsened by $28.6M to negative $51.3M; line of credit increased by $55M to $270M
Risk Factors
- Continued margin compression from high sulfur and natural gas costs
- Further cash burn requiring additional debt or equity financing
- Execution risk on new CFO transition and DEF project
- Extended nylon cycle trough could persist longer than expected
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001673985-26-000033 |
| Document: asix-20260508.htm | 0001673985-26-000033 |
| Document: 0001673985-26-000033-index-headers.html | 0001673985-26-000033 |
| Document: 0001673985-26-000033-index.html | 0001673985-26-000033 |
| Document: 0001673985-26-000033.txt | 0001673985-26-000033 |
| 8-K Data (Synthetic) | 0001673985-26-000033 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 7, 2026 11w ago | 8-K | $16.48 $17.45 | ▼ −5.89% | ▼ −6.28% | $15.62 (+5.22%) |
Jun 13, 2026 19w ago | Institutional Cluster | $22.33 $20.93 | ▼ −6.27% | ▼ −5.52% | $15.62 (−30.05%) |
May 8, 2026 24w ago | 8-K | $20.32 $21.48 | ▼ −5.71% | ▼ −5.69% | $15.62 (+23.13%) |
Apr 13, 2026 28w ago | 8-K | $23.90 $22.53 | ▼ −5.73% | ▼ −13.46% | $15.62 (−34.64%) |
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