Ashland Q3 Earnings and Sales Lag Estimates, Guidance Narrowed

Core Insights - Ashland Global Holdings Inc. reported a significant loss of $742 million or $16.21 per share in Q3 fiscal 2025, contrasting with a profit of $6 million or 12 cents in the same quarter last year [1][9] - Adjusted earnings were $1.04 per share, down from $1.49 year-over-year, and missed the Zacks Consensus Estimate of $1.15 [1][9] - Total sales decreased by 14.9% year-over-year to $463 million, falling short of the Zacks Consensus Estimate of $468.4 million [2][9] Sales Performance - Life Sciences segment sales fell 17% year-over-year to $162 million, missing the consensus estimate of $170 million, primarily due to the divestiture of the Neutraceuticals division [3] - Personal Care segment sales declined 16% year-over-year to $147 million, meeting the Zacks Consensus Estimate, mainly due to portfolio optimization and the divestiture of the Avoca business line [4] - Specialty Additives segment sales decreased 13% year-over-year to $131 million, surpassing the Zacks Consensus Estimate of $124 million, attributed to exiting the low-margin construction business [4] - Intermediates segment sales dropped 8% year-over-year to $33 million, missing the consensus estimate of $34.8 million, primarily due to lower prices [5] Financial Overview - Cash and cash equivalents at the end of the quarter were $207 million, reflecting a sequential increase of approximately 23.2% [6] - Long-term debt rose to $1,382 million, up roughly 3.4% from the previous quarter [6] Future Outlook - For the full fiscal year, Ashland expects sales to range between $1.825 billion and $1.85 billion, and adjusted EBITDA to be between $400 million and $410 million, narrowing from previous estimates [7][9] Stock Performance - Ashland's shares have declined by 42.5% over the past year, compared to a 1.3% decline in the industry [8]