Financial Data and Key Metrics Changes - The company reported record quarterly consolidated revenue of $268 million, an increase of 11.5% year-over-year [10][11] - GAAP earnings from operations reached $55 million, up 13.7% compared to the prior year [11][14] - Consolidated net income was $40 million, reflecting a 19.1% increase from the previous year [11][16] - Adjusted EBITDA was a record $71 million, an increase of 11% year-over-year [11][15] - The diluted net earnings per share on a GAAP basis was $1.24, up 20.4% compared to the prior year [11][16] Business Line Data and Key Metrics Changes - Human Nutrition and Health segment generated record sales of $174 million, a 14.3% increase from the prior year [17] - Animal Nutrition and Health segment reported sales of $56 million, a 6.6% increase year-over-year [18] - Specialty Products segment delivered sales of $36 million, a 7.5% increase compared to the prior year [20] Market Data and Key Metrics Changes - The company continues to see healthy demand across most end markets, particularly in the human nutrition and health segment driven by better-for-you trends [3][4] - The animal nutrition market showed improved demand, particularly in the European monogastric market [4][19] - The performance gases and plant nutrition businesses within the Specialty Products segment are benefiting from healthier market conditions and geographic expansion [5][20] Company Strategy and Development Direction - The company is focused on expanding its marketing efforts and scientific research to bolster its Human Nutrition and Health segment [6][9] - There is a strong emphasis on leveraging formulation expertise and nutrient portfolio to capitalize on better-for-you trends in the market [18][31] - The company is actively pursuing strategic M&A opportunities while managing debt repayment and share repurchases [50][51] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth outlook for the company, citing the ability to manage through macroeconomic challenges and tariff-related impacts [23] - The company is optimistic about continued growth in the Human Nutrition and Health segment due to increasing consumer demand for nutrient-dense products [18][31] - Management highlighted the potential for significant market opportunities in the minerals sector, indicating a long runway for growth [34][35] Other Important Information - The company has made progress in its scientific and clinical research pipeline, which supports its strategy for entering new markets [6][8] - The construction of a new microencapsulation manufacturing facility is expected to be completed by early 2027, which will double the capacity of the old plant [46][47] Q&A Session Summary Question: Can you discuss the changes in food solutions and the outlook for each subsegment in 2026? - Management noted that sales for Human Nutrition and Health were up 14%, with the nutrient portfolio growing about 30% and food business up nearly 7% [29][30] Question: What is the opportunity for product penetration and awareness of your minerals? - Management indicated that there is significant room for growth in product penetration, estimating market opportunities to be 3x to 4x the current size [34][35] Question: Can you comment on international anti-dumping practices and their impact? - Management discussed preliminary anti-dumping duties on China-origin choline chloride by the European Union, which could create a favorable environment for sales [40][41] Question: What is the status of the Orange County microencapsulation facility? - Management confirmed that construction is expected to be completed early in 2027, with new products anticipated by mid-2027 [46][47] Question: What is the expected pace of debt repayment moving forward? - Management stated that the pace of debt repayment will depend on M&A opportunities and ongoing share repurchases to maintain stable shareholder ownership [50][51]

Financial Data and Key Metrics Changes - The company reported record quarterly consolidated revenue of $268 million, an increase of 11.5% year-over-year [10][11] - GAAP earnings from operations reached $55 million, up 13.7% compared to the prior year [11][14] - Consolidated net income was $40 million, reflecting a 19.1% increase from the previous year, translating to diluted net earnings per share of $1.24, up 20.4% [11][16] - Adjusted EBITDA was a record $71 million, an increase of 11% year-over-year, with an adjusted EBITDA margin of 26.7% [11][14] Business Segment Performance - The Human Nutrition and Health segment generated record sales of $174 million, a 14.3% increase from the prior year, with earnings from operations of $41 million, up 14.8% [16][17] - The Animal Nutrition and Health