Kraton Stock Price, News & Analysis

Kraton Corporation (NYSE: KRA) has amended its senior secured asset-based revolving credit facility, extending the maturity from January 2023 to December 2025. The amendment increases the aggregate commitment by $50 million to a total of $300 million. Key improvements include a 50 basis point reduction in the borrowing margin and a 75 basis point decrease in the floor rate on borrowed amounts. Additionally, the amendment lowers the unused line fee by 12.5 basis points. This enhanced liquidity positions Kraton for greater financial flexibility.

Kraton Corporation (NYSE: KRA) announced a global price increase of up to 10% for Tall Oil Fatty Acids (TOFA), effective January 1, 2021. The decision is subject to applicable contract terms. Kraton is a leading producer of specialty polymers and high-value biobased products, utilizing pine wood pulping co-products. Their products serve various markets, including adhesives, coatings, and personal care, with a diverse customer base in over 70 countries.

Kraton Corporation (NYSE: KRA) reported significant financial results for Q3 2020, highlighting a consolidated net loss of $402.6 million, compared to a net income of $20.9 million in Q3 2019. The loss includes a non-cash goodwill impairment charge of $400 million within the Chemical segment. Despite a 24.7% drop in Adjusted EBITDA to $60.3 million, the Polymer segment showed improved sales volume, particularly in Asia, and an 18.7% rise in overall sales volume. The company reduced consolidated debt by $75.5 million during the quarter, reflecting ongoing cost discipline efforts.

Kraton Corporation (NYSE: KRA) has launched the Ellamera brand, focusing on health and beauty applications. This new product line includes hydrogenated styrene/isoprene and styrene/butadiene copolymers that enable the transformation of oil-based cosmetic ingredients into high-performance formulations. The launch will be complemented by an informational webinar on Nov. 10, 2020, to discuss product features and processing guidelines. Ellamera aims to provide customized solutions, enhancing sensory experiences in cosmetic products while reducing ingredient complexity.

Kraton Corporation (NYSE: KRA) will announce its third quarter 2020 financial and operational results on October 28, 2020, after market close, followed by a conference call on October 29th at 8:00 a.m. CT. The call will be accessible via internet and telephone. Key executives, including CEO Kevin M. Fogarty and CFO Atanas H. Atanasov, will participate in the discussion. A replay of the call will be available until November 12, 2020.

Kraton Corporation (NYSE: KRA) announced plans to expand production capacity for SBS polymer grades while focusing on sustainability. The company aims to reduce the carbon footprint by increasing raw material efficiency and utilizing bio-based materials. Recent lab successes in developing low-dosage SBS grades for bitumen modification have encouraged field trials with customers. Kraton has also facilitated sustainable paving efforts in Sweden by partnering with Skanska AB. Since 2016, Kraton has invested in expanding SBS production by 20 kilotons in Europe and North America, with additional 40 kilotons anticipated to meet future demand.

Kraton Corporation (NYSE: KRA) is pursuing regulatory approval for its novel sulfonated polymer technology, BIAXAM, which claims to disinfect surfaces by inactivating 99.99% of SARS-CoV-2 and other pathogens. Developed as part of its polymer product line, BIAXAM aims for EPA approval and potential applications on PPE and high-contact surfaces. Tested in BSL-4 laboratories, the technology is patent-pending and could address the urgent need for long-lasting disinfectants. Kraton is also exploring partnerships for its commercial launch.

Kraton Corporation (NYSE: KRA) will participate in the Jefferies Virtual Industrials Conference on August 5, 2020. Key participants include Kevin M. Fogarty, CEO; Atanas H. Atanasov, CFO; and H. Gene Shiels, Director of Investor Relations. The materials presented during the conference will be accessible online, providing insights into Kraton's specialty polymers and biobased products derived from pine wood. Kraton is recognized as the largest provider in the pine chemicals sector, servicing diverse applications globally.

Kraton Corporation (NYSE: KRA) reported its Q2 2020 financial results, showing a consolidated net loss of $7.1 million, down from a profit of $43.4 million in Q2 2019. Adjusted EBITDA fell 31.9% to $69.5 million. The Polymer segment's operating income dropped 52.1% to $16.8 million, while the Chemical segment reported an operating loss of $3.9 million. Revenue decreased to $355.7 million from $495.3 million year-over-year, impacted by COVID-19. The company maintained strong liquidity with $137.4 million in cash and $208.4 million available borrowing. Kraton continues to focus on debt reduction and operational efficiencies.