Cuộc họp công bố kết quả kinh doanh Q3 2026 của Stepan Company (SCL): EBITDA tăng 18%, sản lượng tăng 7%

Điểm tin chính

• Stepan Company đã báo cáo EBITDA điều chỉnh quý 3/2026 đạt 66,3 triệu USD, tăng 18% so với cùng kỳ năm ngoái, nhờ tăng trưởng sản lượng tự thân, sự phục hồi biên lợi nhuận và khoản tiết kiệm từ Dự án Catalyst đã bù đắp cho chi phí doanh nghiệp gia tăng.
• Lợi nhuận ròng điều chỉnh tăng 98% lên 21,7 triệu USD, trong khi EPS pha loãng điều chỉnh tăng lên 0,94 USD từ mức 0,48 USD. EPS pha loãng theo báo cáo đạt 0,78 USD so với 0,47 USD của cùng kỳ năm trước.
• Sản lượng tự thân tăng 7% trên cả ba phân khúc. Mảng Chất hoạt động bề mặt tăng 8%, Polymer tăng 3% và Sản phẩm Chuyên dụng tăng 20%.
• Mảng Chất hoạt động bề mặt dẫn đầu đà tăng trưởng lợi nhuận với EBITDA điều chỉnh tăng 27% lên 48 triệu USD. Các biện pháp điều chỉnh giá và cơ chế chuyển giao chi phí theo hợp đồng đã bù đắp cho chi phí nguyên vật liệu đầu vào gia tăng.
• Dòng tiền tự do đạt 8 triệu USD sau khi trừ 21 triệu USD chi phí vốn và 32 triệu USD bổ sung vốn lưu động. Tỷ lệ đòn bẩy ròng cải thiện xuống 2,4 lần từ mức 2,7 lần của một năm trước.
• Ban quản lý dự kiến EBITDA điều chỉnh cả năm 2026 sẽ tăng trưởng, dòng tiền tự do dương và tiếp tục giảm đòn bẩy tài chính. Công ty cũng kỳ vọng khoản tiết kiệm từ Dự án Catalyst sẽ đạt khoảng 66 triệu đến 70 triệu USD trong năm 2026, vượt mốc 60% mục tiêu ban đầu trong kế hoạch 100 triệu USD thời hạn 2 năm.

Dữ liệu Tài chính Trọng tâm

Kết quả báo cáo bao gồm khoản chi phí tái cấu trúc trước thuế 5,6 triệu USD, chủ yếu liên quan đến việc đóng cửa cơ sở Fieldsboro, New Jersey, thanh lý một số tài sản được chọn lọc và đợt cắt giảm nhân sự hưởng lương toàn cầu đã công bố vào tháng 7.

Kết quả Kinh doanh và Vận hành

Chất hoạt động bề mặt

Doanh thu thuần mảng Chất hoạt động bề mặt tăng 15% lên 487 triệu USD. Giá bán tăng 10%, sản lượng theo báo cáo tăng 3%, sản lượng tự thân tăng 8% và tác động tỷ giá bổ sung 2% vào doanh thu.

Tăng trưởng tự thân dẫn đầu nhờ mức tăng hai chữ số ở nhóm sản phẩm tiêu dùng, bao gồm chất tẩy rửa, cũng như thị trường Xây dựng & Công nghiệp và mỏ dầu. Nhu cầu sản phẩm năng suất cây trồng giảm đã bù trừ một phần cho các mức tăng này.

EBITDA điều chỉnh tăng 27% lên 48 triệu USD. Bắc Mỹ, Châu Á và Mỹ Latinh hưởng lợi từ tăng trưởng sản lượng tự thân, việc thực thi chính sách giá và sự phục hồi biên lợi nhuận. Châu Âu giảm nhẹ do nhu cầu sản phẩm năng suất cây trồng suy yếu vượt quá đà tăng trưởng của thị trường tiêu dùng.

Polymer

Doanh thu thuần mảng Polymer tăng 24% lên 179 triệu USD. Giá bán tăng 22%, chủ yếu phản ánh việc chuyển giao chi phí nguyên liệu đầu vào cao hơn, trong khi sản lượng tăng 3%.

Sản lượng tại Bắc Mỹ tăng trưởng ở mức hai chữ số, được hỗ trợ bởi polyol cứng, Anhydrit Phthalic và đà tăng trưởng tiếp diễn của bọt phun xốp (spray foam). Nhu cầu yếu hơn ở Châu Âu và Châu Á đã làm giảm bớt đà tăng này.

