Ingevity Corporation (NGVT) recorded a third-quarter 2024 loss of $107.2 million or $2.95 per share. This compares unfavorably with a profit of $25.2 million or 69 cents in the year-ago quarter. Excluding one-time items, adjusted earnings in the quarter were $1.10 per share, down from $1.21. The figure surpassed the Zacks Consensus Estimate of 60 cents. Find the latest EPS estimates and surprises on Zacks Earnings Calendar. Revenues fell 15.5% year over year to $376.9 million in the quarter. The downside is ...

Ingevity (NGVT) shares soared 12% in the last trading session to close at $37.04. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 9.6% loss over the past four weeks. NGVT's gain appears to reflect a recovery in its shares from the recent slump following its announcement of the CEO transition. NGVT, last Thursday, announced the departure of John Fortson as president and CEO and from the board of directors of the company, effective ...

Product Launch and Innovation - Ingevity Corporation will launch Capa HS, a next-generation polycaprolactone polyol designed for enhanced hydrolytic resistance in polyurethanes, at the Polyurethanes Technical Conference in Atlanta [1] - Capa HS extends the life of polyurethane elastomers in tough, wet, and humid conditions, making it suitable for industries like offshore, mining, and petroleum [2] - The Capa HS series demonstrates superior performance in outdoor and maritime conditions, retaining integrity after simulating ten years of water ingress compared to traditional polyesters [3] Company Overview and Market Position - Ingevity is a global leader in caprolactone technology with a 50-year history of innovation, distributing Capa products across various industries to enhance durability, flexibility, and resistance [4] - The company's advanced polymer technologies business focuses on sustainable end-of-life solutions for its products [4] Financial Performance and Guidance - Ingevity's shares have declined 16% over the past year, compared to the industry's 2.5% decline [5] - Q2 2024 sales were impacted by the repositioning of the Performance Chemicals segment, though higher sales in Performance Materials partially offset the decline [5] - The company revised its 2024 sales guidance to $1.4-$1.5 billion and adjusted EBITDA outlook to $350-$360 million [6] Industry Context and Competitors - The Polyurethanes Technical Conference is North America's longest-running polyurethanes conference, offering industry networking and regulatory insights [5] - Carpenter Technology Corporation, Eldorado Gold Corporation, and Hawkins, Inc are better-ranked stocks in the basic materials space, with Carpenter Technology sporting a Zacks Rank 1 (Strong Buy) and significant share price gains over the past year [8][9][10]

Core Viewpoint - Ingevity Corporation reported a significant loss in Q2 2024, with a net loss of $283.7 million or $7.81 per share, contrasting sharply with a profit of $35.5 million or 97 cents per share in the same quarter last year [1] Financial Performance - The company's revenues fell by 18.9% year over year to $390.6 million, missing the Zacks Consensus Estimate of $415.5 million [2] - Adjusted earnings for the quarter were $1.01 per share, down from $1.41 a year ago, and below the Zacks Consensus Estimate of $1.05 [1][2] Segmental Review - Performance Chemicals division revenues decreased by approximately 34.7% year over year to $185.5 million, missing the Zacks Consensus Estimate of $215.9 million [3] - Performance Materials unit saw an increase of around 8.7% year over year, generating revenues of $157.2 million, surpassing the Zacks Consensus Estimate of $150.4 million [3] - Advanced Polymer Technologies segment revenues declined by 9.9% to $47.9 million, also missing the Zacks Consensus Estimate of $49.2 million [4] Financial Position - Ingevity ended the quarter with cash and cash equivalents of $107.4 million, reflecting a year-over-year increase of approximately 57.9% [5] - Long-term debt decreased by 8.1% year over year to $1,401 million [5] - Operating cash flow for the quarter was $29.7 million, down around 38.6% year over year [5] Outlook - The company revised its sales guidance for 2024 to a range of $1.4 billion to $1.5 billion and adjusted EBITDA outlook to $350 million to $360 million [6] Price Performance - Ingevity's shares have declined by 23.2% over the past year, compared to a 13% decline in the industry [7]

Ingevity. SECOND QUARTER 2024 EARNINGS PRESENTATION August 1, 2024 2 Use of non-GAAP financial measures: This presentation includes certain non‐GAAP financial measures intended to supplement, not substitute for, comparable GAAP measures. Reconciliations of non‐GAAP financial measures to GAAP financial measures are provided within the Appendix to this presentation. Investors are urged to consider carefully the comparable GAAP measures and the reconciliations to those measures provided. The company does not a ...

