Financial Performance - Diluted EPS was $1.69, while Adjusted EPS was $1.90, a 7% increase year-over-year[5] - The company increased the quarterly dividend by 5%, from $0.43 to $0.45 per share[5] - $70 million was returned to shareholders through dividends and share repurchases[5] - Cash flow from operations was $73 million, and discretionary free cash flow was $110 million[14] - Capital expenditures (Capex) were $72 million, with FY25 expected to be in the range of $250 million to $275 million[14] Segment Performance - Performance Chemicals segment EBIT was $50 million, up 11% sequentially and 61% year-over-year[5] - Reinforcement Materials segment EBIT was $131 million, up 1% sequentially but down 12% year-over-year[5] - Reinforcement Materials volumes were down 7% year-over-year due to lower tire demand and contract outcomes in South America[15] - Performance Chemicals volumes were up 4% year-over-year, driven by fumed metal oxides sales[22] Outlook and Strategy - The company expects $100 million to $200 million in share repurchases in fiscal year 2025[12] - The company forecasts approximately $30 million of savings in FY25 from fixed cost and procurement initiatives[12]

Financial Data and Key Metrics Changes - Adjusted earnings per share for Q2 2025 increased by 7% to $1.9 compared to Q2 2024, with a 10% growth in the first half of fiscal 2025 compared to the same period in fiscal 2024 [5][14][25] - EBIT in Reinforcement Materials was $131 million, up 1% sequentially but down 12% year over year [6][16] - EBIT in Performance Chemicals increased by 61% year over year, driven by improved margins and higher volumes [6][18] Business Line Data and Key Metrics Changes - Reinforcement Materials experienced a 7% decline in global volumes year over year, with regional declines of 9% in The Americas, 8% in Asia Pacific, and 1% in Europe [16][17] - Performance Chemicals saw a 4% increase in volumes year over year, particularly in the fumed silica product line [18] Market Data and Key Metrics Changes - The Americas market was heavily influenced by South America, where lower contract volumes were noted, while North America saw a small decline in volumes due to weak demand [30] - In Asia, volumes were down 8%, primarily due to a more normalized Lunar New Year holiday and cautious production adjustments by customers [31] Company Strategy and Development Direction - The company is focusing on high-performance segments in China and developing business with customers building battery plants in Western economies [7][12] - A 5% increase in quarterly dividends was announced, consistent with the capital allocation framework to increase dividends as earnings grow [9][25] - The company is executing fixed cost and procurement initiatives expected to contribute $30 million in savings for fiscal 2025 [12][21] Management's Comments on Operating Environment and Future Outlook - Management noted that the current tariff landscape is dynamic, causing customers to adopt a cautious posture regarding inventory levels [11][20] - The company expects volumes in Reinforcement Materials to decline in the low single-digit percentage for the fiscal year, while Performance Chemicals is expected to see low single-digit percentage growth [22][24] Other Important Information - Cash flow from operations was $73 million, with discretionary free cash flow of $110 million for the quarter [15] - Capital expenditures for Q2 2025 were $72 million, with a full-year forecast of $250 million to $275 million [15][67] Q&A Session Summary Question: Can you provide insight on the reinforcement volume changes? - Management explained that the volume picture varies by region, with significant declines in South America and a small decline in North America due to economic uncertainty [28][30][34] Question: How do volumes split between North America and South America? - Management indicated that approximately 60% of volumes come from North America and 40% from South America, with South American volumes down sharply [40][42] Question: What are the underlying price dynamics in the Reinforcement Materials segment? - Pricing is largely flat due to contract negotiations, with steady margins in Asia Pacific but lower than in the West [43][45] Question: What is the expected impact on energy center revenues? - Management expects some impact in the second half due to declining oil prices, with a mid-single-digit million headwind anticipated [46] Question: How is the seasonal trend expected to play out in Performance Chemicals? - Management noted that while seasonal trends remain, customers are exhibiting caution in inventory levels due to tariff uncertainties [52][55] Question: What is the current capacity utilization across the industry? - Capacity utilization varies by region, with North America in the low 80s, Europe in the upper 80s, and Asia Pacific around 90%, but a cautious approach is expected to lower these levels [62][64][66] Question: How is the CapEx split between growth and maintenance? - Approximately $100 million of the $250 million to $275 million CapEx is growth-related, primarily for new capacity in Indonesia [68]

Cabot (CBT) came out with quarterly earnings of $1.90 per share, beating the Zacks Consensus Estimate of $1.86 per share. This compares to earnings of $1.78 per share a year ago. These figures are adjusted for non- recurring items. This quarterly report represents an earnings surprise of 2.15%. A quarter ago, it was expected that this chemical company would post earnings of $1.80 per share when it actually produced earnings of $1.76, delivering a surprise of -2.22%. Over the last four quarters, the company ...

Exhibit 99.1 Investor Contact: Steve Delahunt (617) 342-6255 CABOT CORP REPORTS SECOND QUARTER FISCAL 2025 RESULTS Diluted earnings per share ("EPS") of $1.69 and Adjusted EPS of $1.90 BOSTON (May 5, 2025)-- Cabot Corporation (NYSE: CBT) today announced results for its second quarter of fiscal year 2025. Key Highlights | (In millions, except per share amounts) | | Three Months Ended | | | Six Months Ended | | | --- | --- | --- | --- | --- | --- | --- | | | 3/31/25 | | 3/31/24 | 3/31/25 | | 3/31/24 | | Net s ...

