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WLKP

Westlake Chemical Partners LP

WLKP

Westlake Chemical Partners LP • NYSE
$18.96 ▼ -0.52% (-0.10)
Market Cap $668.15 M
52w High $25.04
52w Low $17.75
Dividend Yield 1.89%
P/E 13.64
Volume 30.76K
Outstanding Shares 35.24M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $308.898M ▲ $7.444M ▲ $14.653M ▲ 4.744% ▼ $2.45 ▲ $114.169M ▲
Q2-2025 $297.119M ▲ $6.3M ▼ $14.558M ▲ 4.9% ▲ $2.44 ▲ $107.262M ▲
Q1-2025 $237.629M ▼ $7.474M ▲ $4.948M ▼ 2.082% ▼ $0.14 ▼ $46.607M ▼
Q4-2024 $290.06M ▲ $6.559M ▼ $14.996M ▼ 5.17% ▼ $0.43 ▼ $120.838M ▼
Q3-2024 $276.995M $7.254M $18.136M 6.547% $0.51 $139.126M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $37.936M ▲ $1.272B ▼ $458.302M ▼ $503.184M ▼
Q2-2025 $36.579M ▼ $1.307B ▼ $476.022M ▼ $504.985M ▼
Q1-2025 $49.624M ▼ $1.371B ▲ $568.246M ▲ $507.038M ▼
Q4-2024 $58.316M ▼ $1.288B ▼ $458.642M ▲ $518.701M ▼
Q3-2024 $60.208M $1.295B $456.881M $520.316M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $86.214M ▲ $105.238M ▲ $348K ▼ $-104.229M ▼ $1.357M ▲ $75.586M ▲
Q2-2025 $85.795M ▲ $9.071M ▼ $35.62M ▲ $-57.736M ▲ $-13.045M ▼ $-15.309M ▼
Q1-2025 $42.309M ▼ $45.781M ▼ $14.044M ▲ $-68.517M ▲ $-8.692M ▼ $29.825M ▼
Q4-2024 $87.387M ▲ $132.469M ▲ $-38.474M ▼ $-95.887M ▲ $-1.892M ▲ $118.995M ▲
Q3-2024 $18.136M $126.071M $-30.546M $-101.316M $-5.791M $110.525M

Revenue by Products

Product Q3-2020Q4-2020Q1-2021Q2-2021
Product and Service Other
Product and Service Other
 $10.00M ▲$20.00M ▲$50.00M ▲$80.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has bounced around over the past five years, peaking a few years ago and then easing back, but operating profitability has stayed surprisingly steady. The core business earns fairly consistent margins thanks to its fixed‑spread contract with the parent company, which smooths out commodity swings. The main oddity is net income: it was very strong earlier in the period but has been much lower more recently, likely reflecting accounting and partnership-structure effects rather than a collapse in underlying operations. Overall, the operating engine looks stable, but headline earnings can be noisy and need context.

Balance Sheet

Balance Sheet The balance sheet looks simple and fairly steady. Total assets have held in a narrow range, and debt has been stable rather than growing, suggesting no aggressive leverage build‑up. Cash on hand is modest, which is typical for this kind of partnership that prefers to distribute excess cash rather than hoard it. Equity has drifted down from earlier highs, which may reflect distributions and partnership accounting rather than operational stress. In short, the financial structure seems balanced but not especially cushioned, with clear reliance on ongoing cash generation.

Cash Flow

Cash Flow Cash flow is the quiet strength of the business. Operating cash flow has been consistently healthy, and after a relatively small and stable level of capital spending, the partnership has generated reliable free cash flow year after year. This pattern supports the idea that the model is built to throw off cash rather than to pursue heavy, risky expansion. The main risk is not current cash generation, which looks robust, but what happens if the underlying contract terms or plant reliability were to change.

Competitive Edge

Competitive Edge WLKP’s edge is less about unique chemistry and more about its special relationship with Westlake Corporation. It sells nearly all of its output to this one strong, investment‑grade customer under a long‑term fixed‑margin contract, which is unusual in a volatile commodity business and gives it stable demand and predictable earnings. Its plants and pipeline are tightly integrated into Westlake’s broader value chain, which lowers logistics costs and makes WLKP hard to displace. The flip side is concentration risk: the partnership depends heavily on a single customer and on renewal of key contracts beyond the current term.

Innovation and R&D

Innovation and R&D This is not a traditional R&D‑driven story; the partnership runs established ethylene technology rather than inventing new chemical processes. Its key “innovation” is really the business model and contract structure that stabilizes margins. Operational improvements tend to be practical—incremental capacity tweaks, debottlenecking, and reliability upgrades to get more output from existing assets. More forward‑looking technology and sustainability initiatives largely sit with the parent company, so any benefits to WLKP are indirect and will depend on how Westlake chooses to deploy new technologies across its network.

Summary

WLKP is structured as a cash‑generating utility within the chemical chain: it turns ethane into ethylene for its parent under long‑term, fixed‑margin terms. That design shows up in stable operating profits, steady free cash flow, and a relatively plain, predictable balance sheet. The arrangement creates a strong moat around demand and margins but ties the partnership’s fate closely to a single customer and to contract renewals, especially as the current agreement approaches its next expiry. For observers, the key things to watch are contract terms with Westlake, plant reliability and capacity expansions, and any changes in how the parent wants to use this partnership within its broader strategy.

NEWS

October 30, 2025 · 6:30 AM UTC

Westlake Chemical Partners LP Announces Third Quarter 2025 Results

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October 30, 2025 · 6:00 AM UTC

Westlake Chemical Partners Announces Renewal of Ethylene Sales Agreement

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October 28, 2025 · 4:16 PM UTC

Westlake Chemical Partners LP Announces Third Quarter 2025 Distribution

Read more