EBITDA điều chỉnh tăng 4% lên 23 triệu USD. EBITDA thị trường Bắc Mỹ tăng 3 triệu USD, trong khi Châu Âu giảm 2 triệu USD, chủ yếu do đợt bảo trì định kỳ theo quy định tại cơ sở Đức. Châu Á giảm nhẹ trong bối cảnh nhu cầu polyol chuyên dụng tại Trung Quốc suy yếu.

Sản phẩm Chuyên dụng

Doanh thu thuần mảng Sản phẩm Chuyên dụng tăng 12% lên 27 triệu USD, trong khi sản lượng tăng 20%. EBITDA điều chỉnh tăng 5% lên 11,7 triệu USD, nhờ sản lượng MCT cao hơn và bị bù trừ một phần bởi cơ cấu sản phẩm kém thuận lợi hơn.

Ban quản lý cho biết danh mục sản phẩm MCT mở rộng của họ phục vụ thêm các phân khúc thị trường và mức giá mới. Công ty hiện có sẵn công suất và dự định tiếp tục tăng hiệu suất sử dụng lò phản ứng ở mức tỷ suất lợi nhuận được xem là phù hợp.

Dòng tiền, Phân bổ Vốn và Vận hành

Dòng tiền từ hoạt động kinh doanh trước thay đổi vốn lưu động đạt 49 triệu USD. Dòng tiền tự do đạt 8 triệu USD phản ánh khoản bổ sung vốn lưu động 32 triệu USD do doanh thu mạnh hơn và chi phí nguyên liệu cao hơn, cùng với 6 triệu USD chi trả bằng tiền mặt liên quan đến tái cấu trúc.

Stepan đã chi trả 9 triệu USD tiền cổ tức và tăng cổ tức hàng quý thêm 0,01 USD mỗi cổ phiếu, tương đương 2,5%, đánh dấu năm tăng cổ tức hàng năm thứ 59 liên tiếp.

Vào tháng 10, công ty đã hoàn tất việc bán đất trị giá 28,5 triệu USD gần cơ sở Millsdale. Ban quản lý cho biết số tiền thu được sẽ được sử dụng để giảm nợ trong tháng 11.

Cơ sở Pasadena, Texas đang hoạt động với công suất khoảng 75% đến 80%. Ban quản lý cho biết cơ sở này đã mang lại khoản tiết kiệm chi phí gia công (tolling) vượt kỳ vọng trong năm 2026 và tiếp tục đóng vai trò quan trọng đối với sự tăng trưởng alkoxylate chuyên dụng trong tương lai.

Dự báo của Ban quản lý

Ban quản lý dự kiến Stepan sẽ đạt được mức tăng trưởng EBITDA điều chỉnh cả năm 2026, dòng tiền tự do dương và tiếp tục giảm đòn bẩy trên bảng cân đối kế toán.

Tốc độ tiết kiệm hàng quý của Dự án Catalyst đã đạt khoảng 23 triệu USD trong quý 3. Công ty hiện dự báo khoản tiết kiệm năm 2026 đạt khoảng 66 triệu đến 70 triệu USD, vượt mốc 60% trước đó hướng tới mục tiêu tiết kiệm trước thuế 100 triệu USD trong thời hạn hai năm.

Đối với năm 2027, ban quản lý dự kiến mức tiết kiệm trung bình hàng quý của Dự án Catalyst sẽ vượt 25 triệu USD. Khoản tiết kiệm dự kiến sẽ thấp hơn một chút so với mức đó trong nửa đầu năm và cao hơn trong nửa cuối năm khi sản lượng tại Pasadena tăng tốc và các dự án bổ sung được triển khai.

Ban quản lý dự kiến tăng trưởng sản lượng tự thân quý 4 sẽ giảm tốc so với mức 6% của quý 2 và 7% của quý 3. Dù vậy, ban quản lý nhận định mức tăng trưởng tự thân 4% đạt được trong 9 tháng đầu năm là tích cực so với các thị trường đầu ra của công ty.

Rủi ro và Các yếu tố Cần theo dõi

• Biến động giá dầu và nguyên liệu đầu vào vẫn ở mức cao, bao gồm cả sự gián đoạn liên quan đến xung đột Trung Đông. Ban quản lý cho biết phần lớn các điều chỉnh giá đã hoàn tất dựa trên giả định điều kiện giá dầu quý 3, nhưng vẫn còn một số hành động bổ sung tiếp theo.
• Công ty dự kiến chi phí bảo dưỡng và sửa chữa định kỳ Anhydrit Phthalic tại Mỹ sẽ ảnh hưởng đến quý 4, sau khi đợt bảo trì tại Đức đã tạo ra trở lực hơn 2 triệu USD đối với mảng Polymer trong quý 3.
• Châu Âu và Trung Quốc vẫn tiếp tục suy yếu đối với mảng Polymer do nhu cầu yếu từ ngành xây dựng, ô tô và các thị trường đầu ra diện rộng.
• Nhu cầu sản phẩm năng suất cây trồng giảm trong quý 3, trong khi ban quản lý thừa nhận điều kiện ngành nông nghiệp đang gặp khó khăn và chịu áp lực từ giá phân bón.
• Vốn lưu động đã hấp thụ 32 triệu USD trong quý 3 khi doanh thu và chi phí nguyên liệu đầu vào tăng.
• Lạm phát thông thường từ 2% đến 3% trên quy mô chi phí cố định khoảng 800 triệu USD của Stepan có thể làm giảm bớt một phần khoản tiết kiệm từ Dự án Catalyst.

