Methanex Reports Record North American Production and Second Quarter 2026 Earnings
Except where otherwise noted, all currency amounts are stated in United States dollars.
Financial and Production Highlights
- Net income attributable to Methanex shareholders of $198 million, Adjusted EBITDA of $577 million, and Adjusted net income of $300 million in the second quarter.
- Reported an average realized price in the second quarter of $529 per tonne compared to $351 per tonne in the first quarter of 2026. Based on our July and August posted prices and assuming market conditions remain consistent in this volatile macro environment, we expect that our average realized price range will be approximately $460 to $485 per tonne for these two months.
- Produced 2,213,000 tonnes of methanol in the second quarter, including over 1 million tonnes at the Geismar site.
- Announced the indefinite idling of the Titan plant and the commencement of restructuring activities in Trinidad and Tobago. This resulted in a $115 million non-cash asset impairment charge, net of tax, and a $12 million accrual for restructuring activities (Methanex share), which has been included as a deduction from Adjusted EBITDA.
- Generated $439 million of cash flows from operating activities, repaid the remaining $290 million of the Term Loan A loan, and returned $14 million to shareholders through regular dividends. Ended the second quarter with $383 million in cash.
VANCOUVER, British Columbia, July 28, 2026 (GLOBE NEWSWIRE) -- For the second quarter of 2026, Methanex (TSX:MX) (NASDAQ:MEOH) reported net income attributable to Methanex shareholders of $198 million ($2.45 net income per common share on a diluted basis) compared to a net loss of $14 million ($0.18 net loss per common share on a diluted basis) in the first quarter of 2026. Adjusted EBITDA for the second quarter of 2026 was $577 million and Adjusted net income was $300 million ($3.87 Adjusted net income per common share). This compares with Adjusted EBITDA of $220 million and an Adjusted net income of $23 million ($0.30 Adjusted net income per common share) for the first quarter of 2026.
Rich Sumner, President & CEO of Methanex, said, "The continuing Middle East conflict has resulted in an unprecedented impact on many industries, including methanol. During the second quarter of 2026, we delivered record Adjusted EBITDA largely due to higher pricing as a result of the significant loss of industry supply combined with continued strong production from our enhanced asset base, particularly in North America. Through this highly volatile and uncertain period, we remain focused on operating our assets and supply chain safely and reliably, completing the OCI acquisition integration activities, and delivering operating and financial results to drive a stronger and more resilient company."
FURTHER INFORMATION
The information set forth in this news release summarizes Methanex's key financial and operational data for the second quarter of 2026. It is not a complete source of information for readers and is not in any way a substitute for reading the second quarter 2026 Management’s Discussion and Analysis ("MD&A") dated July 28, 2026 and the unaudited condensed consolidated interim financial statements for the period ended June 30, 2026, both of which are available from the Investor Relations section of our website at www.methanex.com. The MD&A and the unaudited condensed consolidated interim financial statements for the period ended June 30, 2026 are also available on the Canadian Securities Administrators' SEDAR+ website at www.sedarplus.ca and on the United States Securities and Exchange Commission's EDGAR website at www.sec.gov.
FINANCIAL AND OPERATIONAL DATA
| Three Months Ended | Six Months Ended | ||||||
| ($ millions except per share amounts and where noted) | Jun 30 2026 | Mar 31 2026 | Jun 30 2025 | Jun 30 2026 | Jun 30 2025 | ||
| Production (thousands of tonnes) (attributable to Methanex shareholders)1 | 2,213 | 2,391 | 1,621 | 4,604 | 3,240 | ||
| Sales volume (thousands of tonnes) | |||||||
| Methanex-produced methanol | 2,151 | 2,226 | 1,528 | 4,377 | 3,231 | ||
| Purchased methanol | 247 | 222 | 451 | 469 | 833 | ||
| Commission sales | 157 | 174 | 154 | 331 | 286 | ||
| Total methanol sales volume | 2,555 | 2,622 | 2,133 | 5,177 | 4,350 | ||
| Methanex average non-discounted posted price ($ per tonne)2 | 1,007 | 611 | 605 | 806 | 623 | ||
| Average realized price ($ per tonne)3 | 529 | 351 | 374 | 439 | 390 | ||
| Revenue4 | 1,395 | 974 | 797 | 2,369 | 1,693 | ||
| Net income (loss) (attributable to Methanex shareholders) | 198 | (14 | ) | 64 | 184 | 176 | |
- A reconciliation from net income attributable to Methanex shareholders to Adjusted EBITDA, Adjusted net income and the calculation of Adjusted net income per common share is as follows:
| Three Months Ended | Six Months Ended | |||||||||||||||
