OLIN Corp

We define segment results as income (loss) before interest expense, interest income, other operating income (expense), non-operating pension income, other income and income taxes, and includes the results of non-consolidated affiliates in segment results consistent with management’s monitoring of the operating segments. We have three operating segments: Chlor Alkali Products and Vinyls, Epoxy and Winchester. The three operating segments reflect the organization used by our management for purposes of allocating resources and assessing performance. Chlorine and caustic soda used in our Epoxy segment is transferred at cost from the Chlor Alkali Products and Vinyls segment.

Chlor Alkali Products and Vinyls

Chlor Alkali Products and Vinyls sales for the three months ended June 30, 2025 were $979.5 million compared to $920.3 million for the same period in 2024, an increase of $59.2 million, or 6%. The sales increase was primarily due to higher volumes, partially offset by lower pricing. Higher caustic soda pricing was more than offset by lower EDC pricing.

Chlor Alkali Products and Vinyls segment income was $64.9 million for the three months ended June 30, 2025 compared to $99.3 million for the same period in 2024, a decrease of $34.4 million. The decrease in segment results was due to higher raw material and operating costs ($49.5 million), including planned maintenance turnaround expenses, and lower pricing ($8.6 million), primarily EDC, partially offset by higher volumes ($14.4 million) and lower costs associated with products purchased from other parties ($9.3 million). Chlor Alkali Products and Vinyls segment results included depreciation and amortization expense of $106.3 million and $105.8 million for the three months ended June 30, 2025 and 2024, respectively.

Chlor Alkali Products and Vinyls sales for the six months ended June 30, 2025 were $1,904.0 million compared to $1,804.9 million for the same period in 2024, an increase of $99.1 million, or 5%. The sales increase was primarily due to higher volumes, partially offset by lower pricing, primarily EDC.

Chlor Alkali Products and Vinyls segment income was $143.2 million for the six months ended June 30, 2025 compared to $175.9 million for the same period in 2024. The decrease in segment results of $32.7 million was due to lower pricing ($54.3 million), primarily EDC, and higher raw material and operating costs ($47.2 million), including planned maintenance turnaround expenses, partially offset by higher volumes ($43.5 million) and lower costs associated with products purchased from other parties ($25.3 million). Chlor Alkali Products and Vinyls segment results included depreciation and amortization expense of $213.5 million and $212.6 million for the six months ended June 30, 2025 and 2024, respectively.

Epoxy

Epoxy sales for the three months ended June 30, 2025 were $331.2 million compared to $317.7 million for the same period in 2024, an increase of $13.5 million, or 4%. The sales increase was due to higher volumes ($24.6 million) and a favorable effect of foreign currency translation ($5.0 million), partially offset by lower product pricing ($16.1 million).

Epoxy segment loss was $23.7 million for the three months ended June 30, 2025 compared to segment loss of $3.0 million for the same period in 2024. The decrease in segment results of $20.7 million was due to higher operating costs ($24.4 million), including planned maintenance turnaround expenses, and lower product pricing ($16.1 million), offset by lower raw material costs ($18.1 million), primarily benzene and propylene, and increased volumes ($1.7 million), which included an unfavorable product mix. A significant percentage of our Euro denominated sales are from products manufactured within Europe. As a result, the impact of foreign currency translation on revenue is primarily offset by the impact of foreign currency translation on raw materials and manufacturing costs also denominated in Euros. Epoxy segment results included depreciation and amortization expense of $13.1 million and $13.4 million for the three months ended June 30, 2025 and 2024, respectively.

Epoxy sales for the six months ended June 30, 2025 were $662.9 million compared to $659.0 million for the same period in 2024, an increase of $3.9 million, or 1%. The sales increase was due to higher volumes ($24.6 million), partially offset by lower product pricing ($18.4 million) and an unfavorable effect of foreign currency translation ($2.3 million).