Nội dung Nổi bật trong Phần Hỏi & Đáp với Chuyên gia Phân tích

Định giá và biên lợi nhuận: Ban quản lý cho biết biên EBITDA điều chỉnh từ đầu năm đến nay của mảng Chất hoạt động bề mặt đạt mức hai chữ số, trong khi mảng Polymer duy trì khoảng 13% đến 15%. Hầu hết các biện pháp điều chỉnh giá đã được thực hiện, mặc dù triển vọng vẫn phụ thuộc vào biến động giá dầu và nguyên liệu đầu vào.

Mô hình kết quả kinh doanh theo quý: Ban quản lý cho rằng nên xem xét kết quả quý 2 và quý 3 cùng nhau. Quý 2 được hưởng lợi từ hàng tồn kho chi phí thấp hơn, trong khi quý 3 phản ánh chi phí hàng tồn kho đã chuẩn hóa và cơ cấu bán hàng khác biệt. Tổng EBITDA điều chỉnh gộp của hai quý đạt khoảng 140 triệu USD.

Tăng trưởng khách hàng và thị phần: Stepan đã có thêm hơn 300 khách hàng mới từ đầu năm đến nay và cung cấp gần 900 sự kết hợp sản phẩm - khách hàng mới. Tệp khách hàng Tầng 2 và Tầng 3 của công ty tăng trưởng ở mức hai chữ số, bổ sung cho hoạt động kinh doanh tiếp diễn với các khách hàng đa quốc gia Tầng 1.

Tính bền vững theo khu vực: Ban quản lý đánh giá phần lớn sự cải thiện tại Mỹ Latinh mang tính bền vững, dẫn chứng về cơ sở sản xuất của Stepan tại Mexico, Colombia và Brazil. Công ty cũng lưu ý rằng Mexico chịu ảnh hưởng từ hàng nhập khẩu Châu Á nhiều hơn so với Brazil.

Nhu cầu dài hạn tại Châu Âu: Mặc dù nhu cầu Polymer hiện tại vẫn yếu, ban quản lý tin rằng các khoản đầu tư vào hiệu quả năng lượng công trình có thể giải phóng nhu cầu dồn nén tại Châu Âu trong 3 đến 5 năm tới.

Toàn văn Biên bản Cuộc họp Báo cáo Kết quả Kinh doanh

Toàn văn cuộc gọi công bố kết quả kinh doanh

Phần trình bày của ban lãnh đạo

Operator

Good morning and welcome to the Stepan Company Third Quarter 2026 Earnings Conference Call. [Operator Instructions] As a reminder, this call is being recorded on Wednesday, October 28, 2026. It is now my pleasure to turn the call over to Mr. Ruben Velasquez, Senior Vice President and Chief Financial Officer of Stepan Company. Mr. Velasquez, please go ahead.

Ruben Velasquez

Thanks, Sherry. Good morning, and thank you for joining Stepan Company's Third Quarter 2026 Financial Review. Before we begin, please note that information in this conference call contains forward-looking statements, which are not historical facts. These statements involve risks and uncertainties that could cause actual results to differ materially, including, but not limited to, prospects for our foreign operations, global and regional economic conditions and factors detailed in our Securities and Exchange Commission filings. In addition, this conference call will include discussions of adjusted net income, adjusted EBITDA, free cash flow, net debt and leverage-related metrics, which are non-GAAP measures. We provide reconciliations to the comparable GAAP measures in the earnings presentation and press release, which we have made available at www.stepan.com under the Investors section of our website.

Whether you are joining us online or over the phone, we encourage you to review the investor slide presentation. We make these slides available at approximately the same time as when the earnings release is issued, and we hope that you find information and perspectives helpful. With that, I would like to turn the call over to Mr. Luis Rojo, our President and Chief Executive Officer.