| ($ millions) | Jun 30 2026 | Mar 31 2026 | Jun 30 2025 | Jun 30 2026 | Jun 30 2025 | |||||||||||
| Net income (loss) attributable to Methanex shareholders | $ | 198 | $ | (14) | $ | 64 | $ | 184 | $ | 176 | ||||||
| Mark-to-market impact of share-based compensation | (22) | 45 | (7) | 23 | (39) | |||||||||||
| Depreciation and amortization | 121 | 120 | 102 | 240 | 208 | |||||||||||
| Finance costs | 54 | 55 | 51 | 109 | 102 | |||||||||||
| Finance income and other expenses | 15 | 3 | (8) | 19 | (13) | |||||||||||
| Income tax expense | 104 | 3 | 3 | 107 | 39 | |||||||||||
| Asset impairment charge1 | 100 | — | — |
| Three Months Ended | Six Months Ended | |||||||||||||||
| ($ millions except number of shares and per share amounts) | Jun 30 2026 | Mar 31 2026 | Jun 30 2025 | Jun 30 2026 | Jun 30 2025 | |||||||||||
| Net income (loss) attributable to Methanex shareholders | $ | 198 | $ | (14) | $ | 64 | $ | 184 | $ | 176 | ||||||
| Mark-to-market impact of share-based compensation, net of tax | (17) | 37 | (4) | 20 | (30) | |||||||||||
| Mark-to-market impact of gas contract revaluations, net of tax | 4 | 1 | 6 | 5 | 8 | |||||||||||
| Asset impairment charge, net of tax1 | 115 | — | — | 115 | — | |||||||||||
| Earnings of associates adjustment, net of tax | — | (1) | — | (1) | — | |||||||||||
| Adjusted net income | $ | 300 | $ | 23 | $ | 66 | $ | 323 | $ | 154 | ||||||
| Diluted weighted average shares outstanding (millions) |
- We recorded net income attributable to Methanex shareholders of $198 million in the second quarter of 2026 compared to a net loss of $14 million in the first quarter of 2026. The net income in the second quarter of 2026 was higher compared to the prior quarter primarily due to a higher average realized price. This was partially offset by the impact of the asset impairment charge recorded in the second quarter of 2026.
- We sold 2,555,000 tonnes of methanol in the second quarter of 2026 compared to 2,622,000 tonnes of methanol in the first quarter of 2026. Sales of Methanex-produced methanol were 2,151,000 tonnes in the second quarter of 2026 compared to 2,226,000 tonnes in the first quarter of 2026.
- Production of methanol for the second quarter of 2026 was 2,213,000 tonnes compared to 2,391,000 tonnes for the first quarter of 2026. Despite continued strong performance across our North American assets, production was lower in the second quarter of 2026 compared to the first quarter of 2026 due to reduced production in Chile, where we experienced seasonal gas availability constraints, in New Zealand, where we took a planned winter outage, and in Trinidad, which experienced unplanned outages.
- We announced the indefinite idling of the Titan plant and the commencement of restructuring activities in Trinidad and Tobago. This resulted in a $115 million non-cash asset impairment charge, net of tax, and a $12 million accrual for restructuring activities (Methanex share), which has been included as a deduction from Adjusted EBITDA.
- In the second quarter of 2026 we paid a quarterly dividend of $0.185 per common share for a total of $14 million and repaid $290 million of the outstanding Term Loan A, fully repaying the loan.
- At June 30, 2026, we had a strong liquidity position including a cash balance of $383 million. We also have access to a $400 million unutilized revolving credit facility.
PRODUCTION HIGHLIGHTS
| Q2 2026 | Q1 2026 | Q2 2025 | YTD Q2 2026 | YTD Q2 2025 | ||
| (thousands of tonnes) | Operating Capacity1 | Production | Production | Production | Production | Production |
| USA | ||||||
| Geismar | 1,000 | 1,027 | 934 | 829 | 1,961 | 1,446 |
| Beaumont2 | 228 | 185 | 195 | 11 | 380 | 11 |
| Natgasoline (50% interest)2 | 213 | 204 | 203 | 10 | 407 | 10 |
| Canada (Medicine Hat) | 140 | 143 | 124 | 83 | 267 | 223 |
| Chile | 425 | 322 | 398 | 295 | 720 | 724 |
| Egypt (50% interest) | 158 | 165 | 164 | 124 | 329 | 260 |
| New Zealand3 | 215 | 46 | 158 | 53 | 204 | 213 |
| Trinidad4 | 215 | 121 | 215 | 216 | 336 | 353 |
| Total Methanol Production | 2,594 | 2,213 | 2,391 | 1,621 | 4,604 | 3,240 |
| Beaumont Ammonia2 | 85 | 83 | 85 | 4 | 168 | 4 |
Key production and operational highlights during the second quarter include:
United States
Geismar produced a record 1,027,000 tonnes in the second quarter of 2026 compared to 934,000 tonnes in the first quarter of 2026. Beaumont produced 185,000 tonnes of methanol and 83,000 tonnes of ammonia in the second quarter of 2026 compared to 195,000 tonnes of methanol and 85,000 tonnes of ammonia in the first quarter of 2026. Beaumont's methanol production was lower as the plant was taken offline in early June to repair the cooling tower. The plant was offline for approximately 30 days and safely restarted during July. The Natgasoline plant produced 204,000 tonnes of methanol (Methanex share) in the second quarter of 2026 compared to 203,000 tonnes of methanol (Methanex share) in the first quarter of 2026.
