EMN EASTMAN CHEMICAL CO

Overview and Growth

EASTMAN CHEMICAL CO generated $8.75B of revenue in fiscal 2025, with net income of $474.00M and an operating cash inflow of $970.00M. At $8.75B, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Revenue was 6.7% below fiscal 2024 revenue of $9.38B, marking a top-line contraction. On a per-share basis, diluted EPS was $4.10, which connects the reported earnings outcome with the company’s diluted share count. Diluted EPS decreased by 46.5% from $7.67 in fiscal 2024, showing how the earnings change reached shareholders on a per-share basis. Revenue equaled 0.59x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

Gross profit was $1.84B, representing the portion of revenue remaining after the reported cost of revenue and before operating expenses. Gross profit represented 21.1% of revenue, showing how much of the top line remained after direct costs. Net income came to $474.00M, completing the progression from revenue through gross and operating profitability to the final reported result. Net margin was 5.4%, meaning that this portion of revenue remained as net income after all recognized expenses. Before income taxes, the company reported $568.00M of earnings, providing a bridge between the operating result and final net income. The pretax margin was 6.5%, relating income before taxes directly to revenue. Income tax expense totaled $93.00M, providing the reported tax component that separates pretax and after-tax earnings. The income-tax provision equaled 16.4% of pretax income, showing the tax burden absorbed by the year’s earnings.

Liquidity and Capital Structure

The company held $14.86B of assets against $8.82B of liabilities and $6.04B of equity, revealing how the asset base was financed. Current assets were $3.65B against $2.65B of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. The current ratio was 1.37x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Reported cash and equivalents were $566.00M, separating immediately recognizable cash resources from the rest of the current-asset base. Measured only with cash and equivalents, coverage of current liabilities was 21.3%, excluding receivables and other current assets. Total debt was $4.79B, establishing the amount of borrowing carried within the company’s capital structure. The debt-to-equity relationship was 0.79x, showing how much debt the company carried for each unit of book equity. Relative to total assets, debt measured 32.2%, showing how much of the asset base was matched by borrowing. The liabilities-to-assets relationship was 59.4%, placing reported obligations against the full positive asset balance. Cash and equivalents equaled 3.8% of total assets, showing the liquid cash component within the company’s broader resource base. The asset base changed 2.3% from $15.21B in fiscal 2024, leaving current total assets lower year over year.

Cash Flow and Earnings Quality

Cash flow from operations was $970.00M, a reported cash inflow that can be compared directly with net income and capital spending. Against net income, operating cash flow measured 2.05x, showing the relationship between accrual earnings and operating cash. Capital spending was $546.00M, absorbing part of the cash generated from operations before free cash flow. Capital spending absorbed 56.3% of operating cash flow, quantifying the share of cash from operations directed to investment. The combination of operating cash flow and capital spending produced $424.00M of positive free cash flow for the period. The free-cash-flow margin was 4.8%, measuring cash remaining after capital spending against revenue. Free cash flow equaled 2.9% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.