Revenue growth has remained negative for ten consecutive quarters, culminating in a 6.8% year-over-year decline as of 2026Q1 alongside volatile gross margins that reached a low of -17.3% in 2025Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'00 | Dec'99 |
|---|
| Sales/Revenue | 10.98B | 11.17B | 12.14B | 12.55B | 15.79B | 11.78B | 7.5B | 8.12B | 8.63B | 8.04B | 5.08B | 4.46B | 4.42B | 3.76B | 3.57B | 3.62B | 3.17B | 2.33B | 3.69B | 3.19B | 2.48B | 2.44B | 1.99B | 1.42B | 1.07B | 1.39B | 1.06B |
| Revenue Growth % | -8.63% | -8.01% | -3.24% | -20.55% | 34.1% | 56.96% | -7.56% | -5.99% | 7.39% | 58.41% | 13.74% | 1.08% | 17.45% | 5.28% | -1.35% | 14.13% | 36.38% | -37.01% | 15.67% | 28.49% | 1.77% | 22.96% | 39.52% | 32.67% | -22.96% | 31.64% | - |
| Cost of Goods Sold | 10.81B | 10.88B | 10.19B | 10.33B | 11.72B | 8.28B | 6.48B | 6.86B | 6.65B | 6.28B | 4.09B | 3.28B | 3.1B | 2.66B | 2.83B | 3.06B | 2.69B | 2.13B | 3.62B | 2.92B | 2.09B | 2B | 1.68B | 1.3B | 992.06M | 1.19B | 887.96M |
| COGS % of Revenue | - | 97.41% | 83.88% | 82.32% | 74.21% | 70.33% | 86.37% | 84.48% | 76.99% | 78.1% | 80.63% | 73.45% | 70.16% | 70.7% | 79.36% | 84.56% | 84.78% | 91.61% | 98.12% | 91.5% | 84.04% | 81.83% | 84.73% | 91.43% | 92.49% | 85.71% | 83.96% |
| Gross Profit | 169M | 289M | 1.96B | 2.22B | 4.07B | 3.5B | 1.02B | 1.26B | 1.99B | 1.76B | 983M | 1.19B | 1.32B | 1.1B | 736.96M | 559.01M | 482.68M | 195.13M | 69.37M | 271.4M | 396.48M | 443.63M | 303.19M | 121.95M | 80.57M | 198.92M | 169.68M |
| Gross Margin % | 1.54% | 2.59% | 16.12% | 17.68% | 25.79% | 29.67% | 13.63% | 15.52% | 23.01% | 21.9% | 19.37% | 26.55% | 29.84% | 29.3% | 20.64% | 15.44% | 15.22% | 8.39% | 1.88% | 8.5% | 15.96% | 18.17% | 15.27% | 8.57% | 7.51% | 14.29% | 16.04% |
| Gross Profit Growth % | - | -85.23% | -11.81% | -45.52% | 16.54% | 241.64% | -18.81% | -36.59% | 12.83% | 79.15% | -17.05% | -10.05% | 19.6% | 49.46% | 31.83% | 15.81% | 147.37% | 181.29% | -74.44% | -31.55% | -10.63% | 46.32% | 148.61% | 51.36% | -59.5% | 17.24% | - |
| Operating Expenses | 1.84B | 1.87B | 1.08B | 1.49B | 1.02B | 695M | 594M | 604M | 579M | 536M | 400M | 225M | 193.36M | 147.97M | 121.61M | 112.21M | 104.32M | 87.87M | 98.91M | 96.68M | 83.23M | 76.6M | 60.02M | 56.14M | 66.5M | 72.81M | 54.84M |
| OpEx % of Revenue | - | 16.71% | 8.91% | 11.87% | 6.48% | 5.9% | 7.92% | 7.44% | 6.71% | 6.67% | 7.88% | 5.04% | 4.38% | 3.94% | 3.41% | 3.1% | 3.29% | 3.78% | 2.68% | 3.03% | 3.35% | 3.14% | 3.02% | 3.94% | 6.2% | 5.23% | 5.18% |
| Selling, General & Admin | 919M | 910M | 874M | 865M | 809M | 528M | 435M | 458M | 445M | 399M | 258M | 218M | 183.75M | 147.97M | 121.61M | 112.21M | 104.32M | 87.87M | 98.91M | 96.68M | 83.23M | 76.6M | 60.24M | 57.01M | 64.26M | 62.04M | 52.09M |
| SG&A % of Revenue | - | 8.15% | 7.2% | 6.89% | 5.12% | 4.48% | 5.8% | 5.64% | 5.15% | 4.96% | 5.08% | 4.88% | 4.16% | 3.94% | 3.41% | 3.1% | 3.29% | 3.78% | 2.68% | 3.03% | 3.35% | 3.14% | 3.03% | 4.01% | 5.99% | 4.46% | 4.92% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 957M | 208M | 625M | 214M | 167M | 159M | 146M | 134M | 137M | 142M | 7M | 9.61M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -219K | -877K | 2.24M | 10.78M | 2.75M |