Canada
Medicine Hat produced 143,000 tonnes in the second quarter of 2026 compared to 124,000 tonnes in the first quarter of 2026. Production was higher in the second quarter as the first quarter was impacted by an unplanned outage for repairs that were completed in the first quarter.
Chile
Chile produced 322,000 tonnes in the second quarter of 2026 compared to 398,000 tonnes in the first quarter of 2026. Production was lower in the second quarter compared to the first quarter as we shifted to operating one plant midway through the quarter due to the seasonal reduction of gas availability from Argentina. We have gas contracts in place with Chilean and Argentinean gas producers until 2030 and 2027, respectively, which underpin approximately 55% of the site's gas requirements year-round. While seasonality in production is expected to continue, we are seeing generally positive developments in natural gas availability to supply our Chile facilities.
Egypt
Egypt produced 330,000 tonnes (Methanex interest - 165,000 tonnes) in the second quarter of 2026 compared to 328,000 tonnes (Methanex interest - 164,000 tonnes) in the first quarter of 2026. Gas availability in Egypt is influenced by several factors, including domestic production levels, gas imports and seasonal demand fluctuations. We are monitoring the gas market closely and we may experience curtailments in the future, particularly in the summer months, depending on gas supply and demand dynamics in the domestic and international markets.
New Zealand
New Zealand produced 46,000 tonnes in the second quarter of 2026 compared to 158,000 tonnes in the first quarter of 2026. Production was lower in the second quarter as we took a planned winter outage to supply gas to the New Zealand electricity sector. The plant was restarted in July and is operating at reduced rates. Future production in New Zealand will be dependent on the performance of existing wells, future upstream development and any on-selling of gas into the electricity market to support the country's energy needs.
Trinidad
In Trinidad, the Titan plant produced 121,000 tonnes in the second quarter of 2026 compared to 215,000 tonnes in the first quarter of 2026. Production was lower in the second quarter as the plant experienced disruptions from unplanned outages in the quarter. On July 15 the plant ceased operations and we have commenced the process of indefinitely idling the facility.
Outlook
We expect our 2026 production to be approximately 9.0 million tonnes (Methanex interest) of methanol and 0.3 million tonnes of ammonia. Actual production may vary by quarter based on gas availability, turnarounds, unplanned outages and unanticipated events.
Based on our July and August posted prices and assuming market conditions remain consistent in this volatile macro environment, we expect that our average realized price range will be approximately $460 to $485 per tonne for these two months. Based on a lower realized price and similar sales of produced methanol, we are expecting lower Adjusted EBITDA in the third quarter.
CONFERENCE CALL
A conference call is scheduled for July 29, 2026 at 11:00 am ET (8:00 am PT) to review these second quarter results. To access the call, dial the conferencing operator fifteen minutes prior to the start of the call at (647) 932-3411, or toll free at (800) 715-9871. The conference ID for the call is #2019292. A simultaneous audio-only webcast of the conference call can be accessed from our website at www.methanex.com/investor-relations/events and will also be available following the call.
ABOUT METHANEX
Methanex is a Vancouver-based, publicly traded company and is the world’s largest producer and supplier of methanol to customers globally. Methanex shares are listed for trading on the Toronto Stock Exchange in Canada under the trading symbol "MX" and on the Nasdaq Global Market in the United States under the trading symbol "MEOH".
FORWARD-LOOKING INFORMATION WARNING
This second quarter 2026 press release contains forward-looking statements with respect to us and the chemical industry. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond the Company's control. Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Methanex does not undertake to update, correct or revise any forward-looking information as a result of any new information, future events or otherwise, except as may be required by applicable law. Refer to Forward-Looking Information Warning in the second quarter 2026 Management's Discussion and Analysis for more information which is available from the Investor Relations section of our website at www.methanex.com, the Canadian Securities Administrators' SEDAR+ website at www.sedarplus.ca and on the United States Securities and Exchange Commission's EDGAR website at www.sec.gov.
NON-GAAP MEASURES
Throughout this document, the Company has used the terms Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, and Adjusted Free Cash Flow. These items are non-GAAP measures and ratios that do not have any standardized meaning prescribed by GAAP. These measures represent the amounts that are attributable to Methanex Corporation shareholders and are calculated by excluding the mark-to-market impact of share-based compensation as a result of changes in our share price, the impact of the Egypt and New Zealand gas contract revaluations and the impact of certain items associated with specific identified events. Refer to Additional Information - Non-GAAP Measures on page 14 of the Company's MD&A for the period ended June 30, 2026 for reconciliations to the most comparable GAAP measures. Unless otherwise indicated, the financial information presented in this release is prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB").
For further information, contact:
Robert B. Winslow, CFA
Vice President, Investor Relations
Methanex Corporation
604-661-2600
pzo
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