segment reported sales of $56 million, a 6.6% increase, with earnings from operations of $4 million, up 5.2% [18][19] - The Specialty Products segment achieved sales of $36 million, a 7.5% increase, with earnings from operations of $12 million, up 9.7% [20][21] Market Data and Key Metrics Changes - The company noted healthy demand across most end markets, particularly in the Human Nutrition and Health segment, driven by trends towards nutrient-dense foods [3][4] - The Animal Nutrition and Health segment saw improved demand in both monogastric and ruminant businesses, particularly in the European market [4][19] - The Specialty Products segment benefited from higher demand in Performance Gases and successful geographic expansion in Plant Nutrition [4][21] Company Strategy and Industry Competition - The company is focused on expanding its marketing efforts and scientific research to bolster its Human Nutrition and Health segment [6][10] - The company is well-positioned to manage through the current global trade environment, having offset tariff impacts through supply chain adjustments and pricing actions [5][25] - The company is investing in new technologies and facilities, such as the Orange County Microencapsulation manufacturing facility, to enhance production capacity and support growth [50][51] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth outlook, citing 25 consecutive quarters of year-over-year growth in adjusted EBITDA [25] - The company anticipates continued growth driven by better-for-you trends in health and nutrition markets [25][24] - Management highlighted the importance of ongoing scientific research and product awareness to drive future growth [6][36] Other Important Information - The company reported strong free cash flow of $51 million and closed the quarter with $65 million in cash [16][15] - The effective tax rate for the year is expected to be around 22.5% [54] Q&A Session Summary Question: Can you discuss the changes in Food Ingredients and Solutions and the outlook for subsegments? - Management noted a 14% increase in Human Nutrition and Health sales, with food ingredient business up nearly 7%, driven by better-for-you trends [30][32] Question: What is the current status of product penetration for nutrients like choline and K2? - Management indicated significant growth potential remains, with the market opportunities still several times the current size [36][37] Question: Can you comment on international anti-dumping practices and their potential impact? - Management discussed preliminary anti-dumping duties on Chinese choline chloride in the EU, which could create a more level playing field [44][45] Question: What is the timeline for the Orange County Microencapsulation facility and its expected impact? - The facility is expected to be completed by early 2027, doubling capacity and supporting continued double-digit growth in the encapsulates business [50][51] Question: What is the expected pace of debt repayment moving forward? - Management indicated that debt repayment will depend on M&A opportunities and maintaining a stable share count through repurchases [56][57]

Financial Data and Key Metrics Changes - The company reported record quarterly consolidated revenue of $268 million, an increase of 11.5% year-over-year [10][11] - GAAP earnings from operations reached a record $55 million, up 13.7% compared to the prior year [11][14] - Consolidated net income was $40 million, reflecting a 19.1% increase from the previous year, translating to diluted net earnings per share of $1.24, up 20.4% [11][15] - Adjusted EBITDA was a record $71 million, an increase of 11% year-over-year, with an adjusted EBITDA margin rate of 26.7% [11][14] Business Line Data and Key Metrics Changes - The Human Nutrition and Health segment generated record sales of $174 million, up 14.3% from the prior year, with earnings from operations of $41 million, an increase of 14.8% [17][18] - The Animal Nutrition and Health segment reported quarterly sales of $56 million, a 6.6% increase, with earnings from operations of $4 million, up 5.2% [18][19] - The Specialty Products segment achieved quarterly sales of $36 million, a 7.5% increase, with earnings from operations of $12 million, up 9.7% [20][21] Market Data and Key Metrics Changes - The company continues to see healthy demand across most end markets, particularly in the human nutrition and health segment, driven by trends towards nutrient-dense foods [3][4] - The animal nutrition market remains stable, with improved conditions noted in the European monogastric market [5][19] - The Specialty Products segment is benefiting from geographic expansion, particularly in Latin America and Asia Pacific [20][21] Company