| Operating Income | -1.7B | -1.58B | 875M | 729M | 3.05B | 2.8B | 429M | 656M | 1.41B | 1.23B | 583M | 960M | 1.12B | 953.46M | 615.35M | 446.8M | 378.36M | 107.26M | -29.54M | 174.72M | 313.25M | 367.03M | 243.17M | 65.81M | 14.07M | 126.11M | 114.84M |
| Operating Margin % | -15.49% | -14.13% | 7.21% | 5.81% | 19.31% | 23.77% | 5.72% | 8.08% | 16.31% | 15.23% | 11.49% | 21.51% | 25.46% | 25.36% | 17.23% | 12.34% | 11.93% | 4.61% | -0.8% | 5.47% | 12.61% | 15.04% | 12.25% | 4.63% | 1.31% | 9.06% | 10.86% |
| Operating Income Growth % | - | -280.34% | 20.03% | -76.1% | 8.93% | 552.68% | -34.6% | -53.41% | 14.94% | 110.12% | -39.27% | -14.59% | 17.89% | 54.95% | 37.73% | 18.09% | 252.76% | 463.09% | -116.91% | -44.22% | -14.65% | 50.94% | 269.47% | 367.7% | -88.84% | 9.81% | - |
| EBITDA | -462M | -341M | 1.99B | 1.83B | 4.11B | 3.64B | 1.2B | 1.37B | 2.05B | 1.83B | 961M | 1.21B | 1.33B | 1.11B | 759.89M | 578.19M | 507.1M | 230.46M | 82.39M | 278.24M | 400.36M | 449.73M | 326.34M | 154M | 102.09M | 204.87M | 201.3M |
| EBITDA Margin % | -4.21% | -3.05% | 16.38% | 14.55% | 26% | 30.91% | 16.02% | 16.86% | 23.73% | 22.71% | 18.93% | 27.02% | 30.18% | 29.56% | 21.28% | 15.97% | 15.99% | 9.91% | 2.23% | 8.72% | 16.12% | 18.42% | 16.44% | 10.82% | 9.52% | 14.71% | 19.03% |
| EBITDA Growth % | -126.49% | -117.14% | 8.93% | -55.53% | 12.8% | 202.83% | -12.2% | -33.19% | 12.21% | 90.01% | -20.32% | -9.49% | 19.91% | 46.24% | 31.43% | 14.02% | 120.04% | 179.73% | -70.39% | -30.5% | -10.98% | 37.81% | 111.91% | 50.84% | -50.17% | 1.77% | - |
| D&A (Non-Cash Add-back) | 1.24B | 1.24B | 1.11B | 1.1B | 1.06B | 840M | 773M | 713M | 641M | 601M | 378M | 246M | 208.49M | 157.81M | 144.54M | 131.4M | 128.73M | 123.2M | 111.93M | 103.51M | 87.11M | 82.7M | 83.17M | 88.18M | 88.02M | 78.76M | 86.46M |
| EBIT | -1.59B | -1.44B | 1.1B | 865M | 3.12B | 2.85B | 473M | 694M | 1.46B | 1.24B | 637.85M | 998.1M | 1.12B | 960.25M | 628.22M | 452.42M | 382.83M | 113.71M | -24.06M | 177.38M | 299.07M | 369.05M | 230.01M | 65.81M | 14.07M | 126.11M | 114.84M |
| Net Interest Income | -122M | -161M | -6M | -61M | -153M | -169M | -128M | -104M | -126M | -159M | -71.05M | -28.62M | -33.88M | -15M | -43.05M | -48.13M | -38.37M | -33.58M | -29.4M | -15.53M | -6.44M | -19.4M | -38.38M | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 153M | 104M | 24M | 7M | 14M | 20M | 0 | 0 | 8.42M | 6.03M | 3.47M | 3.09M | 0 | 2.87M | 1.51M | 1.38M | 4.56M | 2.89M | 10.07M | 4.32M | 971K | 0 | 0 | 0 | 0 |
| Interest Expense | 66M | 161M | 159M | 165M | 177M | 176M | 142M | 124M | 126M | 159M | 79.47M | 34.66M | 37.35M | 18.08M | 43.05M | 50.99M | 39.88M | 34.96M | 33.96M | 18.42M | 16.52M | 23.72M | 39.35M | 0 | 0 | 0 | 0 |
| Other Income/Expense | -53M | -19M | 63M | -29M | -104M | -123M | -98M | -86M | -74M | -144M | -25M | 3M | -40.07M | -11.29M | -30.18M | -45.36M | -35.4M | -28.5M | -28.48M | -15.76M | -30.7M | -21.7M | -52.5M | -42.31M | -28.27M | -35.41M | -114.84M |
| Pretax Income | -1.75B | -1.6B | 938M | 700M | 2.95B | 2.68B | 331M | 570M | 1.33B | 1.08B | 558M | 963M | 1.08B | 942.17M | 585.17M | 401.43M | 342.96M | 78.75M | -58.02M | 158.96M | 282.55M | 345.33M | 190.66M | 23.5M | -14.2M | 90.69M | 0 |
| Pretax Margin % | -15.97% | -14.3% | 7.73% | 5.58% | 18.65% | 22.73% | 4.41% | 7.02% | 15.45% | 13.44% | 10.99% | 21.58% | 24.55% | 25.06% | 16.39% | 11.09% | 10.81% | 3.39% | -1.57% | 4.98% | 11.37% | 14.15% | 9.6% | 1.65% | -1.32% | 6.51% | - |
