Financial Performance - Net sales for the second quarter of 2024 totaled $710.2 million, an increase of $25.1 million, or 3.7%, from the second quarter of 2023[67] - Petroleum additives net sales for the first six months of 2024 were $1.3 billion, a decrease of 2.7% compared to $1.4 billion in the same period of 2023[68] - The operating profit for the petroleum additives segment increased by 13.1% for the first six months of 2024, reflecting lower raw material and operating costs[60] - Petroleum additives segment gross profit increased by $12.1 million in the second quarter of 2024 compared to the same period in 2023[77] - The company experienced a 2.1% decrease in petroleum additives net sales for the second quarter of 2024 compared to the same quarter in 2023[68] - The operating profit margin for petroleum additives was 20.7% for the rolling four quarters ended June 30, 2024, consistent with historical ranges[80] Financial Position and Debt - The company maintains a strong financial position with sufficient access to capital and does not anticipate issues meeting debt covenants[60] - The company entered into a new $900 million revolving credit facility and a $250 million unsecured term loan on January 22, 2024[60] - Total long-term debt increased to $1.2 billion at June 30, 2024, compared to $643.6 million at December 31, 2023[92] Expenses and Income - SG&A expenses for Q2 2024 increased by $1.7 million compared to Q2 2023, representing 4.7% of net sales[80] - R&D investment decreased by $5.3 million in Q2 2024 compared to Q2 2023, accounting for 4.3% of net sales[80] - Interest and financing expenses rose to $15.9 million in Q2 2024 from $10.3 million in Q2 2023, primarily due to higher average debt and interest rates[83] - Other income increased to $12.0 million in Q2 2024 from $10.7 million in Q2 2023, reflecting components of net periodic benefit cost[84] - Income tax expense for Q2 2024 was $31.4 million, with an effective tax rate of 21.9%, up from $25.1 million and 20.1% in Q2 2023[85] Cash Flow - Cash and cash equivalents decreased by $24.3 million to $87.6 million as of June 30, 2024[88] - Cash provided from operating activities was $217.8 million for the first six months of 2024, including $40.7 million of higher working capital requirements[89] Market Outlook - The company anticipates a long-term growth rate of up to 2% in the petroleum additives market and plans to exceed this growth rate[104] Acquisition - The acquisition of AMPAC was completed for approximately $697 million on January 16, 2024, contributing to the specialty materials segment[60] Specialty Materials - The specialty materials segment reported net sales of $38.0 million for the second quarter of 2024[72] Cost of Goods Sold - The cost of goods sold as a percentage of net sales for the second quarter of 2024 was 68.9%, down from 71.3% in the second quarter of 2023[78]

Financial Performance - Net income for Q2 2024 was $111.6 million, or $11.63 per share, up from $99.6 million, or $10.36 per share in Q2 2023, representing a 20% increase in net income [4]. - Earnings per share for the first half of 2024 were $22.87, compared to $20.45 in the same period of 2023, indicating a 11% increase [4]. - Net income for the six months ended June 30, 2024, was $219,352 thousand, a 11.6% increase compared to $197,207 thousand for the same period in 2023 [25]. - EBITDA for the second quarter ended June 30, 2024, reached $187,842 thousand, up 21.3% from $154,862 thousand in the second quarter of 2023 [26]. - The company reported a gross profit of $434.8 million for the first half of 2024, up from $393.7 million in the same period of 2023 [23]. Sales and Operating Profit - Petroleum additives sales for Q2 2024 were $669.8 million, a decrease from $684.0 million in Q2 2023, while operating profit increased to $147.8 million from $132.1 million, reflecting improved margins despite lower selling prices [5]. - For the first half of 2024, petroleum additives sales totaled $1.3 billion, down from $1.4 billion in the same period of 2023, but operating profit rose to $298.7 million from $264.2 million, driven by a 2.7% increase in shipments [6]. - The specialty materials segment reported sales of $38.0 million in Q2 2024, with an operating profit of $5.0 million, compared to a loss of $5.0 million in Q1 2024 [8]. Cash Flow and Dividends - Cash flows from operations in the first half of 2024 were solid, with capital expenditures of $28.5 million and dividends paid amounting to $48.0 million [10]. - Cash dividends declared per share increased to $2.50 in Q2 2024 from $2.25 in Q2 2023 [23]. - The company paid dividends totaling $47,972 thousand in the first half of 2024, compared to $41,879 thousand in the same period of 2023, marking a 14.9% increase [25]. Debt and Leverage - Since the acquisition of American Pacific Corporation (AMPAC), the company has reduced debt by $171 million, with a Net Debt to EBITDA ratio of 1.6 as of June 30, 2024 [11]. - Long-term debt rose to $1,172,732 thousand as of June 30, 2024, compared to $643,622 thousand at December 31, 2023, indicating a significant increase of 82.3% [27]. - Net Debt to EBITDA ratio increased to 1.6 as of June 30, 2024, compared to 0.9 at December 31, 2023, reflecting a higher leverage position [27]. Assets and Retained Earnings - Total assets increased to $3,150,071 thousand as of June 30, 2024, up from $2,308,871 thousand at December 31, 2023, representing a growth of 36.5% [24]. - Retained earnings increased to $1,267,393 thousand as of June 30, 2024, up from $1,096,002 thousand at December 31, 2023, reflecting a growth of 15.6% [24]. Cash and Capital Expenditures - Cash and cash equivalents decreased to $87,632 thousand as of June 30, 2024, down from $111,936 thousand at December 31, 2023, a decline of 21.6% [24]. - Capital expenditures for the six months ended June 30, 2024, were $28,533 thousand, slightly higher than $26,006 thousand in the same period of 2023 [25]. - The company reported a decrease in cash and cash equivalents of $24,304 thousand for the six months ended June 30, 2024, compared to an increase of $62,211 thousand in the same period of 2023 [25]. Future Outlook - The company anticipates continued strength in the petroleum additives segment and is focused on the integration of AMPAC into its operations [12].

