Ashland's (ASH) Earnings & Revenues Surpass Estimates in Q2

Core Insights - Ashland Global Holdings Inc. reported second-quarter fiscal 2024 profits of $120 million or $2.39 per share, an increase from $91 million or $1.67 in the prior-year quarter. Adjusted earnings were $1.27 per share, down from $1.43 year-over-year, but exceeded the Zacks Consensus Estimate of $1.19 [1] - Sales decreased by 4.6% year-over-year to $575 million, slightly surpassing the Zacks Consensus Estimate of $574.2 million, primarily due to softer pricing [1] Segment Highlights - Life Sciences: Sales fell 7.5% year-over-year to $222 million, below the Zacks Consensus Estimate of $238.1 million. Nutrition end market volumes showed modest growth but were lower than the previous year [2] - Personal Care: Sales increased by 1.2% year-over-year to $169 million, exceeding the Zacks Consensus Estimate of $159.3 million, driven by higher volumes in skin care, oral care, and hair care [2] - Specialty Additives: Sales declined 2.5% year-over-year to $157 million, surpassing the Zacks Consensus Estimate of $149.5 million, with higher volumes in coatings offset by lower pricing [3] - Intermediates: Sales dropped 21.5% year-over-year to $40 million, slightly beating the consensus estimate of $39 million, primarily due to lower prices [3] Financials - Cash and cash equivalents were $439 million at the end of the quarter, a 10% increase from the previous year. Long-term debt remained flat at $1,328 million [4] - Operating cash flows were $54 million, a slight decrease from $56 million in the prior-year quarter [4] Outlook - For the fiscal third quarter, Ashland expects sales to be in the range of $560-$580 million and adjusted EBITDA to be between $138-$148 million. For the full fiscal year, sales are projected to be $2,150-$2,225 million with adjusted EBITDA of $470-$500 million [5] Price Performance - Ashland's shares have increased by 4.7% over the past year, contrasting with a 9.3% decline in the industry [6]