| Income Tax | -198M | -164M | 291M | 178M | 649M | 607M | -42M | 108M | 300M | -258M | 138M | 298M | 398.9M | 331.75M | 199.61M | 142.47M | 121.57M | 25.76M | -28.48M | 44.23M | 87.99M | 118.51M | 69.94M | 8.75M | -7.14M | 0 | 0 |
| Effective Tax Rate % | 11.29% | 10.27% | 31.02% | 25.43% | 22.03% | 22.67% | -12.69% | 18.95% | 22.49% | -23.87% | 24.73% | 30.94% | 36.8% | 35.21% | 34.11% | 35.49% | 35.45% | 32.71% | 49.08% | 27.82% | 31.14% | 34.32% | 36.68% | 37.22% | 50.28% | 0% | - |
| Net Income | -1.64B | -1.51B | 602M | 479M | 2.25B | 2.02B | 330M | 421M | 996M | 1.3B | 399M | 646M | 678.52M | 610.42M | 385.56M | 258.97M | 221.39M | 52.99M | -29.54M | 114.73M | 194.56M | 226.82M | 120.72M | 14.76M | -7.06M | 55M | 37.8M |
| Net Margin % | -14.91% | -13.5% | 4.96% | 3.82% | 14.23% | 17.11% | 4.4% | 5.19% | 11.53% | 16.22% | 7.86% | 14.47% | 15.37% | 16.24% | 10.8% | 7.15% | 6.98% | 2.28% | -0.8% | 3.59% | 7.83% | 9.29% | 6.08% | 1.04% | -0.66% | 3.95% | 3.57% |
| Net Income Growth % | -521.91% | -350.5% | 25.68% | -78.68% | 11.51% | 510.61% | -21.62% | -57.73% | -23.62% | 226.82% | -38.24% | -4.79% | 11.16% | 58.32% | 48.88% | 16.97% | 317.76% | 279.38% | -125.75% | -41.03% | -14.22% | 87.88% | 718.12% | 308.95% | -112.84% | 45.5% | - |
| Net Income (Continuing) | -1.55B | -1.43B | 647M | 522M | 2.3B | 2.07B | 373M | 462M | 1.03B | 1.34B | 420M | 665M | 685.02M | 610.42M | 385.56M | 258.97M | 221.39M | 52.99M | -29.54M | 114.73M | 194.56M | 226.82M | 120.72M | 14.76M | -7.06M | 55M | 37.8M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 504M | 503M | 516M | 523M | 534M | 573M | 535M | 543M | 486M | 495M | 368.42M | 296.05M | 290.38M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 22.1M | 22.1M | 19.7M | 0 |
| EPS (Diluted) | -12.79 | -11.73 | 4.64 | 3.70 | 17.35 | 15.58 | 2.57 | 3.25 | 7.66 | 10.00 | 3.06 | 4.86 | 5.07 | 4.55 | 2.88 | 1.94 | 1.67 | 0.40 | -0.23 | 0.88 | 1.49 | 1.74 | 1.09 | 0.15 | -0.07 | 0.56 | 0.38 |
| EPS Growth % | -528.01% | -352.8% | 25.41% | -78.67% | 11.36% | 506.23% | -20.92% | -57.57% | -23.4% | 226.8% | -37.04% | -4.14% | 11.43% | 57.99% | 48.45% | 16.17% | 317.5% | 273.91% | -126.14% | -40.94% | -14.37% | 59.63% | 626.67% | 310.38% | -112.73% | 47.37% | - |
| EPS (Basic) | - | -11.73 | 4.66 | 3.72 | 17.47 | 15.66 | 2.57 | 3.26 | 7.70 | 10.05 | 3.07 | 4.88 | 5.09 | 4.57 | 2.89 | 1.95 | 1.68 | 0.40 | -0.23 | 0.88 | 1.50 | 1.75 | 1.10 | 0.15 | -0.07 | 0.56 | 0.38 |
| Diluted Shares Outstanding | 127.99M | 128.91M | 129.21M | 128.6M | 128.85M | 128.7M | 128.09M | 128.76M | 129.99M | 129.54M | 129.97M | 132.3M | 133.64M | 133.78M | 133.28M | 132.6M | 131.35M | 132.03M | 131.25M | 130.65M | 130.51M | 130.5M | 110.71M | 99M | 99M | 99M | 99M |
| Basic Shares Outstanding | 127.99M | 128.91M | 128.53M | 127.81M | 127.97M | 128M | 127.85M | 128.4M | 129.4M | 129.09M | 129.37M | 131.82M | 133.11M | 133.22M | 132.58M | 131.85M | 130.95M | 131.83M | 131.25M | 130.47M | 130.27M | 130.02M | 110.46M | 99M | 99M | 99M | 99M |
| Dividend Payout Ratio | - | - | 43.85% | 46.14% | 7.52% | 7.2% | 41.52% | 31.35% | 12.05% | 7.9% | 24.2% | 14.17% | 11.44% | 9.05% | 74.05% | 7.05% | 7.23% | 27.38% | - | 10.27% | 4.52% | 2.8% | 1.14% | - | - | - | - |
Cyclical housing demand sensitivity