Strategy and Development Direction - The company is focused on expanding its marketing efforts and scientific research to bolster its Human Nutrition and Health segment [6][9] - There is an emphasis on leveraging better-for-you trends in the market to drive growth in food ingredients and solutions [29][30] - The company is actively pursuing strategic M&A opportunities while managing debt repayment and share repurchases [48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth outlook for the company, citing the ability to navigate macroeconomic challenges and tariff-related impacts [22] - The company anticipates continued growth driven by better-for-you trends in health and nutrition markets [22][30] - Management highlighted the importance of ongoing investments in scientific research to support product awareness and market penetration [6][7] Other Important Information - The company has successfully offset the impact of tariffs through alternate supply chain options and pricing actions [5][6] - A new microencapsulation manufacturing facility is expected to be completed by early 2027, which will double the capacity of the old plant [42][44] Q&A Session Questions and Answers Question: Can you discuss the changes in food solutions and the outlook for each subsegment in 2026? - Management noted that the Human Nutrition and Health segment saw a 14% increase in sales, with the nutrient portfolio growing about 30% and food ingredient business up nearly 7% [28][29] Question: What is the opportunity for product penetration and awareness of your minerals and nutrients? - Management indicated that there is significant room for growth, estimating the market opportunities to be 3 to 4 times the current size, particularly for chelated minerals [33][34] Question: Can you provide an overview of the status of the European anti-dumping campaigns related to choline? - Management explained that the European Union has preliminarily imposed anti-dumping duties on Chinese choline chloride, which could create a favorable environment for the company [39][40] Question: When is the Orange County microencapsulation manufacturing facility expected to be completed? - The facility is expected to be completed by early 2027, allowing for continued growth in the encapsulate business [44][45] Question: What is the expected pace of debt repayment moving forward? - Management stated that the pace of debt repayment will depend on the timing of M&A opportunities, but they will continue to reduce debt as excess cash is generated [48]

2 • During the course of this presentation, management may make forward-looking statements regarding financial performance and future events. • These forward-looking statements generally are identified by the words "believe," "project," "expect," "anticipate," "estimate," "forecast," "outlook," "intend," "strategy," "future," "opportunity," "plan," "may," "should," "will," "would," "will be," "will continue," "will likely result," or the negative thereof or variations thereon or similar expressions generall ...

Core Viewpoint - Blachem (BCPC) reported quarterly earnings of $1.35 per share, slightly missing the Zacks Consensus Estimate of $1.36 per share, but showing an increase from $1.03 per share a year ago, indicating a mixed performance in earnings despite revenue growth [1][2]. Financial Performance - The company posted revenues of $267.56 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 1.92% and up from $239.94 million year-over-year [2]. - Over the last four quarters, Blachem has surpassed consensus revenue estimates three times, but only once for EPS estimates [2]. Stock Performance - Blachem shares have declined approximately 7.5% since the beginning of the year, contrasting with the S&P 500's gain of 14.5%, indicating underperformance relative to the broader market [3]. - The current Zacks Rank for Blachem is 3 (Hold), suggesting that the stock is expected to perform in line with the market in the near future [6]. Earnings Outlook - The consensus EPS estimate for the upcoming quarter is $1.35 on revenues of $265.69 million, while for the current fiscal year, the estimate is $5.20 on revenues of $1.03 billion [7]. - The trend of estimate revisions for Blachem was mixed prior to the earnings release, which may change following the latest results [6]. Industry Context - The Chemical - Specialty industry, to which Blachem belongs, is currently ranked in the bottom 30% of over 250 Zacks industries, suggesting potential challenges ahead [8]. - The performance of stocks in this industry can be significantly influenced by the overall industry outlook, with top-ranked industries outperforming lower-ranked ones by a factor of more than 2 to 1 [8].

