Back to top

Image: Bigstock

International Markets and Quaker Chemical (KWR): A Deep Dive for Investors

Read MoreHide Full Article

Have you evaluated the performance of Quaker Chemical's (KWR - Free Report) international operations for the quarter ending June 2025? Given the extensive global presence of this specialty chemical company, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.

The global economy today is deeply interlinked, making a company's engagement with international markets a critical factor in determining its financial success and growth path. It has become essential for investors to comprehend how much a company relies on these foreign markets, as this understanding reveals the firm's potential for consistent earnings, its capacity to harness different economic cycles, and its overall growth prospects.

Presence in international markets can act as a hedge against domestic economic downturns and provide access to faster-growing economies. However, this diversification also brings complexities due to currency fluctuations, geopolitical risks and differing market dynamics.

While analyzing KWR's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.

The company's total revenue for the quarter stood at $483.4 million, increasing 4.3% year over year. Now, let's delve into KWR's international revenue breakdown to gain insights into the significance of its operations beyond home turf.

Unveiling Trends in KWR's International Revenues

During the quarter, Asia/Pacific contributed $122.42 million in revenue, making up 25.3% of the total revenue. When compared to the consensus estimate of $119.5 million, this meant a surprise of +2.44%. Looking back, Asia/Pacific contributed $99.93 million, or 22.6%, in the previous quarter, and $102.05 million, or 22%, in the same quarter of the previous year.

Of the total revenue, $139.92 million came from EMEA during the last fiscal quarter, accounting for 29%. This represented a surprise of +3.19% as analysts had expected the region to contribute $135.6 million to the total revenue. In comparison, the region contributed $129.28 million, or 29.2%, and $138 million, or 29.8%, to total revenue in the previous and year-ago quarters, respectively.

Projected Revenues in Foreign Markets

Wall Street analysts expect Quaker Chemical to report a total revenue of $473.92 million in the current fiscal quarter, which suggests an increase of 2.5% from the prior-year quarter. Revenue shares from Asia/Pacific and EMEA are predicted to be 26.5%, and 29.1%, corresponding to amounts of $125.4 million, and $138 million, respectively.

For the full year, a total revenue of $1.85 billion is expected for the company, reflecting an increase of 0.3% from the year before. The revenues from Asia/Pacific and EMEA are expected to make up 25.6%, and 29.5% of this total, corresponding to $473.2 million, and $544.5 million, respectively.

In Conclusion

Relying on international markets for revenues, Quaker Chemical faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.

In an era of growing international ties and escalating geopolitical disputes, financial analysts on Wall Street pay keen attention to these developments to fine-tune their earnings estimations for businesses operating across borders. It's important to note, however, that a range of additional variables, like a company's local market status, also play a crucial role in shaping these forecasts.

At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.

Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.

Quaker Chemical, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Reviewing Quaker Chemical's Recent Stock Price Trends

The stock has witnessed a decline of 5.1% over the past month versus the Zacks S&P 500 composite's an increase of 0.6%. In the same interval, the Zacks Basic Materials sector, to which Quaker Chemical belongs, has registered a decrease of 2.4%. Over the past three months, the company's shares saw an increase of 14%, while the S&P 500 increased by 11.7%. In comparison, the sector experienced an increase of 3.7% during this timeframe.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Quaker Houghton (KWR) - free report >>

Published in