According to the provided quarterly income statements, Westlake has experienced a consistent decline in top-line performance, with revenue growth rates remaining negative for the past ten quarters, culminating in a 6.8% year-over-year contraction as of 2026Q1, reflecting significant headwinds in its core end-markets.
The sustained revenue decay suggests that the company's dual-segment model is struggling to find a floor amidst broader industrial and residential construction weakness. Investors should monitor whether this trend represents a structural shift in demand for vinyls or merely a prolonged cyclical trough that will eventually revert as housing starts stabilize.
As reported in recent financial filings, Westlake's gross margin has faced extreme volatility, plummeting to a negative 17.3% in 2025Q4 before recovering to 4.2% in 2026Q1, indicating that the company is currently unable to pass through input cost fluctuations to its downstream customers effectively.
The erratic nature of these margins suggests that the company's integrated vinyls chain is currently failing to provide the expected cost-floor protection. This instability warrants further investigation into whether recent inventory write-downs or plant-specific operational inefficiencies are masking the true underlying profitability of the Performance and Essential Materials segment.
Based on the company's reported figures, operating leverage has become a significant burden, with operating margins swinging from a positive 12.7% in 2024Q2 to a deeply negative 5.8% in 2026Q1, demonstrating that fixed costs are not scaling down in proportion to the declining revenue base.
The inability to maintain positive operating income during revenue downturns highlights the high fixed-cost nature of the company's manufacturing assets. This suggests that management's strategy of vertical integration may be amplifying losses during periods of low capacity utilization rather than providing the intended competitive buffer.
Financial data indicates that Westlake's net income has been consistently negative for several recent quarters, with a net margin of -6.4% in 2026Q1, raising concerns about the sustainability of the current business model in the face of persistent macroeconomic and industry-specific demand pressures.
Short-sellers would likely focus on the disconnect between the company's historical reputation for integration-driven stability and the current reality of sustained net losses. The reliance on the North American housing market appears to be a primary risk factor that may continue to weigh on earnings quality until interest rate environments become more favorable.
Quick answers to the most common questions about buying WLK stock.
For fiscal year 2025, Westlake Corporation (WLK) reported total revenue of $11.17B. This represents a 956.1% increase compared to $1.06B in 1999.
Westlake Corporation (WLK) reported a net loss of $1.51B for the fiscal year ending 2025.
Westlake Corporation (WLK) reported an operating income of $-1578.0M, resulting in an operating profit margin of -14.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Westlake Corporation (WLK) generated $289.0M in gross profit for the year, representing a gross profit margin of 2.6%. This demonstrates the company's core pricing power and production efficiency.