Core Insights - NewMarket (NYSE:NEU) is a holding company with subsidiaries Afton Chemical and Ethyl Corp., focusing on petroleum additives and specialty materials [1][4][17] - The company recently acquired AMPAC for approximately $700 million, which has impacted its financial results, particularly in the specialty materials division [4][5][17] Financial Performance - In Q1 2024, NewMarket reported total revenue of $697 million, a decrease of just under 1% year-over-year, while gross profit increased by over 9% to just over $216 million [11][16] - Operating profit in the petroleum additives division was nearly $151 million, contrasting with a negative operating profit of $5 million in the specialty materials division [7][11] - The company generated underlying free cash flow of $110 million, with a reported operating cash flow of approximately $124 million after accounting for working capital investments [4][8] Debt and Cash Flow - As of the end of Q1 2024, NewMarket had $117 million in cash and $1.28 billion in gross debt, resulting in a net debt level of $1.16 billion, up from $531 million at the end of the previous year [4][14] - The company anticipates ending the year with a net debt of less than $1 billion and a debt ratio closer to 1.5 times EBITDA, which is in line with its internal targets [14][19] Acquisition Impact - The AMPAC acquisition contributed to an operating loss in the specialty materials division, attributed to non-recurring items and transaction-related expenses [5][17] - NewMarket expects improved results from the specialty materials division in the upcoming quarters, aligning with pre-acquisition expectations [17] Earnings and Valuation - Net income for Q1 2024 was $107.7 million, reflecting an increase of over 10% compared to the same quarter last year, resulting in earnings per share of $11.23 [16][19] - The stock is currently trading at about 9.5 times projected full-year EBITDA of $625 million, with expectations for this multiple to decrease as debt is repaid and the AMPAC acquisition begins to contribute positively [19]

NewMarket Corporation (NYSE:NEU) Q1 2024 Earnings Conference Call April 25, 2024 3:00 PM ET Company Participants Bill Skrobacz - Vice President and Chief Financial Officer Conference Call Participants Operator Greetings. Welcome to NewMarket Corporation's Conference Call and Webcast to review First Quarter 2024 Financial Results. At this time, all participants are placed on a listen-only mode. [Operator Instructions] Please note this conference is being recorded. I will now turn the conference over to your ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-32190 NEWMARKET CORPORATION (Exact name of registrant as specified in its charter) Virginia 20-0812170 (State or other juri ...

EXHIBIT 99.1 NewMarket Corporation Reports First Quarter 2024 Results Richmond, VA, April 24, 2024 – NewMarket Corporation (NYSE:NEU) Chairman and Chief Executive Officer, Thomas E. Gottwald, released the following earnings report of the Company's operations for the first quarter of 2024. Net income for the first quarter of 2024 was $107.7 million, or $11.23 per share, compared to net income of $97.6 million, or $10.09 per share, for the first quarter of 2023. Petroleum additives sales for the first quarter ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-32190 NEWMARKET CORPORATION Incorporated pursuant to the Laws of the Commonwealth of Virginia Internal Revenue Service Employer ...

NewMarket Corporation (NYSE:NEU) Q4 2023 Earnings Conference Call February 1, 2024 3:00 PM ET Company Participants Bill Skrobacz - CFO Conference Call Participants Operator Good day and welcome to the NewMarket Corporation Scheduled Conference Call and Webcast to review the Fourth Quarter and Full Year 2023. At this time, all participants are placed on a listen-only mode. And it now my pleasure to turn the floor over to your host, Mr. Bill Skrobacz. Sir, the floor is yours. Bill Skrobacz Thank you, Ali and ...

NewMarket Corporation (NYSE:NEU) Q3 2023 Earnings Conference Call October 26, 2023 3:00 PM ET Company Participants Bill Skrobacz - Chief Financial Officer Operator Good day and welcome to the NewMarket Corporation Conference Call and Webcast to review the Third Quarter 2023 Financial Results. [Operator Instructions] I would now like to turn the floor over to your host, Bill Skrobacz. The floor is yours. Bill Skrobacz Thank you, Kelly and thanks to everyone for joining me this afternoon. As a reminder, some ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-32190 NEWMARKET CORPORATION (Exact name of registrant as specified in its charter) Virginia 20-0812170 (State or other ...