Ingredion(US:INGR)2026-02-03 11:09Financial Performance - Reported and adjusted EPS for full-year 2025 were $11.18 and $11.13, respectively, compared to $9.71 and $10.65 for full-year 2024, reflecting a significant increase [4]. - Operating income for full-year 2025 was $1,016 million, a 15% increase from 2024, while adjusted operating income was $1,028 million, a 1% increase [14]. - Net income attributable to Ingredion for full-year 2025 was $729 million, a 13% increase from $647 million in 2024 [40]. - Net income for the year ended December 31, 2025, increased to $736 million, up from $654 million in 2024, representing a growth of 12.5% [44]. - Adjusted operating income for the twelve months ended December 31, 2025, was $1,028 million, reflecting a slight increase of 1% from $1,016 million in 2024 [54]. Sales and Revenue - Fourth quarter 2025 net sales decreased by 2% to $1,757 million, and full-year 2025 net sales decreased by 3% to $7,219 million, primarily due to lower volume and price mix [7]. - Net sales for full-year 2025 were approximately $7.2 billion, a decrease of 3% from $7.43 billion in 2024 [40]. - Total net sales for the twelve months ended December 31, 2025, were $7,219 million, a decrease of 3% compared to $7,430 million in 2024 [45]. - The Texture & Healthful Solutions segment reported net sales of $2,397 million for the year ended December 31, 2025, a 1% increase from $2,366 million in 2024 [45]. - The U.S./Canada segment experienced a 7% decline in net sales for the year ended December 31, 2025, totaling $2,013 million compared to $2,155 million in 2024 [45]. Cash Flow and Investments - Cash from operations for full-year 2025 was $944 million, with $435 million returned to shareholders, including $224 million in share repurchases [4]. - Cash from operations for full-year 2025 was $944 million, down 34% from $1,436 million in 2024, due to investments in working capital [27]. - Cash provided by operating activities for the year ended December 31, 2025, was $944 million, down from $1,436 million in 2024 [44]. - Capital expenditures for full-year 2026 are projected to be approximately $400 million to $440 million [28]. - Net capital expenditures for full-year 2025 were $433 million, an increase of $138 million from 2024 [27]. Future Outlook - The company expects full-year 2026 reported and adjusted EPS to be in the range of $11.00 to $11.80, with net sales anticipated to increase by low single-digits to mid-single-digits [23][24]. - Full-year 2026 operating income for Texture & Healthful Solutions is expected to grow by low single-digits to mid-single-digits, while Food & Industrial Ingredients–LATAM is expected to be flat to up low single-digits [25]. - The company expects cash from operations for full-year 2026 to be in the range of $820 million to $940 million [28]. - For the first quarter of 2026, net sales are expected to decline by low single-digits compared to the same quarter last year [29]. Tax and Corporate Costs - Corporate costs for full-year 2026 are expected to be flat to up low single-digits, with effective tax rates projected to be between 25.5% and 27.0% [26]. - Reported effective tax rate for the fourth quarter of 2025 was 19.3%, significantly lower than 36.2% in the prior-year period [27]. - The expected effective tax rate (ETR) for full-year 2026 is estimated to be between 25.5% and 27.0% [61]. - The adjusted non-GAAP effective income tax rate for the twelve months ended December 31, 2025, was 25.8%, with income before income taxes of $988 million [57]. Segment Performance - Texture & Healthful Solutions segment reported full-year 2025 operating income of $405 million, up 16% from the previous year, driven by lower raw material costs and improved volumes [12]. - Food & Industrial Ingredients–U.S./Canada segment reported a full-year operating income of $315 million, a decrease of 16% from 2024, due to production challenges and lower demand [17]. Restructuring and Charges - The company recorded pre-tax restructuring charges of $6 million and $13 million for the three and twelve months ended December 31, 2025, respectively [51]. - Restructuring and resegmentation costs for the three months ended December 31, 2025, amounted to $6 million [57]. - Impairment charges for the twelve months ended December 31, 2025, totaled $10 million [57].