Core Insights - Cabot Corporation reported diluted earnings per share (EPS) of $1.69 and adjusted EPS of $1.90 for the second quarter of fiscal year 2025, reflecting a 7% increase in adjusted EPS compared to the same quarter in the prior year [4][6][10] Financial Performance - Net income attributable to Cabot Corporation was $94 million for the second quarter, compared to $84 million in the same period last year [4][6] - The company returned $70 million to shareholders through dividends and share repurchases during the second quarter [6][10] - The quarterly dividend was increased by 5% from $0.43 to $0.45 per share [6] Segment Results - Reinforcement Materials segment reported EBIT of $131 million, down 12% year-over-year due to lower tire demand and contract outcomes in South America [5][6] - Performance Chemicals segment saw EBIT increase by 61% year-over-year to $50 million, driven by higher volumes in fumed metal oxides related to construction and semiconductor applications [6][7] Cash Flow and Capital Expenditures - The company ended the second quarter with a cash balance of $213 million, with cash flows from operating activities amounting to $73 million [8] - Capital expenditures for the quarter were $72 million [8] Tax and Effective Tax Rate - The company recorded a tax expense of $49 million with an effective tax rate of 32% for the second quarter [9] Outlook - Adjusted EPS guidance for fiscal 2025 has been revised to a range of $7.15 to $7.50 due to uncertain impacts from recent tariff policies on customer demand [10] - The company expects to maintain strong operating cash flow, allowing for continued investment in strategic growth projects and shareholder returns [10]

Group 1 - Cabot Corporation declared a quarterly dividend of $0.45 per share, marking a 5% increase from the previous dividend of $0.43 per share [1] - The new annualized dividend rate is $1.80 per share compared to the previous rate of $1.72 per share [2] - The dividend is payable on June 13, 2025, to stockholders of record as of May 30, 2025 [1] Group 2 - The CEO of Cabot Corporation expressed confidence in the company's consistent earnings performance and strong cash flow generation [2] - The actions of increasing the dividend and authorizing share repurchase are part of the company's commitment to creating shareholder value [2] - Cabot Corporation is a global specialty chemicals and performance materials company, providing a range of products including reinforcing carbons and battery materials [3]

The market expects Cabot (CBT) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2025. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on May 5, 2025, might help the stock move higher if these key numbers are better than ...

BOSTON, April 02, 2025 (GLOBE NEWSWIRE) -- Cabot Corporation (NYSE:CBT) announced today that it will release operating results for the second quarter of fiscal 2025 on Monday, May 5, 2025, after market close. The Company will host a conference call and live webcast to review the second quarter results beginning at 8:00 am (ET) on Tuesday, May 6, 2025. The call will be webcast by Notified and may be accessed at Cabot's website at https://cabotog.gcs-web.com/. If you are unable to participate during the live ...

Core Viewpoint - Cabot's recent earnings report shows mixed results, with net income increasing year-over-year but missing consensus estimates for both EPS and sales, leading to a decline in share price and a downward trend in estimates [2][3][8]. Financial Performance - Cabot reported a net income of $93 million or $1.67 per share for Q1 fiscal 2025, up from $50 million or $0.88 per share in the prior year [2]. - Adjusted EPS was $1.76, an increase from $1.56 year-over-year, but below the Zacks Consensus Estimate of $1.80 [2]. - Total sales were $955 million, missing the Zacks Consensus Estimate of $993 million and reflecting a year-over-year decline of approximately 0.3% [3]. Segment Highlights - Sales in the Reinforcement Materials segment decreased by 4.7% year-over-year to $611 million, missing the consensus estimate of $664.2 million [4]. - The Performance Chemicals unit saw a 9.1% increase in sales to $311 million, surpassing the Zacks Consensus Estimate of $296.1 million [5]. Financial Position - At the end of Q1, Cabot had a cash balance of $183 million, with cash flows from operating activities amounting to $124 million [6]. - Capital expenditures were $77 million, with $24 million allocated for dividends and $42 million for share repurchases during the quarter [6]. Outlook - Cabot anticipates adjusted EPS for fiscal 2025 to be between $7.40 and $7.80, considering business segment results and customer agreements [7]. - The company expects strong operating cash flow to support strategic growth investments and shareholder returns, while continuing its "Creating for Tomorrow" strategy [7]. - Estimates for the stock have trended downward, with a consensus estimate shift of -5.44% [8][11]. Investment Scores - Cabot has a Growth Score of A, a Momentum Score of C, and a Value Score of A, placing it in the top 20% for value investment strategy [10]. - The overall VGM Score is A, indicating strong potential across multiple investment strategies [10].

Group 1 - The article discusses the author's background as an equity research analyst and trader, emphasizing a blend of fundamental and technical analysis skills [1] - The author expresses a commitment to responsible investing and a willingness to explore diverse investment ideas, highlighting the dynamic nature of the investment industry [1] - The author notes a personal interest in various asset classes, including equities, currencies, and cryptocurrencies, indicating a broad investment perspective [1] Group 2 - The article includes a disclosure stating that the author has no current positions in the mentioned companies but may consider initiating a long position in the near future [1] - It clarifies that the opinions expressed are solely those of the author and do not represent the views of Seeking Alpha as a whole [2] - The article emphasizes that past performance is not indicative of future results, underscoring the inherent uncertainties in investment [2]