10-K · February 19, 2026
Solstice completed its spin-off from Honeywell on October 30, 2025 and operates two reportable segments (RAS and ESM) focused on LGWP refrigerants, blowing agents, nuclear conversion services and electronic/specialty…
Earnings analysis · 10-Q
SOLS earnings analysis
Filed May 6, 2026 · Our reading of the company's report
The latest report
Solstice Advanced Materials reported strong Q1 2026 results with net sales of $991 million, reflecting a 10% increase year-over-year, and adjusted diluted EPS of $0.63, beating estimates of $0.61. Despite revenue…
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Solstice Advanced Materials reported strong Q1 2026 results with net sales of $991 million, reflecting a 10% increase year-over-year, and adjusted diluted EPS of $0.63, beating estimates of $0.61. Despite revenue growth, the company experienced a 25% decline in net income attributable to Solstice, totaling $85 million, partly due to increased operational costs and a rise in interest expenses.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
Reported figures
- Earnings per share
- $0.63
What stood out
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Revenue Growth of 10% YoY
Net sales increased by $94 million or 10% compared to the prior year, totaling $991 million.
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Strong EPS Performance
Adjusted diluted EPS for Q1 2026 was reported at $0.63, exceeding the estimated EPS of $0.61 by 0.0328.
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Increased Operating Cash Flow
Operating cash flow for Q1 2026 rose to $199 million, up from $160 million in the prior year.
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Improvement in Segment Performance
ESM segment net sales grew by $19 million or 7%, driven by volume increases in electronic materials.
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Cash Position Strengthened
Cash and cash equivalents amounted to $642 million as of March 31, 2026, up from $534 million at year-end 2025.
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Reduction in Transaction-Related Costs
Transaction-related costs decreased by $5 million due to reduced advisory service fees post-spin-off.
What to watch
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Decrease in Net Income
Net income attributable to Solstice declined 37% year-over-year, decreasing from $134 million to $85 million.
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Increased Interest Expenses
Interest and other financial charges surged to $29 million in Q1 2026 compared to $1 million in Q1 2025.
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Higher Operating Costs
Total costs and expenses rose by 21% compared to the prior year, impacting profitability.
Management's outlook
The company reaffirms its full-year 2026 guidance for revenue and EPS.
Earlier filings 1
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.