Syntomer 2025 Performance Guidance Released: Both Revenue and Profits Decline

Specialty chemicals company Synthomer has issued its 2025 performance guidance. Due to the dual impact of weak end-market demand and global tariff adjustments since the second quarter of 2024, the company expects both full-year sales and profits to decline year-on-year in 2025. However, through cost reduction, efficiency improvements, and operational optimization, it has partially offset adverse market factors, achieving enhanced profit margins and greater earnings resilience.

In terms of performance data, Synthomer's full-year sales for 2025 are projected to be approximately £1.74 billion, down from £1.93 billion in 2024; EBITDA is expected to be in the range of £135 million to £138 million, lower than the £143 million recorded in 2024.

Synthomer CEO Michael Willome stated that the company has expanded its cost-saving measures, accelerated the transition toward a specialty solutions portfolio, and optimized resource management to address ongoing challenges posed by geopolitical and tariff fluctuations. Despite continued pressure in the short-term market environment, the company remains committed to its medium-term goal of doubling profitability.

By business segment, the Coatings and Construction Solutions division is the key focus area for cost reduction initiatives. The Adhesive Solutions division, supported by capacity investments in Texas, USA, continues to regain market share and drive margin improvement. The Health and Protection business saw a recovery in customer demand in the fourth quarter of 2025, though the segment's profit margins remain far below pre-pandemic levels.

Looking ahead to 2026, Synthomer indicated that even without a significant recovery in end markets, the company is poised to achieve year-on-year performance improvement through internal cost-cutting and business transformation initiatives.