Syensqo Conference call feedback

Below are the highlights from the 3Q results conference call. 3Q underlying EBITDA declined by 8% organically and was about 2% better than our forecast and 4% above consensus. Syensqo narrowed down its FY guidance range with our and consensus forecasts roughly at the midpoint of the new range. Syensqo is embarking on a restructuring program that will eliminate 300-350 positions whilst it will create a couple of hundreds of new jobs to fully disentangle from Solvay (as agreed by end 2025). We still appreciate Syensqo, for its solid market positions, strong balance sheet (1.3x leverage) and solid mid to long term growth potential. Valuation is clearly discounted vs peers and prompt us to reiterate our BUY rating. We remind that this morning, we have lowered our target price from € 112 to € 105.