Solvay SA (Euronext: SOLB, reference 0NZR), the Belgian speciality chemicals group with around 8,400 employees and €4.3 billion in 2025 underlying net sales, reported third-quarter 2026 underlying net sales of €1,031 million, down 3.3% organically year-on-year. Underlying EBITDA fell to €173 million, a 26.6% organic decline, driven by the temporary suspension of its Peroxides plant at the Sadara complex in Jubail, Saudi Arabia. The company simultaneously announced a long-term feedstock supply agreement with Viridis to secure its rare earths business and confirmed an interim dividend of €0.97 gross per share, payable on 20 January 2027.

Key Points

  • Solvay SA (Euronext Brussels and Paris: SOLB; reference 0NZR), a Belgian chemicals group founded in 1863
  • Q3 2026 underlying EBITDA fell 26.6% organically to €173 million, with a margin of 16.8%, impacted by approximately €25 million from the Middle East conflict
  • Full-year 2026 underlying EBITDA guidance set at €720 million–€740 million; Free Cash Flow guidance of €120 million–€150 million net of transformation expenses
  • Investors will be watching progress of OneIM joint venture discussions and the restart timeline for the Jubail Peroxides plant

Jubail Peroxides Plant Suspension Cuts Q3 2026 EBITDA by Approximately €25 Million

The continued shutdown of Solvay's Peroxides plant at the Sadara complex in Jubail, Saudi Arabia, accounted for close to €15 million of EBITDA impact in Q3 2026 alone, with the total Middle East conflict effect reaching approximately €25 million in the quarter. Solvay operates at Jubail through a joint venture with Sadara, itself majority-owned by Saudi Aramco. The company states it is exploring all available avenues to mitigate the financial impact, noting that the joint venture's contractual framework includes mechanisms designed to recover lost profitability. Underlying net profit from continuing operations fell to €35 million in Q3 2026 from €90 million in Q3 2025.

Viridis Supply Agreement and OneIM Discussions Shape Solvay's Rare Earths Growth Plans

Solvay signed a long-term feedstock supply agreement with Viridis, securing strategic rare earth feedstock beginning in 2028 and strengthening integration across its future rare earths supply chain. The company's rare earths separation facility is located in La Rochelle, France. Separately, discussions with OneIM, a global investment fund focused on critical minerals, continue to progress. Under the scenario under consideration, Solvay would contribute its rare earths activities to a newly formed joint venture while retaining a significant minority ownership interest; the perimeter generates approximately €80 million of underlying EBITDA annually. No definitive agreement has been reached, and the announcement states no assurance exists that discussions will conclude successfully.

Structural Cost Savings Reach €283 Million with €300 Million Target in Sight by End of 2026

Solvay's structural cost savings programme delivered a further €25 million in Q3 2026, bringing cumulative savings since the programme's inception to €283 million. The company remains on track to achieve its stated target of €300 million by the end of 2026. Capital expenditure for the first nine months of 2026 reached €203 million, with full-year capex guided below €300 million, including €15–20 million of strategic investment to expand rare earth separation capacity at La Rochelle. Free cash flow for the nine months to September 2026 amounted to €70 million, with underlying net debt standing at €1.8 billion and a leverage ratio of 2.4 times at end of September 2026.

Solvay Holds Interim Dividend Stable at €0.97 Per Share Despite Lower Profitability

The Board of Directors approved an interim gross dividend of €0.97 per share, representing 40% of the 2025 total dividend of €2.43 per share and described as consistent with Solvay's dividend policy and historical practices. The ex-date is 18 January 2027, with payment on 20 January 2027. Investors will be watching whether the challenged operating environment — particularly any prolonged shutdown at Jubail — places pressure on the company's full-year free cash flow guidance of €120 million to €150 million, against which the dividend commitment and approximately €90 million of transformation expenses must be considered. Full-year 2026 results are scheduled for release on 4 March 2027.