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) [Third Quarter 2025 Financial Overview](index=1&type=section&id=Third%20Quarter%202025%20Financial%20Overview) Balchem Corporation reported record Q3 2025 financial results, with net sales up 11.5% to $267.6 million, GAAP net earnings up 19.1% to $40.3 million, and adjusted EBITDA up 11.0% to $71.4 million - Balchem Corporation delivered **record financial results** in Q3 2025, with **strong growth** across all three reporting segments, driven by market penetration of specialty nutrients and favorable 'better for you' trends[1](index=1&type=chunk)[4](index=4&type=chunk) Q3 2025 Key Financial Highlights (YoY Growth) | Metric | Q3 2025 Value (in millions USD) | YoY Change (in millions USD) | YoY Growth % | | :----------------------------- | :------------ | :--------- | :----------- | | Net Sales | $267.6 million | +$27.6 million | 11.5% | | GAAP Net Earnings | $40.3 million | N/A | 19.1% | | Adjusted EBITDA | $71.4 million | N/A | 11.0% | | GAAP EPS | $1.24 | N/A | N/A | | Adjusted EPS | $1.35 | N/A | N/A | | Cash Flows from Operations | $65.6 million | N/A | N/A | | Free Cash Flow | $50.7 million | N/A | N/A | [Recent Strategic and Operational Highlights](index=1&type=section&id=Recent%20Strategic%20and%20Operational%20Highlights) Balchem made significant strategic progress, securing approvals for a new microencapsulation facility, publishing five new research studies including a choline 'biomarker' study, and reducing net debt to $88.9 million through strong cash flows - Balchem received approvals for a new state-of-the-art food ingredient and nutraceutical microencapsulation manufacturing facility in Orange County, NY, projected to **more than double capacity** for fast-growing microencapsulation technologies[4](index=4&type=chunk) - **Five new sponsored research studies** were published in Q3, including a significant **choline 'biomarker' study** that successfully identified choline and betaine concentrations in plasma as predictors of dietary choline intake in healthy humans[4](index=4&type=chunk) - Strong cash flows facilitated net repayments of **$36.0 million** on revolving debt, bringing net debt to **$88.9 million** and an overall leverage ratio of **0.3 times**[4](index=4&type=chunk) [Consolidated Financial Results](index=2&type=section&id=Consolidated%20Financial%20Results) [Income Statement Analysis](index=2&type=section&id=Income%20Statement%20Analysis) Balchem reported Q3 2025 consolidated net sales of $267.6 million, gross margin of $95.5 million, and net earnings of $40.3 million, with year-to-date net sales reaching $773.5 million Consolidated Income Statement Highlights (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (in thousands USD) | Three Months Ended Sep 30, 2024 (in thousands USD) | Nine Months Ended Sep 30, 2025 (in thousands USD) | Nine Months Ended Sep 30, 2024 (in thousands USD) | | :------------------------------------ | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Net Sales | $267,558 | $239,940 | $773,544 | $713,680 | | Gross Margin | $95,453 | $85,361 | $276,734 | $249,869 | | Earnings from Operations | $54,579 | $47,992 | $157,036 | $135,465 | | Net Earnings | $40,289 | $33,837 | $115,620 | $94,892 | | Diluted Net Earnings Per Common Share | $1.24 | $1.03 | $3.54 | $2.90 | | Adjusted EBITDA | $71,447 | $64,379 | $206,961 | $187,515 | | Adjusted Net Earnings Per Common Share | $1.35 | $1.13 | $3.84 | $3.25 | [Segment Performance](index=3&type=section&id=Segment%20Performance) All three business segments—Human Nutrition and Health, Animal Nutrition and Health, and Specialty Products—reported sales and earnings growth in Q3 2025, contributing to the company's overall strong performance - All three reporting segments (Human Nutrition and Health, Animal Nutrition and Health, and Specialty Products) experienced **growth in both sales and earnings** from operations during the third quarter[4](index=4&type=chunk)[7](index=7&type=chunk)[8](index=8&type=chunk) [Human Nutrition and Health](index=3&type=section&id=Human%20Nutrition%20and%20Health) The Human Nutrition and Health segment achieved record Q3 2025 sales of $174.1 million, a 14.3% increase, with earnings from operations growing 14.8% to $40.8 million, driven by nutrient and food ingredient sales Human Nutrition and Health Segment Performance (Q3 2025 vs 2024) | Metric | Q3 2025 Value (in millions USD) | Q3 2024 Value (in millions USD) | YoY Change (in millions USD) | YoY Growth % | | :-------------------------------- | :------------ | :------------ | :--------- | :----------- | | Sales | $174.1 million | $152.3 million | +$21.8 million | 14.3% | | Earnings from Operations | $40.8 million | $35.6 million | +$5.3 million | 14.8% | | Adjusted Earnings from Operations | $44.1 million | $39.0 million | N/A | 13.2% | - The increase in Human Nutrition and Health sales was driven by **higher sales** within both the nutrients business and the food ingredients and solutions businesses[7](index=7&type=chunk) [Animal Nutrition and Health](index=3&type=section&id=Animal%20Nutrition%20and%20Health) The Animal Nutrition and Health segment reported Q3 sales of $56.4 million, up 6.6%, driven by increased sales in ruminant and monogastric markets, with earnings from operations growing 5.2% to $3.7 million Animal Nutrition and Health Segment Performance (Q3 2025 vs 2024) | Metric | Q3 2025 Value (in millions USD) | Q3 2024 Value (in millions USD) | YoY Change (in millions USD) | YoY Growth % | | :-------------------------------- | :------------ | :------------ | :--------- | :----------- | | Sales | $56.4 million | $52.9 million | +$3.5 million | 6.6% | | Earnings from Operations | $3.7 million | $3.5 million | +$0.2 million | 5.2% | | Adjusted Earnings from Operations | $4.0 million | $4.0 million | N/A | 0.0% | - Sales growth in the Animal Nutrition and Health segment was driven by **higher sales** in both the ruminant and monogastric species markets[7](index=7&type=chunk) [Specialty Products](index=3&type=section&id=Specialty%20Products) The Specialty Products segment generated Q3 sales of $35.7 million, a 7.5% increase, driven by performance gases and plant nutrition, with record earnings from operations rising 9.7% to $11.5 million Specialty Products Segment Performance (Q3 2025 vs 2024) | Metric | Q3 2025 Value (in millions USD) | Q3 2024 Value (in millions USD) | YoY Change (in millions USD) | YoY Growth % | | :-------------------------------- | :------------ | :------------ | :--------- | :----------- | | Sales | $35.7 million | $33.2 million | +$2.5 million | 7.5% | | Earnings from Operations | $11.5 million | $10.5 million | N/A | 9.7% | | Adjusted Earnings from Operations | $12.7 million | $11.7 million | N/A | 8.8% | - Sales growth in the Specialty Products segment was due to **higher sales** in both the performance gases and plant nutrition businesses[8](index=8&type=chunk) [Other Financial Details](index=3&type=section&id=Other%20Financial%20Details) Consolidated gross margin increased 11.8% to $95.5 million, operating expenses rose $3.5 million, net interest expense decreased to $2.6 million, and the effective tax rate was 22.6% due to lower state taxes Consolidated Gross Margin, Operating Expenses, Interest, and Tax Rate (Q3 2025 vs 2024) | Metric | Q3 2025 Value (in millions USD) | Q3 2024 Value (in millions USD) | YoY Change (in millions USD) | YoY Growth % | | :-------------------------------- | :------------ | :------------ | :--------- | :----------- | | Gross Margin | $95.5 million | $85.4 million | +$10.1 million | 11.8% | | Gross Margin as % of Sales | 35.7% | 35.6% | +0.1% | N/A | | Operating Expenses | $40.9 million | $37.4 million | +$3.5 million | N/A | | Net Interest Expense | $2.6 million | $4.1 million | -$1.5 million | N/A | | Effective Tax Rate | 22.6% | 22.9% | -0.3% | N/A | - **Operating expenses increased primarily due to an increase in professional services and higher compensation-related costs**[9](index=9&type=chunk) - The **decrease in interest expense** was primarily due to **lower outstanding borrowings**, and the **lower effective tax rate** was primarily due to certain **lower state taxes**[10](index=10&type=chunk) [Financial Position and Cash Flows](index=3&type=section&id=Financial%20Position%20and%20Cash%20Flows) [Balance Sheet](index=6&type=section&id=Balance%20Sheet) As of September 30, 2025, Balchem's total assets increased to $1,661.0 million, with cash and cash equivalents rising to $65.1 million and stockholders' equity increasing to $1,297.9 million Selected Balance Sheet Items (September 30, 2025 vs December 31, 2024) | Metric | Sep 30, 2025 (in thousands USD) | Dec 31, 2024 (in thousands USD) | | :-------------------------------- | :----------- | :----------- | | Cash and Cash Equivalents | $65,093 | $49,515 | | Accounts Receivable, Net | $131,542 | $119,662 | | Inventories | $132,435 | $130,802 | | Total Current Assets | $343,715 | $313,770 | | Total Assets | $1,661,031 | $1,575,371 | | Current Liabilities | $126,369 | $157,685 | | Revolving Loan | $154,000 | $190,000 | | Total Liabilities | $363,167 | $425,458 | | Stockholders' Equity | $1,297,864 | $1,149,913 | [Cash Flow Statement](index=7&type=section&id=Cash%20Flow%20Statement) For the nine months ended September 30, 2025, net cash from operating activities increased to $149.3 million, with Q3 free cash flow at $50.7 million, and significant payments for debt repayment, stock repurchases, and capital expenditures Condensed Consolidated Statements of Cash Flows (Nine Months Ended Sep 30, 2025 vs 2024) | Cash Flow Activity | Nine Months Ended Sep 30, 2025 (in thousands USD) | Nine Months Ended Sep 30, 2024 (in thousands USD) | | :------------------------------------ | :----------------------------- | :----------------------------- | | Net Cash Provided by Operating Activities | $149,281 | $129,682 | | Net Cash Used in Investing Activities | $(27,475) | $(22,777) | | Net Cash Used in Financing Activities | $(111,562) | $(98,602) | | Increase in Cash and Cash Equivalents | $15,578 | $9,247 | | Cash and Cash Equivalents, End of Period | $65,093 | $73,694 | Free Cash Flow (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (in thousands USD) | Three Months Ended Sep 30, 2024 (in thousands USD) | Nine Months Ended Sep 30, 2025 (in thousands USD) | Nine Months Ended Sep 30, 2024 (in thousands USD) | | :------------------------------------ | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Net Cash Provided by Operating Activities | $65,572 | $51,302 | $149,281 | $129,682 | | Capital Expenditures and Proceeds from Sale of Assets | $(14,891) | $(9,065) | $(26,866) | $(22,240) | | Free Cash Flow | $50,681 | $42,237 | $122,415 | $107,442 | - Significant cash payments during Q3 included net repayments on the revolving loan of **$36.0 million**, repurchases of common stock of **$15.4 million**, and capital expenditures and intangible assets acquired of **$14.9 million**[11](index=11&type=chunk) [Non-GAAP Financial Measures](index=8&type=section&id=Non-GAAP%20Financial%20Measures) [Non-GAAP Measures Overview](index=8&type=section&id=Non-GAAP%20Measures%20Overview) Balchem Corporation uses non-GAAP financial measures, including adjusted gross margin, EBITDA, and free cash flow, to provide a clearer understanding of performance by excluding specific adjustments and unusual transactions - **Non-GAAP financial measures** are used to help understand and compare past and future financial performance, **excluding certain business combination accounting adjustments**, **equity compensation**, **nonqualified deferred compensation plan expense**, and **one-time or unusual transactions**[21](index=21&type=chunk) - The non-GAAP measures disclosed include **adjusted gross margin**, **adjusted earnings from operations**, **adjusted net earnings** and related per diluted share amounts, **EBITDA**, **adjusted EBITDA**, **adjusted income tax expense**, **free cash flow**, and **net debt**[21](index=21&type=chunk) [Reconciliation Tables](index=8&type=section&id=Reconciliation%20Tables) The report provides detailed reconciliations of various non-GAAP financial measures to their most directly comparable GAAP financial measures, including adjustments for amortization, transaction and integration costs, restructuring costs, impairment charges, nonqualified deferred compensation plan expenses, and income tax adjustments [Adjusted Gross Margin, Earnings from Operations, and Net Earnings](index=8&type=section&id=Adjusted%20Gross%20Margin%2C%20Earnings%20from%20Operations%2C%20and%20Net%20Earnings) Reconciliations show adjustments to GAAP gross margin, earnings from operations, and net earnings, primarily for amortization of intangible assets and finance leases, transaction and integration costs, restructuring costs, impairment charges, and nonqualified deferred compensation plan expense Reconciliation of Non-GAAP Measures to GAAP (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (GAAP) (in thousands USD) | Three Months Ended Sep 30, 2025 (Adjusted) (in thousands USD) | Nine Months Ended Sep 30, 2025 (GAAP) (in thousands USD) | Nine Months Ended Sep 30, 2025 (Adjusted) (in thousands USD) | | :------------------------------------ | :------------------------------------- | :--------------------------------------- | :------------------------------------ | :-------------------------------------- | | Gross Margin | $95,453 | $96,192 | $276,734 | $278,890 | | Earnings from Operations | $54,579 | $59,710 | $157,036 | $171,729 | | Net Earnings | $40,289 | $43,982 | $115,620 | $125,560 | | Net Earnings Per Common Share - Diluted | $1.24 | $1.35 | $3.54 | $3.84 | [EBITDA and Adjusted EBITDA](index=9&type=section&id=EBITDA%20and%20Adjusted%20EBITDA) GAAP net earnings are reconciled to EBITDA by adding back income taxes, interest, and depreciation, with Adjusted EBITDA further including non-cash compensation and various one-time costs Reconciliation of GAAP Net Earnings to EBITDA and Adjusted EBITDA (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (in thousands USD) | Three Months Ended Sep 30, 2024 (in thousands USD) | Nine Months Ended Sep 30, 2025 (in thousands USD) | Nine Months Ended Sep 30, 2024 (in thousands USD) | | :------------------------------------ | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Net Earnings - as reported | $40,289 | $33,837 | $115,620 | $94,892 | | EBITDA | $66,060 | $58,823 | $190,789 | $172,326 | | Adjusted EBITDA | $71,447 | $64,379 | $206,961 | $187,515 | [Effective Income Tax Rate](index=9&type=section&id=Effective%20Income%20Tax%20Rate) The reconciliation of GAAP effective income tax rate to non-GAAP effective income tax rate primarily adjusts for the impact of ASU 2016-09, which relates to the recognition of excess tax benefits from share-based payments Reconciliation of GAAP to Non-GAAP Effective Income Tax Rate (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (GAAP) (in thousands USD) | Three Months Ended Sep 30, 2025 (Adjusted) (in thousands USD) | Nine Months Ended Sep 30, 2025 (GAAP) (in thousands USD) | Nine Months Ended Sep 30, 2025 (Adjusted) (in thousands USD) | | :------------------------------------ | :------------------------------------- | :--------------------------------------- | :------------------------------------ | :-------------------------------------- | | Income Tax Expense | $11,755 | $11,776 | $33,375 | $34,269 | | Effective Tax Rate | 22.6% | 22.6% | 22.4% | 23.0% | [Free Cash Flow](index=10&type=section&id=Free%20Cash%20Flow) Free cash flow is reconciled from net cash provided by operating activities by subtracting capital expenditures and adding proceeds from the sale of assets Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow (Q3 and YTD 2025 vs 2024) | Metric | Three Months Ended Sep 30, 2025 (in thousands USD) | Three Months Ended Sep 30, 2024 (in thousands USD) | Nine Months Ended Sep 30, 2025 (in thousands USD) | Nine Months Ended Sep 30, 2024 (in thousands USD) | | :------------------------------------ | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Net Cash Provided by Operating Activities | $65,572 | $51,302 | $149,281 | $129,682 | | Capital Expenditures and Proceeds from Sale of Assets | $(14,891) | $(9,065) | $(26,866) | $(22,240) | | Free Cash Flow | $50,681 | $42,237 | $122,415 | $107,442 | [Corporate Information](index=4&type=section&id=Corporate%20Information) [Quarterly Conference Call](index=4&type=section&id=Quarterly%20Conference%20Call) Balchem Corporation will host a quarterly conference call on October 21, 2025, at 11:00 AM ET, with CEO Ted Harris and CFO Martin Bengtsson, to discuss Q3 2025 results - A quarterly conference call to review **Q3 2025 results** will be held on Tuesday, **October 21, 2025**, at **11:00 AM Eastern Time (ET)**[13](index=13&type=chunk) - The call will be hosted by **Ted Harris**, Chairman, President and CEO, and **Martin Bengtsson**, CFO, and can be accessed via dial-in or live webcast[13](index=13&type=chunk) [Segment Descriptions](index=4&type=section&id=Segment%20Descriptions) Balchem Corporation operates through three primary business segments: Human Nutrition and Health, Animal Nutrition and Health, and Specialty Products, each serving distinct markets with specialized products and solutions - Balchem Corporation reports **three business segments**: Human Nutrition and Health, Animal Nutrition and Health, and Specialty Products[14](index=14&type=chunk) - The Human Nutrition and Health segment delivers **customized food and beverage ingredient systems** and **key nutrients** to the food, supplement, and pharmaceutical industries[14](index=14&type=chunk) - The Animal Nutrition and Health segment manufactures and supplies products to **numerous animal health markets**[14](index=14&type=chunk) - The Specialty Products segment provides **specialty-packaged performance gases** for healthcare and other industries, and **chelated minerals** to the micronutrient agricultural