Braskem Sa (NYSE: BAK)

Braskem S. A. is a corporation organized under the laws of Brazil and operates as the largest producer of plastics in the Americas based on annual production capacity of its plants. The company produces a diversified portfolio of chemicals and plastics including polyethylene, polypropylene, PVC, and bio-based products such as PE I’m green™. These products are derived from fossil, renewable, and recycled raw materials and are transformed by customers into applications such as food packaging, household furniture, industrial and automotive components, paints and coatings, and more.

Braskem generates revenue through the production and sale of chemicals, polyolefins, and vinyls across its operational segments. The company sells its products directly to customers and through distributors in domestic and international markets. Revenue is derived from the sale of olefins such as ethylene and propylene, polyolefins including polyethylene and polypropylene, and vinyls products such as PVC and caustic soda. The company serves customers in over 70 countries and maintains long-term supply contracts to ensure stable demand.

The company operates through the following segments: Brazil Segment, United States and Europe Segment, and Mexico Segment.

• Brazil Segment includes the production and sale of chemicals, olefins, specialties, polyolefins, and vinyls. It operates four petrochemical complexes in Brazil and uses naphtha, ethane, propane, refinery off gas, and ethanol as feedstock. The segment produces ethylene, propylene, green ethylene, polyethylene, polypropylene, PVC, and caustic soda. It also supplies electricity and other inputs to second-generation producers within the complexes. In 2025, the Brazil Segment generated net revenue of R$51,774 million, representing 72% of the net revenue of all reportable segments.

• United States and Europe Segment consists of polypropylene production and sales in the United States through Braskem America and in Europe through Braskem Netherlands B. V. The segment includes five polypropylene plants in the United States, one UTEC® plant, and two polypropylene plants in Germany. In 2025, this segment generated net revenue of R$16,400 million, or 23% of the net revenue of all reportable segments.

• Mexico Segment comprises the activities related to polyethylene production and sales in Mexico through the subsidiary Braskem Idesa. The Mexico Complex includes an ethylene cracker, two high-density polyethylene plants, a low-density polyethylene plant, and a power generation plant. The segment uses ethane as the principal raw material, sourced from Pemex and an imported ethane terminal. In 2025, the Mexico Segment generated net revenue of R$4,103 million, or 6% of the net revenue of all reportable segments.

Braskem holds a leading position in the plastics industry as the largest producer in the Americas and a global leader in PE I’m green™ bio-based production. The company benefits from its integrated operations in Brazil and Mexico, access to renewable feedstocks such as sugarcane ethanol, and a diversified raw material base. Competitive advantages include world-scale plants, proximity to customer demand, long-term customer relationships, and a strong focus on innovation and sustainability. The company faces competition from major international petrochemical companies in olefins, polyolefins, and vinyls markets, particularly in regions where gas-based crackers have cost advantages.

Braskem serves a diverse customer base including third-generation petrochemical producers that manufacture plastic-based consumer and industrial goods such as packaging, bottles, automotive parts, and household appliances. The company has 2,839 customers worldwide as of December 31, 2025, with specific customer relationships in the PE I’m green™ bio-based product line, which has around 217 customers in 41 countries. The company also works with distributors in Brazil and internationally to reach smaller customers and expand market coverage.