Luis Rojo

Thank you, Ruben. Good morning, and thank you all for joining us today to discuss our third quarter 2026 results. I will share the highlights of the quarter and an update on our key strategic priorities, while Ruben will take you through the financial details. Before reviewing the quarter, I want to recognize our teams around the world for their commitment to safety. Safety remains our top priority and the foundation of everything we do at Stepan. Our safety performance over the last 12 months remained strong. The third quarter was another quarter of earnings growth for Stepan. The 3 segments delivered organic volume growth and increased earnings versus the prior year.

Adjusted EBITDA was $66 million, up 18% versus the prior year, driven by global volume growth, margin recovery and Project Catalyst savings. Surfactant adjusted EBITDA was up 27%. Polymers grew single digits, including onetime maintenance turnaround costs at our Germany site. And Specialty Products grew EBITDA single digits, driven by double-digit volume growth. On a consolidated basis, adjusted earnings per diluted share were $0.94, nearly double the prior year. Now I want to highlight a few elements of our third quarter performance. First, volume growth. Organic volume grew 7% with growth in all 3 segments. Surfactant organic volume was up 8%, and the growth was broad-based across most of the end markets. Polymers volume was up 3% with North America growing strong double digits.

And Specialty Products delivered 20% volume growth behind a strong innovation plan in our MCT product line. We are pleased with the growth we achieved in several of our key strategic end markets despite ongoing global economic uncertainties and supply chain disruptions. Second, margin recovery and pricing discipline. Raw material cost continues to increase in a volatile environment, including the disruption related to the Middle East conflict. Our pricing actions, together with our disciplined execution of our contractual pass-through mechanism offset those higher costs. Third, productivity and cost out. Project Catalyst continues to deliver savings, and we are now projecting to exceed the 60% target for 2026. Finally, we remain focused on cash generation and balance sheet deleveraging. Our net leverage improved to 2.4x. Free cash flow was positive at $8 million despite a further investment in working capital.

In October, we closed the sale of a parcel of land near our Millsdale site for $28.5 million. The full cash proceeds will be used to pay down debt and continue to deleverage the balance sheet in November. Through the first 9 months of the year, adjusted EBITDA is up 15% and adjusted earnings per share are up 40% versus the prior year. We remain committed to a balanced approach to capital allocation. During the quarter, we continued to invest in working capital. We executed our capital plan across our site, and we paid $9 million in dividends. Finally, we increased our quarterly dividend by $0.01 per share or 2.5%, marking the 59th consecutive year that Stepan has increased its dividend. With that, I will turn the call back to Ruben to walk you through the financial details for the quarter.

Ruben Velasquez

Thank you, Luis. As shared in our third quarter 2026 earnings release, reported net income was $17.8 million or $0.78 per diluted share, up 64% versus $10.8 million or $0.47 per diluted share in the prior year. Reported results include a $5.6 million pretax restructuring charge largely related to the previously announced close of our Fieldsboro, New Jersey site, the decommissioning of select assets at our Millsdale, Illinois and the Stalybridge, United Kingdom facilities and the global salaried workforce reduction we announced in July. Let's move to Slide 6, which shows the adjusted net income bridge for the third quarter of 2026 versus the third quarter of last year. Adjusted net income was $21.7 million or $0.94 per diluted share, up 98% versus $10.9 million or $0.48 per diluted share in the prior year.

The increase in adjusted net income was primarily due to higher surfactant earnings with additional contributions from polymers and specialty products, partially offset by higher corporate expenses and a higher tax provision on the stronger earnings. Adjusted corporate expenses increased by $1 million or 6%, primarily due to higher incentive-based compensation associated with the improved operating performance. Slide 7 shows the total company adjusted EBITDA bridge. Adjusted EBITDA was $66.3 million, up $10.1 million or 18% versus the prior year. This increase was primarily due to higher surfactant earnings driven by sales volume growth and margin recovery with Polymers and Specialty Products also up, partially offset by $1.6 million of higher corporate expenses, reflecting higher incentive-based compensation.

I will now cover each segment in more detail. Turning to Surfactants on Slide 8. Net sales were $487 million, up 15% versus the prior year. Selling prices were up 10%, primarily due to the pass-through of higher raw material costs and targeted pricing actions. Reported volume grew 3% and organic volume increased 8%. Foreign currency translation positively impacted net sales by 2%. The organic growth was led by double-digit increases in consumer products, including laundry, Construction & Industrial and oilfield end markets, partially offset by lower crop productivity demand. Surfactants adjusted EBITDA was $48 million, up $10 million or 27% versus the prior year. North America and Asia earnings improved on organic volume growth in Consumer Products, oilfield and Construction & Industrial, together with margin recovery.

