IMCD's shares tumbled 12% Wednesday after the specialty chemicals distributor reported weaker-than-expected earnings for 2025 and announced a reduced dividend. The Amsterdam-based company saw revenue rise just 1% to 4,779 million euros, while operating EBITA fell 6% to 498 million euros. Net profit declined 22% to 217 million euros, with earnings per share dropping to 3.68 euros.

Free cash flow increased 3% to 465 million euros, but the company cut its dividend to 1.81 euros per share from 2.15 euros last year. The fourth quarter proved particularly challenging, with revenue down 4% to 1,103 million euros and operating EBITA falling 19% to 104 million euros. CEO Marcus Jordan attributed the disappointing results to softer demand across regions and markets amid macroeconomic headwinds and tariff uncertainty.

The sharp selloff reflects investor concerns about IMCD's growth trajectory and profitability margins, which narrowed to 10.4% from 11.2% a year earlier. The dividend reduction signals management's cautious outlook as the company navigates challenging market conditions. With shares down 12% in a single session, IMCD faces pressure to demonstrate its ability to restore growth and improve margins in the coming quarters.