market[14](index=14&type=chunk) [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) This release contains forward-looking statements about future events, subject to risks and uncertainties that could cause actual results to differ materially, with no obligation for public updates - The release contains **forward-looking statements** reflecting expectations or beliefs concerning future events, which involve **risks and uncertainties**[15](index=15&type=chunk) - These statements are based on currently available information and assumptions, but **actual results could differ materially** due to future events, risks, and potentially inaccurate assumptions beyond the company's control[15](index=15&type=chunk) - The company undertakes **no obligation to publicly update or revise** any forward-looking statements[15](index=15&type=chunk) [Contact Information](index=4&type=section&id=Contact%20Information) For further inquiries, contact Jacqueline Yarmolowicz at Balchem Corporation - Contact **Jacqueline Yarmolowicz** at Balchem Corporation for inquiries (Telephone: **845-326-5600**)[16](index=16&type=chunk)

MONTVALE, N.J., Oct. 21, 2025 (GLOBE NEWSWIRE) -- Balchem Corporation (NASDAQ: BCPC) reported today financial results for its 2025 fiscal third quarter ended September 30, 2025. For the quarter, the Company reported net sales of $267.6 million, net earnings of $40.3 million, adjusted EBITDA(a) of $71.4 million, and free cash flow(a) of $50.7 million. Ted Harris, Chairman, President and CEO of Balchem said, “In the third quarter, our company continued to deliver strong growth, fueled by the ongoing market pe ...

Core Viewpoint - Balchem Corporation will hold a conference call on October 21, 2025, to discuss its third quarter 2025 results, with key executives participating [1][2]. Company Overview - Balchem Corporation develops, manufactures, and markets specialty ingredients aimed at enhancing health and well-being across various industries [4]. - The company operates through three business segments: Human Nutrition & Health, Animal Nutrition & Health, and Specialty Products [4]. - The Human Nutrition & Health segment focuses on customized food and beverage ingredient systems and key nutrients for food, supplement, and pharmaceutical applications [4]. - The Animal Nutrition & Health segment provides products for various animal health markets [4]. - Specialty Products offers specialty-packaged chemicals for healthcare and other industries, along with chelated minerals for the agricultural micronutrient market [4]. Conference Call Details - The conference call is scheduled for October 21, 2025, at 11:00 AM ET, with participation from the Chairman, President, CEO, and CFO [1]. - Third quarter results will be published before the market opens on the same day, and the press release will be available on the company website [2]. - Institutional investors and analysts can join the call via specific phone numbers, and a live webcast will be accessible to the public [3].

Core Viewpoint - Blachem (BCPC) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, influencing their buying and selling actions, which in turn affects stock prices [4]. Blachem's Earnings Outlook - The recent upgrade for Blachem reflects an improvement in its underlying business, which is expected to drive the stock price higher as investors respond positively to this trend [5][10]. - For the fiscal year ending December 2025, Blachem is projected to earn $5.20 per share, with a 1% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7]. - Blachem's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Company Overview - Balchem Corporation is a global specialty ingredient manufacturer focused on health and nutrition markets [2] - The company operates through three business segments: Human Nutrition & Health, Animal Nutrition & Health, and Specialty Products [2] Business Segments - The Human Nutrition & Health segment provides customized food and beverage ingredient systems and key nutrients for food, supplement, and pharmaceutical applications [2] - The Animal Nutrition & Health segment supplies products to various animal health markets [2] - Specialty Products segment offers specialty-packaged chemicals for healthcare and other industries, as well as chelated minerals for the micronutrient agricultural market [2] Upcoming Events - Balchem Corporation will present at the H.C. Wainwright 27 Annual Global Investment Conference on September 9, 2025, with key executives participating [1]