Dear Shareholders:
Quaker Houghton delivered another year of solid results in 2025 despite a persistently challenging macroeconomic environment. We continued to focus on executing our strategy, and made significant progress toward reducing organizational complexity, streamlining our global business processes, and optimizing our manufacturing network. These critical foundational steps have helped to enhance our efficiency as we refine our portfolio and strengthen our product brands across the organization.
In 2025, we delivered net sales of $1.89 billion, adjusted EBITDA of $299 million, and adjusted diluted earnings per share of $7.02. Overall sales volumes reflect incremental growth over the prior year as we successfully offset continued market softness with new business wins across all regions, especially in Asia Pacific, where we finished the year with our 10th consecutive quarter of year-over-year organic volume growth. We continue to proportionally scale our organization to achieve sustainable growth, including opening a new manufacturing facility in China later in 2026.
Our balanced capital allocation strategy provides us with the opportunity to invest in our growth, while maintaining our commitment to shareholders. In 2025, we increased our dividend for the 16th consecutive year, strengthened our balance sheet, and returned $75.9 million to shareholders through dividends and share repurchases. We also completed three acquisitions in 2025 that expanded our product and service offerings and extended our reach in key geographies.
Looking ahead, in 2026 we are committed to furthering our strategic initiatives and advancing the progress that we made in 2025. Our customer intimate sales and service capabilities continue to differentiate us in the marketplace, and our proven track record to win new business and control costs gives us confidence that we will grow in 2026.
I’m proud to lead this organization and would like to extend sincere thanks to all our colleagues for their commitment, discipline and resilience, which helped us deliver profitable results in 2025. Looking ahead, we remain committed to advancing our enterprise strategy to deliver long-term growth and create value for our customers, our colleagues, and our shareholders despite ongoing challenges in the global markets.
Thank you for your continued trust and investment in Quaker Houghton.
Best Regards,
Joseph A. Berquist
Chief Executive Officer and President
