Texxon Holding Swings to Loss as Chemical Market Headwinds Persist

Revenue for the six-month period ending December 31, 2025, dropped to $327 million, a 35.8% decline from the previous year’s $509.6 million. The company attributed the downturn primarily to its basic chemicals segment, where sales plummeted 64.1% amid high crude oil prices and reduced market demand for aromatic raw materials. Profitability was further hindered by the absence of a one-time $2.9 million government grant that bolstered the prior year's figures.

Despite the broader decline, the company’s plastic particles division saw revenue climb 40.1% to $193.4 million. CEO Hui Xu credited this growth to an aggressive expansion of sales teams across China and a broader customer base. Operating expenses were also reined in, falling 41.4% to $2 million. Looking ahead, Texxon is pinning its recovery on the newly operational Henan Polystyrene Factory, which began production in June 2026 to stabilize its position within the plastics value chain.