Latin America earnings increased on double-digit organic volume growth, pricing execution and margin recovery. Europe was modestly lower as reduced crop productivity demand more than offset growth in our consumer end markets. Moving to Polymers on Slide 9. Net sales were $179 million, a 24% increase versus the prior year. Selling prices were up 22%, primarily due to the pass-through of higher raw material costs. Sales volume increased 3% in the quarter. North American volume was up double digits, driven by rigid polyols and Phthalic Anhydride, including continued significant growth in our spray foam product line. This growth was partially offset by softer demand in Europe and Asia. Foreign currency translation negatively impacted net sales by 1%. Polymer adjusted EBITDA was $23 million, up 4% versus the prior year as North America's strong volume growth in rigid polyol, spray foam and Phthalic Anhydride more than offset the 5-year regulatory mandated maintenance turnaround costs at the company's Germany site, lower rigid polyol volume in Europe and softer demand in China.

North America EBITDA was up $3 million on volume growth and margin improvement. Europe was down $2 million, primarily due to the maintenance turnaround at our Germany site. Asia was slightly lower on softer demand for specialty polyols in China, partially offset by improved rigid polyol margins. Specialty Products net sales were $27 million, a 12% increase versus the prior year and volume increased 20%. Adjusted EBITDA was $11.7 million, up 5% versus the prior year, primarily due to higher volume in the MCT product line, partially offset by less favorable product mix. Now turning to cash flow and the balance sheet on Slide 10. Cash flow from operations before working capital was $49 million in the third quarter, while free cash flow was $8 million after $21 million of capital expenditures. Free cash flow reflected a $32 million working capital build from accounts receivables, account payables and inventories, driven by stronger sales and higher raw material costs.

Free cash flow included $6 million of restructuring-related cash payments. We ended the quarter with net debt of $536 million. Our net leverage ratio improved to 2.4x from 2.7x a year ago, reflecting continued progress in deleveraging. Improving cash flow and further strengthening the balance sheet remain key priorities across the organization. Moving to Slide 15 and Project Catalyst. Through September, we have recognized $76 million of pretax restructuring charges. The year-to-date cash impact of restructuring is $13 million. Project Catalyst continues to deliver savings in line with our plan. The savings run rate increased to approximately $23 million in the third quarter. These savings were partially offset by inflationary pressures on operating expenses. For 2026, we expect to exceed the 60%, 2-year $100 million pretax savings target. With that, I will turn the call back to Luis for an update on our strategic priorities and Project Catalyst.

Luis Rojo

Thanks, Ruben. Our strategy continues to be anchored in 4 pillars: First, customer-centric innovation to drive top line growth, diversification of our markets and customers with a focus on higher growth end markets and Tier 2 and Tier 3 accounts. Third, operational excellence, including the reliability and resiliency of our manufacturing network and supply chain; and fourth, financial strength through the free cash flow generation, deleveraging the balance sheet and disciplined capital allocation. We continue to make progress against these priorities during the quarter. Surfactants showed consistent and broad-based growth in the third quarter. Year-to-date, we have more than 300 new customers, and we have delivered nearly 900 new customer and product combination in this business with our global Tier 2 and Tier 3 customer base growing double digits.

Additionally, we delivered a strong double-digit growth in North America polymers and our MCT product line. We delivered this growth while continuing to recover margin in an inflationary raw material environment, which reflects disciplined commercial execution. The Middle East conflict has added volatility to fixed costs and supply chains, and we believe we are well positioned to manage that disruption. Our regional manufacturing footprint keeps production close to our customers with a particular advantage in the United States. Our dual petrochemical and oleochemical raw material streams give us flexibility on feedstock management and maximize customer supply. Finally, we continue to improve the reliability and resiliency of our manufacturing network.

Our flagship Millsdale site had a great quarter in terms of production volumes and improving all key operating metrics. Our Pasadena, Texas site continues to ramp up production and deliver the expected supply chain savings embedded in Project Catalyst. Pasadena remains a critical enabler for strategic future growth in specialty alkoxylates. Let's move to Slide 12 for an update on Project Catalyst. As a reminder, Project Catalyst is our comprehensive plan to further optimize our asset base and create a more productive and agile organization to enable balanced growth. We're executing the program safely and in line with expectations. Third quarter run rate savings was approximately $23 million, and we have identified actions that we believe will enable us to exceed the $25 million per quarter goal on average during 2027. We executed the organizational redesign phase of Project Catalyst during the third quarter.

This new organization design is a key enabler for us to deliver our balanced growth strategy, which is focused on top line growth, margin recovery and disciplined cost-out initiatives. To conclude, we believe we are positioned to continue delivering growth in our businesses. Despite the ongoing and significant market uncertainties and challenges, the organization continues to be focused on executing our growth opportunities, productivity plans and cash intervention. With these actions and our strong results through the first 9 months of the year, we believe we will deliver full year adjusted EBITDA growth, positive free cash flow and continued deleveraging of the balance sheet in 2026. This concludes our prepared remarks. At this time, we would like to turn the call over for questions. Sherry, please review the instructions for the questions portions of today's call.