Epoxy segment loss was $52.1 million for the six months ended June 30, 2025 compared to segment loss of $14.8 million for the same period in 2024. The decrease in segment results of $37.3 million was due to higher operating costs ($41.7 million), including planned maintenance turnaround expenses, and lower product pricing ($18.4 million), offset by lower raw material costs ($23.2 million), primarily benzene and propylene, and an unfavorable product mix ($0.4 million). A significant percentage of our Euro denominated sales are from products manufactured within Europe. As a result, the impact of foreign currency translation on revenue is primarily offset by the impact of foreign currency translation on raw materials and manufacturing costs also denominated in Euros. Epoxy segment results included depreciation and amortization expense of $25.9 million and $26.9 million for the six months ended June 30, 2025 and 2024, respectively.

Winchester

Winchester sales were $447.6 million for the three months ended June 30, 2025 compared to $406.0 million for the same period in 2024, an increase of $41.6 million, or 10%. The sales increase was due to higher sales to military customers and military project revenue ($102.0 million), partially offset by lower sales to commercial customers ($55.2 million) and law enforcement agencies ($5.2 million).

Winchester segment income was $25.0 million for the three months ended June 30, 2025 compared to $70.3 million for the same period in 2024, a decrease of $45.3 million. The decrease in segment results was due to lower sales volumes ($21.4 million), lower product pricing ($12.7 million), and higher raw material and operating costs ($11.2 million), including commodity metal and propellant costs. Winchester segment income included depreciation and amortization expense of $7.9 million and $8.3 million for the three months ended June 30, 2025 and 2024, respectively.

Winchester sales were $835.6 million for the six months ended June 30, 2025 compared to $815.4 million for the same period in 2024, an increase of $20.2 million, or 2%. The sales increase was due to higher sales to military customers and military project revenue ($168.7 million), partially offset by lower sales to commercial customers ($142.1 million) and law enforcement agencies ($6.4 million).

Winchester segment income was $47.8 million for the six months ended June 30, 2025 compared to $142.5 million for the same period in 2024, a decrease of $94.7 million. The decrease in segment results was due to lower sales volumes ($46.1 million), higher raw material and operating costs ($27.8 million), including commodity metal and propellant costs, and lower product pricing ($20.8 million). Winchester segment income included depreciation and amortization expense of $17.4 million and $16.2 million for the six months ended June 30, 2025 and 2024, respectively.

Corporate/Other

For the three months ended June 30, 2025, charges to income for environmental investigatory and remedial activities were $4.8 million compared to $6.4 million for the three months ended June 30, 2024. These charges related primarily to expected future investigatory and remedial activities associated with past manufacturing operations and former waste disposal sites.

For the three months ended June 30, 2025, other corporate and unallocated costs were $19.9 million compared to $17.0 million for the three months ended June 30, 2024, an increase of $2.9 million. The increase was primarily due to higher variable incentive compensation costs ($9.0 million), which includes mark-to-market adjustments on stock-based compensation expense, partially offset by a favorable foreign currency impact ($5.0 million).

For the six months ended June 30, 2025, charges to income for environmental investigatory and remedial activities were $9.8 million compared to $12.2 million for the six months ended June 30, 2024. These charges related primarily to expected future investigatory and remedial activities associated with past manufacturing operations and former waste disposal sites.

For the six months ended June 30, 2025, other corporate and unallocated costs were $39.9 million compared to $42.8 million for the six months ended June 30, 2024, a decrease of $2.9 million. The decrease was primarily due to a favorable foreign currency impact ($9.7 million), partially offset by higher variable incentive compensation costs ($4.4 million), which includes mark-to-market adjustments on stock-based compensation expense.

Restructurings

Pretax restructuring charges related to our restructuring and optimization efforts include facility exit costs, lease and other contract termination costs, employee severance and related benefits costs and the write-off of equipment and facilities. Pretax restructuring charges for the three and six months ended June 30, 2025 and 2024, were as follows:

Further discussion on our restructuring optimization efforts is referenced under Item 1, within Note 4, “Restructuring Charges.”