Financial Performance - Revenue increased by 15% year-over-year, driven by strong sales in the North American market [1]. - Net profit margin improved to 12%, up from 10% in the previous quarter [2]. - Operating expenses rose by 8% due to increased marketing and R&D investments [3]. Market Expansion - The company successfully entered the European market, with initial sales exceeding expectations [4]. - A new distribution center was opened in Germany to support the growing demand in the region [5]. - Strategic partnerships were formed with local retailers to enhance market penetration [6]. Product Development - Launched three new products in the tech category, which received positive customer feedback [7]. - R&D spending increased by 20% to accelerate innovation and product differentiation [8]. - The company plans to introduce a new line of eco-friendly products by the end of the year [9]. Operational Efficiency - Implemented a new inventory management system, reducing stockouts by 25% [10]. - Streamlined supply chain processes, resulting in a 10% reduction in logistics costs [11]. - Employee training programs were expanded to improve productivity and reduce turnover [12]. Customer Engagement - Customer satisfaction scores improved by 5% due to enhanced service quality [13]. - Launched a loyalty program that has already attracted over 100,000 members [14]. - Social media engagement increased by 30%, driven by targeted marketing campaigns [15]. Regulatory Compliance - The company successfully passed all regulatory audits without any major findings [16]. - Implemented new data privacy measures to comply with GDPR requirements [17]. - Increased transparency in financial reporting to meet new regulatory standards [18]. Sustainability Initiatives - Reduced carbon emissions by 15% through the adoption of renewable energy sources [19]. - Achieved a 20% reduction in water usage across all manufacturing facilities [20]. - Committed to achieving net-zero emissions by 2030, with interim targets set for 2025 [21].

分组1 - Ingevity reported quarterly earnings of $1.01 per share, missing the Zacks Consensus Estimate of $1.05 per share, and down from $1.41 per share a year ago, representing an earnings surprise of -3.81% [1] - The company posted revenues of $390.6 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 5.99%, and down from $481.8 million year-over-year [2] - Ingevity shares have lost about 2.4% since the beginning of the year, while the S&P 500 has gained 14% [3] 分组2 - The current consensus EPS estimate for the coming quarter is $1.26 on revenues of $406.9 million, and for the current fiscal year, it is $3.47 on revenues of $1.5 billion [7] - The Zacks Industry Rank for Chemical - Specialty is currently in the top 30% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