Operator

[Operator Instructions] And our first question will come from the line of Mike Harrison with Seaport Research Partners.

Phần hỏi đáp

Michael Harrison

So really good to see all the pricing that you guys are getting across the 3 segments. I think we're trying to understand a little bit better the margin impact that you're seeing from raw material inflation and how much pricing is offsetting you across the 3 segments. Maybe help us understand where the margin pressure is still a factor from inflation? And should we see further pricing catch-up in Q4? Or maybe when do you neutralize the impact of some of the higher raw material costs that you're seeing?

Luis Rojo

Great question, Mike. And what I will say is this continues to be a very volatile environment when you think about oil prices and raw materials. I think we did a pretty good job in Q2 and Q3. I don't want to focus too much in quarterly numbers. But when you think about on a year-to-date basis and you look at our margins and you see surfactants double-digit margins, I mean, EBITDA margins, you see polymers in the 13% to 15% EBITDA margins. Those are healthy margins, and we will continue to work on productivity to make sure that we have the best value for our customers, right? So right now, with the current oil prices, we believe we are in a good position in several places. There are a few places where we are still making some price adjustments. But in general terms, I think the majority have been done. And again, this assumes the oil prices of Q3. We will see what happens in the next few weeks with the raw material environment.

But so far, I think the margins for the year are going in the right direction, and we are pleased with the work that our commercial team have done, not only to have decent margins, but to be able to grow our volumes 4%. 4% organic volume growth in the first 9 months is almost a record, right? I mean this is a significant amount of volume growth. And we want to make sure that we -- I have talked a lot about balanced growth. And again, I want to continue balancing volumes, margins and of course, cash, but we need to keep our reactors full, and that's what we are after.

Michael Harrison

All right. And then in terms of Project Catalyst, it sounds like the savings there are running ahead of plan for both 2026 and maybe the longer-term run rate into '27. I guess the way we were thinking about it is you'd get about $60 million worth of savings this year and then the incremental $40 million coming next year. But how should we think about Project Catalyst contribution to further earnings growth in '27 versus '26. Is $40 million still a good number? Or could it be higher or lower than that?

Luis Rojo

No. Look, good question, Mike. But as we said today, we are ahead of the 60% target for 2026. So we are -- instead of the $60 million, we are more in the $66 million to $70 million range. And we already are delivering $23 million run rate in the savings in Q3. We believe we can be ahead of the $25 million on average for 2027, right? So that means $2 million, $3 million more versus where we are today. Now that's going to be, again, on average for 2027, which means ahead of the $25 million in the second half, slightly below the $25 million in the first half as we continue ramping up production in Pasadena, as we continue implementing other projects that we have in the pipeline.

So that's the main component of the gradual savings increases in the next 4 to 5 quarters. And remember that we have been very clear that these are the savings from Project Catalyst. We also have the normal inflation in our P&L. You know that our fixed cost base is roughly $800 million. That's public information. And you can factor the normal 2%, 3% on the inflation piece on that base, and we will continue working on productivity, as I said before, to provide the best value that we can to our customers.

Michael Harrison

All right. Just a couple more for me. Apologies if I missed this earlier, but what was the impact of the maintenance costs in Germany in the Polymers business in Q3? And is that cost completely isolated to Q3? Or is there some carryover into Q4 or next year?

Ruben Velasquez

Yes, Mike. Effectively, as you mentioned, we have that turnaround in Europe in our Germany site. That's a turnaround that happens every 4 years. It's regulated, it's mandated. And the impact on the Polymers business for Q3 was $2 million plus driven by that maintenance.

Luis Rojo

Remember, Mike, that we talked last quarter that we had $4 million, $5 million of headwinds in turnaround maintenance costs, both Germany and the U.S. So Germany was more Q3. You will see the impact in Q4 in U.S. with all the maintenance and turnaround costs that we need to do in our PA facility. So it's coming in line as expected and as planned.

Michael Harrison

All right. And then last quarter, you had talked a little bit about some volume that you felt like was being pulled forward or some prebuying that might be happening. I think at the time you expected that maybe that was as much as a $10 million impact to EBITDA. Now that we're sitting here in October and maybe you have the numbers to fully understand how much impact you saw. Is there any way to help understand how much stronger Q2 was than what might have been normal and how much weaker, I guess, that made Q3? Any color on that would be helpful.

