BRAZIL · COMPANY NEWS
Braskem, which calls itself the largest resin producer in the Americas, posted a third-quarter 2026 net loss attributable to shareholders of R$1.07 billion (Brazilian reais; about US$189 million), reversing a profit in the second. The Brazilian chemicals group, whose depositary receipts, US-traded certificates for its shares, trade on the New York Stock Exchange under the ticker BAK, published the results on Thursday 12 November while it negotiates a debt restructuring with creditors.
Key Facts
- Result Net loss to shareholders of R$1.07 billion (US$189 million); a year earlier R$26 million (US$5 million).
- Earnings Recurring EBITDA, operating cash profit excluding one-offs, fell 63% on the quarter to R$1.96 billion (US$347 million).
- Debt Leverage, debt relative to earnings, was 6.36 times; adjusted net debt is US$9.9 billion.
- Next Creditors must back an out-of-court restructuring plan; the clock is reported to run out around 22 November.
- Power Index Brazil ranks 1st of 14 in The Rio Times Latin America Power Index, with 74.2 points (November 2026 edition).
A swing from a R$3.33 billion (US$589 million) profit in the second quarter to a loss shows how fast plastics margins fell back, just as creditors weigh Braskem’s restructuring plan.
What Braskem Reported
Braskem said the loss came mainly from lower gross profit, because chemical and petrochemical spreads, the gap between product prices and raw material costs, narrowed. The company wrote that spreads returned to levels closer to those seen before the geopolitical tensions in the Middle East.
Recurring EBITDA was R$1.96 billion (about US$347 million), down 63% from the second quarter, which Braskem described as a peak for spreads. Net revenue was R$19.58 billion (about US$3.46 billion), 13% above the R$17.30 billion (about US$3.06 billion) of a year earlier.
The net financial result, interest and other financing costs net of income, was a loss of about R$1.61 billion (about US$284 million), including exchange and derivative losses. Conversions use about R$5.65 per US$, the spot rate on 13 November 2026; Braskem’s own release gives the loss as US$206 million and EBITDA as US$382 million at its own quarterly rates.
In Plain English
- EBITDA is earnings before interest, tax, depreciation and amortisation, a rough measure of operating cash profit.
- Spread is the gap between what Braskem sells plastics for and what its raw materials cost.
- Leverage compares debt with earnings; 6.36 times means debt equal to more than six years of EBITDA.
- Resins are the plastics (polyethylene, polypropylene, PVC) that Braskem makes.
- Out-of-court restructuring is a debt deal agreed with creditors and then approved by a court, instead of a full bankruptcy.
- R$ is the symbol of the Brazilian real, the national currency.
Cash Flow and Debt
Operating cash generation was R$2.2 billion (about US$389 million), helped mainly by working capital, the money tied up in day-to-day operations, including about R$1.6 billion (about US$283 million) of trade credit for raw materials supplied by Petrobras, the Brazilian oil company. Cash generation before debt payments was R$2.0 billion (about US$354 million) after spending on the geological event in Alagoas, the ground subsidence in Maceió that a 2019 report by the Geological Survey of Brazil linked to Braskem’s rock salt mining.
Adjusted net debt stood at US$9.9 billion, up 5% on the previous quarter, partly because US$424 million of letters of credit, bank guarantees used in trade, moved from supplier accounts into borrowings. Corporate gross debt was US$10.9 billion on 30 September, and leverage was 6.36 times.
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Where the Debt Talks Stand
Braskem filed an out-of-court restructuring plan in a São Paulo court on 24 August, and the plan needs the consent of creditors holding more than half of the claims it covers, and the 90-day clock that started on 24 August runs out around Sunday 22 November. In a notice to the market on 10 November the company said it keeps trading indicative, non-binding proposals with creditors and will weigh measures if no deal is reached.
Braskem’s quarterly accounts, reviewed by the auditor Deloitte, say it was not in compliance with certain terms of its bonds, debentures and loans. As a result R$52.4 billion (about US$9.27 billion) of borrowings and debentures is now listed as due within a year.
Braskem did not make the payment due on 9 November on its R$1.2 billion (about US$212 million) issue of debentures, a type of corporate bond, and says a court stay, an order pausing creditor claims, covers the non-payment. Our report on the creditor talks and the Braskem company profile give the background.
What It Means for You
For holders of Braskem’s New York-listed receipts, the quarter shows how quickly earnings follow plastics prices at a company whose debt is 6.36 times its earnings. Each receipt represents two class A preferred shares, which carry dividend priority but limited voting rights.
Braskem reported higher resin sales in Brazil and higher exports in the quarter, a sign it is chasing market share while margins shrink. The company says this partly offset the weaker spreads.
What Is Not Known
Braskem has not said whether creditors have agreed on the restructuring terms, and the clock is reported to run out around 22 November. The market reaction to the results was not yet known when this article was published.
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Frequently Asked Questions
How much did Braskem lose in the third quarter of 2026?
Braskem lost R$1.07 billion (about US$189 million) attributable to shareholders, against a R$26 million (US$5 million) loss a year earlier. In the second quarter it earned R$3.33 billion (about US$589 million).
Why did Braskem’s earnings fall?
Braskem says chemical and petrochemical spreads returned to levels seen before the Middle East tensions. Recurring EBITDA fell 63% from the second quarter to R$1.96 billion (about US$347 million).
Is Braskem listed in the United States?
Yes, its American depositary receipts trade on the New York Stock Exchange under the ticker BAK. Each receipt represents two class A preferred shares, and the shares also trade on B3, Brazil’s stock exchange in São Paulo.
What is Braskem’s out-of-court restructuring?
It is a process in which a company agrees new debt terms with creditors holding more than half of the covered claims, then asks a court to make them binding on all. Braskem is still negotiating the terms.
Sources: Braskem, Earnings Release 3Q26, dated 12 November 2026 and filed with the US securities regulator on 13 November; Braskem, notice to the market, 10 November 2026; Braskem, quarterly financial information to 30 September 2026, reviewed by Deloitte, 12 November 2026; Braskem, notice to the market, 11 November 2026.
This article was produced by The Rio Times’ automated AI newsroom. Editorial responsibility: Matthias Camenzind, Publisher and Editor-in-Chief. The Rio Times also runs Ask Rio Times, which answers from 100,000+ of our own articles, the daily Latin America Power Map, and prediction-market odds on elections and markets.. How we use AI · Report an error
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