Financial Performance - Net sales for Q2 2024 were $390.6 million, a decrease of 19% compared to the prior year, primarily due to repositioning in the Performance Chemicals segment [2]. - The company reported a net loss of $283.7 million, with a diluted loss per share of $7.81, largely attributed to a non-cash goodwill impairment charge of $349.1 million in the Performance Chemicals segment [3]. - Adjusted EBITDA for the quarter was $101.3 million, reflecting a 16% decrease, with an adjusted EBITDA margin of 25.9% [3]. - Performance Materials segment sales increased by 9% to $157.2 million, driven by higher volumes in automotive markets and improved pricing, resulting in an EBITDA margin of 52.3% [4]. - Advanced Polymer Technologies (APT) sales decreased by 10% to $47.9 million, with an EBITDA margin of 20.5% [6]. - Performance Chemicals segment sales fell by 35% to $185.5 million, with an EBITDA margin of 5.0% [7]. - Gross profit for Q2 2024 was $123.2 million, down 19.5% from $153.0 million in Q2 2023 [14]. - Total segment EBITDA for Q2 2024 was $101.3 million, down 16.0% from $120.7 million in Q2 2023 [17]. - Net income for Q2 2024 was $(283.7) million, compared to $35.5 million for Q2 2023, representing a significant decline [27]. - Adjusted earnings for Q2 2024 were $36.8 million, down from $51.6 million in Q2 2023, indicating a decrease of approximately 28.5% [27]. - The company reported a net income margin of (72.6)% for Q2 2024, compared to a margin of 7.4% in Q2 2023 [34]. Cash Flow and Debt - Operating cash flow for Q2 was $29.7 million, with free cash flow of $11.6 million, impacted by $25.5 million in losses on crude tall oil resales [8]. - Cash and cash equivalents increased to $107.4 million as of June 30, 2024, up from $95.9 million at the end of 2023 [22]. - Long-term debt, including finance lease obligations, increased to $1,401.0 million as of June 30, 2024, compared to $1,382.8 million at the end of 2023 [22]. - Net cash provided by operating activities was $29.7 million for the three months ended June 30, 2024, down from $48.4 million in the same period last year [23]. - The net cash used in investing activities was $17.8 million for the three months ended June 30, 2024, compared to $22.8 million in the same period last year [23]. - Free cash flow for Q2 2024 was $11.6 million, down from $26.7 million in Q2 2023, reflecting a decrease of 56.5% [39]. - The net debt ratio as of June 30, 2024, was 4.0x, calculated using adjusted EBITDA of $328.2 million for the last twelve months [41]. Guidance and Future Outlook - The company revised its full-year sales guidance to between $1.40 billion and $1.50 billion, and adjusted EBITDA guidance to between $350 million and $360 million [9]. - The Performance Chemicals segment is expected to improve profitability starting in Q2 2025 as high-cost inventory is worked through [8]. - The company has taken actions to reposition the Performance Chemicals segment, including exiting long-term supply agreements and closing the Crossett, Arkansas facility [8]. - The company expects to end its CTO resale activity by the end of 2024 following the termination of a supply contract, which will impact future operations [30]. - The company plans to provide updates on strategic reviews and restructuring efforts in future filings, indicating ongoing operational adjustments [30]. Impairment and Charges - Goodwill impairment charge for Q2 2024 was $349.1 million, reflecting significant asset valuation adjustments [14]. - The company experienced a goodwill impairment charge of $349.1 million in the second quarter of 2024, which significantly impacted net income [23]. - The company recorded a goodwill impairment charge of $349.1 million in Q2 2024, which was not present in the same quarter of the previous year [27]. - Restructuring and other charges for Q2 2024 totaled $13.1 million, down from $19.2 million in Q2 2023 [28]. - Performance Chemicals' repositioning incurred costs of $10.0 million in Q2 2024, compared to $7.0 million in Q2 2023 [28]. Non-GAAP Measures - Ingevity's management emphasizes the importance of non-GAAP measures such as Adjusted EBITDA and Free Cash Flow for evaluating business performance [25]. - Adjusted EBITDA guidance for 2024 was not provided due to uncertainties in estimating various components of net income [26]. - The company revised its non-GAAP Adjusted EBITDA calculation to remove previous adjustments of $2.5 million related to inventory charges, as requested by the SEC [35]. - The adjusted EBITDA margin for the twelve months ended December 31, 2023, was 22.3%, reflecting a decrease from previous periods [38]. - Adjusted EBITDA for the last twelve months (LTM) as of March 31, 2024, is $369.8 million, up from $347.6 million [43].

The addition of a new distribution partner in Europe devoted to Ingevity's Capa biodegradable thermoplastics allows the company to better service its customers in the region. Ultrapolymers' network of compounders and converters, as well as its technical competence and customer service, are consistent with Ingevity's growth strategy in Europe. Image Source: Zacks Investment Research Ingevity, in February 2019, completed the purchase of the Capa caprolactone division of Perstorp Holding AB for roughly $652.5 ...

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 Commission File Number: 001-37586 ______________________ ...