Luis Rojo

No, yes. I agree, Mike, that we talked about the $5 million to $10 million impact from Q3 to Q2 last call. I will say that some of that was expected on the volume side, but a lot of that was expected on the margin side as well, right? I mean we grew in Q2 6% volume, but the reality is that we grew with lower cost inventory in our tank. Now we're accelerating the growth actually to 7% with a different mix, with a different mix than we had in Q2 as well and with a normalized cost position in our tanks and our inventory. So what I will say is that I think the best way to look at Q2, Q3 will be averaging both.

When you think about the $75 million and the $66 million, there was some swing for sure, but delivering $140 million in those 2 quarters shows the discipline of our execution plan, shows a strong volume growth, which, let's be clear, when you think about 6% volume in Q2 and 7% volume in Q3, we are expecting a lower growth in Q4 for sure. When you think about the year, when you include also Q1, we're growing volumes 4% on an organic basis. That's still a very strong performance when these markets are basically not growing, right? These markets are 0% to 1% growth. So that 4% growth on volume is coming from a lot of new customers and share growth in the different end markets. So we're happy with a 4% volume growth. If we can continue that throughout the year, that will be an outstanding year of volume growth for Stepan Company.

Operator

One moment for our next question. And that will come from the line of Dave Storms with Stonegate.

David Storms

Luis, I actually wanted to go back to kind of what you just mentioned around margin growth coming from both new customers and share growth. I was hoping, given you mentioned approximately 340 new customers, 900 new combinations, can you help us understand how much of the margin growth came from new customers versus share growth?

Luis Rojo

No. Look, when you're growing volume 7%, of course, you have the benefit of reducing all the fixed cost and improving the margins this way. So again, we are seeing very strong performance in the surfactants business when you think about especially the Americas, you can do the math, right? On a year-to-date basis, our Surfactant business grew EBITDAR in all the regions. I mean, grew EBITDAR in North America, grew EBITDAR in Latin America, actually even grew EBITDAR very slightly, but grew EBITDAR in Europe. So the business -- the Surfactant business continues to be strong based on share growth, Tier 2, Tier 3 strength and actually a few very good quarters on the crop productivity business. Q3 was a little bit softer. But when you think about the year, crop productivity is still okay and still positive. So we feel good about the Surfactant business. And when you think about polymers, again, very strong performance in North America with a strong double-digit growth. The rigid business is strong, and we are growing a lot of share in spray foam and in PA. We have talked the PA business in the past. It's not secret. We are growing significantly in the PA business. So we feel good about how the margin profile is going vis-a-vis the leverage that you have when you are growing volumes 4% or 6% or 7%. Again, this is not related to one side of one customer or the others. I mean this is across the board.

David Storms

Understood. Appreciate that. You also -- in that answer, you mentioned North America polymers is growing strong, but Europe and Asia still remain weak on the polymer side. Any green shoots there? Any signs of improvements? Is that just a macro story? Anything we should keep an eye out for there?

Luis Rojo

Yes. No, totally right. I mean this is a macro story for Europe and China. It's not a secret how the chemical industry is doing and a lot of the end market demand are doing in Europe and in China, when you think about China, the car industry and a lot of our polymers products goes there as well, and that's not robust. And then, of course, all the challenges that we see in Europe with the overall demand and with the overall construction environment there. Now there is a lot of pent-up demand in Europe that we believe and our customers believe we can capture in the next 3 to 5 years.

There is plenty of work to be done to continue reducing energy consumption in Europe, which is the biggest issue there. And the building envelope can make a significant impact in reducing the energy consumption. So that's where we play, and we are happy to play in that industry, and we're happy to play and help the Europe region to reduce the energy consumption in the building. So we are all hopeful that the next 3 to 5 years, we will realize that pent-up demand.

David Storms

That's really great color. If I could ask one more, and it might be a quarter too early to ask this, but because you brought up crop productivity volumes decline in the quarter, when we're looking into the next couple of quarters with a developing El Nino, do you see any changes in customer purchase expectations as we start to get ready for the next 6 to 9 months on the ag side?

Luis Rojo

Great great question, Dave, because we are seeing -- I mean, and you guys are seeing a lot of struggle from some of the big ag companies. So it's not a secret. Now what I will tell you is that our team continues to do a great job in developing new products, new formulations to continue growing share with all our key multinational accounts in the ag business and also growing with the middle Tier 2, Tier 3 ag companies. We still have plenty of opportunities, right? When you think about tank mix adjuvant, this is a $1 billion market in the U.S. This is a $700 million market in Brazil. And we are still in the infant phase of developing our tank mix adjuvants and growing in that space. So I agree with you that the macros are not there for the overall ag industry and fertilizer prices and all of that. On the other hand, we will continue working on our innovation plan to continue growing in this space because it's a key strategic priority for a Stepan company to grow in crop productivity. We have the products, we have the team, we have the know-how, and we will continue executing.

Operator

One moment for our next question. And that will come from the line of Gowshi Sri with Singular Research.

Gowshihan Sriharan

Congratulations on a strong quarter. It's my first call covering Stepan.

Luis Rojo

Welcome Gowshi. Welcome to the team and happy to have you here.

Gowshihan Sriharan

On my first question is the double-digit growth in the consumer products. I know you alluded that there's some share gains. And I just want to make sure, are these share gains that you can hold to? Because I think in previous call, you alluded to the fact that some of the competitors were short on raw materials. Any comment or color on that?

Luis Rojo

Sure. We continue executing our Tier 2, Tier 3 strategy, Gowshi. So that works in the consumer space that works in many of our end markets, but it's working. It's working in -- especially in the Americas. And we will continue growing with our Tier 1 multinational companies. We have a strong plan there. We have been doing extremely good with our Tier 1 accounts. And on top of that, Tier 2, Tier 3 is coming up incremental. So that's the good news about how the strategy is playing out. Tier 1s represents a very important business for a Stepan company. We are doing extremely well with Tier 1s and Tier 2s and Tier 3s are coming on top, and we're happy to support them as they need formulation services and help on their products. So it's an AND strategy. We're working on both.

Gowshihan Sriharan

On the Specialty Products in the MCT, how sustainable do you see this MCT volume growth heading into next year? Was there any kind of order timing benefit in the segment this quarter?

Luis Rojo

Yes, yes. Remember that we have a pharma business that is very seasonal, and that's why you see the EBITDA or the operating income on Specialty Product this quarter because we ship a lot of the pharma business in Q3, and that was very similar to last year, right? That's why last year was also in the same level of $11 million of operating income in Q3. When I think about the MCT business, Jamil and the team in Maywood has done an extremely good job of expanding our offerings in MCT, and we have developed a new innovation program to go into different segments and different price tiers within the MCT business, not only on the top tier, but also on the mid-tier.

That's why the mix effect and the margin is a little bit different. But that is showing up on the results, and that is also filling up our reactors. And the reality is that this year, we had a lot of headwinds on the fatty acid pricing. When you think about raw materials for fatty acids, we had a lot of challenges there. That's why we are not growing even faster, which we could in this MCT business. So -- that's our plan for next year. And we will continue to filling up the reactors. We have extra capacity, and we want to deliver all the capacity that we have at margins that make sense.

Gowshihan Sriharan

And then a little bit of color on the Pasadena utilization. Where is it running today in terms of utilization? And what does getting into full utilization add to next year?

Luis Rojo

Good point. Look, we are in the -- we have talked this in the past. We are in the 75%, 80% range on utilization. And as we plan and as we plan next year, that's why I mentioned before that probably we will see more savings on tolling savings and things like that in the second half than the first half, as we continue ramping up production in Pasadena. Now when I say the 75%, 80%, of course, is very focused on the volume piece. We are very focused on maximizing Pasadena on the dollar front because at the end, every product is different. There are products that require 30 hours in a reactor and there are products that require way more or way less. And what we need to maximize is the dollar return from our Pasadena site, and that's what the team is working. We are delivering more savings than we thought on the tolling piece in 2026 from our Pasadena site. So we are happy with the development even at 75%, 80% capacity utilization.

Gowshihan Sriharan

And just I'll sneak in one last question. Latin America, I think you mentioned there was a competition that left. And so how exposed is Latin America to the Asian imports coming back? And how much of this year's recovery do you see it as structural?

Luis Rojo

Great point, Gowshi, great great point because for sure, Asia imports, especially in Mexico, Brazil is more protected. Brazil has a lot more restrictions. But in Mexico is where we see a lot of the imports from Asia. And you're rightly so that that having local production in the environment where we were in 2026 is a significant advantage for companies like Stepan. We need to continue making sure that we provide the right value for our customers in 2027, so we continue growing that business. We have an excellent footprint in Mexico, in Colombia, in Brazil. I want to give kudos to the other Jamil. We have 2 Jamil's in the company, but the other Jamil is in Brazil and the whole Brazil team for what they are delivering this year has been an outstanding performance from them. And we believe a lot of that is sustainable. So we will continue our plan to grow share to fill up our reactors at the right margins and continue to provide the right value to our customers in the Latin America region.

Gowshihan Sriharan

Congratulations, and i will talk to you later.

Operator

I'm showing no further questions in the queue at this time. I would now like to turn the call back over to Mr. Rojo for any closing remarks.

Luis Rojo

Thank you very much for joining us on today's call. We appreciate your interest and ownership in Stepan Company. Have a great and safe day.

Operator

This concludes today's program. Thank you all for participating. You may now disconnect.